Market development is a business strategy whereby a business attempts to
find new groups of buyers as potential customers for its existing products and
services (Grimsley, 2017). Olive Garden is taking its annual sale of Never Ending Pasta
Pass to extreme heights by giving 50 super fans the opportunity to buy an
all-inclusive, weeklong trip to Italy for themselves and a friend for $200 (Olive Garden, 2017).
Diversification is a corporate
strategy to enter into a new market or industry in which the business doesn’t
currently operate, while also creating a new product for that new market. Olive
Garden is getting in on the burger
game. Olive Gardens will offer a
$10, six-ounce “Italiano burger”. The addition of
burgers reflects Olive Garden’s attempts to diversify its menu and get younger
diners in the door (Dejesus, 2013).
action of increasing an existing product’s market
share or new product introduction to
grab market share by volume discounts, advertising, lower prices, or bundling
as a strategy (The Law Dictionary, 2017) . Olive Garden chain of Italian restaurants is eating
up market share with its focus on value and take-out. Darden DRI, +0.09% reported a 4.4% same-store sales
increase at Olive Garden and to go growth of 16% year-over-year. Takeout is
about 12.5% of total sales (Market Watch, 2017).
Developing new products or modifying
existing products so they appear new, and offering those products to current or
new markets is the definition of product development strategy (Nielsen, 2017). Olive Garden projects that are going
on across the country are in California in the cities of Victorville,
Bakersfield, Cypress, Chatsworth and Cerritos.
Then in Washington and Oregon, we’re also working on the Olive Gardens
there; re-imaging the look of the lighting, adding Wi-Fi, putting in bigger
bars and altogether a new, fresh look for Olive Garden. You may have noticed
the new Point of Sales available right at the tables! You’ll be able to pay for
your meal right there, order desert or even play games. Keeping it modern, and
moving forward with Darden Restaurants (Olive Garden, 2017)