IMC Plan Benefiting Tropicana Orange

Juice Products

Marble Communications
Prepared By: Austin Willis
Comm 427: IMC Strategy
Table of Contents

About Us 3
Objectives 3
Company Analysis 3
Product Analysis 4
Competitive Analysis 5
Consumer Analysis 6
Geographic Analysis 7
Market Analysis 7
SWOT Analysis 7
Recommended Research 8
Target Audience 8
Creative Strategy 9
IMC Strategy 10
Budget Allocation 11
Timing 12
Why Choose Us 14
Compensation 14
References 15
Appendix 16

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Marble Communications
IMC Case: Tropicana

About Us

Marble Communications is a full-service communications agency based in

Pittsburgh, Pennsylvania. Our strengths lie in making the visions and messages of our
clients come to life by utilizing innovative messaging strategies. We focus on developing
plans that will build the brands we work with into trending topics while staying true to
our mission and to that of the client as well. Just like marble, we are a polished agency
that is additionally heat resistant. We resolve problems that could usually burn an agency
and transform them into opportunities. By building an everlasting relationship with our
clients and fully understand the significance of working as a team, we conquer and
succeed in polishing other businesses.

Objectives

Emphasize the health benefits that the potassium within the product offers
consumers
o Its ability to reduce the risk of having a stroke and high blood pressure

Gain more attention from millennials (ages 18-24) whom are more focused on
their health and are not yet loyal to a specific brand

Ensure Tropicana is the first brand to claim the benefits of potassium citrate

Increase overall sales by 7% for the duration of one year

Increase the number of millennials that purchase Tropicana orange juice by 5%

Company Analysis

Seeking a unique opportunity to achieve what we refer to as the American

dream, Anthony T. Rossi created Tropicana. The Tropicana name was trademarked back
in 1949 and was the first business to send its orange juice product to supermarkets fresh-
chilled. Tropicana is the leading producer of orange juice nationwide outselling its closest
competitors, Simply Orange Juice and Florida Orange Juice. It is the most desired brand
among orange juice drinkers, males, senior citizens, African Americans and high-income
families.

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 In the beginning, Tropicana was a separate business model, however, PepsiCo,
Inc. bought Tropicana from the Seagram Company for 3.3 million dollars in 1998 and has
kept them as a client ever since. PepsiCo, Inc. most recently invested in a multimillion-
dollar marketing campaign for Tropicanas newest product, Trop50, hoping it will reach
success as a low-calorie juice brand. PepsiCo also introduced new green and fortified
juices to Tropicana in 2015. PepsiCo, Incs main goals include offering healthier options
to consumers and increasing positive nutrition for their brands. With yearly sales
reaching of 6.2 billion dollars, Tropicana can maintain control of a 29.8% market share.

PepsiCo is currently ranked in the top five beverage companies and is working to
move their way into the number one spot. With a vegetable/juice blend in their additional
products, Tropicana is beginning an era of marketing to the health-conscious millennials
around the world.

Product Analysis

For nearly 70 years, Tropicana has been providing a quality orange juice beverage
to consumers. Founded back in 1947 by a gentleman named Anthony T. Rossi, the initial
mission of making the goodness of the finest fruit accessible to everyone is still
followed and implemented by the company today. Rossi arrived in the United States with
only 25 dollars in his packet and yet was able to develop flash pasteurization along with
pioneering orange juice transport in 1970 via train. Both of which lead to the
popularization of Tropicana.

Furthermore, it was dated back in 1954 when Rossi cleared a unique pathway for
his beverage to enter the competitive market. Rather than following the method of
producing frozen juice concentrate, Rossi introduced fresh chilled juice that was able to
keep its intended taste thanks to his discovery of flash pasteurization. Since this finding,
the Tropicana brand has continually grown and became a competitive brand in the market
over the years.

In 1998, Tropicana was placed in the care of PepsiCo Beverages Group.

Tropicana is ranked the fifth largest brand. A total of 6.2 billion dollars in annual sales
are generated at a global scale from Tropicana alone. A star player within the brand is
Trop 50. Trop 50 consists of 42% orange juice and contains a natural stevia-based
sweetener. However, throughout the years, Tropicana still remains the orange juice
category leader.

