Snapple.pptx

8/11/2019 Snapple.pptx

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Section A Group 4:

Camille Le BianDhruv BhatiaNiranjana NarayananSaswath SureshSrinithi SSundeep Allamraju

Umakanta Sahu


2/13

TriviaSnapple started in 1972 as an all natural apple

juice brandExponential increase in annual turnover $4 Mn in 1984 $8 Mn in 1986 $674 Mn in 1994!!!

Clever promotion strategies Wendy Kauffman as a spokes model Sponsored radio programmes 100% natural

Sold to Quaker Oats at $1.74 Bn in 1994

Sales declined to $440 Mn in 1997

Sold to Triarc Companies at $300 Mn in 1997


3/13

Snapple WaySnapple remains a dominant player in the new age beverage category despite challenges of fiercecompetition from other brands

Firstly, Snapple targeted according to lifestyle by

directing the marketing towards health-seekingindividuals

Also targeted based on demographics: 18 to 30 yearsmale and female, especially young urban professionals

Competitive brand positioning as: On-the-go drink in anycontextual scenario


4/13

Points of Differences Offered

Authentic Active Healthy

Fun Element Informal Natural Personal Playful

Personal Variety based on need People identify with the

flavors

Vividly Sensual Good taste


5/13

Reasons for DeclineBrand authenticity failures

Shifted from core values and was seen to become corporate hence losing itsuniqueness element with the consumer Lacked differentiation and a compelling reason to use Usage was not defined and hence was not ingrained in daily lifestyles

Distribution failures

Resistance from distributors to Quakers proposals Less focus of independent distributors with whom relationships were earlierforged

Product & Packaging failures Reduction in variety of flavours offered Introduction of large sizes, which was against consumer usage of Snapple,

and 16oz was the most preferred size It also limited distribution as small stores did not have space to stock and

display, and truck sizes were not conducive

Image failure Did not sustain fashionability, and was giving way to newer beverages

Consumers felt betrayed


6/13

Changes in Brand ElementsLOGOConsumers initially felt that the move to a new logo made Snapple loseits essence (brand equity)

Crapple

PACKAGING


7/13

Revitalization Possible?

Clear and relevant values

RealHumanFunPersonal

Individual Alternative

Existence in old campaign

WendyRadioendorsements

Off beat publicrelationsNatural ads

Not expressed recently

With Quaker ads,the essence ofthe brand was notconveyed hence, seen to bepart of the norm,and against theidea of Snapple

Product problems

Change in logoChange inquantityDistributionproblemsReduction inflavours offered

The core values have been expressed in previous campaigns and haverecently been dormant. The brand has also been characterized withother functional and symbolic problems. Hence, these criteria show thatthe brand can be influenced well by revitalization.


8/13

Understanding the Brand

Breadth and Depth ofbrand awareness Breadth: Seen as a stand

alone drink, taken alongwith in -between meal(sandwiches etc) notassociated with a widevariety of situations orfrequent usages

Depth: Brand recall is notall pervasive hence nothigh

Brand associations andresponses inconsumers memory Quirky, fun, informal,

natural, real, personal,

playful

Nature of consumer-brand relationships Individualistic,

atmospheric experience Loss of prior brand

engagement withconsumers ( SnappleConvention)


9/13

Revitalization - Options

Expand the depthand/or breadth ofbrand awareness

Increasedfrequency of use

New opportunitiesfor usage in thesame basic way

Findingcompletely

differentapplications

Increasedquantity

consumed perusage

Improve brandimage

Create a newmarketingprogram

Repositioning thebrand with morecompelling POD

Repositioning thebrand to establisha POP on a key

dimension

Re-establishingold brandelements

Logo Packaging


10/13

Evaluation of OptionsOptions Decision Rationale

Increase frequency ofusage

Accept Addresses the brandauthenticity and

distribution problems

Increase quantityconsumed per usage

Reject Consumers prefer16oz

Not in line withproduct usage

New promotionalprogram

Accept Addresses brandimage and

authenticityReestablishing the old

logo as well aspackaging

Not advisable New logo has been inplace for some time

and going back to oldlogo may make the

image more tarnished


11/13

Step 1: Increase Frequency ofUsage

Newopportunities for

usage in thesame basic way

Make the productubiquitous

throughpenetrating the 2million points of

sale

Tie ups withrestaurants (Non-fast

food) Eg. Subway

Educationalinstitutions

healthier optionpromotion

More vendingmachines at dailypoints of waiting

such as train stationsetc

Find completelydifferent

applications

Not in line with brandassociations ofconsumers and

against therequirement to bring

back the brand equityof Snapple


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Step 2: Promotion

Sponsorship

Music/dance festivals Youth Convention

Productplacements

Quirky youth oriented TV shows, movies and radio programs

Tie ups with popular movies/tv shows for customized bottlecaps etc (collectibles)

Contests Capture your Snapple moment

TV ads

Storyboards conveying the Snapple lifestyle, using imagerythat consumers associate with Snapple (fresh grass, beachetc)


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THANK YOU

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