Snapple Case Study

948 Words May 15th, 2011 4 Pages
Snapple’s brand equity was driven by how unique and popular the product became almost immediately. By 1994, it had grown substantially and was known as a popular and user friendly “ready-to-drink” beverage. The huge growth Snapple was able to achieve was due in part to the almost cultish fan base that Snapple developed. For example, a family in New Jersey even gave their son the middle name Snapple. Studies showed that ready-to-drink beverages were selected almost strictly based upon fashion, taste, and status related considerations. For this reason, Snapple gained appeal through alternative means of marketing. They used product placements (Seinfeld and Sleepless in Seattle), sponsorship from celebrities, consumer composed jingles, and …show more content…
They were able to use similar distribution, administrative and production systems which allowed them to achieve growth in profits and a 2% boost in the beverage market share. However, Snapple faced some very different dangers in the Cadbury acquisition compared to the Quaker acquisition. Anytime a small, focused brand like Snapple is acquired by a large corporation, they take on some brand confusion. Consumer’s who love the small and unique company may turn on you when purchased by a large corporation. Because Cadbury is so large, they may dilute the brand by wrongly marketing the product towards a group of consumers much too large for Snapple. Also, large companies tend to have more standardized marketing efforts. Snapple has always benefitted from alternative means of marketing. For example, Cadbury’s attempt to make Snapple the official beverage of New York did not align with their core associations. As the ready-to-drink beverage market becomes increasingly competitive, Cadbury needs to focus on Snapple’s core associations to leverage its brand equity. If Cadbury doesn’t have the capability to maintain the small niche, unique, innovative, and quirky feel of Snapple, they should sell it. If they feel they can properly manage Snapple, they need to revisit the alternative means of marketing and use the grassroot activities that Triarc was successful with. They also need to extend the brand into areas that align with the brand’s

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