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Alyssa Townsend

Client: Jones Soda Co.

Product: MyJones Soda

29 May 2013

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Product Situation Analysis

The Company:

Jones Soda Co. began in 1987 when founder Peter van Stolk recognized that there needed

to be more options of alternative beverages. The company started as a distributor of other

beverages in Canada, before moving into manufacturing and creating its own beverages in the

United States. By 1994, Jones was firmly established as a manufacturer known for creating high-

quality and unique flavors of carbonated beverages.

Jones Soda was originally known for its unusual distribution strategies. The soda started

out being sold in unique venues, such as skate shops, surf shops, snowboarding shops, tattoo and

piercing parlors and fashion boutiques. Inside these venues, the soda was displayed in large

coolers covered in flame decals to promote the youthful and fun Jones vibes. According to a

New York Times article by Kate Macarthur, Jones Soda Co. focuses on placing products in large

chain stores like Starbucks, Costco, Panera Bread, Barnes & Noble, Safeway, Target, Cost Plus,

Albertson’s and many more since 2004. In addition, the Jones RVs drive up and down the East

and West coasts, handing out soda and creating personal connections with people across the

country. The company’s mission statement is, “Run with the little guy…create some change”

(About Jones Soda, Jones Soda Co. Website). Jones Soda’s 40 employees strive to fulfill this

mission. The company is publicly traded on the stock market under the ticker symbol JSDA and

is based out of Seattle.

Jones Soda Co. has a small scope of business in terms of sales volume. However, in the

beverage marketplace, it has a large business scope because it manufacturers a wide variety of

beverages, such as carbonated soft drinks, zero calorie sodas and energy drinks.

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Jones has the reputation of producing high-quality beverages that have flavors as normal

as Root Beer and Cherry and as strange as Blue Bubblegum and the seasonal Thanksgiving

Turkey flavor. Jones is also known as a cool and hip company that encourages consumers to

interact personally with the company.

The Product:

MyJones soda is a product made by the Jones Soda Co. that features 12 popular flavors

that have customizable labels. The customizable labels have the option of adding a personal

photo, caption, soda title and special message of 300 characters. This customization sets

MyJones soda apart from its competitors. The company is well-known for its customizable

features that this product contains. It is also well known for its wide-variety of flavors. A 6-pack

of MyJones soda costs $19.99 plus shipping and a 12-pack costs $29.99. Each pack can only

contain one flavor. MyJones competitors include other beverages like Coca-Cola, Pepsi, Shasta

and Fanta. However, these competitors don’t feature customizable options and usually cost less.

For example, a 12-pack of coke found in your local grocery store costs approximately $4.00.

Jones Soda had revenue of $17,400,000 for the 2012 fiscal year. The company’s

competitors had very similar revenues. According to Business Insights: Essentials, Ahf

Industries Inc. had $17,500,000, Orange Ring Inc. had $17,420,000 and Castle Co-Packers

L.L.C. had $16,900,000.

The Market:

Jones’ customers tend to be younger, between the ages of 17 and 35 years old. These

customers are innovators who enjoy trying new things and recognizing social trends before

everyone else. They also tend to be adventurous people who have a reason to share their

experiences with other people through the bottle’s customization. The company has created a

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cult-like following that like to share experiences with one another, not only on the MyJones

product but also on social media. They tend to be environmentally conscious individuals that

value Jones’ sustainable practice of using recycled glass to make the beverage bottles. These

customers have the ability to spend the extra amount of money on Jones’ soda. The customers

buy MyJones soda usually around special occasions like holidays. The product is usually bought

as a gift or supplement to their own holiday celebrations. They buy the product because it makes

them feel like originals. MyJones’ customization also allows customers to show off that they are

creative and technological adept. They like MyJones because it is fun and original. They also

like it because the pictures they add have sentimental value. The costumers are paying for the

cool and fun experience they get when drinking MyJones soda.

SWOT Analysis:

Strengths:

According to the Jones Soda Co. website, MyJones is also unique for the fact that every

soda is made from pure sugar cane. MyJones also differentiates itself because consumers can

create custom labels online for each bottle of soda. This allows personalization and creativity

that other soda companies don’t offer. These internal factors help MyJones soda be more unique.

Since MyJones soda has the option of novelty flavors with customizable labels the product has a

great opportunity to be successful. MyJones soda also has the potential to be successful because

it is made from100% recyclable glass, 35% post-consumer recycled material for the product

packaging, and by reducing the carbon footprint of their distribution system. “Jones Soda Co. is

committed to incorporating principles and policies that protect and enhance the lives of our

stakeholders and communities as well as the global environment. We endeavor to employ

manufacturing, distribution and everyday practices that reduce our negative impact on the earth

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and actively solicit suppliers whose goods and services are environmentally responsible”

(Socially Responsible, Jones Soda Co. Website). Since customers feel like they are helping the

environment more when buying MyJones instead of other soda brands that don’t focus on

sustainability, they may be more inclined to purchase more. MyJones is strong because it

represents an authentic and clear brand image with innovative product designs.

