...Running head: Cadbury Beverages, Inc.: Crush® Brand Cadbury Beverages, Inc.: Crush® Brand Shih Ming Chang Grand Canyon University MKT 450 July 24, 2011 1.) Three main participate in manufacturing and distribution of carbonated soft drinks in the United States: concentrated producers, bottlers, and retailers. The concentrated producers’ and bottlers’ responsibilities differ for regular and diet drinks. Bottlers are responsible of serving retail outlets, such as placing in-store displays, local advertising, and restocking, whereas concentrated producers are responsible of developing new products, national consumer advertising, promotion programs, and marketing research. There are approximately 40 concentrated producers in United States, but only top three (Coca-Cola, PepsiCo, and Dr. Pepper/7Up) account for 82% of industry sales. Whereas approximate 1000 bottlers in United States and they are either owned by concentrated manufactures or franchised. Franchised bottlers are usually given the exclusively rights for a certain territory, but they cannot sell a directly competitive brand. As far as retailers concerned, the main retail channels are supermarkets, vending machines, and fountain services. In fact, over 40% of the soft drink sales are sold in supermarkets which are claimed to be crucial in the company’s distribution net. 2.) During the period of 1985 to 1989, the total sales in the orange carbonated rinks’ category increased by 23.5%, from 102 million cases to 126 million...
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...James Floyd 9/17/13 Mk: 4900 Cadbury Beverages, Inc: Crush Brand Case Analysis I will be doing a market analysis for crush by analyzing the company (Part 1), identifying the industry and competition (Part 2), and conclusions and recommendations (Part 3). Part 1: Company Analysis - Important Company Information To Note: - Cadbury Beverage, Inc. is the beverage division of Cadbury Schweppes PLC. (a major soft drink and confectioner marketer) - Sales of $4.6 billion in more than 110 countries - Cadbury Schweepes PLC is one of the world’s first soft drink maker - In 1989, Beverages accounted for 60% of company world wide sales and 53% of operating income. o Confectionery items accounted for 40% of worldwide sales and produced 47% of operating income. - Overall goal for managers on Crush brand: o Rejuvenate the bottling network for the brand, o Develop a base positioning, o Create a new advertising and promotion program. Part 2: Industry Analysis - Cadbury Schweppes 3rd largest soft drink marketer. - Cadbury Schweppes had some key acquisitions of companies. - In 1989, Proctor & Gamble bought Crush for $220 million. - Cadbury Schweppes has a 3.4% market share of the carbonated soft drink market. - 3 leaders o Coca-Cola o PepsiCo o Dr. Pepper/7Up - Americans consumed an estimated $43 billion in retail sales in 1989 - 3 Major participants...
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...cadbury Running head: Case Study Cadbury Schweppes: Capturing Confectionery Case Study: Cadbury Schweppes: Capturing Confectionery ORM 680: Capstone in Strategic Management Spring Arbor University Jaspreet Kaur (Jas) Terry A. O’Connor, Ph.D. September 6, 2010 Abstract Cadbury Schweppes formed its joint venture in 1969. The company went through several mergers and acquisitions from 1969 to 2008, but the company was able to survive and became the global leader in confectionery and soft drink business. In the early stage, the company had to struggle but by the late 1900’s Cadbury Schweppes started to expand its business worldwide. The company had franchises in United States and Europe and acquired various businesses in other parts of the world. By the early 2000’s the company decided to demerger. In 2008, the beverage site of the business (Schweppes) became Dr Pepper Snapple Group and confectionery (Cadbury) was bought by Kraft Foods the very next year. Cadbury Schweppes: Capturing Confectionery Introduction The purpose of this document is to analyze the existence of Cadbury Schweppes. This paper will describe the history and background of the company. In addition, the document will identify and discuss the global initiatives of Cadbury Schweppes. And finally, the document will discuss the recommendations for the corporation. History and Background Cadbury Schweppes began its journey in 1969 with the merger of a beverage...
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...PHILIP KOTLER Philip Kotler (born May 27, 1931 in Chicago) is the S.C. Johnson & Son Distinguished Professor of International Marketing at the Kellogg School of Management at Northwestern University Why chocolate? I. According to a recent study conducted by a major chocolate brand in India the major consumers of chocolates apart from kids are teenagers and people between the age of 15 - 35. Most of the chocolate brands in India produce chocolates in different sizes that are priced according to their sizes. Chocolates like Diary Milk and Five Star can be got for just Rs 10. Chocolates in India are slowly and steadily substituting the mithai or traditional Indian sweets. Due to the increasing levels of social consciousness people prefer gifting well wrapped chocolate packets rather than sweets on occasions and festivals. Taking advantage of this situation GATHERING AND ANALYSING MARKET INFORMATION PRODUCTS Amul chocolates Parent Company Amul Category Chocolates Sector Food Products Tagline/ Slogan Taste of India USP Quality and affordability STP Segment Quality conscious children and adults Target Group Kids and youth Positioning Taste of India by giving them quality products SWOT Analysis Strength 1. Good product range which includes chocolates, toffees, syrups etc 2. Good quality and packaging 3. Excellent distribution network of Amul ensure availability 4. Branding and advertising through TVCs and print ads is popular 5. Pricing is good as...
