Juice Guys Case Study Analysis
Nantucket Nectar and Juice Guys decided to expand this new Juice retail concept Into the East Coast. Their primary focus within the East Coast was expansion into the Boston market Although this sounded like a good idea at the time, the founder of Juice Guys did not take into account the surrounding challenges that would come with trying to promote a concept into a new and different market. One of Juice Guys’ biggest challenges was of the differences in climate and environment amongst the states that they were trying to Implement their product in.
For example, Nantucket Island, which Is based out of the West Coast, Is considered their “summer-only retail concept” (Fox & Rushmore, 1999, p. 3).
It is also considered a place where lots of tourists love to visit. In the West Coast, it was very common to see many people drinking cool fruit beverages and enjoying the weather and scenery. In contrast, the East Coast gets considerably cold during the winter months and is considered a “metropolitan city” (Fox & Rushmore, 1999, p. 3). This in turn states that the East
Coast Is comprised of a less tourism atmosphere and suffers climate changes that may affect a consumer drinking a cold fruit beverage outdoors during certain times of the year.
Another one of Juice Guys’ challenges was of product recognition and target markets. In 1999, Juice Guys’ competitors, Jamb Juice and Kuaka Juice opened up a store at Yale University in New Haven, CNN. They tried to introduce the new smoothie product and Juice concept to the East Coast, Just like the Juice Guys; however, the consumers were not knowledgeable of their products.
The article dated that, “many East Coast baby boomers were wondering, “what’s a smoother (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 indemnifying between the ages of 18-35 to be their leading Influential target market.
With having only one of The Four AS,” (the place), Juice Guys had to come up with a marketing plan to develop the other three AS: which were of product, promotion and price. Juice Guys knew they wanted to sell fresh Juices and fruit smoothies; however, they needed to know if the consumers wanted more than just those products. Also, they needed to find a way to promote their new products and make their prices economically feasible for the consumers in this new place; which was Boston. In order to accomplish this, they needed consumers to let them know what they thought was the ultimate Juice shop.
Marketing research talent Is “ten systematic eagles, collection, analyses, Ana reporting of data and findings relevant to a specific marketing situation facing the company’ (Kettle & Keller, 2009, p. 66). Juice Guys methodology to obtain their marketing research was through an in-depth 45-60 minute interview process that consisted of ten steps and of 19 people who fit the description of Juice Guys’ target market identification. The purpose of these interviews were to enable the founders to gain a perspective of what the consumer’s needs, wants, likes and dislikes nickering a Juice store were.
This was beneficial to the Nantucket Nectars employees because it allowed them to communicate with their potential future customers, it enabled them to get their brand name and product out in the new market and it also created potential successful long-term growths for future locations and geographical expansions. The marketing research that took place resulted in the following findings about the Juice Guys retail concept such as: the atmosphere should smell fruity, warm and inviting, and the employees should be fun, young and chatty.
In addition, it proved that the Beacon Hill District should address the issue of year round business by: doing more promotions in the winter months, serve seasonal beverages such as: hot Apple cider, pumpkin smoothies and cinnamon smoothies as well as serving other products such as: t-shirts, hats, vitamins, power bars and newspapers. I feel that the research findings were very beneficial and could have been very influential in helping out with the challenges that the Juice Guys had to face in trying to implement their product into a new and diverse marketplace.
My recommendations would be to take the information from the research and adhere to the customer’s needs and wants. First, the Juice Guys should create the ultimate Juice shop by focusing on the overall look and appearance of the store through implementing some of the color schemes and cleanliness and making it a cozy, friendly environment that was suggested by many of the participants that took the surveys.
Furthermore, they should hire customer service-oriented individuals who possess the skills that would be necessary in a friendly, youthful atmosphere.
Secondly, they should take into consideration one of their biggest obstacles, the weather, and create new products that would be considered seasonal beverages and/or snacks. For instance, being that Boston gets cold during the winter months, many customers would want more hot beverages. Serving hot teas, coffee, hot apple cider, pumpkin smoothies and even warm muffins could be a way for Juice Guys to gain product recognition and the making of new products in the process. Finally, the Juice Guys need to focus on their target market industry.
Although Juice Guys intensified their leading influential target market between the ages of 18-35; they should try to market to every age of the community by having different drinks and/or snacks that would cater to the needs of “every’ consumer; such as warm milk for babies to sugar-free muffins for middle-aged individuals. I feel that Juice Guys limiting their target market too particular age and class group only limits the company’s growth and potential to be well-known in that area of Boston.
In conclusion, recognizing and understanding such challenges in the ginning are what led the founders of Juice Guys to implement different research methods. However, good research is great for marketing and promoting a new retail concept into a completely different environment only when and if the research Tailings are telltale appropriately. I’m not sure IT ten Teenagers AT Juice Guys uses the research results or even realized the validity or importance of the consumer’s feedback, however, if they did utilize the information they could at least win over a certain portion of the Boston market consumer industry.