Andhina Dian Adhyanti

Daniella Arenander

Emir Isidan

Fernanda Schmid

Economic Environment• 2008 recession:

• Great impact until 2010

• Reduced consumption of healthy and organic products:

• More expensive

• “Luxury goods” rather than necessities.

• Premium fruit juice market: growth of 34.64% to $346.5 million (2012)*

• Trends:

• Health Awareness

• Balanced Diet

• Organic / All-Natural

• No sugar added

• Added benefits

• 1 in 4 adult American are LOHAS (Lifestyles of Health and Sustainability) consumers

http://www.factsfiguresfuture.com/issues/october-2012/super-premiums-have-sales-juice.html

Company

• Family-run company

• Two years in the market

• Fruit juice with fiber

• Four flavors:

• Peach Mango

• Concord Grape

• Blueberry Açaí

• Pome Blue Cram

Target Market

• Demographic:• Age range: 25-45• Gender: Female / Male• Middle-upper Classes (>60k

USD year)

• Psychographic:

• Independent

• Social

• Cool & trend-setting

• Health-conscious

• Open to trying new products

• Able and willing to spend money on healthier foods

• Practice Sports

• Work

• On the search for convenience

• Impulse Purchase

• On-the-go snacking

• Geographic:

• USA Market

• Focus:

• CA, WA, CO, NY, IL, MA, FL

• Market Size:

• US Population: 317MM

• > 60k USD/year: 37.5MM

• LOHAS (25%): 9.4MM

Consumer Personas

Liz is a 28-year-old production assistant, lives in Los Angeles. Practices Pilates 2x/week. Checks on all nutrition facts before buying food.

Robert is a 38-year-old chef & restaurant owner in NY. Needs Fiber because his diet isn’t healthy. Likes running in Central Park.

Carol is a 42-year-old mother of two teenagers in Orange County. Wants to keep and shape and be an example for her kids.

Number of Flavors Sizes Products Benefits Kcal USD

Nak

ed

Pep

siC

o 16 Smoothies (14 Fruit, 2 Vegetable),6 Juices4 Coconut Waters

15,2324864

Juices, Smoothies & Coconut Water

Protein, Vitamins

420 3,99

Od

wal

la

Co

ca-

Co

la

8 Juices, 29 Smoothies (4 fruit, 3 Vegetable, 10 Protein, 3 Kids, 3 Refreshment, 6 Superfood).

12 32

Juices, Smoothies &Cereal Bar

Protein, Vitamins

350 2,49

Bo

lth

ou

se

Cam

pbell’s 13 Juices

13 Smoothies (2 Breakfast / 4 Protein)4 Coffee

15,232

Juices, Smoothies, Coffee drinks,Dressings, Carrots.

Protein, Vitamins, Fiber (2 items)

420 2,99

Evo

luti

on

Fr

esh

Star

bu

cks 8 Fruit Juice,

4 Vegetable Juices,5 Smoothies (1 Protein)5 Hydrate

15,232

Juices, Smoothies, Cereal Bar, Nuts

Protein 280 4,99

Po

m

Pom

8 Juice (1 Lite), 3 Tea 15,232

Juices, Tea, Fresh Fruit, Pills, Juice Concentrate

Anti-oxidants(natural on fruit)

280 3,99

Juic

eo

lo

gy

Dak

len 4 Juices 15,2 Juices Fiber 180 2,99

Competition

CompetitionAlbertson’s (Safeway) – Camarillo, CA

Suppliers’ Power

Few suppliers

Expensive machinery

Barriers to Entry

Fast growth, good margins – very interesting market!!!

3rd-party production & distribution

Relatively easy to copy

Establish new brand

Substitutes

Fresh pasteurized Juices / Smoothies

Other sources of fiber (whole grain bread, granola bars, Activia)

Buyers Power

High Cost of Product Introduction

High promotional Level

Payment Dates

Rivalry

Biggest beverage companies in the world

High level of investment

Alternative ways to conquer market (ex: Odwalla

smaller size & price-point)

Porter’s 5 Forces

ProductProduct Objective:

• Sell 2.2 million bottles in 2014.

Product Strategy:

• Develop a line of healthy premium juices with fibers.

