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S t r a t e g I c e t i n g

A S S I G N M E N T O N

M a r k

A competitor analysis of the Sprite soft drink brand is being conducted. Management plans to position the brand against its key competitors. Should the competitors consist of only other non-cola drinks?

S U B M I T T E D T O:
Dr. Masudur Rahman Director: MBA Program Daffodil international University Faculty of Business & Economic

S U B M I T T E D B Y:
Latifa Rahman Bidita 092-11-956

S u b m i t t e d D a t e: 19th April, 2012

Table of Content

No. 1.

Subject Introduction & Positioning

Page no. 1

2 2. Analysis & Swot Analysis Key competitor Analysis We can see which is better than other Similarities and Differences Sprite soft drink management process against the key competitor The Strategic Planning Process 3 3 4 5

3. 4. 5. 6.

7.

8.

Recommendation Conclusion & Reference

Introduction:
In everyday life soft drinks get the popularity all over the world and noncola soft drinks can achieve the strength and create appeal to the customers mind. Sprite is a crystalline, lemon-lime flavored, caffeine free soft drink, produced by the Coca-Cola Company. It was introduced in the United States in 1961. This was Coke's response to the popularity of 7 Up. It comes in a primarily silver, green, and blue can or a green clear bottle with a primarily green and blue label.Sprite is the number two brand, behind Coca-Cola. It is cokes largest brand in china, No.2 in India, No.3 in USA. Image is nothing- thirst is everything-obey your thirst. Sprite was introduced in the United States in 1961 to compete against 7 Up. In the 1980s, many years after Sprite's introduction, Coke pressured its large bottlers which distributed 7 Up to replace the competitor with the Coca-Cola is main rival. In large part due to the greater strength of the Coca-Cola network of bottlers, Sprite finally became the market leader position in the lemon-lime soda category in 1978.

Positioning:
Main target of the Sprite is teenagers so in 1987 marketing ads for the product were changed to cater to that demographic. The slogan was used until 1994. "I Like the Sprite in You" was their first long running slogan. Many versions of the jingle were made during that time to fit various genres. Actually we all know that colouring and packaging is focus the Brand positioning. In 1994 Sprite created a newer logo that stood out from their previous logos. The main colouring of the product's new logo was blue blending into green with silver "splashes The word "Sprite" had a blue backdrop shadow on the logo, and the words "Great Limon Taste!" were removed from the logo. Official Logo stand until 2007.

Analysis:
We do not see R&D head of expenses, which would show that Sprite dose not assign sufficient amount to its R&D department which is key to excel in the market. If we see the proportion of Income generated by

different regions, we can easily infer that Sprite, because of innovative advertisements or because of intelligent decision making, still enjoys a competitive market position. We can still suggest them to make an efficient R&D head/ department which will surely make them compete in market, effectively and profitably SWOT Analysis is a strategic planning tool used to evaluate the Strengths, Weaknesses, Opportunities, and Threats inside a company, project, or a business venture. It involves identifying the internal and external factors that are useful for business to succeed.

Swot Analysis
Strengths Very well funded, clear color (good for people with braces or dental appliances), caffeine-free; versatile: can be mixed with other juices to create different taste sensations. Weaknesses Contents of the product are all chemical based which may cause health conscious people to avoid it; 7UPs (major competitor) website is far more informative than that of Sprite. Infrequent promotional campaigns and a mixed up voice of communication. Opportunities People who limit their caffeine intake prefer lemon lime soft drinks. Threats other non-cola brands like 7UP (major competitor) has recently been made a healthier soft drink. As well as competition from other brands in the lemon lime soft drink field such as Sierra Mist and Bubble Up.

Key competitor analysis:


Sprite is the No. 2 brand in the global world. But recently some soft drinks are competition with sprite such as PepsiCo, 7up, mountain dew, Merinda, and many others. But now 7up is the main key competitor of sprite soft drinks.

At the time we can see which is better than other:


In the world of clear sodas, only two brands reign supreme 7 Up

Sprite. Because of their sheer colors, these two popular sodas have a number of other similaritiesand differencesas you will see in this comparison article.

