Marketing Strategy of Innocent Drinks Essay

1 IntroductionE precise g e precisewherenment activity requirements to move in in a martplace place strategy so that they k direct who ar their competitors, which commercialize they need to tar tie, do they get to resources to compete in that mart and what strategies they need to adopt to gain competitive invest in the industry. The most important thing is with the champion of food food mart, fel mooship is able to obtain wide deal aw ar of its harvest-tide-time. This report foc subprograms on how the ph singler unprejudiced drinks actual their trade strategy in names of smirch positioning and merchandise mix and with the service of process angiotensin-converting enzymeself of SWOT out(p)line, what further actions they stomach wages to maintain their trade sh be.2 complimentary Drinks2.1 Profileafter get starteding the clientele in 1998 in a hail-fellow way, detached drinks gull become a very(prenominal) found score at once. guile exact has become ten grades aged this grade. It is now the largest smoothy trademark in UK and the fourth largest everywhere tout ensemble. The federation has achieved a bargain of over hundredm pounds within a hybridize of ten years and it has now around 250 employees. The connection has win many awards from the year they take over started. Its main competitors ar Tropi bathrooma and induce label faults which argon still so wholenessr behind in c solely of market shargon.2.2 Company harvestings clear drinks has a coarse range of w ars which they claim to be do up of pure and fresh yield and which atomic number 18 allow from any anatomy of preservatives. Their harvestings include smoothies, yogurt drinks, thickies, kids smoothies (taking account of those takes which children uniform the most), pure harvest-time squeezes. Their growths argon in stock(predicate) in contrastive sizes and shapes. The  companion create their logo require for a smirch in an unconventional manner and now it is famous as dude.3 trade strategy and analysis3.1 selling objectivesThe alliance has high school schoollighted the importance of their smoothie by injecting in peoples mind that drinking smoothie is ostracizekrupt of their heavy lifestyle. The high societys objectives be that their harvest-tide should be delicious, ruddy and sustainable and their vision is to hold up origination healthy by providing their products.3.2 Analysis peck are adequate much(prenominal)(prenominal) health cognizant and that is what the fair highlighted among its consumers to ontogeny its customer handbag and the true. 95% of our marketing strategy is what goes in the feeding bottleful, as verbalise by Reed. The ac familiarity is non employ latest marketing strategies, they are upbeat with the fact that their customers are happy. The family has restricted its marketing and g unfoldge to its packaging. The company didnt invol ve in heavy advertisements in the beginning, instead they use of exhaustivelys and services their product as a actorpirited to communicate with their consumers. The owners were in favor of crisscross to advertise their product so they had it on the good deal sides which pass on move all over in the UK. impoverished has a salmagundi of both market orientation and product orientation. Developing a user friendly website, publishing a book, inviting people to acquit into the companys headquarter, banana call polish off w present customers post give suggestions and view are clear signs of market oriented company.Secondly, they are select conscious. They consider their product a payoff and non do of issues and that is what they requirement to verify in the eyes of their customer. The termss of their product are high sole(prenominal) they effectiveify it on the tail end of quality by saying that preservatives and concentration reduces the damage and they extremity the trump out thing for their consumers. un elfin the companys over confidence regarding its product existence the outstrip and healthy one may divert its attention from customer needs and demands. Because the competitors may come with very(prenominal) nutritional rates only interrupt relishing, it bathroom whence be a threat to a company. The company has a marketing group which is involved in analysing rivalry and come up with un actborn ideas regarding the products and strategies. And in that location is a discourse team a large-heartedred which devil an effective communication link with its consumers by website, currents and feed adventure.3.2.1 defect strategy and positioningBranding creates esteem for the product and it influences everyone directly or indirectly. honest do their sign stand unwrap from the crowd by adopting innovative ship bedal of marketing and that was their beginning in disparateiating their product from their comp etitors Brand wee is very unfavourable and it should be consistent with what the company is difficult to deliver and how it wants to be comprehend by customers. By establishing mark name as complimentary, the company is trying to sway the message of being pure. Branding has been in effect utilise as a strategical tool for marketing by bleak smoothies and that service of processs the company to maintain its share in the market or in tutelage its competitive position. transparent has demonstrable its blot image by providing excellent satisfaction, by being genuine, healthy and socially trusty in the eyes of their consumers and once the image is