Post on 07-Apr-2018
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PINNACLEThe Peak of Perfection
Topic
Retailer survey of TropicanaGroup membersAbhishek JainFaraz KhanKamal SainiKaran PeriwalShruti Gurha
Upasana Choudhury
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Retailer survey of Tropicana
Objectives
The product range of Tropicana
Market value of Tropicana Tropicanas positioning in different retail
sectors
Tropicanas retailing strategy Sector wise analysis of Tropicana
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Tropicana: Subsidiary of PepsiCo. family, a world class leader in foods andbeverages.
Tropicana went Public in 1969
Purchased by Beatrice in august 1978 for $490 million in cash and stock.
Sold to The Seagram Company Ltd., the Canadian alcoholic beveragemaker, for $1.2 billion in March 1988
Sold to PepsiCo in 1998
The juice business was sold to the beverage giant for $3.3 billion incash. Rodkin was then the President and CEO of the company.
Tropicana Products, Inc.: the leading producer of chilled orange juice and
claims the top spot in the overall U.S. orange juice market, with a share of33 percent
Tropicana distributes its products in 23 countries
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Product Line, Depth and Width
TROPICANAPREMIUM GOLD
TROPICANASEASON'S BEST
TROPICANATROPICS
TROPICANATWISTER
Orange juice Orange Sweet-Orange Orange
Apple Pineapple Mango
Grape Mixed Fruit Grapes
Orange-apple Tango
Tropical Fruit Juice(fruit fusion)
Mango Nectar
Litchi
Guava
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PRODUCT MARKETSHARE
PRICE MARKETINGSTRATEGY
PACKAGING Tag Line
REAL 40% Rs 15 for200ml
Caters children byintroducing real
junior.
Introduced real
active for the health
cautious customers
Introduced theschool kit.
Real juices are
available in
packs of 200ml,
1 litre
Taste likeeating a
juice
MINUTE
MAID
35 % Rs 25 for
400mlLaunched kata aam
panna in response to
the Tropicana
twister
Available in the
packs of 400ml
and 1 litre
bottle.
There is a
goodness
in every
minute
TROPICANA 30% Rs 15 for200mlChanged its tastefrom bitter to sweet
to attract Indian
consumers.
Introduced new
products like
Tropicana twister.
Launchedtwister in
returnable glass
bottles.
Others juices are
available in the
packs of 250 mland 1 litre
Tootpadega
fruit
MARKET VALUE OF TROPICANA
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SWOT ANALYSIS
Strengths
FUNDAMENTAL FINANCIALSOUNDNESS
GOOD SUPPLY CHAIN
COMPARATIVE PRICING
STARTEGY QUALITY AND QUANTITY
QUALITATIVE MANAGEMENT
Weakness
WEAK PROMOTION STRATEGY
LESS CONSUMER PREFERENCE
Opportunities
DEVELOUPMENT OF NEWPRODUCTS POSSIBLE
A WIDE MARKET STILL TO BEFULLY EXPLORED
COULD THROW LOCALCOMPETITORS OUT OF THECOMPETITION
Threats
COMPETITOR IN FORM OF COCACOLA EQUALLY STRONG
MORE TIME IN PLANING MAY KEEPTROPICANA OUT OF THECOMPETITION.
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Retail sector wise analysis of Tropicana
Kirana stores Fast moving product
High profit margins- 12%
PepsiCo offers fringe benefits to theretailers
Good supply management of the stock Easy payment facility for stock available
Hypermarkets Increases distribution network
13% profit margin per piece
Various discounting facilities offeredupon retailing in hypermarkets
Brand value
Bars & Restaurants
Close to 50% of restaurants, bars didnot stock the new variants.
- Business Standard
Hotels
Less profit margin in comparison tofresh juice
Hotels customers prefer fresh juiceand not juices with preservatives oradditives.
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SURVEY ANALYSIS OF TROPICANAS
POSITIONING
IN DIFFERENT RETAIL SECTOR
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COMPETITIVE PROFILE
REAL--Targeting every section of
society
TROPICANA-- Targeting youngsters
MINUTE MAID-- Facing tough competitionfrom others
OTHERS-- Compromise with Qualitybut nominal price
real
47%
tropicana
35%
minute
maid
15%
others
3%
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SPATIAL CONVINCE
30%
30%
15%
25%
REAL
TROPICANA
MINUTE MAID
OTHERS
SPATIAL CONVINCE
Spatial convince:The area provided by theretailer to the product on
shelf.
Real and Tropicanaprovides almostequal profit margins.
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Ratings
RealAvailable in lower
segment so high
consumption
Minute maid
Facing high competition
from other products
TropicanaHave good hold in upper
segments of consumers
survey analysis
0
1
2
3
4
5
6
real minute maid tropicana others
PRODUCT
RATINGS
Series1
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Tropicanas Retailing Strategy Tropicana in India since 1988- slow mover; as company opted for a Selective
distribution strategy.
Cornerstone of Tropicanas success- Controlled Distribution Strategy and tightmanagement of inventory
Revamped their products to suit the Indian palate.
Health awareness-The Indian Medical Association (IMA) will now endorse PepsiCos Tropicana
fruit juices-partnership for health!
Diversification of portfolioLaunch of 'Tropicana Twister - customer targeted young generation.Under Tropicana Tropics-introducing new flavours i.e. mango nectar, guava
pulp and litchi juice- tickling the Indian taste buds.
Good Planning and advertising Get People to Product
Mixing modern and traditional trade via trial generations, TV, radio, outdoorsand consumer-trade promotion.
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ANSOFFS MARKET EXPANSION GRIDEXISTING PRODUCT NEW PRODUCT
ExIsTING
CU
STOMER
NEW
CUSTOMER
MARKET PENETRATION
Tropicana penetrated the marketby introducing various fruit drinkslike oranges , apple etc .
It was mainly to cater the studentsand younger generations .
PRODUCT DEVELOPMENT
Tropicana premium Gold will soonbe rebranded as Tropicana 100%
It is to communicate the health
attributes of a brand more clearlyto customers.
MARKET DEVELOPMENT
Tropicana has entered into an
agreement with INDIANMEDICAL ASSOCIATION forendorsement of its products.
DIVERSIFICATION
Carbonated drinks were the main
product.Started manufacturing fruit drinksand fruit juices to cater the healthcautious customers.
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CONCLUSION
Tropicanas Marketing Mix Suggestion1. PRODUCT- Realization! Apt diversification of the products
2. PRICE Attention needed!!!
On combining of products and services- special offers and promotions
3. PROMOTION- Great success achieved!
Sales bound to increase- excessive publicity of Tropicana-IMA deal
4. PLACE- Focus on the presence of brand in public forums! Tropicana should sponsor events i.e. Management meets in B-schools
5. PACKAGING- Twister packaging is glamorous and a hit!
Tropicana juice needs repackaging- retention of the brand along with the bottles
6. POSITIONING- Toot Padega Fruit!
Designing Tropicanas strong presence- every recreational center, educational institutions,hospitals, corporate meets
Labor on the idea: Wholesome Drink- TROPICANA ONLY!7. PEOPLE- "got the right people on the bus, and the wrong people off the bus."JIM COLLINS
Recommended Area Sales Managers meet with the retailers for feedback get the right peoplein the right seats on the bus Good to Great, JIM COLLINS
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