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Hawaiian Punch Essay

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Hawaiian Punch Essay
Case Study: Hawaiian Punch: Go-to-Market Strategy

Executive Summary

The Problem:

We want to create a new positioning strategy for Hawaiian Punch’s brand marketing plan that will help us remain innovative and sustain a competitive advantage. Hawaiian Punch, a top selling fruit juice brand needs alterations to stay up to date and remain the leader in our current market. Inconsistent positioning and low budget advertising are our potential risks of losing the top position in the United States to competition.

The Answer:

Hawaiian Punch should continue innovation as well as increased advertising, focused toward children and Hispanics, in order to solidify current market dominance as well as increase exposure to potential young
…show more content…
• Uses 2 distribution methods: Finished Product & Direct-Store Delivery

• Primary media employed by competitors is TV and magazines VS. Radio & Print

• Recent flavor extensions lack awareness

Strengths

• Named the number one fruit punch drink in the U.S.

• Benefits from CSAB brand equity

• CSAB fourth largest brand by volume

• Powerful brand awareness (94%)

• Uses two separate distribution methods to serve and sell the same product

• Punchy brings back good childhood memories

We believe our brand equity is our greatest strength because by leveraging the brand name of Cadbury Schweppes American Beverages, Hawaiian Punch gains brand loyalty that would otherwise take time and money to establish.

Weaknesses

• Lacked flavor extension awareness among households

• Their child centered focus was played down

• 77% of buyers only purchase one package size

• A new policy with the CASB banded advertising under the age of 8

• Inconsistency of products in the different distribution
…show more content…
Our recommendations to address this shortcoming are to expand our product line with new flavors targeting a new demographic.

The principal threats are competition in the industry and threat of substitute products. This makes it difficult to sustain our competitive advantage and remain the number fruit punch drink in the beverage industry.

Alternatives:

1. Do Nothing

We should continue the business process that has already led us to be the leader of the fruit punch industry. This would mean keeping the same $2.2 million for advertising, split equally between radio and magazine print advertising, as well as marketing to mothers and specifically African American mothers. We would also continue manufacturing the 11 flavors of the product line and two distribution channels.

Pluses:

• No need for restructuring business practices

• Easy to execute

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