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...PepsiCo 2005 Case Analysis June 17, 2009 I. Definition of the Issue The PepsiCo-2005 case study has several issues revolving it. It has the internal issue that PepsiCo has not been able to consistently meet its growth goal of 15+ percent annual increase in earnings for the last 10 years. Its external issues consist of its products as reaching maturity stage industry wise and its divisions, except Frito-Lay North America (FLNA), fail to rank highest in its respective market segments. Division wise, the company holds a large share of each respective market, but over-all the company sustains a flat growth rate and fails to meet its growth goal. In respect to this, it can be seen that the real issue in this case is the need of a strategy to sustain a compound annual growth rate (CAGR) in earnings per share of 15 percent per year. This paper aims to develop a three-year strategic plan for PEPSICO that can best ensure this growth through this decade. II. Objectives The paper’s objectives include designing of alternatives that may aid its development for a sound strategy in response to the issue through a quantitative analysis. The paper would also include an analysis of each alternative. From the generated alternatives, the paper would focus on one that would seem to best apply to the given circumstances. The paper also includes a potential problem analysis to aid in strengthening the strategy’s defenses and enables the company to predict and anticipate...
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...PepsiCo 2005 Case Analysis June 17, 2009 I. Definition of the Issue The PepsiCo-2005 case study has several issues revolving it. It has the internal issue that PepsiCo has not been able to consistently meet its growth goal of 15+ percent annual increase in earnings for the last 10 years. Its external issues consist of its products as reaching maturity stage industry wise and its divisions, except Frito-Lay North America (FLNA), fail to rank highest in its respective market segments. Division wise, the company holds a large share of each respective market, but over-all the company sustains a flat growth rate and fails to meet its growth goal. In respect to this, it can be seen that the real issue in this case is the need of a strategy to sustain a compound annual growth rate (CAGR) in earnings per share of 15 percent per year. This paper aims to develop a three-year strategic plan for PEPSICO that can best ensure this growth through this decade. II. Objectives The paper’s objectives include designing of alternatives that may aid its development for a sound strategy in response to the issue through a quantitative analysis. The paper would also include an analysis of each alternative. From the generated alternatives, the paper would focus on one that would seem to best apply to the given circumstances. The paper also includes a potential problem analysis to aid in strengthening the strategy’s defenses and enables the company to predict and anticipate...
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...Snapple, consumers ha 1 more choices between ready-to-drink beverages than ever before. By mid 1997, the New age market had undergone yet another shake-up. Pepsi stopped distributing fruit drinks from Ocean Spray and launched its own Fruit Works brand. Other new brands like Nantucket Nectars, a line of 100 percent juice drinks packaged in unique bottles, and Campbell Soup Co.'s V8 Splash, a carrot-based blend of fruit juices targeting younger consumers, were entering the marketed threatened to squeeze out even more market share from Snapple. To breathe life back into Snapple, Traiarc had to invest heavily in new product development and employ dynamic marketing strategies that would differentiate Snapple from competitors and recapture the attention of consumers. Triarc soon announced that it would apply the same marketing principles to Snapple that it used to turn around its successful Mistic beverage line: edgy advertising, strong distributor relationship, colorful labels and focused street sqles. The first set of Snapple ads under Triarc's direction featured Wendy's reappearance on a desert island and the on a desert island and the labels of several of Snapple's products fotured Wendy's face to symbolize the return of Snapple to its core values. Whipper Snapple. Perhaps the most innovative and important development to emerge out of Triarc's product development efforts was the Whipper Snapple, a ruit smoothie beverage introduced in the summer of 1998. Sweet Tea. Triarc also...
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...I. Case Title: PepsiCo 2005 Case Analysis Our Mission “Our mission is to be the world's premier consumer products company focused on convenient foods and beverages. We seek to produce financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.’ Our Vision "PepsiCo's responsibility is to continually improve all aspects of the world in which we operate – environment, social, economic – creating a better tomorrow than today." “Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making PepsiCo a truly sustainable company.” Performance with Purpose “At PepsiCo, we're committed to achieving business and financial success while leaving a positive imprint on society – delivering what we call Performance with Purpose. “ “Our approach to superior financial performance is straightforward – drive shareholder value. By addressing social and environmental issues, we also deliver on our purpose agenda, which consists of human, environmental, and talent sustainability.” PepsiCo: Products * Pepsi-Cola * Pepsi, Mountain Dew, Mug Root Beer, Sierra Mist, Slice, Aquafina, SOBE, Lipton… * Gatorade * Gatorade Thirst Quencher, Propel Fitness Water, Tiger Woods...
