Buy the Product ‘Bonnebell’ Lipgloss

Now I am going to write about the Internet advert for ‘Bonnebell’ lipgloss. On the introduction page for Bonnebell it has some catchy phrases which flash from one to the next. They are the same type of style as the phrases which are written on the magazine advert e. g. I have power. This is what girls want to be told. On the web page for Bonnebell, you can find out about lip products, eye products and face products. You then press on one of the titles e. g. lip products and range of many different lipglosses comes up on the screen. You then click on one of them and it has a hyperlink.

So it takes you to a web page all about one of the lipglosses of your choice. It also gives you a lot of information about the product e. g. ‘Loaded with Vitamin E and aloe to hydrate dry, thirsty lips. ‘ Teenage girls are interested in their health and how to improve it so this is good to include information about how good it is for you. There are also fun games that you can play on; they would be for an age range of twelve to fourteen because they are quite childish games like quizzes on what type of person you are. ‘ Maybe you’re loud and centre of attention or laid back and a good listener’.

The web site has a similar content to a teenage magazine. There are three small pictures of different lipglosses (made by Bonnebell) at the bottom of the magazine advert for ‘Bonnebell’ lipgloss. I have decided to talk about one of the lipglosses webpages. All three are linked in with the magazine advert but they are all like one advert each. The three lipglosses are Flip Gloss shimmers, Lip Rush and Lip Burst. I have decided to write about the webpage advert for the product Lip Rush. It has a large picture of the product that slowly spins around this attract your attention.

You can see the two contrasting colours of the lipgloss liquid move as the funky case moves around. On the webpage there are eight outrageous flavours, with tasty names. These are Wildberry Wave, Jucie, Sugar, Ice, Splashberry, Lemonade and Watermelon. This makes you want to taste the flavours and it makes your tastebuds tingle with anticipation! There are also five phrases that make you want the Lipglosses even more, these are: ‘Give lips a surge of flavour and shine. ‘, ‘Clear gloss with a groovy glob of colour. ‘ ‘A tidal wave of flavour. ‘ ‘A rush sensational shine.

‘ ‘Available in 8 outrageous flavours. ‘ The phrase ‘A rush of sensational shine. ‘ makes you think you will look sexy wearing it as it has a shiny wet look. The background of the web page is white which makes the lipgloss and the flavour logos and the writing really stand out. It makes them look really clear and easy to read . As the picture of the lipglosses is the biggest item on the page it makes it stand out. The lipglosses look fun to have, because of the shape and colour of the container they don’t look tacky. As the lipgloss is clear it doesn’t look cheap.

It makes you look stylish and sophisticated, not childish. This is the type image that teenage girls want have, so this relates to the audience. The vocabulary in the magazine focuses mostly on what girls want to hear and how the advert relates to the audience profile. The Internet advert focuses on taste, touch and how the product looks. I feel that the advertisers have decided to use this approach because if you go onto the webpage you are more likely to want to find out about information on the product. Both adverts have the phrases about what girls want to hear.

I think this is a very clever using this technique because it relates to the audience profile. The advertisers base their advert on a certain audience. Then they constructed the advert by writing or getting someone to say a phrase that is related with a specific audience profile e. g. the old coca cola slogan ‘Eat, sleep football drink Coca-Cola. ‘ This was a very good slogan because around the world cup people did watch a lot of football so the Coca-Cola advert was played a lot so this promoted the drink and made it a very popular drink. People related football to Coca-Cola.

Advertisers use this method to sell their products. The advertisement companies are putting adverts that relate to television program’s in between television program’s that are related with the type of audience that will be watching. Another example of this is the new Pepsi advert, which cost millions to make but got back a lot more money. It features Britney Spears and was put on in the adverts between the superbowl. I feel that the ‘Bonnebell lip gloss’ advertisers are very sharp, they use sayings that teenage girls want to hear, this make us feel special and influences our decision to buy the product.

I feel that this particular advert has been a great success! During the time that I have been studying the two adverts for ‘Bonnebell lip gloss,’ I have discovered how and why advertisers use different methods to appeal their product. I have learnt many techniques on how to catch the reader’s eye and how to make a product more appealing. I now can see why there is so much competition between different advertising companies. The media is a large part of our lives so why not enjoy it!

Read more

Marketing Plan for Non-Alcoholic Beverage Industry

The main target market for Fresh’ products is the Brooklyn population. The company was founded in July 1956 with an aim of producing high quality non-alcoholic soft and hot rinks to its customers. The company has a strong asset base. Fresh Company is lead by a well-able management team that leads approximately 1200 employees. Fresh’s products will be brought to market mainly through the direct-store-delivery (DADS). The company will collaborate with bottlers and several distributors to maintain and operate a direct-store-delivery system.

This system will ensure that the Company’s products, that is, the snacks and beverages are delivered directly to retail stores. In a nutshell, the products will be merchandised by our employees and/or our bottlers. Direct-store-delivery will ensure that the company merchandise with maximum visibility and appeal. This will be especially well-suited to products that are usually restocked often or have a short lead time and respond to in-store promotion and merchandising. In addition, the company will also use and maintain a manual distribution center (MID) model.

This model will operate within densely populated areas like around large towns which include New York City and other large cities in will maintain the links between the local bottler who may provide technical support and credit to the Meds. The owners of manual distribution center will own the bottles and crates they use. The main target market for Fresh products is the Brooklyn population. However, the company also targets the whole of New York state population and the United States as a whole. New York State has over 19. 7 million residents which represent 5% of the total population in America.

The products are targeted to meet the tastes of differ type of consumer despite their age. However, the product major targets the young people in schools and colleges and also the general public. This population comes from all ethnics groups in the United States. The target consumers include both male and female in the population. The products will be differentiated and customized to meet varying needs of all the social classes in America. The beverages will also be packed in different sizes to meet different needs that is, ready to consume and take home.

The mission of the company is to provide our customers with delicious, affordable, convenient and complementary foods and beverages from wholesome breakfasts to healthy and fun daytime snacks and beverages to evening treats. The company is also committed to invest in the people and the communities where the operation is aimed to help sustainable growth. There has increase in competition for the global beverage industry. However, there are opportunities for business improvements due to several factors such as new emerging markets. This market is major containing two types of drinks that are soft drinks and hot drinks.

