Snapple was launched in 1972 in the Greenwich Village area of New York City with its founding product being an all-natural apple juice targeted to health conscious consumers. Over the next 15 years, Snapple grew slowly yet still managed to established markets on both the east and west coasts of the U.S. In the late 1980’s, with revenues reaching about $8 million in 1986, Snapple engaged a beverage industry sales and marketing veteran to professionally manage its next growth trajectory. Having established a $1 million advertising budget and a focus on strengthening its east coast independent distribution channels, Snapple revenues grew ten-fold to $80 million by 1989 and reached $231 million in 1992 when Snapple was then sold to the Thomas …show more content…
Quaker’s development and expansion of the Gatorade brand in the marketplace found success with about 60% of Gatorade revenues streaming from so-called “warm channel” distribution systems that were predominantly supermarket type retail outlets. Snapple, on the other hand, had established a stronger presence in the complimentary “cold channel” distribution areas that included convenience stores, restaurants, delicatessens, mobile food & drink vendors, parks and recreation areas, etc., and Quaker believed that the Snapple acquisition would complement and subsequently drive Gatorade sales into the Snapple cold channel distribution streams while Gatorade distribution logistics and warehousing would propel Snapple into the warm channel arena of mass sales. Quaker’s vision of joining the two beverage brands was to increase product value by providing enhanced merchandising to its customers, to expand its in-store refrigeration presence, and to expand the number of sales locations to the benefit of its product brand consumers. Unfortunately, that vision was never realized as Snapple sales slipped downward over the next 3 years following Quaker’s acquisition, dropping to $440 million in 1997 and forcing Quaker to sell Snapple in March of that …show more content…
Consistently timed advertising intended to drive consumer awareness coupled with timely new product innovations and marketplace introductions appeared lacking under Quaker. Additionally, Quaker’s corporate ethos did not align well with Snapple culture and the Gatorade and Snapple brand styles did not mesh well either, with the Gatorade brand being more “lifestyle” (health drink) focused while the Snapple brand was more “fashion” (taste drink) oriented; essentially targeting two different consumer audiences and diametrically opposed beverage markets. Quaker seemingly did not evaluate the impact of the brand differences relative to the Gatorade and Snapple target consumer markets nor did Quaker appear to consider the impact of corporate cultural differences between Quaker and Snapple. Quaker also did not appear to perform due diligence when it did decide to introduce Snapple in larger bottle sizes and in multi-packs for its warm channel (supermarket) points of distribution. Quaker simply failed to recognize that Snapple sold best in its single serving packages and that the mass marketing style of product presentation that supported Gatorade would not, inevitably, support Snapple in its mass quantity packaging
focus more on the fun-for-you, major brands: ignore the other two segments, and focus on PepsiCo’s core products. The issue is that it may seem as though PepsiCo is going back on their word and Nooyi’s strategy. As well, PepsiCo might be seen as unethical for pushing their high-sugar, high-calorie drinks and junk food, while Americans and those of other nationalities are facing higher and higher levels of obesity.
The soft drink industry in the United States is a highly profitably, but competitive market. In 2000 alone, consumers on average drank 53 gallons of soft drinks per person a year. There are three major companies that hold the majority of sales in the carbonated soft drink industry in the United States. They are the Coca Cola Company with 44.1% market share, followed by The Pepsi-Cola Company with 31.4% market share, and Dr. Pepper/Seven Up, Inc. with 14.7% market share. Each company respectively has numerous brands that it sales. These top brands account for almost 73% of soft drink sales in the United States. Dr. Pepper/Seven Up, Inc. owns two of the top ten brands sold. Colas are the dominant flavor in the U.S carbonated soft drink industry; however, popularity for flavored soft drinks has grown in recent years. The changing demographics of the U.S population have been an important factor in the growing popularity of these flavored soft drinks. The possible impact of this factor will be addressed later in the case.
On page 111, the power of Cultural and Political authority has been discussed. As Mountain Dew was grabbing share points for its brand, Coca-Cola Company’s senior management felt jealous and launched Surge supporting it with a clever campaign by Leo Burnett. However, Surge was abandoned by the consumers in less than two years. Mountain Dew remained on the top because Mountain Dew performed myths that resolve the acute anxieties in consumer’s lives. The Coca-Cola Company failed to understand how brand equity worked for Mountain Dew.
Companies utilize different marketing strategies to appeal to their target audience. The methods they use to market their products usually reflects the target audience’s preferences or needs. Gatorade was invented at the University of Florida in 1965 by a team of researchers. They discovered nutrients were not being replenished when the school’s football team competed and formulated a solution to the problem. Today Gatorade primarily targets athletic or physically active individuals, especially professional athletes. Over time, Gatorade has become one of the most popular and leading sports drink companies in the world. Many people recognize what Gatorade is and what they do to help individuals who need the extra replenishment so they can continue
The invention of Snap Chat was literally an accident; two measly college students got bored and that’s why they invented Snap Chat. This app has revolutionized photo taking to a whole new level. In this paper I will talk about, who invented Snap Chat, how Snap Chat became popular, why teens use it and how Snap Chat influenced our culture.