In 2011, Tropicana revised its appearance by adapting its logo to become more
appealing and discontinuing their use of carton and began distributing their product in
plastic carafe for their Tropicana Pure Premium juices. The new and improved containers
had an advantage over carton by being recyclable. According to Ecostar, PET plastics are
ranked as the number one recycled material in the world when compared to other
materials. The design is additionally easier to handle and pour the product with the use of
a handle incorporated.

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 Tropicana has put most of their focus on the natural aspects and benefits of the
brand. Tropicana purchases more Florida oranges than any other beverage in the
market. Approximately one-third of the oranges in the state get sent to Tropicana to use
for their products. Key nutrients within the Tropicana product include Vitamin C, Folic
Acid and Potassium. Furthermore, products like Tropicana Pure Premium provides
consumers with two servings of fruit, more than a days worth of vitamin c and the same
amount of potassium as a medium-sized banana in one 8oz class.

The overall mission of Tropicana is to be the worlds premier consumer products

company focused on convenient foods and beverages. Furthermore, turning from the
state of awake to alive serves as their vision.

Competitive Analysis

Minute Maid:

The first frozen orange juice was created in 1946 by the Vacuum Foods Co. and
was named Minute Maid in the United States. In 1960, the Coca-Cola Company acquired
Minute Maid and in 1980 the company decided to add lemonades and punch to the mix.
In 2011-12, Minute Maid created a light version of its OJ and lemonades. By changing
bottles to PET plastic (plastic made partially from plants) in 2014, Minute Maid aligned
itself with environmental sustainability. 58% of Adults ages 18+ HHs use Frozen Orange
juice, trumping Tropicana by 19%. Minute Maid holds a 10.4% share of voice, trending
slightly up from 2008-2015.

Florida Natural:

Floridas Natural Growers was formed in 1933 by a few close growers looking to
create a high quality citrus product. Florida Natural is currently one of the leading
cooperatives of citrus growers, owning more than 60,000 acres of groves in Central
Florida. Products include orange juice, cranberry juice, lemonades, and grapefruit juice.
The company has focused on smoothies and recipes on their website. Despite the variety
of fresh products, they do not make frozen products; about 34% of Adults ages 18+ HHs
use Florida Natural in their homes. In addition, Florida Natural is stable, with a share of
voice of 17.3% in the industry. Their print advertising has featured slogans like A
Natural Healthier You and in 2014 Florida Natural hired Merkley + Partners to handle
their advertising.

Simply Orange:

Simply Orange, founded in 2001, is a brand of The Coca Cola company based in
Apopka, Florida. The company makes non-sweetened or concentrated fruit juices and is
never frozen. Simply Orange juices come in a variety of sizes (59, 89 and 11.5 fl. oz) and
recently created a 100% recyclable Plant Bottle, made from up to 30% of plant materials.
Trending upwards, Simply Orange holds 23.6% SOV.

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Private labels:

The Harvard Business Review stated that private labels are considered as strong
competitors within the market. In fact, within the past 20 years, private labels have
achieved an average of 14% market share. Ultimately, this is taking away from brand
such as Tropicana.

Consumer Analysis

As years have passed, we have collectively become more of a health aware

nation. In fact, the Bureau of Labor Statistics made known that individuals are beginning
to spend more money on fruits and vegetables than any other food product on the market.
Additionally, in a research analysis titled Analysis Of Consumer Preferences Toward
100% Fruit Juice Packages and Labels It was made known that the annual spending on
fruit and vegetable juices is approximately 19 billion dollars. With the influx of
consumption of fruits and vegetables, an article titled How America Fell Out Of Love
With Orange Juice released that consumption of this beverage per capita has decreased
by 40% over the past fifteen years. In order to build the love for Orange Juice as a
healthy alternative, and understanding has to be gained regarding who the current
consumers are.