The major competitors in the global non-alcoholic drinks are Pepsi Company and Coca-Cola Company. These two companies have dominated the market for a long time and enjoy the world’s largest market share. Sales of the beverages products are seasonal. The sales are on the peak during the warm months and lowest during the cold seasons. There are varying consumer preferences in this market and therefore they drive product diversification. Coca Cola and Pepsi Company has very strong brands in the market that are very known and preferred by consumers.

On one hand, Pepsi soft drink brands which major include Pepsi and Mountain Dew which are the major drinks but Coca products are not the company’s only drinks. Pepsi Company also sells Fruit Juice like Tropical Orange Juice, Storage sport drink, tea, and water. Besides these strong brands by Pepsi Company Coca Cola s the major brand name with a variety of product line like Coca Cola, Fauna, and Sprite among others. The major barriers to entry in this market are due to strong market competition from these two companies and health regulations of the products.

These two companies among others offer direct competition to the Fresh Company products. In addition, there is also other form of direct competition from other companies. This will be major depending on the consumer’s behaviors and their taste and preferences. Hot drinks beverages companies like coffee and tea outlets act as a substitute for our products. Companies like Lily that produce Espresso which is a major competitor in the coffee industry will offer significant competition to our hot drink products.

However, besides the existence of strong competitors our marketing plans and strategies will offer an opportunity to thrive in this competitive market. To begin with, the company will introduce the energy drink product line. The energy drink, Fresh Storage, will obtain a significant market share due to less in mind that this sector is rapidly growing through out the world. This offers a great opportunity for rapid growth for the energy drink line. The company will use aggressive advertisement and promotion to reach to its target customers.

The company will used several channels including print media, TV Billboards, Social Media Advertisement among others. The company will use the five If’s strategy to take its information to its customers; I. Functions. The company will produce high quality beverages that will meet the customers’ expectations. The energy drink will boost the athlete’s performance in their sports. Other products will ensure our customers are always refreshed. It. Finances. The company will offer affordable products to all our customers. In addition, our products will contribute positively to the productivity of our consumers once they take their drinks.

For example, our energy drinks will enhance the performance of the athletes. Iii. Freedom. The product will be available in the stores next door. Our customers will have the freedom to purchase our product any time of the day that is convenient to them. ‘v. Feelings. The company will offer respectable brands for all our customers. The company will also employ respectable personnel with good customer service and relation. V. Future. Our products will enhance the customers’ productivity in the future. The company will produce high quality drinks that will boost productivity of the consumers and therefore a productive future.

The marketing vehicles of the company will help us to implement our marketing strategies and plans. The company will advertise its product using several channels. To begin with the company will use social media. The marketing team will create a Faceable page where several adverts will be placed. An Instating account will also be opened to share pictures of our customers enjoying our drinks. Other social media channel will include Twitter and Linked. The use of social media is a current trend on advertising and companies like Pepsi has been successful in using this channel.

Read more

The Failure of Orangina in the US Beverage Market

Orangina is a carbonated citrus beverage usually made from orange, lemon and mandarin juice. The product originates strongly from France, and is marketed and distributed in US by Dr Pepper Snapple Group. Orangina is produced by a French Firm, Pernod Ricard SA. The brand started as Naranjina being presented in the 1936 Marseille Trade Affair, in Algeria, by its Spanish inventor, Dr. Trigo (Dr Pepper Snapple). The astounding market penetration of the product and its market leadership in France is an issue that rival firms like Coca cola and PepsiCo have been envious about. Entry to the US market

Orangina’s entry into the US market has not been too smooth. The brand was first introduced in the US market in 1978 under the brand name “Orelia” a brand name that was dropped in 1985 for Orangina. . The expected huge reception was not the case. This probably was related to Coca cola’s market dominance. The competitiveness of Coca-cola in the US market is one reason for the failure by Orangina to launch. It is evident that Coca cola possesses a huge market share in US. The social responsibility of setting up a plant in a foreign market is one contributor to achieving market share.

In this case, a plant will offer employment opportunities to the locals, social responsibility aspects like improving infrastructure and contributing to the GDP of the local market. This is the undoing of exporting Orangina products rather than opening a plant. Coca-cola is known for extensively helping the people of Atlanta through scholarships, hotlines, donations and contributions. The following are some of the reasons why the brand failed to launch in the US market. Beverage Competition The US is a traditional favorite of Coca-cola and PepsiCo dominance. The two companies have a well grounded distribution channel.

Given the local production of Coca-cola and PepsiCo in US, the disadvantage of Orangina is its inability to have a local bottling plant in US until recently (Monberg, 48). The disadvantage made the beverage to be labeled a foreign product. Consumers, especially in the food and beverages industry, are sensitive when it comes to patriotism in product consumption. Orangina was a casualty to this. The operation of Dr Pepper Snapple which bottles, markets and distributes Orangina among other brands is secluded to some parts of North America. Another factor that led to the failure of Orangina is consumer habits.

This brand was specifically developed to appease the French cultural identity. Coca-cola has numerously launched a bid to purchase Orangina in France. While Coca-cola investors see this as a move to increase foreign investment, French authorities on the other hand see this as the global leader’s arrogance of market Coca-cola-nizing the global soft drink market (Monberg, 47). The long stretching tussles of Coca-cola versus Orangina take over bids which have been in the mainstream media headlines have hurt the launching of Orangina in the US market in the last close to one and a half decade (Monberg, 52).

The speculative plans of buying Orangina by the US based soft drink manufacture has seen the media look for any clue that can scandalize the interests of the two companies. This is a constituent of failure to launch of Orangina in the US market. The suspicion has moved from a mere foreign merger or acquisition to political battles and economic supremacy battles that the cast is the state agents and not the management of the respective companies (Monberg, 48). The global spectacular events like World War II have also contributed to the brand Orangina failure in the US market.

The innovative filming of Orangina brand is seen as French’s move of extending alienation to American market that has a strong desire to preserve cultural identity (Monberg, 48). Media marketing communication strategy In France, the success of Orangina is associated with innovative and resounding advertisements. For instance, the animal magnetism ad that runs for 60 seconds using the concept of ‘Pulpeuse’ which is French possesses two meanings ‘containing pulp’ and ‘sexy’ or ‘voluptuous’ (Talking Retail).