As we all should know, PepsiCo is one of the world’s leader in convenient food and beverages. PepsiCo shares are traded worldwide and particularly in NYSE (United States). PepsiCo is in the same line with Coca cola and Cadbury Schweppes as the dominating beverage companies. PepsiCo has successfully built a great brand name rivaling with coca cola, probably because PepsiCo unlike coca cola has its own bottling companies. With a competitive strategy based on differentiation rather than cost leadership like its fellow competitors PepsiCo invests highly in new packaging, flavors, formulas to outsmart their competition. Founded in 1919, producing a variety of sweet and grain-based snacks, carbonated and non-carbonated
Dr Pepper Company is the oldest major manufacturer of soft drink concentrates and syrups in the United States. Dr Pepper is the company's principal brand. Cadbury Schweppes PLC acquired Dr Pepper/Seven-Up Cos. Inc. in March 1995. The new business will be called the Dr Pepper Company, which will focus on the Dr Pepper brand by handling all beverage system sales, which account for 75 percent of its business, in addition to related independent bottlers. The second operating group will be Cadbury Beverages/Seven Up Co., which will service independent bottlers not carrying Dr Pepper. Dr Pepper/Seven Up soft drink brands now hold about 16 percent of the U.S. market. Dr Pepper and Seven-Up are among the top 10 carbonated soft drinks, with Dr Pepper being the top non-cola soft drink. Other soft drink include: A&W Root Beer, Canada Dry, Schweppes, Welch's, Sunkist, Squirt, Crush and Hires (Levy 1999). According to the soft drink industry report, there is large sales growth recently in non-colas. Dr Pepper was number three in the industry. The reason is because non-colas have above-average caffeine level, and will be aimed at the 12-to 21-year-old market. Obviously, management sees this product as an opportunity to more fully participate in the growing popularity of non-colas.
How to Find Marketing Success on Snapchat in 2017? Snapchat has grown to become a force to be reckoned with. Initially regarded as something for teens and pre-teens, the social media network has grown tremendously, and is now firmly ahead of Twitter. With hundreds of millions of people viewing content on the application, it offers a huge market for someone looking to market their brand.
The A-Team has introduced a new product called Pepsi Platinum for the company, PepsiCo, in Phase Two. This dissertation will identify segmentation criteria that will impact PepsiCo target market selection. This dissertation will describe the organizational buyers and consumers of Pepsi Platinum and factors that influence their purchasing decisions and discuss how these factors will impact PepsiCo’s marketing strategy. Finally, this phase shall analyze current competitors and define the competitive landscape for Pepsi Platinum.
Place: PepsiCo uses a global network for distributing its products to consumers. Most PepsiCo products are available at retailers, such as supermarkets, grocery stores, and convenience stores. However, customers can access PepsiCo-licensed merchandise like tumblers and t-shirts through retailers and their websites. Based on this element of the marketing mix, PepsiCo’s places for distributing its products are mostly non-online
c.) Some iconic brands include; Beverage: Pepsi, Mountain Dew, Gatorade, Sierra Mist, Tropicana, Brisk, Lipton; Food: Quaker Oats, WBD, Rold Gold pretzels; Snack: Lay’s, Doritos, Cheetos, Tostitos. The mission statement is “to provide consumers around the world with delicious, affordable, convenient and complementary foods and beverages from wholesome breakfasts to healthy and fun daytime snacks and beverages to evening treats”. We are committed to investing in our people, our company and the communities where we operate to help position the company for long-term, sustainable growth.” II.
INTRODUCTION Snap, founded in 2012 as a mobile application called ‘Snapchat’, has become a golden child of this social media era. In basic terms, Snapchat is an ephemeral natured messaging app which allows its users to send and receive self-destructing, short spanned photos and videos from their friends or followers. One may find this feature quite naive but Snap has come a long way from being just a photo-video sharing app to rightfully being listed as one of the most innovative companies of 2017. Every consumer, influencer, media brands and even rivals are viewing the world through Snapchat’s lenses.
PepsiCo is one of the most recognized names in the snack and beverage industry, with brands like Frito-lay, Gatorade, Tropicana, and Quaker, however, it is best known for its flagship soft drink brand - Pepsi and its rivalry with Coca-Cola. To begin, PepsiCo first caught my Interest in the way it manages its business and markets its products. PepsiCo being a relatively young company compared to its rival Coke, has proven to be a formidable opponent going “head to head” with one of the biggest companies in the world (Coca-Cola). Now, when I notice PepsiCo’s growth, the first thing that came to my mind was that it is thanks to its great marketing campaigns, that Pepsi has grown to become the globally recognized brand that it is today. I also admire PepsiCo because I think the there is a high level of entrepreneurship in the way they acquired smaller brands like Gatorade thereby eliminating their competition before they become competition.
YouTube videos show Snapchat secrets. Some of you may use Snapchat for a variety of reasons. Maybe you have sent a message to your friends, or even a sexy pic to your partner or lover. This app, however, can be used as a social media marketing tool to help you increase your audience, and even make money. A very detailed YouTube video posted by Social Pro Report gives YouTube viewers a rare glimpse into the apps celebrity and marketing world.
2. The article touches on the platform and content of the Application Snapchat, as well as a few problems associated with the App and the targeted audience. Snapchat’s platform is communication between individuals through a text messaging type program. Users have the ability to interact on a personal level and showcase creativity with the combination of picture, video, and storytelling. The content of Snapchat originated with picture and video messaging, but has recently released the “storytelling” option where users can create their own story.