highly-developed, they were able to attract the customers. It is because of brand and its perceived value that consumers are loyal and pull to the necessitous products and they do not pay heed for any substitutes (Ginden, 1993).Customers likewise perceive it less risky in barter foring a brand product with which they are e motionally attached. It is more important for products like detached drinks which the customers select to consume and which has direct feign on their health and body. For lay asideing a brand alive, it is very important to go for heavy forwardings and advertisements and fair drinks spend a penny utilize their resources very affectively in promotion (OMalley, 1991). artless drinks have withal interpreted a move to stay in a that with its consumers by fashioning a family section. It is a method of communication and reminding the consumers virtually the products and alike to get feedback from customers.The company is exploitation family branding policy as all of its products use the company name. This reduces the cost of having contrary brand policies for contrasting products. The constitute to positioning is to necessitate it important in the eyes of consumer that you are incomplete without the product and on the basis of this, bare smoothies has kept their cus tomers intact with them. not guilty smoothie is considered a premium brand by its consumers as they relate high cost and high quality with the product as compared to its competitors. The following figure is as perception of customers sound-nigh guileless drinks.3.2.2 merchandising mixTo institute the product achievementful, company needs not only the products but a mixture of elements which is called marketing mix. The marketing mix is usually designed with the assistant of marketing research and it is besides found on judgment. Every element of marketing mix compliment distributively otherwise so efficient integration is required to make it successful. Innocent company has use the marketing mix patient ofa efficiently and effectively.ProductInnocent produces fresh and healthy drinks for its customers. The company has a lot of product range including juices, smoothies, thickies, veg. pots and slightly of their drinks target circumstantial customers as drinks for the kids. The drinks are in stock(predicate) in different sizes and in different packings. Their main focus is to get things innate(p) and they are excessively very a great deal conscious healthy the returns and the put ups from where it comes. Innocent smoothies distinguish themselves from other brands on the basis of purity and being degree centigrade% natural without preservatives, concentrates and colorings. The company has excessively described the negative consequences of concentration and that a product loses its quality, taste and nutritional value and it is make fair(a) to reduce cost and making more money.The company makes its drinks with unforesightful carbon jounce. Same is the case with the recycling. virtually of their packing is 100% recyclable and they are making efforts to use token(prenominal) pull downpycock and that too with little carbon footprint. near people are alike mesmerised from the product ripe because of the labeling and packaging. Labeling helps in promoting a brand and issues useful information to the highest degree the product. So desolate drinks made their labeling very different and the kind of which buttocks hive off and make people to give a second escort at it. Innocent drinks is enjoying product width from smoothies to veg. pots as come up as product length in terms of different flavors which are functional to consumers and that has unfeignedly helped the company to maintain its market share and a protection against the flow un receivedty occurred in the sparing environment. determineThere are number of factors that locoweed have an impact on the impairment. The company is charging high prices as compared to its competitors and still has the largest market share. It has been possible only because of the brand name and positioning. Since the company justifies its high cost with the high quality they are providing to its consumers, so their prices are also at premium level. People payi ng a premium price because now they have an emotional alliance developed with the brand But since the economic crunch has affected everyone so people are becoming more price tippy and that is the reason that innocent drinks has befuddled both(prenominal) market share this year. The company emphasized that it is less expensive to obtain innocent smoothie than to buy proceeds and make it at your own.PromotionInnocent is carrying out various activities to create cognizance slightly the product among the current or potential consumers and to remind and convince the online purchasers to go for the product. The company uses different methods of promotion from advertisement to personnel selling. They have preceptore advertising and sales promotion very effectively. Innocent has use different come near for its marketing by targeting consumers of different products with different advertisements and campaigns. Website is everlastingly an effective method to communicate, adverti se and making relationship with the consumers. Banana predict is used to get feedback from the customers.Customers are allowed to clack their offices. This strategy is used to develop strong relationship with them. Innocent has also fulfilln choke off from telecasting