The Orangina Company is acknowledged for shooting iconic ads in France but the same has not been received in the US. The shaking of the bottle media message to allow the flavor to mix is a unique message that Orangina has been using in the international market. For instance, in the US, given that the culture of shaking the bottle is a French culture, the emphasis is shaking the bottle longer to pass the concept (Kapferer, 472). In international marketing, the phenomena Orangina is well known, however, the filming of media ads sought to have localized market situations to sound appealing.

This is one reason that Orangina overlooked and cost the brand the ability to capture the US market as expected (Kapferer, 473). The success of iconic ads in France ought never to be assumed to have the same impact in the US market. The international marketing criterion of transferring the same ads across the border is the undoing of Orangina in the US market. The cultures of the US and that of France are significantly different. This makes exporting marketing campaign or using the same ad across the border counteractive for Orangina in the US market.

It could be better if localized (Kapferer, 472). Orangina has been prominent in creating controversial ads that some considered carrying suggestive imagination. In this, consumers accuse the company of intentional move of creating controversy that would place the product on the limelight thus enjoying huge publicity. Orangina’s rival, Coca-cola, is a well known brand locally in the US and globally. Ads slogans like ‘Always Coca Cola’ and ‘Satisfaction within Arm’s Reach’ have a magnificent US acceptance in households placing Orangina at a market disadvantage (Monberg, 47).

Another significant contributor to failure of Orangina to launch is the difference in perception of media ideology. The French understand that media is a channel through which people build up and articulate their identity. However, the US regulates the media mainly as an economic product. The difference in Media regimes of the two countries thus contributed to Orangina’s failure in the US market (Monberg, 48). Moreover, French and United States have different media ideology. For instance, in the US, the access to media by individuals is determined by market forces.

However, in France, both rhetoric and government actions have a national duty and mission of driving the government agenda on the media (Monberg, 51). It is under this basis that Orangina could have been caught up as execution of marketing communication campaign making the confusion hurt the delivery of the message. French restriction of media like internet versus the universal accessibility of the media in the US is probably responsible for Orangina’s failure (Kapferer, 473). Cultural incompatibility

The cultural incompatibility of the US and France is another reason for failure to take off of Orangina in the US market. For the French, Orangina is a cultural identity being the only French carbonated drink that has an international market presence (Kapferer, 472). The idiosyncratic shape of the bottle, the artistic detail of the textured surface, the bit of squash in the beverage and the distinguished markers of French taste and sophistication represents a huge cultural sign of the French, and actively controlled by the government (Monberg, 47).

However, despite the huge market acceptance of the product in France, the product received a poor market reception in the US. Not even changing the flavor of the product could change the image and the perception of Orangina in the US market. In the eyes of Americans, Orangina is a simply a beverage, a soft drink and a product whose significance and value should be set by the market and not actively controlled by the government. Conclusion The failure of Orangina in the US market is a culmination of many factors that have worked against the brand.

For instance, the ever present speculation of acquisition of Orangina by Coca-cola and the rebuffing of the French government has done harm to Orangina’s market share in the US. The involvement of French government in controlling Orangina’s meaning and value in the market is a thing that Americans believe the market forces should be allowed to decide for the brand instead of active participation by the government. Moreover, cultural incompatibility between the French and Americans in marketing communication is another significant contributor.

Ideally, the brand has failed to launch due to its inability to shed the foreign tag that it strongly holds. Finally, Orangina is a strong brand whose global presence may increase should the highlighted issues that have contributed to it failure to launch be addressed universally. Works Cited Dr Pepper Snapple, Orangina 2008. 20 June 2009 <http://www. drpeppersnapplegroup. com/brands/orangina/ > Kapferer J. N The New Strategic Brand Management: Creating and sustaining brand equity long term, London: Kogan Page, 2008

Monberg J, “Cultural Identity in an Era of Globalization: Contrasting State Media Policies in the US and France”, Intercultural Communication Studies X: 2 (2000). 47-54 2000. 20 June 2009 < http://www. uri. edu/iaics/content/2000v10n2/04%20John%20Monberg. pdf > “Orangina launch new advert packed with animal magnetism” Talking Retail 4 Aug 2008. 20 June 2009 < http://www. talkingretail. com/products/product-news/10355-orangina-launch-new-advert-packed-with-animal-magnetism. html >

Read more

QVC Company Case Study

How did QVC grow into a successful company? QVC is always looking for ways to build on their success, attract new viewers, and make the QVC experience even better for longtime customers. Although QVC is one of the largest electronic retailers in the U. S. , there is still a lot of room to grow. QVC began as a television home shopping channel and has expanded to include other electronic retailing avenues including the worldwide web, QVC.

According to Jupiter Research, online business-to-consumer (B2C) retail revenues in the United States will continue to grow by a compound annual growth rate of 12% through 2010 to an estimated $144 billion. The mainstreaming of the Internet into the general population is fueling the growth in online shopping among many demographic groups and for many types of products and services. QVC also is committed to superior customer service; customers can have their questions answered by in-house service representatives with an average of seven years of QVC experience.

QVC has managed to achieve a customer satisfaction rating of 95 percent through this system of customer relations management. It is obvious that QVC is consistently proactive and continues to identify opportunities and well as threats in the external market. QVC utilizes resources and expands its capabilities thru acquisitions, partnerships and the deployment of aggressive marketing campaigns. QVC used the economic downturn as an opportunity to build a stronger, leaner, more financially sound and technology-rich company for the long-term. What strategy did QVC use, and how did it support this strategy?

QVC by their strategic objectives: Pursue a leading position, Achieve efficiency in operations, Search for profitable products, Expand the customer base, Position for future growth. QVC is always looking for ways to build on their success, attract new viewers, and make the QVC experience even better for longtime customers. At QVC, their focus is on quality products that surprise and delight and the buying staff searches the world for quality products. Each product must live up to viewers’ expectations of high standards by being unique, innovative, and an exceptional value.

Hundreds of thousands of new products are evaluated each year, but only a fraction become QVC items. They look for the freshest products and ideas, and enhance their on-air and online programming by making it more engaging and more interactive. What challenges does QVC face? How has it confronted them so far? Because the Web greatly enhances the users’ ability to search for products, the point of competition for QVC is the functionality of its website as it relates to the customers’ shopping experience in the online marketplace and the security of the purchase.

