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Capri Sunsicles Marketing Plan Final Part 1
Capri Sunsicles Marketing Plan Final Part 1
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2. COMPANY DESCRIPTI ON
The Kraft Heinz Company was formed through the merger of Kraft Foods and Heinz on July 2, 2015. This led to Kraft
Heinz becoming the fifth largest food and beverage company in the world, with Heinz receiving 51% of the shares in
the combined company1. The Company’s brands include Capri Sun, Jell-O, Kool-Aid, Lunchables, Ore-Ida, Oscar
Meyer, and Planters, just to name a few.
Carpi Sun is the premier brand of juice concentrate beverages sold in pouches in the United States. The $500m+
brand is one of the top 15 brands of The Kraft Heinz Company and its longstanding, loyal customer base has ensured
it maintains that position. Capri Sun has recently re-engaged its customer base by introducing Capri Sun Organic;
further enhancing its position by capitalizing on the more health-conscious market. Due to this ever-growing size of
the market, Capri Sun has decided to introduce Organic Capri Sunsicles for those hot days when a Capri Sun drink
isn’t quite enough.
The Kraft Heinz Company believes its proven success as separate entities over the past several decades will translate
to even more success due to its broader range of products and solutions. This marketing plan demonstrates how
The Kraft Heinz Company will introduce and ensure Organic Capri Sunsicles are a major player in the ice pop industry.
Capri Sunsicles will be made from only all natural, organic ingredients and will be available in a variety of flavors
including Apple, Cherry, Orange and Strawberry.
1
"H.J. Heinz Company and Kraft Foods Group Sign Definitive ..." March 25, 2015. Accessed October 23, 2016.
http://news.heinz.com/press-release/finance/hj-heinz-company-and-kraft-foods-group-sign-definitive-merger-agreement-form-k.
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iii) Core Competencies and Competitive Advantage
The Kraft Heinz Company seeks to be the best food company while growing a better world. The company has a long
and sustained legacy of superior quality food, safety and service. Their core competencies include consumer insights
driven product innovation, supply chain management and operations.
These core competencies can be leveraged into sustainable competitive advantage by using consumer insights to
drive innovative new products that can be made cost effectively in a number of Kraft Heinz manufacturing facilities.
The size and strength of the procurement function internally and that is currently leveraged with the CapriSun
organic juices will allow Kraft Heinz to be able to produce a higher quality organic ice pop at a great value to our
customers better than our competition.
4. SITUATION ANALYSI S
SWOT ANALYSIS
This situation starts with a snapshot of the current environment in which The Kraft Heinz Company finds itself by
providing a brief SWOT (strengths, weaknesses, opportunities, threats) analysis. After this overview, the analysis
probes ever-finer levels of detail: industry, competitors, company, and consumers.
Figure 1 shows the internal and external factors affecting the market opportunities for The Kraft Heinz
Company. Stated briefly, this SWOT analysis displays the strengths, weaknesses, opportunities, and threats
impacting the introduction and on-going business opportunity for Organic Capri Sunsicles.
Positive Negative
Strengths Weaknesses
Iconic brands Lack of Momentum
Good cash flow Mostly unhealthy products
Internal
Backing of Berskhire-Hathaway
Unique Capri Sun packaging
Large market share
Proven record of trust and success
Sourcing and manufacturing
Opportunities Threats
Structural reform and innovation Falling Demand for Packaged Foods
Merger & acquisition activity Fear of Sweeteners and Excessive Sugar
Overseas Expansion in Capri Sun
External
One of the greatest threats to many of the brands within the Kraft Heinz portfolio is the growing demand for GMO
free, organic, all natural products with clean labels. The halo surrounding frozen confectionaries in general is not
consistent with the growing demand for healthier products. While CapriSun Organics has established a footprint in
the prepackaged beverage aisle, it will be important to ensure that marketing program tactics address potential
concerns proactively. It will also be essential for the ongoing sustainability of the line that strong vendor partner
relationships be established and solidified through supply chain management to guarantee a continuous supply of
certified product ingredients.
2
"Creating a Global Food & Beverage Leader - The Kraft Heinz." Accessed October 23, 2016.
http://www.heinz.com/data/pdf/Kraft_Heinz_Investor_Presentation_2015-03-25.pdf.
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