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Saturday, May 25, 2019

Are the Marketing Schemes of Innocent Effective? Essay

1. Introduction naive is a non-alcohol beverage company, which makes smoothies, succuss, juices for kids and veg pot. acquitted started in 1999 from selling smoothies in music festival. Now righteous, one of the auxiliary brands of Coca-Cola, has become UK number 1 smoothies brand. Innocent sales in 2012 ontogenesisd signifi evoketly by much than 35% while Coca-Cola, majority stake bread and butterer in Innocent, accession merely 0.8% in the stratum. Another beverage market leader, Pepsi sales rose gradually by 7.4%. It seems possible t eyelid these results be due to the extraordinary market focus of Innocent fo under. Innocent has been a anomalous-indistinguishability healthy and genial responsible brand. The increase in unobjectionable sale could be attributed to its unique market strategy.This essay would check into marketing schemes of Innocent that could contribute to this success. This will include background of the brand, marketing schemes based by demography, company social responsibility and recommendation from this study ambitInnocent was started in 1999 after selling their smoothies in a music festival. (Innocent,1999) It began with smoothies and expanded into food, juice and juicy water for kids. The name Innocent comes from the principal(prenominal) characteristics of drink, which atomic number 18 pure, fresh and unadulterated. (Cheesman,2007) In 2009, Coca Cola Company bought stake from Innocent with 18% stake, Coca-Cola has then gradually increased its share, into 58% in 2010, and a more than 90% shareholding in 2013. (Price,2013) And since the deal with Coca- Cola, Innocent has flourished weve doubled in size, improved the social and environmental standards of how fruit is grown, gotour natural, healthy food and drink to more plurality across Europe and donated millions of pounds to kindness (Innocent, 2013) , (mintel,2013) Innocent is the number-one smoothie brand in the UK and in many of the European territories where the product is sold. (Williams,2014) Now Innocent is available in UK and other 14 countries. Consumers could find innocent products in Supermarkets and coffee shops. With the good responsible to society, Innocent has donated 10% of profits ein truthyear to charity since 2004.Main competitor of Innocent is Tropicana, which own by PepsiCo. Tropicana and Innocent pee-pee been ranked as top brand of juice and smoothie over this century.Figure 2 tether makers shares in the UKs off-trade fruit juice, juice drink and smoothies market, by value, 2011/12 and 2012/13 (mintel,2013)Figure 2 Pie chart of numbers of users of juice and smoothies (Kantar Media,2013)3. analytic thinkingSWOT analysis of Innocent BrandSTRENGTH SLeading smoothies brand in UK100% from pure fruit healthy brand identityWide distribution channel estimable brand environmental, socialVarious product rangesWEAKNESS WHigh price compare to other brandsCoca-Cola hold share negative effect to healthy brand image OPPORTUNITY OLo wer the price to expand consumer market basePromote innocent as quick and easy smoothies kinda of do it yourself smoothies. Expand market to emerging marketTHREAT TPrice sensitive market instead of agiotage product imageSubstituted products e.g. green teaHigh competitionTable SWOT analysis of Innocent BrandTable 1 shows the main characteristics of the innocent company, based on SWOT analysis. Segmentation and Target market of InnocentConsumer market segmentInnocent main target market result for target marketConcern for AudienceInnocent Marketing ApproachChildrenParentsKids beveragesChilds health and well-beingLabeling, TV advertisement, prodigious hauntshipChildrenFun, ToysOutstanding packaging (plus magnet) ,gameTeenagersXJuice, SmoothieSports, MusicOlympic sponsorshipYoung professionalsProfessionalHealth (Nutrition)LabelingOnline MarketingOlympic sponsorshipMiddle agesHealth (Nutrition), EthicalCorporate social responsibility (CSR) ,Online MarketingOlympic sponsorshipSeniorsSe niorsLabeling ,TV advertisement,Corporate social responsibility (CSR)Table Analysis of marketing approach by marketing segmentFrom the Table 2, it illustrates the variety of product line and the target customer ranges. Each specific marketing approach could get into most of the target segments. The Innocent product lines consist of smoothies, juice, kids beverages and food. From the table, main market target could be divided into 4 assemblages, which are parents, nipperren, professionals and seniors. Marketing approaches are used other than regarding to the concern of each target segments.Healthy product, or a healthy brand identity is a concerned issue for most of Innocents target market. Not and do adults bribe themselves, Innocent, healthy brand identity products, but adults who have child will also buy their child Innocent because of its healthy brand identity. Promoting the product, which is good for health, can bring a trust to parents. (Mae, 2011Smith,2011) Mothers has al so been the innocent target on television advertisement in order to significantly boost on the sales growth of children range . (OReilly,2011) With the inexpugnable brand identity, Innocent has got the hearts and wallets of the British public. (William,2013)Another outstanding marketing approach of innocent is corporate social responsibility (CSR). CSR has become an essential part of a social-institutional framework. More and more slew has experience growing wager in CSR (Berger, Steurer, Konrad, Martinuzzi,2007)Figure 3 Fruit juice ,juice drink and smoothies usages 2013 (mintel,2013) From figure 3-1 brand usage(mintel,2013) , the number of simple the best group is the majority of fruit juice, juice drink, and smoothies customer. This group of people, with greater financial freedom than other groups, worries about their look and status. CSR create the positive brand image to consumer, which leads to the positive personal identity of this group customer. (Naqvi,Ishtiaq,Kanwal,Ali,I nderyas,2013) The CSR is then adding more prestige to the product, which this target group loves to buy. Innocent became an official sponsor of London 2012 Olympic game with Coca-Cola, its stakeholder. Smoothies and juices were served to athletes and to visitors in