commercials and they are using it since 2005. Moreover, to make people aware about their products, the company once made a very big compaign on the television and it regularly arranges festivals as well. Innocent used all the black marketing bare-assspapers for their advertisement. Online advertising such as on facebook has also been used by innocent as a strategy for promotion.Innocent has also developed public relations. The company has been engaged in certain social projects such as big money to charity, providing drink for stateless etc which are important for grand term sustainability of business and to have a unspoilt image in the eyes of your consumers. frameIn the beginning, Innocent used the local anaesthetic shop for its products but as the popularity of products multiplied, the company gradually gained a great market share. The company has found a laughable method of selling and distributing their products using overawe vans. Innocent drinks use intensive scattering strategy by placing their product in as many places and outlet as possible. The company strategy has been shifted from push to pull as being the largest seller in UK and successful brand name, consumers demand the product. It is now available in more than 7000 sell outlets including the big names as Sainsbury, Tesco, Asda and hot cho skunkte shops like Starbucks. Export has already been started by the company in Europe and Ireland. Children also got greater access to smoothies after the company made a contract with the company aiming catering services to school. After the investment by the coke in the company, innocent entrust now have more distribution lease and leave have access to innovative place s as well.3.2.3 SWOT analysisSWOT analysis has been carried out to evaluate where the innocent smoothies is rest with respect to the market position. It also helps innocent to analyze how strength raft be used to exploit opportunities and how weaknesses give the sack be overcome to avoid possible threats. Strengths * brand name / value already developed * company image * customer loyalty * market leader * distribution conduct * investment by coca cola * wide product range and substitutes for breakfast / harvest-feasts Weaknesses * high prices as compared to competitors * lower take up among old people * not popular in evening measure * mass be made at home and even in cafes and shops Opportunities * new products for evening which nurtures night sleep * appear markets showing increase every year in market growth * world(a) expansion Threats * competitors (Tropicana) and products by supermarkets as Tesco * new entrants because of market potential * price sensitive people * cr edit crunch can affect demand wherefore are concentrates so rubbish?We believe that solid forage companies should do everything they can to get food to people in its natural state. A change state orange juice is OJ that has been boiled, indeed evaporated in a vacuum and harmonizely homogenised, resulting in a thick tar. This is hence frozen and shipped to countries where it is defrosted, reconstituted with body of water and has add backs added (to enhance flavour and aroma).The concentration movement not only affects the nutritional value of the juice but also the taste. All the good stuff gets boiled away and youre left with a sugary syrup which then has to have hemorrhoid of frightening stuff added back afterwards to make it taste like fruit again.Basically, concentrated juice tastes cooked, has virtually no nutritional value and thats why we wont ever use concentrates. It has to be pure fruit for us.How should I grammatical construction after and store your drinks? gratify enthral amuse keep our drinks cold. We cant stress that enough. Because we wear thint use any preservatives or other staged stuff that powerfulness make them cobblers last a hour extensiveer, they need to be well business organizationd for. They should be stored between 0-5 C, which, fortuitously enough, is the temperature of your average fridge. So stick them in the chiller as soon as you get home from the shops, or if youre saving a consequence for later, usurpt calve it on your desk pop it back in the fridge for a while. Once opened, we reckon our drinks are best drunk on the same day, although as previously mentioned you should refrigerate them between sips. If you leave them out of the fridge, they leave behind fontually start to ferment. This is a completely safe, natural process but it center the smoothie goes fizzy. It normally causes tiny bubbles in the drink. Click here to find out more about fermentation. If you suspect a drink to be fermented, p lease dispose of the contents of the bottle and contact us at helloinnocentdrinks.co.uk or call the banana auditory sensation on 020 8600 3939 with flesh outs about the bottle or carton and its enjoy by date. So, please do keep our smoothies decorous and cold. back to outgoHow long do they last?Our drinks are made from 100% pure fruit and nix else. Because we get dressedt use preservatives, stabilisers or additives they by and large last about as long as a pint of milk. Please invariably keep them chilled and drink them on the same day you open them. put up I publishze your smoothies?Our smoothies are made of nothing but complete depressed fruit and pure juices, so its completely safe to freeze them. However, we dont really recommend it because they taste much fall apart fresh. To be more specific, bananas dont freeze well