Campbell Soup Company is the number one maker of soups in the world, holds the top position in that category in Europe, and dominates its home market of the United States with a commanding 69 percent share. The company divides its operations into four areas. North American soup and "away from home" products includes the flagship condensed and ready-to-serve soup lines, Swanson broths, and the firm's entire Canadian business, as well as the distribution of soups, specialty entrees, beverages, other prepared foods, and bakery products through various foodservice channels. North American sauces and beverages comprises Pace Mexican sauces, Franco-American canned pastas and gravies, V8 vegetable juices and other beverages, Campbell's tomato juice, and all of the company's operations throughout Latin America and the Caribbean region, including Mexico.
The biscuit and confectionery segment is made up of three subsidiaries: Pepperidge Farm, Incorporated, which specializes in cookies, crackers, breads, and frozen bakery products under the Pepperidge Farm, Goldfish, and Milano brands; Australia-based Arnotts Ltd., maker of salty snack foods, biscuits, and crackers; and Godiva Chocolatier, Inc. Campbell's manufacturing facilities include 20 plants in the United States and another 27 overseas located in Australia, Belgium, Canada, France, Germany, Indonesia, Ireland, Malaysia, Mexico, the Netherlands, Papua New Guinea, Sweden, and the United Kingdom. The company generates about 64 percent of its sales in the United States, 15 percent in Europe, 13 percent in Australia and the Asia-Pacific region, and 8 percent in other countries.
Perhaps best known for its ketchup, the H.J. Heinz Company manufactures thousands of food products in plants on six continents and markets these products in more than 200 countries and territories. Heinz ranked first in ketchup in the United States with a market share in excess of 50 percent. Moreover, the company's StarKist brand tuna led its market with a 45 percent share, and its Ore-Ida label held more than 50 percent of the frozen-potato sector. Overall, the company claims to have 150 number one or number two brands worldwide.
Breaking the company's sales down by sector, ketchup, condiments, and sauces account for about 24 percent of overall sales; frozen foods (including Ore-Ida, Budget Gourmet, and Weight Watchers), 15 percent; pet products (9-Lives, Gravy Train, and Ken-L-Ration), 14 percent; soups, beans, and pasta meals, 12 percent; tuna, 12 percent; infant foods, 11 percent; and other, 12 percent. Geographically, about 55 percent of revenues are generated in North America, 26 percent in Europe, 11 percent in the Asia-Pacific region, and eight percent elsewhere.
The history of Kraft goes back to 1903, when, with $65 in capital, a rented wagon and a horse named Paddy, J.L. Kraft started purchasing cheese at Chicago's Water Street wholesale market and reselling it to local merchants. Within a short time, four of J.L. Kraft's brothers joined him in the business, and, in 1909, they incorporated as J.L. Kraft & Bros. Co. In 1914, J.L. Kraft and his brothers purchased their first cheese factory in Stockton, Illinois. In 1915, they began producing processed cheese in 3-1/2 and 7-3/4 ounce tins. J.L. Kraft's method of producing processed cheese was so revolutionary, in 1916 he obtained a patent for it and in 1917 the company started supplying cheese in tins to the U.S. Government for the armed forces in World War I.
J.L. Kraft followed up on his success with processed cheese in tins by introducing or acquiring many additional products, including processed cheese in loaves, Velveeta Process Cheese, Philadephia Cream Cheese, Miracle Whip Salad Dressing and Kraft Dinner Macaroni and Cheese. He used innovative advertising to promote his products and was a pioneer in the sponsorship of television and radio shows. Kraft Music Hall on radio and Kraft Television Theatre helped prove the effectiveness of advertising on the then-new media. The company's "hands" commercials, showing a pair of hands preparing recipes using Kraft products, became a symbol of the company's advertising success. Aggressive sales merchandising techniques contributed further to the company's growing market share in an increasingly diverse line of products.