Understanding the online customer experience is critically important for managers to formulate a better marketing strategy and to design a more functional Web site that meets customers’ needs. What is QVC’s approach to strategic management? QVC strategies include innovation and growth with regular technological developments and aggressive marketing campaigns that keeps them in mind’s eye of the public. QVC has maintained their vision of quality, value and convenience throughout every aspect of their operation.

Read more

Coca Cola Brand Building Strategy

Table of contents

Introduction

Coca-Cola is a carbonated soft drink sold in stores, restaurants and vending machines internationally. The Coca-Cola Company claims that the beverage is sold in more than 200 countries. It is produced by The Coca-Cola Company in Atlanta, Georgia, and is often referred to simply as Coke or (in European and American countries) as cola, pop, or in some parts of the U. S. , soda.

Originally intended as a patent medicine when it was invented in the late 19th century by John Pemberton, Coca-Cola was bought out by businessman As a Griggs Candler, whose marketing tactics led Coke to its dominance of the world soft-drink market throughout the 20th century. The company produces concentrate, which is then sold to licensed Coca-Cola bottlers throughout the world. The Coca-Cola Company has, on occasion, introduced other cola drinks under the Coke brand name.

The most common of these is Diet Coke, with others including Caffeine-Free Coca-Cola, Diet Coke Caffeine-Free, Coca-Cola Cherry, Coca-Cola Zero, Coca-Cola Vanilla, and special editions with lemon, lime or coffee. Brand building strategy -: Brand development strategy of Coca Cola has been far reaching and has managed to remain in the limelight ever since it became a favorite with the non alcoholic drinkers. It has been noticed that brand loyalty is an important factor in maintaining the number one position.

Founded in the year 1886, the Coca Cola company enjoys the status of being one of the biggest non alcoholic beverage companies of the world. It has a distribution system, which makes it unique from the rest of the non alcoholic beverage manufacturers. Over the years, Coca Cola has passed several tests of brand enhancement and the company makes it a point that the products under the banner Coca Cola continue to invade the minds of the consumers. The brand development strategy of Coca Cola comprised redesigning of its brand development policies and techniques to keep up with the changing mindset of its consumers.

Earlier, this brand believed in the following:

  • Afford ability
  • Availability
  • Acceptability

However, this brand development strategy of Coca Cola was re worked to stress on the following instead:

  • Price value
  • Preference
  • “Pervasive penetration”.

The essence of brand building of the company lies in the fact that it wants its consumers accessibility to be “within an arm’s reach of desire”. In an attempt to build its brand identity, as many as 20 brand attributes are tested every month involving as many as 4000 customers.

The brand development strategy of Coca Cola is effective as it has been able to construct, manage As well as maintain its brand image. Another reason why this brand has gained unanimous acceptance all around the globe is due to the fact that it has been able to connect very well with its consumers. This implies brand loyalty. Brand loyalty has been instrumental in keeping up the brand image of Coca Cola. It believes in shelling out the best so that the consumers are retained by default. A part of the brand building technique is also to enhance “purchase frequency”.

The company has also invested in various advertisement campaigns often engaging the services of celebrities around the globe. In addition to the consumers, there is another category of consumers, who increase the consumer base and they constitute the collectors of the brand. The collectors usually indulge in collecting old as well as upcoming logos of Coca Cola, bottles and literary matter. With regard to the brand development of Coca Cola Zero, the company came out with an advertisement, which was quite different from the conventional ones.

In this regard, (no calorie beverage), it has shelled out three types of products. There are few experts who believe that when Coca Cola had the tag line of “The Real Thing”, it was really that but with the invention of various categories of coke, the “real thing” changes to “many things”, and the original flavor is usually lost. Hence, the brand building strategies should be such that it does not confuse people and is able to retain consumers despite the fact that several new non alcoholic beverage firms are on the anvil. The Power of Brand Accessibility

If you were another soft drink company, you might define your competitive frame of reference as the cola market or the soft drink market or even the beverage market. But Coke thinks of its business and its market share in terms of “share of human liquid consumption. ”  This makes water a competitor. In fact, a Coke executive has said that he won’t be satisfied until “there is a Coca-Cola faucet in every home. ”  Coca-Cola’s mantra is “within an arm’s reach of desire. ” One Final Coca-Cola Fact A recent Coca-Cola annual report reported that the second most recognized expression in the world after “ok? ” is “Coca-Cola. Brand Equity-: “The brand assets (or liabilities) linked to a brands name and symbol that add from a service. ” Brand equity is difficult to measure because much of it depends on consumers’ perception and opinions of a brand. When a product has high brand equity they are successful at retaining their current customers by keeping them satisfied with the quality of products and service. They are also successful at attracting new customers who have heard of the brand through successful marketing or word of mouth. Coca-Cola’s brand equity is difficult to measure because they have extended their brand to include numerous products.

In addition to the numerous of versions of Coca-Cola worldwide that compete against other beverage brands, Coca-Cola competes with itself. Nationally there are numerous versions / brands that are a part of the Coca-Cola family. Some of the brands include Coca-Cola Classic, Dasani Water, Full Throttle, Fanta, and Soy Products. In addition to competing against itself the Coca-Cola Company has saturated the market and consumers who may dislike one product may actually enjoy a different Coca-Cola product. However, the consumer may be unaware that the beverage is actually in the Coca-Cola family.

As a result measuring brand equity may be difficult as consumers may be loyal and repeat customers of a brand and not know its origin. Coca Cola was taking its core product, Coke, and expanding the product in new form factors and new overseas markets. The brand promise stayed the same whether it was sold in a Coke store in New York or a road side stand in Mongolia – refreshment, good times, and pure Americana. Despite the numerous brands and the difficulty in measuring brand equity it is evident that Coca-Cola has high brand equity.

They are a company who has been in business for many years they have gained the business of consumers in the soda market as well as numerous other beverage markets nationally and internationally. Their sales and growth show that they are a successful company Brand identity the brand identity is the audio-visual ‘face’ of the brand – the cues that tell you that you are are in the right place. The brand definition is the formal description of what the brand stands for within different description categories – its personality, its values, its stories, its emotional benefits etc..

