Since there are many stores, like McDonald’s and Starbucks that are also providing all kinds of healthy smoothies with a price that is similar to Jamba Juice’s, buyers actually will not face high switching costs. Therefore, low switching costs enhance the bargaining power of buyers.
Distribution for the brand is already exceptional; it is rare to see a vending machine or candy display without at least one variety of Skittles. The current method of distributing the product is a mixture of pull and push strategies. Retailers of candy demand Skittles because they know that consumers will purchase them often enough to move product and produce profit, while Wrigley actively offers the product to said retailers, using their already-present pull force to facilitate even wider distribution. The above analysis leads to the belief that changing the basic distribution strategy is unwise, yet
The Affordable Blended Smoothie, Inc. will be producing a healthy non-alcoholic product. As more families and the society continue struggle to maintain healthy lifestyles, the new beverage comes at the right time in remedying the situation. The new energy drink will be suitable to all classes of people regardless of their age, educational level, income, gender, or ethnic affiliation. However, we will be able to employ targeted marketing where the marketing strategies for the company will be directed to rising middle class in Virginia (Wit, 2010).
First, the strengths are that the overall design, “the creation of the smoothie and juice names, and distribution, was done with multiple stores as the goal.” (Pg. 2) This business model differentiates them from the competition because instead of offering the same flavors, juice names, design, and distribution to all of the locations it is determined by a section of stores rather than the entire market. This tactic allows their business model to be targeted for a specific demographic depending on the external environment.
Increasing international growth and commitment to the environment and their employees are major strengths for the company. Growth opportunities are present in the organic market, which is projected to grow 9% (Scott-Thomas, 2012), and the smoothie market, which will see a potential growth of 1.6% through 2013 (Technomic, 2012). Some of the weaknesses facing the company are its narrow target market in the organic product industry and lack of traditional advertising. Major competition from Odwalla and Naked Juice are threats to growth and the volatile market for fruit and other natural ingredients may cause unpredictable price increases and as well as an unpredictable future. Also, shifts in popularity of the trendy organic product movement may cause a decline in future revenues. However, both the smoothie and the organic/health food markets are growing rapidly and Clif Bar can secure a larger share in these markets with the introduction of Simply Clif.
People is an important element to Shakeaway and the marketing mix and how promotion as a role to support it. At Shakeaway, the people who work there is important to the business. It’s important the people of Shakeaway knows how to use the different equipment in the shop to make the milkshakes and give the customers exactly what want. It is also important that Shakeaway offer a good level of care before and after the purchase of the milkshakes. Promotion support this element of the marketing mix; by sales management and personal selling. For this to be success the people of Shakeaway will need training and development programmes; in which they will learn:
At first this miscellany is very attractive to the buyer but when the process of decision making begins, the real problem erupts. If she is not certain about what she wants to purchase, she will keep shuffling between packets and shelves to make a choice. Seeing the variety she may want to make the best possible choice out of the available options and she must make a choice in order to avoid being frozen in endless doubt. Thus the modern super market offers numerous more choices, ironically much less satisfaction. Due to this it has been observed that consumers tend to return to the products they normally buy, not paying attention to 75% of the other products which are also a good competition for price and quality (Schwartz, 2005:12).
As the CEO of Dippin’ Dots, I would like to focus on our current business tactic. Our competitive advantage is the capability to microencapsulate ice cream. As CEO, It is necessary that we centralize our competitive strategy solely on our innovation and experience thorough our technology. Microencapsulating is essential to our long-term success because no one in the market fully understands it more than we do. Yes, people have mimicked our brand but we know what goes into our brands original strategy more than our competitors. To enhance this experience further we will have Dippin’ Dots accessible to the cellular app store. We will bring Dippin’ Dots ice cream to the people. This will be more of a serviced based approach. Customers
The article stated that, “many East Coast baby boomers were wondering, “what’s a smoothie?” (Fox & Rushmore, 1999, p. 4). This statement not only indicated that people in the East Coast were not aware of this new juice trend, it also stated that “consumers’ demands and tastes can greatly change from one demographic to another” (Fox & Rushmore, 1999, p. 4); whereas allowing Juice Guys the opportunity to sell more than just juice and also resulting in Juice Guys indentifying between the ages of 18-35 to be their leading influential target market.
End users are those individuals walking in the company stores, ordering a smoothie and a cookie, paying the cashier and then telling her friend how wonderful the ambiance is. This buyer segment does not purchase large amounts of product at one time and likely chooses Jamba because of the quality of the ingredients. With no switching costs and a growing industry offering many options, patrons of smoothie cafés can freely purchase their delightful cool beverage anywhere. According to the U.S. Census Bureau the number of stores within the “snack and nonalcoholic beverage bars” industry grew from 36,036 in 2002 to 49,463 in 2007 [ (U.S. Census Bureau) ]. This trend means that Jamba Juice will have to increase customer loyalty to battle the increased competition.
The Swirlstand is a frozen yogurt vending machine that allows consumers to purchase high-quality frozen yogurt without entering the store. We think that Swirlstand will transform the way consumers buy frozen yogurt. From our data results with SPSS software, we will decide the target market for our product that will be successful before the Swirlstand starts.
Steers is a quick service, burger brand and the reason behind Famous Brands group. Steers was the first restaurant group owned by Famous Brands, making it the oldest member of Famous Brands. Steers specializes in Flame Grilled burgers and has been voted Joburg’s best burger for the past 18 years as well as best chips for the past 14 years in the Leisure options Best Of Joburg Awards. The Steers burger range is dominated by 100% pure beef burgers. The food is freshly prepared in each restaurant. Steers supplies the main hamburger ingredients, including buns, patties and sauces to all its franchises through Famous Brand Services and approved suppliers. Steers has 505 restaurants
The juice bar concept was pretty new in Australia, and the way boost furnish this concept is also very new in the retailing industry. Boost is not about only appreciable taste and healthy juice or smoothie but this brand is all about overall experience for the customers when each time customers comes in their store and we are talking about experience includes tasty products, best service and lively employees who are there only for their customers and always smile when you enter the store, call you by your first name with their polite tone. (Grocer, May 3, 2008, Vol.231(7853), p.42)
For 18 years running Steers has won the Leisure Options Award for the Best Burger and for 14 years running they have won an award for Best Chips.
Steers have over 500 franchise fast food restaurants throughout South Africa. Thus providing customers with their product at the right place and time to satisfy the needs of their customers to a degree the 7’ps of