Hawaiian Punch Case Analysis

1325 Words6 Pages
I. Factual Summary: Hawaiian Punch is a popular fruit punch drink, owned by Cadbury Schweppes, with a 94 percent brand awareness among U.S. consumers and a 7 percent(*) market share of all juice drink varieties, making it the top selling brand in its category. The juice drink enjoys a fairly long product cycle where the first, and still the most popular, recipe was created almost 70 years ago. Hawaiian Punch is not the only product manufactured and sold by Cadbury Schweppes; the company has several well-known beverages brands such as Dr Pepper, Seven Up, and Mott’s. Nonetheless, as evident by the recent management appointment, Hawaiian Punch is a product that has a high focus of interest from the company since it has a good growth potential given its recent performance of 7 percent annual sales increase over the last few years. Cadbury Schweppes had created about eleven different Hawaiian Punch flavors. Despite its efforts, the original “Fruit Juicy Red” remains the most popular by a significant margin. A recent consumer purchasing study shows a relatively poor customer awareness for the other ten flavors of the product. Hawaiian Punch currently has the unique position of having two distinct manufacturing, sales, and distribution processes. The product is sold through both the “Finished Goods” and the “Direct-Store” channels. In the former process, the company prepares ready-to-serve containers in-house, before it ships them to identified warehouses or distribution centers for later delivery to retail outlets by independent brokers as well as company sales representatives. Certain packages sizes, namely 1-gallon and half-gallon bottles, are exclusively distributed using the “Finished Goods” system. The products usually lands on the juice aisle in supermarkets. In contrast, the “Direct-Store” process involves the company preparing concentrates which it then

More about Hawaiian Punch Case Analysis

Open Document