The brand proposition is the ‘deal’ the brand is offering you at any given moment the coca-cola comp. has long been recognised as an organisation with significant brand equity with over four four hundread brands available in virtually every nook and crany of the world . the flag ship brand of coca cola has stood the rest of the time over 120 years. Infact coca-cola alone is recognized as the most valuable in the world by the respected inter brand corportionvalued at above US $ 67 billion , the coca-cola brand (coke)has become effectively become a part of modern world culture. hough its advertising campaign has changed over the years,coca-cola “THE REAL TASTE” has always stood for a”REAL” COLA DRINK with authenticity . the identity has been build by an decade with consistent values and diferentiated elements. Many competitors have aim at cokes but the brand continues to command a number one position globaly in ranking of brand equity. After all If u stand for the real thing every competitor is an imitator. the Coca-Cola bottle design differentiated the identity, the easier it is to protect from infringement. Just coca cols has remained to its time tested identity u have the equallly relivant to you.

This brand identity should reflect your own unique equity and care essence this will ensure your brand creativity and identity that is meaning ful and sustainable in long term. Brand image- “A unique set of associations in the mind of customers concerning what a brand stands for and the implied promises the brand makes. ” There could be hardly any person around the world that hasn’t heard the name Coca Cola. Ever since it beginning as world’s leading name in cold drinks, Coca Cola has created a strong brand image irrespective of age, sex and geographical locations.

Millions of people around the world are consuming cold drinks or soft drinks as part of their daily meal. Coca Cola, ever since its inception has been the leader in soft drink market. Brand image is the significant factor affecting Coke’s sale. Coca-Cola’s brand name is very well known all over the world. Packaging changes have also affected sales and industry positioning, but in general, the public has tended not to be affected by new products. Coca-Cola’s bottling system also allows the company to take advantage of infinite growth opportunities around the world.

This strategy gives Coke the opportunity to service a large geographic, diverse, area. Brand loyalty Brand loyalty is a central construct to marketing. Keeping the consumer satisfied, and loyal enough to frequently purchase just one brand, is more difficult in today’s marketplace than ever before. But today, major brands are experiencing heightened brand loyalty due to the growing popularity of the brand as a collectible. A recent Coca-Cola annual report reported that the second most recognized expression in the world after “ok? ” is “Coca-Cola. ”

Brand Personality identity is understood as the set of human characteristics associated with a brand. The brand image building strategy implies the definition of a brand personality and a user personality. Have you ever thought about your personal brand? Brand personalities that  Are well-known,  offer something different to the world than they do in terms of products and services ‘Coca-Cola’s’ brand personality reflects the positioning of its brand. The process of positioning a brand or product is a complex managerial task and must be done over time using all the elements of the marketing mix.

Positioning is in the mind of the consumer and can be described as how the product is considered by that consumer. When researching the positioning of a product, consumers are often asked how they would describe that product if it were a person. The purpose of this is to develop a character statement. This can ensure that consumers have a clear view of the brand values that make up the brand personality, just like the values and beliefs that make up a person. Many people see ‘Coca-Cola’ as a part of their daily life. This imilarity between the brand and the consumer leads to a high degree of loyalty and makes the purchasing decision easier Brand Positioning:- The location of a brand in relation to its competitors in some pre-defined space. The space may be defined by criteria used by consumers, such as “value for money” or “age of consumer” etc. ”  main factors that go into defining a brand position.  Brand Attributes What the brand delivers through features and benefits to consumers.  Consumer Expectations What consumers expect to receive from the brand.  Competitor attributes

What the other brands in the market offer through features and benefits to consumers. An easily quantifiable factor – Your prices vs. your competitors’ prices. The perceived quality and value of your brand in consumer’s minds (i. e. , does your brand offer the cheap solution, the good value for the money solution, the high-end, high-price tag solution, etc.? ) The Coca-Cola Company produce a range of beverages suited to different ages, stages, lifestyles and occasions. This includes soft drinks, diet drinks, juices and juice drinks, waters, energy drinks, sports drinks and cordials.

As part of a healthy, varied and balanced diet and an active lifestyle, all products can be enjoyed by the majority of people. It is committed to helping customers select the product that is best suited to their needs through the provision of detailed product information supported by general advice on healthy eating, drinking and lifestyles. It understands that balancing energy intake with energy output is key to a healthy body weight. We therefore provide choice through range of low or no-kilojoule products that are ideally suited to the needs of people who wish to reduce energy intake through beverage selection.

Such products are readily available at a similar cost to an equivalent higher energy product. As one of the largest producers and marketers of non-alcoholic beverages we promote physical activity through our active lifestyles programme and sponsorship of sport. Through new product development we will continue to release a range of new types of drinks, including low or no kilojoule products as we look at ways in which to cater to those people who wish to reduce energy intake through selection of lower energy beverages.

Children and the role of our beverages Coca cola respect and support the primary role that parents play in decisions affecting the lives of young children, including choices about diet and lifestyle. Beverage choice, like food selection, is a role for parents and we assist them in this through the provision of nutrition information and by making available a wide range of products suitable for all ages, stages and occasions. Coca-Cola’s longstanding global policy ensures we do not directly market our products to children under the age of twelve.

Our brands are not advertised during children’s television times and we do not show children under 12 in advertising or promotional materials drinking our products outside of the presence of an adult. Our sampling events are directed to people over the age of 12. In the small number of schools where we provide vending machines we work with the school to provide a range of beverages, and ensure that lower energy products are priced attractively and the packaging is in a single serve size. Guidelines have been established to oversee the manner in which we work with schools and their tuck shops.

It is company practice to sell diet drinks and sugar-free alternatives at a similar price to regular carbonated soft drinks. Retailers offering ‘specials’ are encouraged to include both the regular and diet versions of our soft drinks. Through new product development it aim to develop more products that meet the unique needs of children and will work with nutrition experts as we do this. For healthy active and growing children, beverages higher in energy can be enjoyed as part of a balanced and varied diet.

However, we also provide a range of low or no-kilojoule products also suitable for children. Supporting sport and physical activity Globally, The Coca-Cola Company has a long history of supporting sport and activity. have been a major Olympic Games sponsor since 1928 and also sponsor major international sporting events. Coca-Cola has been an All Black sponsor for the past decade and has also supported provincial netball and rugby. At a grassroots level, Coca-Cola has formed a partnership with the National Association of OSCAR (Out of School Care and Recreation) to develop and implement a national physical activity programme available to 75,000 young New Zealanders. In South Auckland, the Get Moving programme is working to encourage children to participate in local sports and recreation courses. The Pump water brand is now a major sponsor of the Heart Foundation’s Jump Rope for Heart programme that runs in schools across New Zealand and through the Powerade sports drink brand, we support numerous sporting events around the country.

