Dr. Pepper Snapple Group Case Study

Pepper Snapped Group’s case, they may have the brand loyalty, budget, and awareness to pull it off. With a large market share and huge media budget, Red Bull makes it difficult for new brands to compete. Unless a brand is willing to spend a large amount of cash on R, media expenditures and competitively price its product to give incentive for consumers to switch from Monster or one of the other brands, it would not gain enough of the market share to compete. Red Bull is in a league of its own so new entries would mostly be competing with Monster, Full-Throttle, Tab,

Rockiest, and numerous other less popular brands.

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DIPS on the other hand has the brand loyalty, equity, image, and budget to support such a venture. It also has some unique qualities such as the addition of protein, a larger, re-sellable bottle, and an emphasis on performance over simply something to perk the consumer up. Since DIPS already has a target market, distribution network, and manufacturing set up, it could feasibly enter the market on the shoulders of its good name. The fact that DIPS has differentiated itself from the other brands also gives them a leg up.

If it loud successfully attract more consumers from the 35-54 year old range by riding its healthy image and promoting a healthier, more fulfilling energy beverage, it could that target market and become a great competitor.An opportunity lies in the 35-54 year old range.

It is a market that does not receive much attention and is not specifically targeted. Since this target market consumes only slightly less than the 24 and under market, there is a great opportunity to promote a product that suits their needs and advertisements that speak to them.

By capturing that market, DIPS will stay consistent with its brand image and give it the awareness and experience to begin transitioning into the 12-34 year old market in the future. After 35, many men and women begin to exercise harder, and more often to maintain their youth as much as they can. If DIPS can provide a happy medium between a sugary energy drink and a full-fledged protein shake, they could help the 35+ consumers feel younger, while still giving them beneficial ingredients that their bodies need. 4.

Deep’s brand image, I think its best bet would be to introduce a low Carr, low sugar, protein infused energy tea. Since the earliest civilizations, teas have been used for their various health benefits and today is no different. If they target the 35-54 market, a tea would be much more attractive than a sugary, carbonated beverage. Since Snapped has such a good name in today’s marketplace, especially with adults, I believe the drink should be branded under the Snapped name.

As of right now, Snapper’s most popular flavors out of all its products are Lemon Tea and Peach Tea.

DIPS could parlay that popularity into an energy tea by adding a few ingredients. In order to position itself in a more grown up market, differentiate itself from the competition, and stay true to its loyal customers, DIPS should introduce the energy tea an aluminum bottle with the same dimensions as its 16 oz. Glass bottles. This allows it to be resealed and gives it a different look than the energy drink competition on the shelf. 4-packs could also be considered for supermarket shelves.

The tea should keep with the healthy image by using vitamins, minerals, herbs, and there natural ingredients to provide sustainable energy and health benefits that other energy drinks Just do not provide. Instead of focusing on providing a large energy burst, DIPS should focus on providing a youthful, energetic feeling, and restoring the body to full potential. The new energy brand should be distributed mostly through off-premise retailers, but health conscious on-premise retailers such as subway would also be a good fit.

Convenience stores are a great place to start because of the amount of exposure they revive and their track record in the energy drink market. Supermarkets are also a must because the majority of supermarket shoppers are within the target market.

Whole foods would be a great place to showcase a new product to health conscious 35-54 year old adults. Also, vending machines in fitness centers and even placing fridges in sporting goods stores could attract attention from the target market. Other possible vending machine spots include golf-courses, college gymnasiums, police departments, firehouses, and airports.