Snapple's Marketing - An Unconventional Brand's Claim to Fame


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Case Details:

Case Code : MKTG148
Case Length : 23 Pages
Period : 1972-2006
Organization : Snapple Beverage Corporation, Quaker Oats, Triarc Group of Companies, Cadbury Schweppes Plc.
Pub Date : 2006
Teaching Note : Available
Countries : USA
Industry : FMCG

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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Excerpts Contd...

The Triarc Turnaround

Triarc acquired Snapple in early 1997, for $300 million. The company added Snapple to its beverages portfolio which already included the Mistic, Stewart's, and the Royal Crown brands. In May 1997, when Triarc bought Snapple, its sales were 42 million cases. Triarc named Mike Weinstein (Weinstein) as CEO of its beverages division and Kenneth Gilbert (Gilbert) as senior vice president of marketing...

The Cadbury Schweppes Acquisition

Triarc had reestablished Snapple as one of the leading ready-to-drink tea and juices brands by the time Cadbury Schweppes took over SBG. Snapple had a 28% market share in the premium beverages category as of mid-2000.

Cadbury Schweppes continued with Snapple's unconventional marketing. After the acquisition, Gilbert decided to take a break, and Weinstein was given an extended contract with SBG, but he too did not remain with the company for long. The changes in management did not affect Snapple's growth, as Cadbury Schweppes continued from where Gilbert and Weinstein had left off, in terms of branding and positioning...

Conclusion

Snapple was considered by many to be a good example of a conventional product that was marketed in an unconventional fashion. Over the years, the brand used various innovations and marketing strategies to remain popular in the market, and also built up a loyal fan following...

Exhibits

Exhibit I: Snapple's Portfolio of Drinks in 2006
Exhibit II: Snapple's Retired Flavors
Exhibit III: Snapple's Fruits Ad in 2001
Exhibit IV: Sales and Market Shares of Ready-to-Drink Tea Brands in U.S.A in 2002
Exhibit V: Snapple Kiwi Teawi Iced Tea
Exhibit VI: A Screenshot from Snapple's 'Real Experiences' Ad Campaign
Exhibit VII: Examples of Snapple Real Facts

 

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