London 2012 Olympic game. (Baker,2011) As the result of the Olympic game, one of the most world popular event, Innocent took advantages to promote their unique brand to great number of people. Within a year of being an Olympic sponsorship, Innocent sales had boosted by more than 35%.Innocent also provides fun to kids. Children could be attracted naturally with fun games and activities. Not altogether does Innocent provide entertainment activities to kids but it also provides fun learning resources to perfectly capture parents hearts. For instance, Innocent offered one of the various 6 easy to grow seeds within every box of kids smoothies and fruit tubes. (thedrum,2012)Compare strategies with competitorsCooperate Social R esponsibility (CSR)Cooperate Social Responsiblility (CSR) talent not be the most important of every business, although 97% of people would be more positive with the company. From MarketingWeek research(Tesseras,2013), more than 50% of people will buy product or service from a business that are contributing more to the communities.Big Knit the iron out since 2003 thatInnocent work with the Age UK, which is a charity for the aged, to keep elderly people across UK warm & healthy during winter. There has been a fundraising event in every year, whichInnocent has provided the pattern for consumers to cockle the picayune hats. Then Innocent puts the hats on the smoothie bottles and sells in supermarket normal shelf. Every bottle sold, 25p goes to age UK.On the other hand, Pepsi and Coca-Cola focus on eco-conscious consumers. Both Pepsi and Coca-Cola have invested significant resources in order to develop and launch environmentally friendly bottles. These two companies try to prove thei r method to tackle waste and improve renewability. (packaging gateway,2011)Although Innocent, Pepsi and Coca-Cola are all beverage brand, they use different Corporate Social Responsibility dimensions as analyzed in the below parameter tableInnocentPepsi + Coca-Cola crosswayJuice/smoothies/veg potCola drinksCSR dimension (Dahlsrud,2008)Social dimensionEnvironmental dimensionWho involve in this activities- Everyone who want to knit- Consumers who buy smoothies with tiny hat- Companys employeeHow does the CSR promote- Social media- Companys website- Companys websiteWho gain benefits from this CSR- Age UK- Innocent - Positive to company + Sale increase from product difference - Environmental- Pepsi /Coca-cola - Positive to company + Sale increase from environmentalawareness person Hows the feedback- Become viral- Brand mention-This fierce rivalry create potential to effect genuine environmental improvements worldwide. Table CSR parameter tableSince Innocent CSR dimension are in social dimension, people could deeply understand and follow more than in environmental dimension which might lead to more easily of the brand recognition in positive way. Big knit donation idea is concrete for customer to know the exactly amount of money they contribute for one product purchase. This can give rise to customer feeling of involvement. Both brands messages of CSR are added on the products. One is labeled on the bottle that it states greener product, while another one is vesture distinguished hat, which built audience a social responsible awareness. The Innocent campaign has become viral starting from official website to personal Facebook, Twitter and Instagram. The photos of knit hat were spread without active pushes from Innocent Company. It is barely seen such a campaign that can connect to its consumers and have consumers engagement as homogeneous as this before.Feedback and resultFigure 3 Leading soft drink brands ranked by buzz puddle in UK 2013 (statista,2013)Regardin g to Big knit, Innocent has a very strong brand reputation. It ranked as the highest with a score of 5.5, followed by Robinsons and Tropicana. The scores based on a survey of respondents that asks If youve heard anything about the brand in the last two weeks, through advertising, news or word of mouth, was it positive or negative?(Statista, 2013). The score show between January and December 2013.Table Leading brand juice market value (Mintel,2012)From many strategies of Innocent show the outstanding differential to other brands, as seen in table 3, and also the unique ability to make consumertrust. With consumer trust and innovative marketing, Innocent improves their market share of juice market every year. Innocent stands out the most especially for women under the age of 35 .The simple idea is always differentiated with the use of dynamic marketing. However, Tropicana get the most trust from consumer. It is the number one fruit juice brand in usage, and this helped to boost trust within it. (Mintel, 2013)Figure 3 graph shown differentiation vs trust (Mintel,2013)(Statista, 2013)RecommendationWith a strong CSR reputation of Innocent brand, other company can study and take innocent as an example to get the noticeable consumer involvement in CSR campaign. With the similar strategy, not only company will get positive image as an advantages, it will be also consumer market expansion.To clarify more, the similar social CSR dimension campaign will be used as an example. Thai Bev Company, which produces Chang beer in Thailand, distributes blankets to disadvantaged people during the winter. The beer company spread its awareness of CSR efforts via mass media that make lots of people know about the CSR campaign. However, the consumers do not felt into the social contribution while purchasing the product as similar as the consumers of the innocent do in the BIG KNIT campaign 4. ConclusionAfter analyzing all the relevant information, it can be concluded that the market scheme of innocent is very effective in many aspects. Firstly, according to brand identities, innocent has its own unique style, which differentiate to other brands and make its product stand in the premium segment. Secondly, with creative style of CSR strategy, this not only makes the name of the brand spread rapidly, but also increases sales and positive image of the brand in the same time. Lastly, innocent CSR strategy may be one of the groundbreaking campaigns, which will be noticeably beneficial case study that other company should follow.ReferencesAcademic.mintel.com,. (2014). 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