Cadbury Beverages Case Analysis
Cadbury Beverages Inc. Case Analysis
October 3, 2010
Cadbury Beverages, Inc. Case Analysis
Marketing executives at Cadbury Beverages, Inc. want to re-launch the following brands: Crush, Hires, and Sun-Drop soft drinks. However, Cadbury has seen several challenges arise in the eve of their next attempt to lead the market. Senior marketing executives decided to focus generally on the Crush brand of fruit flavored carbonated beverages. The key issues that were foreseen by Cadbury executives were the rejuvenation of the bottling network, figuring out brand equity, and develop new positioning. Lastly, there are numerous opportunities available for Crush to take advantage of that which …show more content…
Its’ threats are: huge competition, large advertising expense, and unplanned soft drink purchases.
Orange Crush Positioning
Three approaches can be considered to position the Crush brand. Using its’ characteristics which are its’ natural and competitive taste since 1954, bright color, and it comes in regular and diet. Its’ uses approach which are drinking for fun and during parties or on weekends. It also is healthier than cola’s. User approach includes adults, teens and children drink orange, avoid cannibalization with Sunkist, and target families with children. The plan is to target families with children so we recommend positioning orange Crush to the family with children at home on the regular segment, on the other hand the Crush diet drink positioning should be aimed at young people in big cities.
Crush advertising and promotion objectives is to build a cooperative relationship with bottlers, increase our market share and re-launch the Crush brand name. Strategies include recruiting new bottlers (setting the push strategy), attracting new customers (setting the pull strategy), increase merchandising & sponsoring, enlarge media’s network, and utilize coupons both for regular & diet drinks (Kerin & Peterson, 2007).
Crush Advertising Budget General : $11,970,000, Diet : $4,189,500, Regular : $7,780,500
Of that budget we allocate $0.38