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TCP Issue ArchivePrevious IssueNext IssueAbout TCP

Volume 2, Issue 7
July 27, 2000

Contents

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ONE Fuzzy Kitchen Logic
TWO On the Web: Society of Concurrent Engineering (SOCE)
THREE Top Ten Signs Your Team Leader May Think He's a Superhero
FOUR MRT News - Website back online, DAMA, Metrics Survey
FIVE Calendar of Events
Please send any feedback about this newsletter and its content to gregg@roundtable.com

article-one:
Fuzzy Kitchen Logic

People love watching risk-takers. Deep inside the human condition is the strangest affinity towards morbid curiosity. It's why we stare at car wrecks, secretly hope Evil Kneivel crashes and wonder if Steve Jobs will crap out the next time he rolls the dice. I remember an old Calvin Klein Obsession commercial that said it all. Do you remember them? They had melodramatic Eurostyle actors amidst a pristine white background. They would zoom into a woman's stylized face and she would pronounce a bold nonsequitur, "It is shocking, it is disgusting...yet I can not turn away." The Germans call this "shadenfreude" loosely translated as "the shameless joy of another's misfortune."

These are the things that I think about when I encounter stuff like green ketchup. Did you miss the recent announcement? In a bid to increase tomato catsup consumption among that market's critical demographic of American children aged 3-15, the Heinz corporation pulled the trigger on one of the toughest decisions a major brand can make: reinvent the product. Apparently, something with ketchup got broken and needed fixing.

In a year's time, one of three things may happen:

  1. Green ketchup will take off, and we'll see a parade of copycats saturate and eventually burn out the category.
  1. It will be a tremendous flop and disappear quickly.

Or, the most plausible scenario:

  1. We will all forget about it and it will linger weakly before dying. Heinz executives will gather at a discreet meeting to drop the axe, at the end of which, the chief executive will say, "Now let us never speak of this again."

CAN YOU SAY "NEW COKE" OR "ARCH DELUXE"?

Last month in this newsletter we reviewed the New Product Showcase & Learning Center, a private museum in Ithaca, NY, featuring thousands of consumer items, some successful, but mostly failures pushing concepts very much like green ketchup. The center provides a great exercise in examining market risk, that is, positioning your product to be of greatest appeal to the customer. Win or lose, I'm sure the museum is holding a spot for this one.

Let's take a moment to examine the critical decisions that Heinz has made regarding their flagship condiment.

The facts:

  • In the late 1990s, Heinz' US ketchup market share dropped to 43%, signaling a mini-ketchup crisis for the company
  • Focus groups surfaced a customer want for a different color besides red
  • Green ketchup was preceded by a media advertising push at key child and teen markets, increasing market share to 51%, thus green-lighting further product improvements

The new product's design:

  • New color - green
  • New hour-glass shaped bottle that shoots a fine stream kids can write and draw with (hasn't everyone drawn happy faces on their burger with mustard?).
  • Extra vitamin C added to appeal to parents.

Comments made by Heinz representative, Casey Keller:

  • "The core idea is to give kids more control and fun over their food,"
  • "We wanted to create something where that bottle is pulled out of the fridge more often,"
  • "Kids really have a desire to make mealtime more enjoyable, and this enhances the control and fun factor,"

And on the decision for green over other colors such as blue:

  • "[green] has a little more kitchen logic,"

Now wait a second..."kitchen logic?" It's amazing the fine level of detail that product developers encounter when making decisions on products, especially with psychographics. We know that these things make a difference, not always, but often. But it is these decisions that are agonized over the most as make-or-break factors. These type of features are equally easy to credit for success or blame for failure, making accountability more discrete and assignable. They are willing to go as bold as changing the color, but not to something too radical. Interesting.

Chances are there's something like "kitchen logic" floating around your marketing department. Perhaps operators don't like your tool because the on button isn't yellow. Maybe the user interface isn't "serious enough." If you don't know what the kitchen logic is for your product, it might be a good time to find out, as most of these marketing things need to be executed on the technical side.

Now, the good news for Heinz is that they've learned the lessons of those who came before them. They are not replacing the red product, the green variety is aimed at kids and will share shelf space. Plus, companies like Coca-Cola and Heinz have brands strong enough to weather this type of risk without causing irreparable harm. But it should at least be refreshing to see that these companies are willing to be bold based on the potential upside. They avoid the temptation to stand pat. If it's only a PR stunt, heck, it's already worked. When's the last time you heard so much fuss over a condiment? What's next, "Do you have any purple poupon?"