Fruit juices have seen growth within certain demographics such as young children
and adults ages 18 to 44 as stated by the Produce for Better Health Foundation.
The expected growth of fruit consumption is predicted to be 4% within the next 5 years.
Juice specifically, children under the age of 6 consume most of the fruit juice even with a
22% decrease in consumption since 2009. Both males and females above the age of 65
also drink more than any other age group other than children 6 and younger. Because the
target market is not currently a dominant consumer of orange juice, we are using
millennials (18-24) as an opportunity to expand the target audience of Tropicana.

Within developed countries, citrusindustry.net calculated that 10 to 15 liters of

orange juice is consumed per person per year. This is on a nationwide scale and our focus
will deal with reaching an audience that doesnt commonly drink orange juice. Further
research has shown that African-Americans and Hispanics are the top two races that
consume the product. Additionally, males are more likely to drink Tropicana orange juice
over females and it was said that there was no significant difference between the
likelihood of consuming orange juice for a family that has no kids versus those with kids.

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Geographic Analysis
The Northeastern region of the United States is the leading consumer of orange
juice. Most of the oranges and orange juice within the market are produced in southern
Florida and Tropicana purchases 1/3 of these oranges to be used for their juices. Since
Tropicana currently sells most of their product in the Northeast, we will be focusing our
efforts in reaching out to the other regions of the United States

Market Analysis

With the increase in number of individuals attempting to live healthier lifestyles

there is an opportunity to direct marketing efforts to the millennial target audience that
was previously stated. 37% of Tropicana is purchased during the weekend alone. In our
efforts, we plan on utilizing our strategy during the times that people are more willing to
go out of their days to purchase the product alone. Furthermore, 33% of these purchases
are being made in the afternoon.

Orange juice has been a common beverage to enjoy for breakfast, but as years
passed, this is no longer the case. Orange juice consumption is expected to decline due to
the fact the people are attempting to be healthier. Luckily, our target market (ages 44 and
up) already consume much of the orange juice sold due to the potassium benefits, but the
benefits can be known in other age groups to prevent a decline in the market.
Specifically, the potassium within orange juice.

SWOT Analysis
Strengths

Contains more fruit juice than any other juice drinks in the market
PepsiCos fifth largest beverage brand
Experienced and quality management
No. 1 orange juice in the United States
Holds two-thirds of the market
Estimated sales reached 6.2 billion dollars globally

Weaknesses

Many substitute products

A more expensive brand
Minute Maid makes more sales in the frozen beverage market

Opportunities

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 Makes people active
Establish impactful shelf presence
Expansion in other areas of the country
Trop 50 is a promising product with 42% orange juice based and natural stevia-
based sweetener
Has a strong history that consumers have remained loyal to
Natural drink marketing techniques

Threats

Presence for coffee over juice

Unpredicted demand
Tropicana is continually going against other major orange juice brands such as
Minute Maid and Citrus Hill
People are becoming more conscious regarding what the consume

Recommended Research

Our strategy for gaining data involves the implementation of a consumer survey.
The survey will focus on gaining data from our target audience but also on orange juice
consumers of every age. In order to develop an effective messaging strategy, we need to
understand who is currently buying orange juice and what the determining factors are
when deciding on a specific brand. The survey will be made available by phone to gain
participation from our older demographic (ages 50+) and via email to reach out sub-target
audience (millenials). Basic demographics such as sex, age, income, location, race, etc.
These simple questions will help us understand the types of individuals that are drinking
orange juice.

Most of our research will take on a qualitative approach to gain an understanding

as to why individuals drink orange juice and how they feel regarding the different brands.
First, we will ask if they drink the product and why they drink orange juice. Further
questions will be how often they drink it, is there a special connection or meaning to the
brand they choose and how drinking orange juice makes them feel both physically and
emotionally. Then we would move on the brand preferences and how price, labeling and
marketing persuades their decision process. The conclusion of our research will test
peoples knowledge on high blood pressure, strokes and the benefits of potassium. All of
this information will assist us in successfully marketing the product to our target market.

Target Audience

Tropicanas current target audience is African Americans and Hispanics that are
45+ with high income. Tropicana consumers are more likely to purchase Tropicana
during a larger pantry stocking trip. Since Tropicanas prices are higher than other

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competitors, its consumers generally have a higher income. Tropicanas consumers are
more health-conscious, or at an increased risk of HBP or stroke.

