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Innocent Smothies Analysis

2200 words - 9 pages

The success of Innocent’s marketing techniques

Introduction
This assignment is about the Innocent company, its brand portfolio and the potential entry into the Spanish market. In the first part I give information about the company itself including its history, its current operations, markets and distribution channels. In the third section I conduct a macro environmental analysis and a more market-specific analysis by the 12C - framework as well as the Porters Five Forces – model. The fourth section comprises an assessment of the principal challenges that the Spanish market represents to the company in selling its products. The last part involves a personal evaluation of relevant entry ...view middle of the document...

, Kallo Foods Ltd that all operate in the beverage or beverage and food industry. (Datamonitor, 2009)

The Marketing Mix
The product portfolio of Innocent comprises smoothies, veg pots, kids smoothies, super fruit smoothies, thickies – a yoghurt drink, orange juice and pure fruit squeezies – designed as a snack for kids. (Datamonitor, 2009). Most of the offered products are available in different flavours and package sizes including multipacks, 1 litre cartons, 750 ml and 250 ml PET bottles. Innocent applies a premium price strategy by demanding relatively high prices for its brand products in comparison to its competitors. To promote its products the company uses different forms of publicity including television, print, press and outdoor advertising. It also communicates to its customers via the company's website consisting of a blog, a press section and a part for children. Moreover a monthly online-newsletter informs interested people about the current companies' operations. To raise the brand awareness and loyalty, Innocent has published recipe books and also organise each year a free musical festival called 'Fruitstock'. (wwwInnocent, 2009) Every summer they run a sampling-campaign on their own road show by distributing drinks at events and innocent stockists. To place its ads the company works together with a media agency. The total marketing spend has increased each year and amounted to £8 Million in 2008. (www.pdf).
With its intensive distribution strategy, 'Innocent' provides over 10,000 retailers to achieve a wide spread market coverage. (Datamonitor, 2009) Within the UK the company's products are available in supermarkets such as Sainsbury's, Waitrose and Somerfield, in selected branches of Budgens, Tesco, Asda, Morrisons and Safeway as well as in some chains like Booths or Starbucks. The beverages can also be obtained in several sandwich shops, delis, health food places and meditation centres. In the foreign markets the products are also distributed in supermarkets, cafes etc. (wwwInnocent, 2009) Depending on the market size of the foreign country, Innocent apply export or hierarchical entry modes. For launching their products in Finland and Belgium, Innocent works with a distributor. In France and Germany, the company build up an own team consisting of people both from the head office and the foreign country to combine the experiences in marketing, sales and services. (Innocentbook, 2008)
I assume that with its integrated marketing-mix, the company primarily target the children-, family- and the health-conscious, busy adult-segment. There is no age-limit within the target group but at least a medially income is necessary to afford the premium products.
The strategy
The strategy of Innocent is to build up a high-quality, tasteful, healthy, social and environmentally friendly image for its company and products. The 'fun-and-casual' characteristic of the brand is emphasized through the halo-logo, visible on each product. On its...

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