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SNAPPLE

REVITALISING
A BRAND
Gautam
Rohan
Vaishali
Introduction
• It begins with founders, in this case, three
entrepreneurs working in a natural food store in
the East Village of New York City in 1972.
• In the 1980s Snapple essentially created the no-
carbonated segment of ready-to-drink beverages
with its introduction of ready-to-drink fruit
juices and iced tea.
• By 1991, Snapple emerged as a nationally
recognized brand.
• In 1992, Snapple management raised capital by
selling a majority stake of the firm to Thomas H.
The Snapple formula
• Tactics developed for Snapple
 Differentiating company from the competitor
by providing variety of products.
 Concentrate on the segments where demand for
the product is higher by assigning a team for
particular market to have early marketing
efforts.
 Own distribution channel .
 Positioned as a premium product .
Snapple Brand equity
 In 1994 Snapple was experiencing tremendous
growth.
 Consumer love Snapple.
 The name “Snapple” was catchy .
 The name is one of the most user friendly and
consumer-friendly.
 Word-of-mouth advertising.
 Successful ad campaign like, Wendy “the
Snapple Lady”
The new age Beverage Market
• The market is divide in to eight different
group
Ready-to-drink tea
Sports beverages
Plastic bottled water
Single serve fruit
beverages
All-natural soda
Sparkling flavored water
Sparkling fruit beverages
Ready-to-drink coffee
Customer generally selected beverages based on
fashion, taste and status related consideration

This are the factors that play a critical role in


the consumer buying behaviour.
Distinctive Flavors Product
Quality ingredients Packaging
Clean labels Pramotion
New Competition
• Entry of the Pepsi with Unilever.
• Lipton iced tea as ready-to-drink package.
• Tetley
• Coca Cola enter with “Fruitopia”.
• Arizona Iced Tea.


The Quaker Oats takeover
Quaker Oats acquire Snapple at $1.7 billion.

 Promotional activities by Quaker Oats

• Wendy look-alike contest


• Raffles
• Web surfing • Miniature golf
• A cooking demonstration
• Carnival games
• Trivia contest
Snapple’s Healthy Reputation began to Suffer

• The Center for Science in the Public Interest-


pointed out that Snapple drink contain
• Sweetened water
• Less than 10% fruit juice
• More calories than a
coke.
New Strategy By Quaker
• People for brand management positions
• Reduced number of flavors offered
• Reduced contract manufactures
• Tripled ad budget
• Made changes to the flavor line.
• New packaging
• Process order faster and make plant
efficient
TRIARC Enters the Picture
• In 1997 Quaker sold Snapple to the Triarc
Beverage group fro $300 million.
• At that time consumer had more choice
between ready-to-drink beverages than ever
before.
• Many new brands enter in the market rapidly.
Strategy by Triarc
• Edgy advertising
• Strong Distribution relationship
• Colorful labels
• Focused street sales.
• Take back “Wendy Kaufman”
New product development
New product development
New product development
New product development
Triarc’s plans for further growth
• Back-to-the-root advertising campaigns
• Sponsorship program
• Launch of Snapple’s website
• Innovative outdoor campaign
• Television advertising
Brand Extension
 In 2000 Snapple introduce four new candy
products
• Snapplets hard candy
• Beans jelly beans
• Fruits chewy candy
• Whirls gummies
The Sales
of
Snapple

Again
• In 2000, Cadbury Schweppes purchase
Snapple Beverage Group for $1.45 billion.

 Kept Snapple management intact


 Maintain the existing distribution channel
 Also did not change the CEO.
Competitive Environment
• In 2002, Beverage world reported that
1235 new beverage products were
introduced in the United states alone.

• In 2003, only 250 of those products were


on the market
Introducing Energy Drink
• In 2001 Venom, designed to compare with
Red Bull, Coca Cola’ KMX and Anheuser-
Busch’s 180
Promotion “What’s your story?”
Dye Hard Snapple Tour
• The Tour attracted audiences as large as
50,000 and huge media attention.

• The14,000 mile tour generated more than


70 million PR impressions.
Official
Beverage of
New York city
Official Beverage of New York
city
• In 1999, announced that Snapple was the
Official iced tea of the New York Yankees.
• Snapple and the city of New York
announced a five-year, $ 166million
vending and marketing agreement in 2003.
• The agreement made Snapple the exclusive
provider of water and fruit juices in the
city’s 1200 school.
Innovation At Snapple
Diet Snapple
Snapple-a-day
Kiwi Teawi Iced Tea
Green Apple, Nectarine and
Raspberry

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