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...Coca-Cola Company A. Case Abstract Coca Cola (www.cocacola.com) is a comprehensive business policy and strategic management case that includes the company’s fiscal year-end December 2006 financial statements, competitor information and more. The case time setting is the year 2007. Sufficient internal and external data are provided to enable students to evaluate current strategies and recommend a three-year strategic plan for the company. Headquartered in Atlanta, Georgia, Coca Cola’s common stock is publicly-traded on the New York Stock Exchange under the ticker symbol KO. Coca Cola operates in over 200 nations around the world and sells carbonated and non carbonated beverages. Coca Cola’s line of non carbonated drinks includes: water, juice, and teas. The company has over 70,000 employees and is led by CEO Neville Isdell. The Coca-Cola Company’s (Coke’s) operating segments include 1) Africa, 2) East, South East Asia & Pacific Rim, 3) European Union, 4) Latin America, 5) North America, 6) North Asia, Eurasia, and the Middle East, and 7) bottling investments. Not all soft drink products/flavors of the company are available in all the operating groups. The Coca-Cola Company has two major rivals: PepsiCo and Cadbury Schweppes PLC. It’s interesting to note that PepsiCo has more that double the employees as Coca-Cola as listed in Exhibit 6. Groupe Danone competes to a lesser degree with C ...
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...* Problem Definition * Case Issue * Industry Analysis * Environmental Trends * Macro Factors * Competition and Competitors * Industry Trends * Customer Analysis * SWOT Analysis * Recommendations * Implementation Plan | 2334557881011 | EXECUTIVE SUMMARY: History: The company was started in 1783 in London as the world’s first soft drink maker. In 1880s Schweppes expanded worldwide and in 1960s the company diversified into food products. In 1969 Schweppes merged with Cadbury which was a cocoa making business started in England in the 1830s. Year | Acquisition | 1986 | Canada Dry soft drink brands | 1989 | Certain soft drink brands and purchased Gini brand of Belgium. | 1989 | Crush brand from Procter & Gamble for $220 million. | Cadbury Beverages, Inc., a beverage division of Cadbury Schweppes PLC acquired the Procter & Gamble brands namely Crush, Hires and Sun-drop in the year 1989. They had to re launch those brands into the market because those products were paced out by their competitors. This case especially deals with the Crush brand(an orange drink). Kim Feil who joined the division in 1989 as a Senior Product Manager for managing the re launch of Crush soft drink brand. There had been a lot of discussions regarding the crush brand. After making a thorough industry review, competitors positioning and the image which Crush has on its customers mind the senior marketing executives at Cadbury Beverages, Inc decided to focus initial...
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...Industry Analysis: Soft Drinks Barbara Murray (2006c) explained the soft drink industry by stating, “For years the story in the nonalcoholic sector centered on the power struggle between…Coke and Pepsi. But as the pop fight has topped out, the industry's giants have begun relying on new product flavors…and looking to noncarbonated beverages for growth.” In order to fully understand the soft drink industry, the following should be considered: the dominant economic factors, five competitive sources, industry trends, and the industry’s key factors. Based on the analyses of the industry, specific recommendations for competitors can then be created. Dominant Economic Factors Market size, growth rate and overall profitability are three economic indicators that can be used to evaluate the soft drink industry. The market size of this industry has been changing. Soft drink consumption has a market share of 46.8% within the non-alcoholic drink industry, illustrated in Table 1. Datamonitor (2005) also found that the total market value of soft drinks reached $307.2 billion in 2004 with a market value forecast of $367.1 billion in 2009. Further, the 2004 soft drink volume was 325,367.2 million liters (see Table 2). Clearly, the soft drink industry is lucrative with a potential for high profits, but there are several obstacles to overcome in order to capture the market share. The growth rate has been recently criticized due to the U.S. market saturation of soft drinks. Datamonitor...