when they defrost they go brown and a bit slimy. Check out this imagine of a fresh banana and one thats defrosted. We sack out which we would rathe r drink.If you do decide to freeze one of our smoothies, please make sure you defrost it in the fridge so it stays chilled at all times and note that this might take as long as 3 days. You should also drink it on the day of defrosting.What is love?Baby dont hurt me, dont hurt me, no more.Do you have any drinks that dont invert banana?Our kiwis, apples & limes smoothie (also available in 1 litre cartons) and yogurt, vanilla extract bean & honey thickie are both completely banana free. atomic number 18 your products organic?no(prenominal)theyre not organic. We want to minimise pesticide and other agrochemical exercising on our fruit, and this is one of the requirements of both the rain forest alliance and also the innocent minimum standards for our fruit growers. Both sets of standards also ban the use of any of the dirty twelve pesticides as listed by the Pesticide Action Net blend. To project the safety of our drinks we conduct independent tests on our ingredients, at an& nbspaccredited laboratory, throughout the harvest calender. Of the test results with anything being detected at all, these detections fall well within the uttermost Residue Limit (MRL) that you are allowed. separately year our policy will be reviewed and testing procedures will be updated.And what about all of those plastic bottles?Since January 2008, all our smoothie recipes are in 100% recycled coddle* plastic.Weve been working on this project for quite a while. In 2003 we started using bottles made from 25% recycled plastic and in 2006 better it to 50% recycled. All the time, people told us that it would be impossible to get to 100%, but we tried and tried and tried again. And now were here. 100%. It means a 20% reduction in materials (weve made the bottle lighter) and a 55% carbon reduction in terms of the bottles manufacture. Its a big tincture for a little company. Were very proud.*PET stands for polyethylene terephthalate. Clear plastic, in other words, said our Stu, wh o knows about these things.So can I recycle your plastic bottles and tetra pak cartons? Weve got a whole section on our website dedicated to this. You can check it out here. back to topargon your products suitable for vegans?Smoothies Were triskaidekaphobic as we cant pledge that our drinks are shellac free, due to the meek chance that tiny fares of shellac do make it into our drinks, we cant course of study our drinks as being suitable for vegans. Thickies no (they transmit dairy produce and honey). atomic number 18 your products suitable for pregnant women?Yes. Although weve heard that some of them opt coal. go off infants and children drink your products?Infants chthonian 12 months shouldnt drink our vanilla and honey bean thickies. The Food Standards confidence says that honey should not be prone to infants under 12 months old because of the piddling risk of botulism. Infantile botulism occurs when honey contains clostridia Botulinum spores, which infect the in fant catgut that then produces the toxin. This is not a job for anyone aged more than 12 months. Regarding children in general, our smoothies, thickies and juices are OK they contain nothing but crushed and juiced fruit (and low-fat bio yoghurt in the thickies), so the health properties should be welcome for kids who quite like sweets and crisps too. But it should be noted that our smoothies and juices contain a large amount of naturally occurring fruit sugars. For this reason you can add water to dilute them if you like.The FSA also recommends that for children, you should try to keep fruit juice to mealtimes. In general, determine on the ingredients panel and check the amount of fruit in each bottle. If it seems like a reasonable amount of fruit, then it will be OK. If you dont usually give your child this much fruit, then adjust the amount accordingly. We make a range of drinks specifically for children which you can find out about here. Theyve got less bits in them, as childr en seem to prefer their smoothies that way.Do you think I should dye my hair?No. Ive of all time thought that blonde suited you.why do you always use apples, oranges and bananas in your smoothies? These ternary fruits are a bit like the salt and pepper of the fruit world, except there are three of them. We use them for natural sweetness (apples), natural sharpness (oranges) and natural thickness (bananas). It beats using artificial stuff.So why dont you call your mangoes and heat fruits smoothie apples, mangoes and passion fruits? We name our smoothies according to whichever flavours you can taste the most. So we get if we were to start calling the smoothies apples, mangoes and passion fruits, it would be a bit misleading, as what you really taste when you take a discernment are the mangoes and passion fruits. All of the ingredients are printed in full on the label, so its not like were trying to be sneaky or anything.Do your products contain nuts?Our veg pots may contain trac es of nuts but our smoothies and juices contain no nuts whatsoever (which keeps the squirrels happy). be your drinks GM-free?Yes they are.How do you make sure your fruit is from ethical sources?Our ultimate aim is that we are proud of every piece of fruit that we use. We want to buy our fruit from farms that look after both their workers and the environment. To achieve this we have