Gorila

: a case study of brand development strategy

Abstract

The Portuguese gum market has, over the years, been affected by an ageing population, higher demand for functionality and increasing health concerns. The market has, consequently, witnessed a shift from the bubble gum to the chewing gum segment, with a particular impact on the sugar free category. Lusiteca, the biggest confectionary producer in Portugal, operates in an industry dominated by international giants such as Mondelēz International and Mars Inc., to which the company has lost market share over the years. In order to recapture some of this lost market share, Lusiteca decided to rebrand their core brand Gorila, a bubble gum brand that is a childhood symbol for many Portuguese consumers. However, Gorila’s chances of success were very limited in the bubble gum sector and expanding to the chewing gum sector has, therefore, been crucial for Lusiteca to grow. In order to enter this new segment Lusiteca has two options, either to leverage Gorila’s brand name or to create a new brand. This case study provides the pros and cons for each strategy, as well as explaining the competitive market environment and gum consumer profiles, so that students may analyse this case and, consequently, recommend the best strategy for the company to follow.

Date of Award	18 Feb 2016
Original language	English
Awarding Institution	Universidade Católica Portuguesa
Supervisor	Paulo Alexandre Gonçalves Marcos (Supervisor)