All products of The Coca-Cola Company provide clear nutrition information in compliance with international regulations. Packaging Coca-Cola is committed to strict environmental guidelines, and to ensuring our packaging has as little impact as possible on the environment. To this end, a recycling project was introduced in New Zealand during 2001 which ensures our PET bottles contain an average of 10% recycled material. Information Programmes Coca cola’s consumer contact centre provides around the clock access to information about the companies.

It is company practice to sell diet drinks and sugar-free soft drink alternatives at a similar price to regular carbonated soft drinks. Similarly, any competitions or promotions of Coca-Cola can be entered by our consumers who purchase diet Coke. Although at the discretion of retailers, special offers and reduced prices on soft drinks are usually available for both the regular and diet versions of our soft drinks Brand extension : Brand extension or brand stretching is a marketing strategy in which a firm marketing a product with a well-developed image uses the same brand name in a different product category. Organizations use this strategy to increase and leverage brand equity (definition: the net worth and long-term sustainability just from the renowned name)

Conclusion

The progress and advancement in the field of technology in the fields of soft drink raw material, production, manufacturing, information and communication technology and logistics have great positive impacts on the operations and sales of Coca-Cola.

The availability of new soft drink ingredients enables Coca-Cola to introduce new variety of its products to its existing consumers, not forgetting to attract the new consumer groups. The use of the latest information technology has made able the company to attract the new generation of soft drink consumers with the latest features of song downloading. Also the existence of company website has enabled the world to be in touch with the latest progress, promotions and offers of Coca-Cola.

Read more

Major Challenge of PepsiCo

Table of contents

The lifestyle changing fact

Nowadays, since the lifestyle has changed, it influences the concept of eating habits. A market statistics research on healthy food & beverage in America showed that there are 61% of Americans have visited at least a natural foods store in 2012. From this market research, we can see that a majority of people care about their health. Keeping fitness and healthier is the things that people mostly concern about. So, due to the changes of lifestyle, these trend isn’t good for the industry of soft drink companies such as PepsiCo. People tend to drink and eat beverage and food that contained more nutritional value inside.

The new challenge of PepsiCo – Yogurt drinks

As the fact mentioned above, consumers like to change their eating habits into a healthier way. In this point, the new challenge raised up to face against PepsiCo and other sweetened soft drink companies in the market. Yogurt drinks are marked as the beneficial digestive beverage that keeps our digestive system clean.

The opportunity in Yogurt drinks

From the marketing research, Americans consume lesser yogurt than Europeans. This is an opportunity and room for growth toward PepsiCo. They forecast there will have a growth with slower 5.9 percent average rate for the next five-year time. The growing rate is double the overall expected growth of packaged food.

The joint venture between PepsiCo and Germany’s

Theo Muller Group To maintain its brands and statue in the market, PepsiCo are trying out something new in other related products like Yogurt drinks. In 2013, PepsiCo has partnered with a stalwart of the European dairy industry named Germany’s Theo Muller Group. Theo Muller Group is a multinational organization that producing mostly focus on yogurt drinks.

Yogurt plant investment in Western NY

In order to make yogurt products, PepsiCo has invested a 350,000-square-foot plant near Batavia. It is believed that it will boost the local dairy farm economy and help the companies earn profit in the future.

Broad strategic plan implementation

PepsiCo is facing a challenge that its stated profit target wasn’t reached this few years. Indra Nooyi has laid out a broad strategic plan to overcome the challenge. The strategy is about to cut a number of jobs in the organization in order to save the manufacture costs. They are stating the new cost-cutting plan in 2014 throughout around 30 countries. The costs saved down will be spending on advertising and marketing aspects. They endeavour to increase the stakeholders’ value within five-year time.

The strategies and actions taken in PepsiCo

Indra Nooyi realizes the challenges are becoming bigger. Initially, when PepsiCo started their business, they produced and designed its “fun-for-you” products which are Frito and Mountain Dew for consumers. However, since the lifestyle has changed, PepsiCo are trying to change their strategy to emphasize nutritious by producing some “good-for-you” products. Therefore, the company made some changes in their previous corporate strategy of business. Even though the market has changed, they never gave up.

They remained using their diversification strategy to put attention in other related nutritious products. Although PepsiCo has a majority of market share in this market, but it failed to hit the stated profit targets in PepsiCo. For examples, Quaker and Gatorade which are the oatmeal and sports drinks can help to gain profits and create more market share because these products correspond the demand of consumers in the future. Other than that, yogurt market is also included in the related diversification strategy. PepsiCo is trying to provide a range product-line that conclude meals, snacks and desserts to satisfy consumers’ needs.

Read more

Sports Drinks Industry Analysis

Table of contents

Executive Summary

We have noticed an increasing number of businesses catering to the recent rise of a new target market: the health-conscious consumer. At Nike, our goal has always been to give consumers what they want now, as well as to anticipate their future tastes, and to thus tailor our strategy to accommodate those tastes. We have recognized an unfilled market potential in the non-carbonated energizing sports drink arena, thus developing an entirely new product category. Our branding strategy is to enter the market by carving a new niche of protein-enriched energizing sports drinks.

Our objective is to educate consumers about the new drink, as well as to make a profit and gain market share in the industry. We hope that by being market leaders, our name will become synonymous with the new drink category, and will aid in our sustaining a competitive advantage over the copy-cats that are sure to flock the market after the new products’ introduction and subsequent success. Our primary target market is 18-34 year old females who will use our sports drink whenever they needed a boost: at work, in the gym, or just when they felt like it.

The secondary target market is 18-34 year old males who fall into much the same socio-cultural and economic category as the primary target market. The Nike Motion energy drink will be positioned as a high-end item, costing $2 per environmentally-friendly can. It will come in a variety of fruit flavors and will boast the replenishment of electrolytes and other essential vitamins and minerals. We hope that high-frequency mass market penetration using multi-media advertisements will spread the word and raise awareness about Nike Motion. National distribution will follow in supermarkets, pharmacies, health food stores, and gourmet retailers.