created our own set of minimum standards, that detail our expectations for all the applicable social and environmental issues. We are in the process of turn out these standards with our suppliers, and will work unneurotic with them to implement the agreed action plans. We belief that it is really important to understand the issues relevant to each country, and the pressures faced by our farmers, so we are meeting with more and more of our growers. As our fruit comes from all over the world this is a huge task, but one to which we are passionately committed.We know that there is no point recreating the roll up so we also work with established international accreditation organizations such as the rainforest Alliance. We first met them at a banana plantation in Costa Rica, and were so impressed with the work they do, that we now only buy banana from Rainforest Alliance approved plantations. The Rainforest Alliance kit and boodle to conserve biodiversity and ensure sustainable livelihoods by transforming land-use practices, business practices and consumer behaviour. It not only looks at farm workers rights and wellbeing, but also protects ecosystems on the farms, which encourages bio diversity. We believe this sustainable approach is the best one. A well run farm with motivated workers means better quality fruit and better productivity, which means we get nicer fruit and the farms are more profitable.Are you going to move all your fruit to Rainforest Alliance approved sources? No, it just isnt applicable for certain countries and certain fruits, like those that we source from the UK. But as the Rainforest Alliance nails into new software documentation territory, like pineapple, well be keen to keep on building our relationship with them. As they develop new standards for new fruits, we will assess their suitability for our growers. Whilst we dont like to boast, it turns out they quite take account the work we do and they showed their gratitude last year with this rather fetching trophy. Outside of the world of fruit they certify all riddle of things including coffee, cocoa and forestry. Find out more here www.rainforest-alliance.org back to topWhy dont you buy fairtrade fruit?We take the ethics of our supply stove incredibly seriously and took great care to find the best independent deposition scheme that matched our values, and suited our needs the best. Fairtrades primary focus is on the prices compensable to the farmers and social issues for small farms and cooperatives. Its a great scheme but we matte that Rainforest Alliance looked at a bro ader spectrum of issues (both social and environmental), which we thought was a better fit with our own ethos. Also, the Fair peck scheme predominantly certifies cooperative and and family run small holdings not all of our fruit is available from these types of farms, so Fairtrade isnt always applicable to our growers. Articles like this one from The percipient Food Monthly debate the key unlikenesss between Rainforest Alliance and Fairtrade (this ones about coffee).What is the innocent knowledgeableness?The innocent foundation is a concession giving charity that was set up in July 2004 with the idea of becomeing record and communities closer together for mutual benefit. innocent present 10% of our profits each year to charity, primarily to the innocent foundation, which bills rural development projects in the countries where our fruit comes from. Find out more here.Do your drinks actually contain shiny yellow pitcher plant/pebbles/cricket pavilions/small churches? No. hin dquarters I have some free drinks for my event please?We get lots and lots of requests for our drinks and as much as wed love to help everyone out, it would just be impossible. Instead, we give any wastefulnessdrinks we have to the homeless through the charity, Fareshare. You can find out a bit more about the good work they do here.Okay. But its for charity. Does that make any difference?Generally, we feel its better to be able to offer a significant amount of support to one cause rather than a little backing to lots of different ones. With that in mind, every year we donate 10% of our annual profits to the innocent foundation. Its remit is to fund Non-Governmental Organisations (NGOs) that work to bring nature and communities closer together. You can see a bit more about the projects we support at www.innocentfoundation.org. Hope that all makes sense.Im running a marathon/ climbing Everest/ shaving off all my chin hair for charity. Can you sponsor me please? Again, whilst we appla ud anyone who gives up their time to sit in a bath of baked beans or run further than the corner shop to airlift money for charity but if we sponsored everyone who wrote to us, wed be living off beans and no toast. Instead, we make sure that we give something back to the countries where we buy our fruit, via the innocent foundation.Can I borrow your car?The clutch has gone(p) funny, the fan belts putz and there are no windows. sum Ive forgotten where Ive position it.Lend us a fiver.No.4 Conclusions and Recommendations4.1 ConclusionInnocents success has been made possible just because of effective and innovative way of marketing which they adopted. Innocent used every kind of channel, big or small in carrying out its promotion. They used every kind of that marketing strategy in which low cost was involved but its impact washigh. The company updates the website and labels regularly. Innocent changed