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...Dayne Hopkins Mkt-251 Feb. 28th Cadbury Beverages, Inc 1. How would you characterize the carbonated soft drink in the United States? The carbonated soft drink in the U.S is the most popular drink of choice by a large margin. In America consumers drink more soda than tap water, at around 47 gallons per person every year and growing. It is not only the most popular but also a large part of the economy, as some of the biggest companies like Pepsico, Coca-Cola, and Dr Pepper/Seven-Up, who are a few of the majorly recognized companies in America, grow off of these sales 2. How would you describe the changes in the orange category during the period 1985 to 1989? What can be learned from these changes? At a glance the orange category seems to have grown in sales by around 20,000,000 cases sold, according to industry sales sold through supermarkets. Also according to market coverage of Orange Category competitors, Crush and Sunkist have decreased the amount of product put out and Mandarin orange slice, and Minute maid orange have both increased significantly by putting their products in markets where more orange drinks are sold. From what I can tell, the more dominant companies have taken over due to more resources and more money to advertise and move product around. 3. What is Cadbury Beverages relative competitive position in the US soft drink industry? In the orange category? In terms of top companies in the beverage world, Cadbury with 11 difference carbonated drinks...
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...acquired by its merger with Cadbury. Cadbury had generated a number of cash cows in its product range. Some in the chocolate business are Dairy milk, Bournville, Five star, Perk, Cadbury eclairs. In the biscuits segment it has launched Oreo in 2010 which is gaining market share at a fast pace crossing 100 crores in revenues. In beverages there is bournvita which again is one of the leaders in milk addittives. Halls as a mouth freshener as well as a remedy during cold is used across India. Due to its products, Mondelez is the leading name of chocolates across the world. Price - With quality comes price. As the quality of the products is high, and the beverages and Oreo requires constant marketing to be on top, the price of Mondelez products is also high in some cases, whereas in others it is very much reasonable. Products like perk, five star and eclairs give the taste of Cadbury even at lower price. Dairy milk is considered to be a premium brand of chocolates due to this positioning, but because of lower priced chocolates, it is also accepted across various target segments. Cadbury has many varieties of products in the chocolate segment and the pricing of each chocolate is different based on the type of customer who is going to buy it. However, in all these, the Dairy milk brand is the clear winner. Priced in high as well as low variants, the cadbury dairy milk has a position of gifting and hence is selling high volumes even at higher prices. The cadbury celebrations pack in fact...
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...BRAND MANAGEMENT Case No. 3 SNAPPLE: REVITALIZING A BRAND INTRODUCTION In the 1990s, Snapple Corporation was one of the leading “New Age” beverage brands when the category was just beginning to take off. With the combination of a unique product, package design, and quirky advertising, the company grew form a regional underground favorite toa nationally recognized brand. Snapple’s rise in the beverage industry was crowned in 1994, when the Quaker Oats Company purchased Snapple for $1.7 billion. Quaker expected to make Snapple a major player in the industry, as it had done with GAatorade. However, the company was unable to capitalize on the brand’s previous success. In 1997, Quaker sold Snapple to Triarc Beverage Group for $300 million. Triarc faced a number of challenges, including reversing the sales slide, revamping the distribution system, and creating new products that will enable growth. Most importantly, Triarc had to find a way to reconnect the brand with its consumers. Triarc successfully resurrected the Snapple brand, and in 2000 sold Snapple to Cadbury Schweppes for $1.45 billion. Cadbury Schweppes then faced the challenge of maintaining Snapple’s brand strength in an increasingly competitive beverage environment. THE EMERGENCE OF SNAPPLE The roots of Snapple Corporation date back to 1972 in Brooklyn, New York when brothers-in-law, Leonard Marsh and Hyman Golden, left their window-washing business and teamed up with Marsh’s childhoAod friend and health...
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...the period 1985-1989 - Orange category p.8 - Relation between market share & market coverage p.11 - Relation between market share & advertising share p.13 - Brands positioning p.15 III- Cadbury competitive position in the US - Swot analysis p.16 IV- Crush Positioning p.18 V- Crush advertising & promotion program - Objectives & strategies p.18 - Advertising budget p.19 - Crush advertising budget p.20 VI- Crush Pro forma Income statement p.20 VII- Conclusion p.21 Sides p.22 INTRODUCTION Cadbury Beverages, Inc. is a beverages-manufacturing division of Cadbury Schweppes PLC. It was created in 1969 by a merger of Schweppes PLC (1783, London, the first world’s soft drink maker) and Cadbury (1830, Birmingham, a major British confectionery manufacturer). In 1989, the Cadbury Schweppes PLC was one of the world’s largest multinational companies and the world’s third largest soft drink marketer (behind Coca-Cola and PepsiCo), with worldwide sales of $4.6 billion, performed in 110 countries. Beverages accounted for 60 percent of company sales and 53 percent of its operating income. Additionally, at that time, Cadbury Beverages, Inc. was the fourth biggest soft drink marketer in the US (behind Coca-Cola, PepsiCo, Dr.Pepper-7Up), with a carbonated soft drink market share of 3.4 percent, and the market leader in some specific soft drinks categories (see exhibit...
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