Product Tactics:

• Launch a Green flavor

• Re-launch Grape flavor with Plum and Blackberry

• Launch family-size bottle (32oz)

• Develop new visual identity and packaging

• Increase appetite appeal

• Develop Unique Selling Proposition

Juiceology - The Original Fiber Juice

A refreshingly pure and nutritious blend of

premium juices and whole grain extracts.

• Whole grains: heart health, healthy

weight

• Only 98 calories per serving and NO

SUGAR ADDED

• ZERO fat, Cholesterol FREE, and Vegan -

Wheat gluten-free

• All grains, fibers and vitamins come

from fresh raw foods

Product

PricePrice objective:

• Achieve a contribution margin of $711.096 (32% of net sales) in 2014.

Price strategy:

• Skimming:

• Increase the price to increase brand value perception

• Differentiate from competitors (no added value from fiber)

Price Tactics:

• Increase the price from $2,99 to $3,49

• Establish $6,00 Price for 30oz bottle

• Must continue affordable and below market leader (Naked Smoothies)

• Increase promotional level (BOGO, $1OFF Coupon)

Price

Bolthouse (2,99)

Sambazon (2,99)

KonaRed (2,99)

Kombucha (2,78)Aloe King (1,99)

Simple Orange (1,59)

Tropicana (1,69)

Evolution Fresh (4,99)

Naked (3,99)

Pom (3,99)

Juiceology (3,49)

Odwalla (2,99 – 12ox)

“Me-to

o” b

ran

ds

Low

differen

tiatio

nH

igh

Va

lue

Bra

nd

s

Place

Place objectives: • We want to be in 6 different store chains (Kroger, Walgreens, CVS

pharmacy, Safeway, Whole Foods, 7-eleven) with a target of 1644 stores.

Place strategy:• Work with 5 different distributors (one for each chain) and 20 jobbers (only

in CA) for 7-Eleven and smaller independent stores/fitness centers.• We are looking for mass stores (Krogers, Safeway) to generate volume and

visibility stores (Whole Foods, fitness centers) to increase brand awareness.

Place tactics:• Pay higher sales commission than other juice brands• Create Sales Incentives & Rewards / Recognition• Regular meetings / trainings with distributors sales teams• POP material: shelf talkers.

Place

Juiceology

Broker (commissioned)

Retailer Chains

Consumers

Jobber

Independent Retailers & 7-Eleven

Consumers

Promotion

Promotion objective:

• Create awareness through a target number of exposures of 390MM

Promotion strategy:

• Focus on publicity and Product Trial.

Promotion tactics:

• Regular press releases with nutritionist backup (product guarantee)

• Social media: viral videos, Facebook fanpage, Instagram, Twitter

• Create new brand website

• Advertisement: health & lifestyle magazine

• Product Trial: in-store, marathons, parks, fitness centers

• Coupons, Buy-1-get-1 new flavor free

Promotion

2014 J F M A M J J A S O N D

Demand

Trade Shows X X X X

Sales Incentives X X X X X

Press Releases X X X X X X X X X X X X

Viral Videos X X

Facebook / Instagram Contests X X X X X

Magazine Ads X X X

In-store Product Trial X X X X

Fitness Center Product Trial X X X X X

Parks Product Trial X X X X

Coupons X X X X X

Marathons X X X X X

BOGO X X X X

PromotionIn-Store Trial

Instagram Contest

Marathon Sampling

Breakeven Point

0

500000

1000000

1500000

2000000

2500000

0

50

00

0

10

00

00

15

00

00

20

00

00

25

00

00

30

00

00

35

00

00

40

00

00

45

00

00

50

00

00

55

00

00

60

00

00

65

00

00

70

00

00

75

00

00

80

00

00

USD

Volume

Breakeven

Profit

VariableCostsFixedCosts

SWOT

STRENGHTS:

First movers on whole grains

Flavors developed in-house

Fast decision-taking

WEAKNESSES:

New brand: low brand awareness

New concept: Juice + Fiber difficult to explain)

Limited resources (Money & People)

OPPORTUNITIES:

Development of new segment (Juice with fiber)

Consumers looking for new products

Health trend on the rise

Whole grains in high demand

THREATS:

Established brands copying the fiber concept

Smaller brands being bought by big companies with high advertisement and

marketing budgets

Thank-you!