We will continually target individuals ages 35+ since we already have their
loyalty and support. However, a sub-target market will also be reached during our
marketing efforts. We will direct some focus to millennials while maintaining most of our
focus on the current target audience. Millennials fit the mold of an effective sub-category
since they are also cautious for their health just like the older generations.

Beginning at the age of 35, individuals are exposed to higher risks of having a
stroke or developing high blood pressure along with multiple other negative body effects.
Due to this, it is key to include the positive ingredients incorporated within the Tropicana
product. Potassium will be included in our messaging because it has the effect to prevent
these negative body implications. Based on previous research, the younger portion of the
age rand that already makes up of the current target audience are more likely to purchase
orange juice. Than those in their 50s or older. Previously stated in this report, it was
further discovered that both males and females are equally willing to consume the
product coming to the conclusion that our target audience will still be focused on
communicating with both genders.

What also provides useful information is what parts of the United States is already
purchasing Orange Juice. The northeastern region of the United States is the seller of
most of the orange juice market. We will focus most messaging in this region in order to
further gain loyalty for the Tropicana brand specifically.

In conclusion, research has also made the statement that having kids in the
household doesnt make much of an impact on the decision to purchase orange juice. It is
mainly the parental choice to drink the product. Having said this, the main target
audience will be m=males and females ages 35 to 50 who reside in the northeastern
region of the United States that maintain their health and show a desire to reduce their
risks of negative body effect. Millennials ages 18-24 that fit this criterion will
additionally be reached through our messaging strategy and marketing techniques for
Tropicana to start building their brand loyalty.

Creative Strategy

Consumer Insights:

The following points are what assisted us in the planning and development of our creative
strategy:

People ages 35-50 are more likely to purchase orange juice

High blood pressure and the chances of having a stroke increases as you get older
Both millennials and older generations are becoming more health conscious
Millennials spend more money on experiences

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 Consumers are engaged in physical activities

Product Insight:

Potassium-citrate is used in Tropicana orange juice and serves the benefit of

preventing further risks of high blood pressure and having a stroke.

Creative Strategy:

Based on our objectives and a desire to emphasize the benefits Tropicana orange
juice has to offer, we have decided that the slogan Make it a Tropicana day would
easily convey this message in a multitude of ways. We want to communicate with our
target audience, adults 35 and older, that Tropicana gives them their needed daily-dose of
Potassium to help elongate their lives. Not only will Tropicana orange juice play a role
in benefiting the health of our target audience, the same message portrays a healthier and
happier way of going about your day for the millennials. Through our marketing efforts,
we want the target audience to fully be aware of the health benefits Tropicana orange
juice provides. Make it a Tropicana day will allow individuals that they have full
control to get out, be active, and make the most out of each day in productive ways. All it
takes is a Tropicana. Our strategy will include a partnership with Tasty videos promoting
healthy ways to use Tropicana when making smoothies, desserts, and more. This way, we
are advertising fun and easy recipes to meet the health needs of people everywhere. We
will also include an engaging Tropicana Snapchat filter to promote the brand in a way
that will reach our target audience. The advertising being implemented will convey a
sense of taking control of your life and happiness in simple ways.

IMC Strategy

Promotions:

Promoting the brand and product is what will be needed to successfully gain
media attention and reach when trying to share information. One of our simpler
promotions that we plan on running is the use of information wheels in locations where
most of our target audience can be found. The wheels will be set-up in Weagmans, and
Wal-Mart locations in the northeastern region of the United States. Individuals will spin
the wheels and the arrow will land on a question regarding Tropicana, Potassium or even
exercise/orange juice. These questions will test their knowledge on Tropicana orange
juice and help inform the target audience of the benefits. Correct answers will award
people with Make it a Tropicana day Dri-fit T-shirts and headbands. These tables will
also offer tastings of the Tropicana products.

