• more advertisement • healthier flavors • larger diet soda flavors • adding a juice product Marketing Strategies To add to advertising and flavors, Jones Soda will try to complete the following strategies: 1. Target Market Strategy: Jones Soda will continue to target the existing consumers while focusing on more upscale locations to sell the soda, like large hotels, country clubs, spas, high schools tattoo parlors, skate shops. 2. Positioning Strategy: Jones Soda will choose to place their product in an unique fashion which would show this soda as being the up scale soda pop. 3.
You should know what your income design is, so be sure to take that into account when assessing the effect of your marketing on income. A significant increase in income after the discharge of an internet marketing technique indicates that the technique is effective, and you will want to use areas that technique later on marketing initiatives. Asking your potential audiences about the strength of your internet marketing technique is a technique that can help them to create better marketing applications later on, according to the Business Knowledge Source website. Perform market reviews by phone, e-mail, standard e-mail and in person to find out which their potential audiences thought was effective about Coca-Cola’s marketing, and what factors of their technique did not work. This information is valuable in enhancing your advertising to better reach your concentrate on group.
Coca-cola thus, in 1985, decided to introduce a new formula (unpopularly called New Coke) in-order to drive up sales. This led to such a decline in sales for Coke and a subsequent increase in sales for Pepsi that Pepsi celebrated the 10th year anniversary of “New” Coke in 1995. Let us do a retrospective analysis of what Market Segmentation research may have been done that led Coca-cola to implement the “New” Coke. Analysis of Segmentation Strategy: What actually happened: A major segment of Coke was Baby Boomers. Coca-cola believed that as this segment aged, it would move on to healthier diet drinks and hence they needed to look into the “full-calorie” young segment.
They can do somehow a better job in making sound investments and control the marketing with their products. I see that there were some challenges from some years especially when PepsiCo and Coco-Cola were at a war to compete each other with their businesses. Coca-Cola and PepsiCo are a few years apart, but both of them are well known and have such popularity with people drinking their sodas. Coca-Cola has been trying to surpass PepsiCo in their annual sales; however, from review, PepsiCo somehow has the highest number in their annual sales than Coca-Cola. PepsiCo has shown the best current ratio and is able to pay off their debts, which Coca-Cola does not have that and is struggling to pay off their debts.
If the client’s needs would have been foremost the current customer base may have been polled to determine to the reaction to a NEW coke? Taste tests would be part of the polling. As the goal of marketing is to increase sales/profits, it would be important to poll consumers who currently favor the competitor’s products. What could Coca-Cola do to gain them as a customer? What are their wants, needs, expectations in a cola?
According to an article that dismisses the fear of HFCS, “Out with Gout.” Our increase in our waistline is not necessarily tide to HFCS, rather to the consumption of soda. The soda we drink today is sweetened with HFCS, but if it were not sweetened with HFCS, it would be sucrose-sweetened which in turn would have the same effects as HFCS. The article continues to point to the fact that, “we are getting bigger at the waistline because of what we are consuming, but nothing concrete says that we would be thinner if we had been consuming regular sugar.” (1) HFCS or not, the obesity issue would be happening regardless. It seems to be that we are taking in a larger amount of foods and drinks that are high in sugars, real or not. The article suggests that we cut back on products that are highly sweetened with HFCS or any other sugar.
Obesity itself cannot solely be blamed on the high consumption of soda or sugary-drinks, but there is a strong correlation between the two. Boston Children’s Hospital preformed a study with 224 overweight, or obese, high school students. Half of the recipients received free home deliveries of zero-calorie drinks along with water; others received a fifty dollar gift card. According to this study, “after one year, the gift card recipients had gained more weight than those who got the calorie-free drinks” (“Getting Fat on Sugary-Drinks” 8). The evidence provided in this study concludes that soda can be a leading factor in obesity rates, and that water or lower-calorie drinks can help prevent obesity.
However, in the late 80s, one of the most serious Coca-Cola competitors, Pepsi, implemented a new marketing strategy and caught up with its market share. The competition of the two companies was primarily based on taste. Pepsi introduced a series of commercials called “The Pepsi Challenge.” Surprisingly, consumers preferred Pepsi over Coca-Cola. Pepsi’s market share skyrocketed. Concerned with Pepsi’s success, Coca-Cola decided to replace its old formula with a sweeter variation and introduced a new product named “New Coke.” The author provided a detailed report about the $4 million budget that Coca-Cola spent on market research.
The mix should have a sufficient initial impact and long term viability on sales so as to recover CSP initial investment of $400 million in 10 years. In 2005 the overweight U.S. population was about 209 million Americans. Competitors in the weight loss drugs included Alli, which was an over-the-counter drug with FDA approval, all other competitors were herbal or dietary supplements thus not regulated by any governing body. The legal and social climate at the time was not in favor of the drug industry. As a whole this industry was tagged with deceptive advertising because side effects where not known until after the product reached the market, thus this translated to low credibility from consumer’s and the professional medical community perspective.
If Pepsi can do well in economic recession then it could do even better in economic booms but it must stay in touch with consumer tastes and trends. In the 1990’s to increase brand loyalty to Pepsi, they launched the Pepsi Stuff campaign. Consumers of Pepsi were awarded points through label packaging they could use the points to buy merchandise. In the mid 90’s consumers started to become more health conscious. In 1997, PepsiCo started to increase their revenues again by changing their product mix through acquisitions and divestitures.