Profile:
7up is non-caffeinated soft drink with a lemon line flavor. The brand is marketed by Dr. Pepper Snapple group in the United States and license rights are held in the rest of the world by Pepsi co and its various licenses.

Origins:
7 Up was the invention of Charles Lipper Griggs, who set up the Howdy Corporation in 1920 in St. Louis. In 1929, Griggs thought up a formula for a lemon-lime soft drink that was initially named "Bib-Label Litigated Lemon-Lime Soda".The original 7Up also contained lithium citrate, which is a drug with mood-stabilizing properties. In fact, 7 Up was only one of many patent medicines sold during the late-1800s and early-1900s, and it was marketed as a cure for hangover. Early marketing material billed Sprite as a drink mixer that was a bit tart and not too sweet. These marketing campaigns also tried to play Up Sprite as a more sophisticated alternative to other clear mixers on the market, a thrust which was obviously aimed at its closest competitor, 7Up.

Ingredients:
1. combination of sodium citrate 2. Potassium citrate begun to be used as a means to reduce 7Up's sodium content. 3. Use of high-fructose corn syrup. 4. carbonated water, 5. phosphoric acid, 6. potassium citrate, 7. potassium benzoate, 8. citric acid, 9. natural flavors, 10. Aspartame and casual fame potassium. 11. High fructose corn syrup and caramel coloring.

Similarities and Differences between 7up and Sprite:

7up
A non-caffeinated soft drink with a lemon-lime flavor The most popular soft drink in the lemon soda category

Sprite
Introduced as a competitor to 7 Up in 1961Contains carbonated water. phosphoric acid, potassium citrate, potassium benzoate, citric acid, natural flavors, aspartame and casual fame potassium.

The Strategic Planning Process


So lets step back and take a look at what an end-to-end product planning cycle might look like when integrated with the companys strategic planning cycle. Assuming that a company resets its corporate strategy, financial plans, and product plans once per year, the planning process would ideally occur during the 3rd and 4th quarters of the fiscal year in preparation for the upcoming year. The five basic steps in the planning process (as depicted in figure 1) are: 1. 2. 3. 4. 5. Market review Financial review Corporate strategy Product strategy Product Roadmap and Release schedules

During the first step, product management presents a market review to executive management sharing facts on market trends and opportunities, key customer needs, and competitor moves and positions. During the financial review phase, the finance organization presents results on the financial performance for the company overall, for its sales channels and for its products. Providing revenue and profitability by product is critical to making good product decisions and developing effective strategies. The next step is where the companys executive team outlines its corporate strategy in terms of its vision, financial goals and its plan for achieving those goals. The corporate strategy should be explicitly presented to the product management team to facilitate development of a product strategy. During step 4, product management develops its product strategy considering market dynamics, customer needs, financial goals, and corporate strategy. It specifies what changes to the products are needed and indicates the financial plan for each product area.

The final step involves the development of a product roadmap and more detailed release plans for the coming quarters consistent with the product strategy. This roadmap becomes the official product plan of record and should be managed with formal change control procedures. This step is executed at the conclusion of the annual planning cycle and is repeated every 3 or 4 months to allow responses to changing market conditions and deployment schedules and should be re-approved by executive management.

Recommendation:
If sprite no. brand in the world but it have some problem.

Its customer decreasing day by day At present sprite change their drink tested They strong their marketing channel They also advertising more and more, radio, tv, newspaper, billboard, campaign Develop their technology Create new innovation Sprite Soft Drinks Company tries to build up good relationships their distribution channel, such as whole seller, retailer, intermediary and customer.

Conclusion:
Sprite Soft Drink Company is getting the popularity in this globe. This is a part of product Coca-Cola. This is mainly Service Company so they tries satisfaction their customer. Because companies achievement depends on the customers satisfaction. They create new product and innovation their drinks. Company should integrate with other companies, acquisition of potential competitor businesses, innovation in branding and aggressive marketing strategy can bring long term profitability.

Reference:
Sunfizzcommercial.com Coca-Cola Espaa http://www.thelostexperience.com/2006/05/10/ Sprite wikipedia