Exploiting a Market Niche: Prolacsa

Gerardo Lozano, general manager of Prolacsa, began a business in 1988, whose goal was to satisfy the current market demand for specialized dairy products. Initially, the company concentrated on the production of yogurt. Within a few months of operation, Prolacsa was offered the opportunity to be the supplier of orange juice for the McDonald's restaurants.

Upon seeing the attractive design of the orange-squeezing machines, the idea of placing the machines in supermarkets and selling just-squeezed orange juice was born.

The product line has grown. Currently, Prolacsa offers mango, pineapple, grapefruit, and peach juice, as well as the original orange juice.

The company has experienced considerable growth, so much that, in a couple of years, sales have triplicated in relation to the prior year. This growth is based, not only on increased sales of the same products, but also to the constant introduction of new products, which contributes to the overall sales increase.

The juices compete, mainly in quality, with the other orange juice brands, but have the advantage of owning the market niche of those consumers who prefer to pay a higher price (sometimes up to double), as long as they obtain a fresh, 100% natural product.