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Case Study On Innocent Drinks

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1. Innocent is the market leader in UK with 2 million bottle of sales weekly, annual sales of £130mn and it is currently controlling 80% of the market (IRI Infoscan)
2. Innovative culture has required a broad scope of new formulas with 30 unique formulas - Innocent is launching so as to be inventive to the market new flavor (just in 2003 they dispatch 9 distinct recipes in 3 different categories). Notwithstanding keep the customer intrigued they have 32 unique sorts of label available for use and they transform them at regular intervals. Innocent also run product for children and in distinctive sizes, they fundamentally have various market from children to adults from all kinds of different backgrounds
3. High brand equity has called for high …show more content…

It has maintain a superior relationship with the customers through a consistent appearance and style, product design, package, appearance and price that suited the positioning of the product as a high quality healthy product and made high barrier for new competitor to entre the market. Innocent held a leading position in the market and succeeded to expand the market from very niche limited market into a significant one. The company has successfully increased its market share from 35 per cent in 2005 to 79 percent in 2013 (Kantar, 2013). The brand “innocent” was valued at £320m early in 2013 when Coca-Cola acquired a stake of the brand (Evans, 2013). The brand has a clear purpose, which is to produce a 100% natural 100% healthy made from fresh squeezed fruits without any additives. The design, look, price and image helped in delivering and positioning the brand across the customers successfully. The company’s contribution in bringing health awareness among the audience helped in expanding the market rapidly. The brand gained its trust through consistently meeting consumer’s expectation with quality. The brand has always been supported by a generous advertisement budget where the company spent about £16m in advertisement in 5 years, which is 80% of the overall advertising spending of the industry. Thus, quality …show more content…

Innocence brand and character always carries a positive and fun image to the consumer, and the basic principles of the company remain the same – to produce smoothie drinks simply made of fresh fruit and juice, with no concentrates, which ultimately induced customer loyalty towards the brands. On the consumer health conscious prospect, people are being more health-conscious about the consequence of bad alimental habits, also trends for healthy eating habits are demanding more natural product. Given that the brand and health consciousness are the two main reasons, the conclusion is that marketing campaigns and annual substantial marketing budget is the sustainable competitive advantage of the company that will ensure that the Innocent Drinks always be the market dominant and expand the sector further. Besides, at Innocent, innovation is an everyday behaviour with employees actively encouraged to suggest ways to improve the business, whether it be new products and business streams or better ways of working. The regular model of innovation – cross-functional teams with steering meetings – was found to deliver only line extensions rather than breakthrough innovation. Instead, Innocent creates innovation in various

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