Snapple

Snapple: Revitalizing a Brand

Abstract:

How could a brand rise and fall over the time this case tells us that. Snapple case presented issues that were related to how one brand was misaligned. During 1987 through 1993, Snapple was one of the successful brands of a variety of non-carbonated beverages that targeted mainly towards the young, health conscious consumers. Snapple provided many varieties of flavor to its consumers and placed them in different market segments which were mainly cold channel distributions. With a premium pricing strategy, it had price as an indicator of quality and was consistent with its positioning strategy. The success of its marketing strategies were able to enhance consumers brand awareness, brand recognition and brand recall. Subsequently, Snapple was sold to Quaker Oat in 1994 for $1.7 billion, the sale was in decline. How the brand lost more than Billion dollar value under Quaker’s stewardship in just four years, as well as Quaker made mismanagement in financial, marketing strategies. Accompanied with ineffective advertising and marketing programs, lost in trust in distributors and increase in competition in the market, were among the reasons for the brand’s decline. In 1997, Quaker decided to sell the Snapple to Triarc for $300 million. Triac’s faced a number of similar problems Quaker Oat. Triarc’s new strategy for Snapple is to rebuild and develop new communication to revitalize the brand. Triacs invested heavily in new product development and employed dynamic marketing strategies. For rebuild brand to reconnect customer they used same marketing principles which Snapple used in their prime time like edgy advertising, strong distributor relationships, colorful labels and focused street sales. Successfully revitalization strategy Triac’s market sale increased dramatically and they got no. one position again. After showing this success Triac’s got attention from the competitors and Cadbury bought Snapple. This is 3rd time Snapple...