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Snapple

Harvard Business School Case #599-126


Case Software #XLS-259

Copyright 2011 President and Fellows of Harvard College. No part of this product may be
reproduced, stored in a retrieval system or transmitted in any form or by any meanselectronic,
mechanical, photocopying, recording or otherwisewithout the permission of Harvard Business
School.
Exhibit 4 Snapple Flavors

% of Cases in 1996

1) Lemon Tea 15%


2) Kiwi Strawberry 7
3) Mango Madness 5
6) Peach Tea 5
5) Pink Lemonade 5
4) Diet Peach Tea 4
7) Fruit Punch 4
8) Raspberry Tea 4
9) Diet Lemon Tea 3
10) Diet Raspberry Tea 3

Top 10 of 50 Flavors 55%

Source: Triarc Company estimates.


Exhibit 5 Snapple Pro Forma Income Statement

Per 24-bottle Case

Retailer's price to consumer $19 in supermarket, $24 on street


Distributor's selling price to retailer $15 to supermarket, $19 to street
Manufacturer's selling price to distributor $10
Cost of goods (contract manufacturing) $6
Advertising and promotion $2

Profit before general and administrative costs $2

Source: Triarc Company estimates.

By "street" is meant street vendors, delicatessens, restaurants, recreation areas, etc.

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