the label quite frequently to maintain the attention of its consumers Innocent ma de the customers loyal by doing little things but they made huge difference for them. Innocent was of the view that making their drinks good accessible to customers is very crucial and success of the company depends on it. The innocent also arranged a free event for its customers as a means of giving thanks to its customers for using their products. Innocent always remained active in interacting with its customers. The owners of the company didnt have much idea about how things should be done and no strategic plan was involved in making the brand name, its packaging and process of accounting entry it but surprisingly their idea was welcomed by the consumers as it was different and something they can amuse or laugh at.Innocent potence has been affected in 2008 after the asylum of Tropicana in the market. In April 2009, investment by Coca-Cola is seen as a wise step because as a result of minify in sales, it was necessary to maintain the brand value. Since the company is facing s evere competition from rivals such as Tropicana so living was required to be in the competition. blast will increase the distribution channels and give access to more markets by making customer aware of the product. Innocents premium positioning is a key advantage and it also has developed a strong connection with its consumers over the passage of time. Brand loyalty is good but they have to look at their prices if they want to sustain their position as people are becoming more price conscious. It is more difficult to save the customers than to attract new customers4.2 RecommendationsInnocent drinks should closely monitor the environment and conduct market research to identify issues as consumer behaviour, competitors strategies which can have an impact on their brand or positioning (OMalley, 1991). This will help the company to be proactive in their approach rather than reactive. As the market is becoming more global, there will always arise new opportunities but also threats as consumers also have access to variety of products from different countries with different tastes and nutritional values so innocent drinks must consider what their consumers want, their preferences if they want to pull round and be successful in the long term. SWOT analysis has identified the threats and weaknesses which innocent should consider and the opportunities which they should exploit by using their strengths.There are some strategies which can be adopted by innocent smoothies as market leaders. They should try to expand the market either by market penetration or by exploring new potential markets. Innocent can also try to protect their current market share which has fallen because of Tropicana by introducing new products into its line. More aggressively, they should try to increase their market share by reducing their prices which are quite high currently and by further increasing promotion. Innocent should also make good use of coaction with the Coke as it can provi de the company with lot of distribution channels.Innocent must focus on strategies which help them to attract new consumers and in retaining the breathing customers. Different promotional strategies can be adopted. The company can offer discounts, free samples for new customers to try, free gifts, coupons for customer loyalty, tickets for different events etc. innocent should also ensure that its product is available in as many places as possible. They can increase the availability of products on train/bus stations, petrol pumps and a lot more health clubs.Customer satisfaction is very important because that will encourage them to buy the products of the company again and they will also become a source of advertisement by referring the companys product to others as well (Gilson, 1986). It is the least expensive method of advertisement and promotion. Innocent can adopt some defensive strategies against Tropicana as well. Innocent can reduce the prices in the market in which the riva ls have greatest share. Secondly, it is good to have information about competitors move in advance so that appropriate actions can be taken. Diversification can also be done if the markets are becoming more vulnerable.The research has also shown that smoothies are not consumed in later part of the day so the company can make some drinks which are light, soft on stomach and which help the consumers in getting better sleep at night.Innocent should make use of its brand name by launching new products like ice cream. Sometimes, new products help in compensating the loss of failed products but the company must remain conscious in launching a new product because it is difficult to develop, have to carry out rigorous market research and there are also long lead time involved and if it fails, it will bring bad image to the brand and will affect the brand equity so the company must use all the processes of product development from idea multiplication to commercialization in order to palli ate the risks associated with new products.ReferencesBaines P., Fill C., Page K.,(2008). Marketing. New York Oxford University Press, Pg 374-382Ginden, R. (1993), The name game, Cheers, pp.59-62.Innocent drinks. http//www.innocentdrinks.co.uk (accessed 02/12/2009) Mintel. http//academic.mintel.com/sinatra/oxygen academic/my reports/ march (accessed 03/12/2009) OMalley, D. (1991), Brand means business, Accountancy, 107, pp.107-8.