Snapple Case Analysis
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- Category: English
- Date Submitted: 07/10/2014 05:28 PM
- Pages: 3
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Case 2 - Snapple
Issue of Case (don’t answer this now – answer in recommendations/conclusions)
Many alternative drinks were launched in the 1980s to the yuppie generation, but ONLY Snapple made the big time. It reached revenues of $600 million starting from scratch. In 1994, the company was sold to Quaker Oats for $1.7 billion but was valued at $300 million only four years later – a loss of $1.4 billion. We need to understand Snapple’s changing marketing plan from 1972 to today and advise Mike Weinstein on a plan to take them back to historical levels?
Situational Analysis (Facts only no Opinions)
The period of 1972 to 1986 was the development of the brand and from 1987 to 1993 was the glory years. Outline Snapple’s four P’s that contributed to their success during this time period:
Target Market: Youth and health conscious individuals in New York
Product/Service: Extended product line of food drinkS with an established brand name.
Pricing: Premium pricing that was constantly reviewed.
Distribution/Fulfillment: Local distributors in New York around 300
Promotion: via off-beat personalities with cult like status and radio programs and 100% natural product.
In the period from 1994 to 1997 outline Quaker’s four P’s and how they were different or the same:
Target Market: Sportspersons in domestic and 26 foreign markets
Product/Service: Food Company with 4 main areas: grain-based foods,bean-based foods, pet foods and beverages.
Pricing: Average-low cost
Distribution/Fulfillment: Gatorade's logistics was combined with the logistics used for breakfast cereals and snacks to lower the costs. Full truck loads from plant to the warehouses of supermarkets.
Promotion: via famous sports personality like Michael Jordan and football league televised games.
Why did Quaker Acquire Snapple?
Quaker mainly acquired Snapple to boost the sales of 'Gatorade' in both the channels 'cold' and 'warm' and make it a larger brand in a beverage industry.
What did...
Issue of Case (don’t answer this now – answer in recommendations/conclusions)
Many alternative drinks were launched in the 1980s to the yuppie generation, but ONLY Snapple made the big time. It reached revenues of $600 million starting from scratch. In 1994, the company was sold to Quaker Oats for $1.7 billion but was valued at $300 million only four years later – a loss of $1.4 billion. We need to understand Snapple’s changing marketing plan from 1972 to today and advise Mike Weinstein on a plan to take them back to historical levels?
Situational Analysis (Facts only no Opinions)
The period of 1972 to 1986 was the development of the brand and from 1987 to 1993 was the glory years. Outline Snapple’s four P’s that contributed to their success during this time period:
Target Market: Youth and health conscious individuals in New York
Product/Service: Extended product line of food drinkS with an established brand name.
Pricing: Premium pricing that was constantly reviewed.
Distribution/Fulfillment: Local distributors in New York around 300
Promotion: via off-beat personalities with cult like status and radio programs and 100% natural product.
In the period from 1994 to 1997 outline Quaker’s four P’s and how they were different or the same:
Target Market: Sportspersons in domestic and 26 foreign markets
Product/Service: Food Company with 4 main areas: grain-based foods,bean-based foods, pet foods and beverages.
Pricing: Average-low cost
Distribution/Fulfillment: Gatorade's logistics was combined with the logistics used for breakfast cereals and snacks to lower the costs. Full truck loads from plant to the warehouses of supermarkets.
Promotion: via famous sports personality like Michael Jordan and football league televised games.
Why did Quaker Acquire Snapple?
Quaker mainly acquired Snapple to boost the sales of 'Gatorade' in both the channels 'cold' and 'warm' and make it a larger brand in a beverage industry.
What did...