BONUS KETCHUP TIP - (from the Heinz.com website):
If you have trouble coaxing ketchup out of the glass bottle at a restaurant, tap the bottle where the embossed "57" logo appears at the point the bottle begins to narrow. This should allow the condiment to flow freely.

Ref: "Heinz old red standby goes green", CNN.com July 10, 2000

Special Note: Product marketing expert Robert McMath of the New Product Showcase and Learning Center will be a keynote speaker at MRT's upcoming "Product Differentiation Bootcamp" Oct 30 - Nov 1 in Chicago. Details on this event will be forthcoming, but Prof. McMath will be conducting a special "Product Concept Reality Check", where he will review the concepts of products brought in by conference participants. Stay tuned for details on this event.

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gregg@roundtable.com


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article-two:
On The Web: Society of Concurrent Engineering (SOCE)

Link: http://www.soce.org

Founded in 1992, the Society of Concurrent Engineering (SOCE) is a growing organization dedicated to the advancement of the knowledge and principles behind successful integrated product development. SOCE is volunteer-driven and currently maintains chapters in Boston, San Diego, Silicon Valley and Quebec. SOCE is exceptionally member-focused, and conducts several high-quality local learning events for its constituency.

A visit to their website fills in the blanks. At soce.org, you will find links to their charter, the association's strategy, event listings, and links to several articles on CE subjects. Of particular interest may be the SOCE Body of Knowledge, which is a chart that lists the many categories of competencies inherent to product development. It is quite thorough and interesting to see what's made it to the list.

SOCE Body of Knowledge: http://www.soce.org/ce/ce26.html
For information on SOCE membership:
http://www.soce.org/newmem.htm

TCP reviews websites that are not typically known in the Internet mainstream or not easily found on standard search engines.   Know a website we should review? Send the url to gregg@roundtable.com

MRT Advocate Program

article-three:
Top Ten Signs Your Team Leader May Think He's a Superhero
...from the MRT satellite office in Gotham City

10. Asks to be summoned to meetings by projecting a laserpointer above his cube.

9.

Considers cashier in the cafeteria who always shortchanges him his "archnemesis."

8.

Tells you he got his powers in a freak QFD accident.
7. Claims he is invincible, but can be killed only by kryptonite or an engineering change order.
6. Wears a cape cut out of an old TQM banner from the storage closet.
5. Strangely, he and the newly hired consultant are never seen together at the same time.
4. Superpower: can successfully pass any files through the network firewall.
3. Grows exceptionally large and green in meetings when highly agitated.
2. Always seems to disappear in times of crisis.

...and the No. 1 sign your team leader may think he's a superhero:

1. Constantly broods, "If only the CEO would use his powers for good instead of evil."

Send me your Top Ten List suggestions - gregg@roundtable.com

TCP Top Ten List Archive


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article-four:
MRT News

MRT WEBSITE BACK ONLINE
We had some server problems a couple weeks ago that knocked out anything on our website that was forms-based, including online registration and white paper downloads. If you visited us and got any "file not found" errors during the period of Monday, July 10 to Wednesday, July 12, please rest assured the problem has been fixed and try again. We apologize for any inconveniences. To go directly to the white paper area, follow this link: http://www2.roundtable.com/scripts/mrt/mrt_products.asp

DAMA
A downloadable .pdf brochure is now available for our fall conference, "Design Anywhere, Manufacture Anywhere" in San Diego this October. Details will also be posted on our website soon, but the brochure (dama-brochure.pdf - 1.2 meg) is available right now. [Download Brochure]

METRICS SURVEY
In conjunction with Goldense Group, Inc., MRT is helping conduct GGI's 2000 survey on the use of metrics by product development organizations. All survey participants will receive a complimentary report on the survey's findings, and the results will also be presented at MRT's next metrics conference in Chicago this November. [Download Survey] (GGIMetrics-Survey.pdf - 40kb).

— * —

Upcoming MRT Events

TOC Multi-Project Method Workshop w/Tony Rizzo

Maximizing Product Development Speed and ThroughputDesign Anywhere, Manufacture Anywhere2000 Metrics Conference Preliminary Info

— * —

A D M I N I S T R I V I A

The Critical Path is a free monthly e-mail newsletter written by:

Gregg Tong
Management Roundtable, Inc.
92 Crescent Street, Waltham, MA 02453 USA
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Gregg@roundtable.com

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