A larger promotion is the implementation of our Tropicana Olympic games. The

event title will play off our slogan Make it a Tropicana Day and be called A Tropican-
A-lympics Day. This will be and event that is held throughout the course of a month in
different locations around the country on various days. A list of days and places (large

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parks/field area) in which families (parents and their kids) can show up during the time of
the event in that location and sign up to participate in various fun and competitive games
that will get everybody in the family active. Families can then bond together and try to
win prizes. The grand prize being 3 months worth of Tropicana orange juice. To help
include those that cant come in-person, Tropicana will announce challenges, such as
runs, on social media platforms where people around the country can form groups with
their families doing the challenge and share videos and pictures of them doing it on
various social media platforms with #ATropicanaDayChallenge. By using the hashtag
and sharing a photo those will be sent a coupon from and for Tropicana. This will
promote to more millennials. Available Tropicana orange juice and information about the
benefits will be provided at these events.

Public Relations:

In addition to the promotions we plan on implementing, we additionally strive to

have several messaging strategies placed within both owned and paid media. To gain
more of a buzz for the Tropicana brand. With help of reaching out to the sub-target
audience, social media influencers will be asked to promote Tropicana orange juice with
our slogan and informing their followers on the benefits of orange juice as well as the
taste and feeling it brings.

Furthermore, we will reach out to Pinterest pages and Facebook accounts directed
toward mothers to promote the campaign as well. This will put the brand in front of
mothers who may be cautious for their and their families health. All of these
endorsements will wear the Tropicana merchandise that is sent to them and help
emphasize the different promotions.

Additionally, specific new media outlets will be contacted in the same geographic
areas as the Tropican-A-lympics events to set up interviews with PepsiCos CEO and/or a
Tropicana spokesperson to share the message of the campaign as well as the different
events that are going on. This will include the publications of press releases that inform
readers about the potassium benefit in the product and how they can live a safer and
healthier life.

Budget Allocation
By obtaining 2016 sales of the leading refrigerator orange juice brands in the
United States, we found that Tropicana was number one with $930.64 million. By
dividing last years sales number from the historical media spending budget of $20
million, we find a percentage of 2%. Because this is a global campaign and Tropicana
holds the highest share of voice at 27.0%, we decided to increase the budget from 2% to
5%, for a total of $46.5 million.

We are allocating 40% of our budget towards digital because of the predominance
of usage from our target groups. Our target audience ages 18-24 achieved an index score
of 130 for social media user ship while our older target group ages 35+ use TV as the

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predominant media platform. Therefore, we will be focusing 40% of our creative budget
towards social media and 26% towards TV (Simmons). We will allocate 26% of the
budget towards television achieved because although social media is the most used, the
18-24 year olds also have an index score of 102. Outdoor and radio will be utilized at a
lower capacity, but remain prevalent in adults 35+.

Timing
Timeline
TIME FRAME: 1 YEAR July 1st, 2017 to June 30, 2018.

Ojai oranges are most commonly used in orange juice products. These include Navel, and
Valencia oranges. Other oranges used in OJ products are Hamlin, Pineapple, and
Amberweet oranges, all grown in Florida. The fresh orange season typically runs from
October to June, so our timeline will be one year, starting in early July 2017 to the end of
June 2018, as according to the brands 2017-18 program.

We will hope to increase overall sales by 5 percent for the July 1st, 2017 - June 2018
period while also increasing sales in peak OJ Season by at least 12% in the Q4-Q1 2017-
2018 period vs. the prior year.

QUARTER 1: Increase Sales in Peak OJ Season by 4% by Increasing TV and Digital

campaign

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July 1st 2017- September 30th 2017

TV is the leading form a media used by adults ages 35+. In 2014, the average age of of
first time mothers in the United states was 26.3 and rising. Because children in K-12
school systems typically start schools early September, we will increase the TV and
Digital advertising within this quarter (beginning in July) so that parents are aware of the
nutritional benefits of Orange Juice as part of a balanced meal and healthy start to their
childrens days.

QUARTER 2: Increase Sales in Peak OJ Season by 4% by maintaining TV and Digital

but increasing Outdoor and Radio spots

October 1st 2017- December 31th 2017

By this time our TV ads will be continuously running while digital, including social
media platforms such as Snapchat, Instagram and Twitter, will be producing new and
exciting advertisements for Tropicana recipes as well as updating followers about
upcoming Outdoor spots. Radio will also be utilized during the hours of 6:00 am to 8:30
am while parents are driving their kids to school and themselves to work. Radio spots
during the hours of 2:30 pm to 7:00 pm will be utilized as well as this is the prime-time
frame of which working parents are driving home to pick up their kids or later while
driving home from work. Outdoor spots will include events at grocery stores where
Tropicana orange juice will be either given as free tastings or as a recipe tutorial.