The Nike brand name, accompanied by its strong brand image, will differentiate the product and maintain its popularity via the market leader and differentiation strategy the company has chosen. [2. 0] Environmental Analysis Economic Trends: The X and Y generations, our target markets, comprise about 110 million people of the United States population. They are, generally speaking, well-educated, and earn relatively higher incomes, thus allowing for much of their disposable income to be spent on health-oriented products, such as the new beverage we are planning to launch, Nike Motion.

Neither positive, nor negative economic trends, such as changes in interest rates, inflation, DGP, etc. are not likely to have a significant impact on our product, since it’s not a high priced luxury item whose demand would be affected by theses factors. The quality of sports drinks consumed doesn’t really depend on the income of the consumers, since these are relatively inexpensive, everyday products. As a general trend however it is worth mentioning that the economy as a whole is growing in the United States as well as in other parts of the world, allowing for an ever increasing standard of living.

Cultural and Demographic Trends

Socio-culturally, our target market is health-conscious and youth-oriented. The individuals comprising our target market of 18-34 year old men and women, are generally perceived as individualistic, with a focus on making healthy decisions via food choices (salad bars and the organics market have boomed), and exercise (from going on athletics-oriented vacations, to spending lunch hours in the gym). There is also a change in the lifestyle of Americans, and people around the world: fast paced, always on the go, eating out and socializing more.

These people rarely have the time to cook at home, decreasing the regularity of consuming healthy meals. One of the best alternatives of getting the needed vitamins and nutrition is via healthy beverages, such as Nike Motion. The U. S. population’s general aversion to high calorie, high sugar, and high carbohydrate beverages will likely be beneficial to our new product. Demographically, a traditional family structure is becoming less typical, with an increasing number of couples co-habitating without being married, lower birth-rates, and a greater concentration on health and weight maintenance.

As a result of these trends, consumption of youth-oriented products has grown as people strive to be in good shape. The Nike Motion energizing sports drink will provide the energy these people need to accomplish their objectives. Ethnic trends are likewise changing, with baby boomers retiring, and an increasing young Latino population emerging, along with an influx of Asians. The Hipic population, becoming the largest minority segment in 2002, has grown 70 percent over the past decade to approximately 37 million (14. 1 percent of the U. S. population). These youths lead fast-paced lifestyles, frequently juggling school, work, and personal lives. For the younger generation, regardless of ethnic background, feeling tired is not an option. The popularity of the sports and energy drinks has proven this fact. We at Nike thus believe that Nike Motion will be a tremendous success, appealing to a health-conscious population with our alluring natural ingredients, while simultaneously satisfying the increasing need for energizing products. Political and Legal Environment: The political environment could have a significant effect on us if we were to market Nike Motion in foreign countries.

Constant changes in exchange rates and political systems are important to keep in mind. As to the legal environment, each and every firm operates in nations of laws and rules that have to be obeyed. Coca Cola recently got into trouble due to an advertising message in which they, allegedly, portrayed Gatorade in an unfavorable light. The case was settled outside of court, but has cost millions of dollars for Coke. 2 Physical Environment and Technological Trends: The current physical environment, especially in metropolitan areas such as large cities, is very much conducive to the use of our product.

Available in a large number of various retailers, our goal is to be the Starbucks of sports drinks – on every corner, there when you need it. Retailers stocking our product will be dispersed throughout the city, with a significant concentration in areas of business and entertainment (for example, in the downtown financial district, as well as near the Broadway theaters), as well as near learning centers and gyms. We want to make sure that Nike Motion is widely distributed and readily available, both to impulse shoppers, as well as for the more traditional type of buyer.

Changes in technology may lower entry barriers and create new product processes. To enter the sports drink industry, large capital investments are required for production facilities, marketing, and etcetera. Technological changes, such as the internet, can create additional possibilities for promotion, via viral campaigns via the internet and emails that are so popular with our target market. Global Trends: Due to advances in technology and communication, we can safely say that the world has never been as united as it is currently.

The internet, along with television, and to a lesser degree, radio, have served as outlets for disseminating cultural views, and incorporating adaptations of traditional ethnic ideas and beliefs into the mainstream, both within a country and internationally. Products ranging from clothing to music to the culinary arts have become widely accepted. We feel that sports drinks fall into this global category as well. From Europe to Latin America to the United States, lifestyles are becoming faster-paced (though to varying degrees) and are influencing the demand for products that will accommodate such consumer choices. In the last year alone, sales of sports drinks have increased by 10%.

Mission Statement

Nike’s mission states: “If you have a body, you are an athlete. ” Nike Motion, the new protein infused energy drink brought to you by Nike, targets the athlete in us all, whether you are on the track or on the couch, by providing hydration and energy with essential vitamins, minerals, and exotic herbs, proven to enhance performance, raise energy levels, as well as enhance mental agility. Nike motion is crucial for both body and mind.

Market / Industry / Competition Analysis

Competition Analysis of Sports Drink Industry Sports drinks experienced a remarkable growth in the late 1990s and early 2000s, growing almost 56 percent between 1997 and 2002. As a result of this increase in demand for sports drinks, a large number of products started flooding the market. This influx, however, is controlled by a limited number of established and powerful companies, namely Gatorade and Powerade. Gatorade, produced by PepsiCo, is a market leader, boasting 80 percent market share. Its chief competitor, Powerade (produced by Coca Cola), accounts for 19 percent of the remaining sports drink market.

PepsiCo’s market share however is not safe. Since 2002, its share declined by 4 percent, while Coke’s Powerade grew by nearly 30 percent. 4 Most of the industry’s growth is driven by reaching new demographics, including ethnic groups, children and more serious exercisers. Attempts by other companies to market sports drinks have often failed, or achieved considerably less success than the existing players. Nike, in an attempt to avoid territorial battles, plans to carve a new niche, the energizing sports drinks with various essential nutrients, thus emerging as a market leader in this new category.

As mentioned previously, given its established, strong brand image, and its association with everything healthy, such a move should not prove impossible. Porter’s Competitive Forces According to Porter’s Five Competitive Forces, the power of suppliers is low because the ingredients used, as well as the packaging, are commodities that can be easily substituted, and therefore do not involve high switching costs. The market is not dominated by a few large suppliers, but is rather fragmented, allowing for price competition. The power of buyers is medium, because even though there are many buyers, some of them are rather powerful.