QUARTER 3: Increase Sales in Peak OJ Season by 4% and Increase Brand Awareness

Between HBP/Stroke in Digital and Outdoor Campaigns

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January 1st 2018 - March 31st 2018

We will use Snapchat and create a filter specifically for Tropicana in specific geographic
areas. We will partner with Tasty from Buzzfeed to present new and interesting recipe
ideas using Tropicana both on Buzzfeed and on Snapchat. For example, Tropicana orange
juice can be used to make salad dressing or as a liquefying ingredient in smoothies. Our
TropOlympics will be advertised through social media campaigns during this quarter as
they will be held within the summer months (Q4). This will increase

QUARTER 4: Maintain Current Sales and Increase Brand Awareness in Advertising,

Thereby Repositioning the Brand for Renewed Long Term Growth

April 1st 2018- June 30th 2018

The Tropican-A-lympics will be a big event during the early part of the summer months,
emphasizing the benefits of Tropicana towards a healthy lifestyle by hosting various
running and Olympic-style events. Because orange juice is known for its benefits to
reducing stroke, these events will provide emphasis on a heart healthy lifestyle. Digital,
outdoor and radio spots will be running during this quarter to maintain brand awareness
in our consumers minds.

Why Choose Us

Marble communications is dedicated. We strive to polish or projects into works of

art. Into carefully crafted messages that will build a brand along with the reputation of the
company. We have used our passion and embedded it into a plan that speaks to our target
audience for Tropicana while attracting a new audience to start developing brand loyalty.
We find purpose and fulfillment in sharing the benefits of Tropicana orange juice. Let us
say thank you to you for giving us the pleasure to promote a brand we believe in.

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 Compensation

The compensation is suggested at a combination of a production mark-up of 5%.

We also have a suggested performance bonus of 7% if we are able to obtain our
objectives by the end of our campaign. Compensation is open for negotiation.

References

Bichell, Rae Ellen. "Average Age Of First-Time Moms Keeps Climbing In The U.S." NPR. NPR,
14 Jan. 2016. Web. 15 Feb. 2017.

Blodget, Henry. "If Newspapers And Magazines Think Life Is Tough Now, They Won't Want To See
What Happens Next..." Business Insider. Business Insider, 04 May 2014. Web. 07 Feb. 2017.

Editor, Newsroom. "Facts." Facts. N.p., n.d. Web. 06 Feb. 2017.

Ferdman, R. A. (2014, February 26). How America fell out of love with orange juice. Retrieved February
05, 2017, from https://qz.com/176096/how-america-fell-out-of-love-with-orange-juice/

"Growing Seasons Chart." Friend's Ranches. Friends Ranches, 2017. Web. 06 Feb. 2017.

Http://ljournal.ru/wp-content/uploads/2016/08/d-2016-154.pdf. (2016). Analysis Of Consumer Preferences

Toward 100% Fruit Juice Packages and Labels. doi:10.18411/d-2016-154

U.S. orange juice brands sales, 2016 | Statistic." Statista. N.p., n.d. Web. 31 Jan. 2017.Our Story. (n.d.).
Retrieved February 05, 2017, from http://www.tropicana.com/our-story

PBH Foundation | Produce For Better Health Foundation. (n.d.). Retrieved February 05, 2017, from
http://www.pbhfoundation.org/

Tropicana Consumer Insights and Demographics. (n.d.). Retrieved February 05, 2017, from
http://infoscout.co/brand/tropicana?ab=b&utm_expid=75303912-
21.aiFa0zGJQzyfc7McE2nqBw.1&utm_referrer=https%3A%2F%2Fwww.google.com%2F

What is PET? What is RPET? PET 101 for Consumers. (2014, December 19). Retrieved February 05,
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Appendix

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