There is little chance that existing customers would integrate backwards. Sports drinks are differentiated products but can be replaced by a limited number of substitutes, water being the biggest threat. The consumers, according to trends in the macro environment will increasingly search for sports drinks on the store shelves. The small number of firms makes for a high degree of rivalry, with a few large companies competing amongst themselves, as well as vying to establish a significant foothold in order to prevent smaller firms from entering the market.

The energy and sports drink products are thus differentiated, and vary in more than just price. The threat of new entrants is low to medium due to the fact that the attractive high-growth industry of sports drinks has very high barriers to entry; namely, it is capital intensive, requiring a lot of marketing and advertising of these products, discussing their benefits, as well as positioning them apart from the rest. Likewise, it necessitates large economies of scale in production.

Such resources are difficult to achieve, and if marketing to the masses, it is something only large, wealthy companies can achieve. The threat of substitutes in this arena is quite high, in that the products currently on the market often differ in little other than brand and consumer perception. The switching costs from one brand to another are virtually zero, but companies can succeed if they’re able to retain their loyal customer bases.

Summary

It is safe to state that there are no significant pricing differences among the brands, they are competitively priced. Both Gatorade and Powerade sell at about $1. 50-2. 00 for a 32 oz. bottle, depending on the location and on the type of retailer. There are really no pricing wars in this industry, since consumers are very brand loyal. Looking at the distribution channels, we can see that these sports drinks are sold at most retailers that sell groceries and other beverages. Retailers include: supermarkets, delis, vending machines, street vendors, cafeterias at gyms, etcetera.

We see a potential advantage in selling Nike Motion at existing Nike outlets, such as sporting goods stores, and in Nike’s flagship stores, Niketowns, that are located in major cities around the world. Advertising and Promotions When discussing advertising and promotional strategies, we have to note that even the most successful companies need advertising and other promotional vehicles to further the success of their brands. Sports drink makers, given the degree of competition in the industry are doing just this. Gatorade spent $180 million on advertisements last year while Powerade spent less than $20 million, per Nielsen Monitor-Plus. Since these sports drinks primarily target health-conscious consumers and athletes, some of the most important promotional vehicles include sponsorship of sporting events, and signing of top athletes for promotional deals. Coca Cola was, for example, the official sponsor of the summer Olympic Games in Athens with its Powerade Drink. “We focus on niche audiences of top athletes, either through major events such as the Olympics, close relationships with sporting bodies, or by working with sports experts to produce targeted advertorial,’ says a Coca-Cola spokeswoman. ‘Consumer education is key,’ she adds. 6 Powerade earlier launched an online version of its LeBron James comic in its quest to position the brand as the sports drink for the next generation. A first for Coke and its partner DC Comics, the interactive site included flash technology and voice-overs by Mr. James across 12 Webisodes, as well as an instant win component and video games. 7 Gatorade on the other hand is the official sponsor of the National Football League, the official sports drink of the National Basketball Association, WNBA, Major League Baseball, Major League Soccer and a host of others around the world.

In all, Gatorade has struck roughly 900 sponsorship deals with sports events over time, according to tracking by the IEG Sponsorship Report. Gatorade also will sponsor branded content during the National Basketball Association’s playoffs on ESPN, TNT and FSN networks. On TNT, broadcast personalities will air live sideline segments dubbed “Heard Around the Cooler” about game strategy, injuries, statistics and other insights, while ESPN will air branded “Cooler Talk” segments on its “Sports Center. ”

Challenges

One of the biggest challenges these companies face is the problem of attracting more female consumers. According to the Mintel International Group, an industry observer, consumption patterns always leaned heavily toward males, but the trend showed signs of changing as more female teens reportedly were drinking more and more sports drinks. This reflected female teens’ ongoing interest in losing weight and increasing interest in exercise. 8 Sports beverage producers also began targeting the fast-growing Hipic population.

Gatorade’s Xtremo! was the first to appeal to this potential market with a line of more exotic and tropical flavors including mango and tropical. The effort was supported by bilingual packaging and Spanish-language advertising. Coca-Cola’s Powerade brand also began using Spanish-language advertising to tap into this market. We think that the most important industry factors that will be influential in our planning is the degree of competition that we’re hoping to offset with powerful and wide-reaching marketing campaigns.

As I’ve mentioned earlier, there is a very high level of competition especially between Gatorade and Powerade. Both these companies spend millions of dollars on building their brands and their loyal customer base. We can see, however, a slight difference between the promotional techniques of the two. Gatorade is more centered on the top-athlete, while Powerade tries to depict a more cutting-edge picture that appeals primarily to the iPod generation. There might be another niche that is underserved, and that could be just what Nike Motion needs.

An underserved niche, such as women and men of Generation X and Generation Y, might have a need for nutritious, on-the-go beverages that fit into their busy life-styles. Nike could target these niches successfully due to its existing brand image.

Marketing Objective

The Nike brand is a well known brand, its swoosh is one of the most recognizable signs out there, having established brand loyalty among many. Based on our market research, the brand extension of Nike Motion would have great potential for being the next great beverage among athletes and non-athletes.

We would pursue a mass market penetration strategy for a saturated market, while still allowing for a vast opportunity in high profits and gaining market share due to Nike’s brand recognition. Our primary objective is to create product awareness among the target audience by 30 percent in one year and our secondary objective would be to increase market share. We would also want to inform our target audience about the features and benefits of our product and its competitive advantage, leading to a 10 percent increase in sales in one year.

Many individuals are unaware of Nike’s new brand extension of a sports drink. Therefore we would pursue a high reach and high frequency strategy in our advertising in order to have maximum exposure. In order to accomplish this we would conduct a SWOT analysis to gain a better understanding of our target market and market segment. We want to achieve this objective by using secondary and primary research to get an in depth understanding of our target and to formulate a strategy to develop our campaign. Based on our research, trends and attitudes are moving toward health conscious products.

Read more
OUR GIFT TO YOU
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat
Close

Sometimes it is hard to do all the work on your own

Let us help you get a good grade on your paper. Get professional help and free up your time for more important courses. Let us handle your;

  • Dissertations and Thesis
  • Essays
  • All Assignments

  • Research papers
  • Terms Papers
  • Online Classes
Live ChatWhatsApp