Weaknesses:

This product is more expensive to manufacture because of the use of pure cane sugar and

the customizable features. Since it is more expensive, some consumers may be unable to spend

the extra money on MyJones sodas. Since MyJones soda only allows one flavor per case

customers don’t get a lot of variety. Also, MyJones soda is only sold online, so that customers

can add their customized personal touch. Since the product is only available online and not in-

store, customers may forget the product even exists. Customers may instead prefer not to wait

three weeks for their order to arrive at their door. This can therefor limit sales. Another

weakness, is that MyJones is targeted mostly at young people with unique packaging and bright

soda colors. This potentially makes older generations reluctant to buy MyJones sodas and

therefor removes that whole target market. In addition, MyJones has a reputation as a holiday

gift so many customers forget to buy the product regularly and for the rest of the year. This also

limits sales.

Opportunities:

A cultural shift to more environmentally friendly products will help MyJones’ sales since

the product is made from 100% recycled materials. “Going green” has become a massive fad in

recent years and companies that demonstrate this factor while profit with increased product

successfulness. Another opportunity for success is customer’s continuous shifting taste

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preferences. Jones Soda Co. and MyJones sodas continually remove their unsuccessful flavors

and add new ones. This allows the soda to evolve with customer.

Threats:

The general public’s concern with health is a factor that is threatening MyJones soda

since it is made with mostly sugar. MyJones has no sugar free or diet options. The economic

recession is a threat to Jones Soda Co. as well as most other companies in the U.S.

Target Market Report:

Consumers are primarily demanding quality beverages at a reasonable price. They want

beverages that are made with good ingredients, but aren’t overpriced. In today’s environmentally

focused society consumers also demand a beverage that is produced, manufactured, packaged

and delivered in the most eco-friendly way possible. Also, consumers primarily demand

beverages to be as health conscious as possible. Since obesity is an epidemic striking the entire

U.S. market, people are more aware than ever of what they are putting in their body. They prefer

beverages that have the least amount of sugar and calories. In fact, consumers prefer beverages

that have health benefits like vitamins and natural energy boosters. The selective demand for

specialty beverages, like MyJones, is constantly rising. More and more people prefer unique or

all-natural beverages. This may be a result from the “hipster” generation that centers their lives

around being a trendsetter and apart from the social norm. This creates a strong demand for

MyJones, which has found a way to set itself apart from the mainstream beverages.

The target market that has the potential to increase sales of MyJones is women in college

that are between the ages of 18 to 23. The have had some higher education, but most are still in

the process of receiving their degree. These women are in college and because of it, are very

open to trying new things. This will be very crucial in convincing this audience to try the unique

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flavor MyJones offers. This age group usually does not have a lot of disposable income, but likes

to stay on top of trends and discover the next hip item on the market. They will spend more

money than they probably have just to be considered an innovator and trendsetter. This target

audience is expressive and driven. They firmly believe the future is limitless and that the future

is waiting for them to conquer.

According to the VALS Framework, this target audience considers themselves

innovators. They may not have unlimited resources, but they will save money until they can buy

what they want. As I said earlier, this group greatly values trends, status and novelty items. This

target audience is also made up of strivers. They have not achieved a lot yet, but they are striving

to get an education and stand out in their career of choice. They are young, so they have a lot of

hopes and dreams that they try to express often. They are inclined to buy items and services that

make them seem stylish, cool and mature. This target audience seeks items that allow them to

express their individual identity. They look for benefits that allow them to express their hopes

and dreams, which is exactly why this target audience will enjoy MyJones’ customizable

features.

I chose this target market because I don’t think MyJones is doing enough advertising

specifically targeted at young women. This target market would be the most likely to take

advantage and enjoy MyJones’ customizable features, which is the item’s primary benefit. This

target market is more willing to express themselves through pictures and saying than men in

college. Women tend to enjoy sharing their experience with others, so they may be more apt to

share the same memories on a soda bottle. I also chose this target market because their young

age and inexperience makes them more willing to try new things, which is especially important

since MyJones has unusual flavor options in comparison to other carbonated drinks. Since this

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target market values trends and trendsetting, MyJones’ cult-like following while appeal to them.

I also chose this target market because they value technology. Since MyJones is only available

online, the younger generations will be able to navigate the design and technological aspect of

customization.

I tried to use all of the methods of market segmentation. However, the psychographic

segmentations proved to be the most helpful, especially VALS classification system. By defining

the group, I was able to break down what they wanted from product and ultimately life. The

questionnaire I created really helped me define who is interested in MyJones, but hasn’t heard

enough about the product to make a purchase. It also helped me discover the best way to reach

this group and also why the target group behaves the way it does. For example, I learned that this

target market buys new and unique things because they value being the first person to do

something.

Advertising Objectives

My first objective is to promote awareness of MyJones Soda to 500,000 people in the

target audience within a year. This is my first objective, because after completing my

questionnaire I realized that many people don’t realize that MyJones is different from regular

Jones Soda. These people have heard of Jones Soda, but never heard anything specific about

MyJones and the benefits it has. My goal is to help half of the target market differentiate between

MyJones and the rest of the Jones Sodas. I think informative objectives are always a good start,

so that you can ensure a base line of knowledge to then add to it.

My second objective is to promote product awareness by showing consumers that

MyJones Soda is more than just a refreshing soda, it is also a way to create, share and connect

through the customizable label. The objective is to make MyJones Soda be seen as a way to

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personally express yourself and connect with others. Ultimately, show that MyJones Soda is the

newest and hippest way to make a “scrapbook” of your life.

My third objective is to convince two-thirds of the informed target market to visit the

Jones Soda website and test-drive the MyJones customization tool. I chose this objective,

because the options for MyJones customization are endless. I believe that consumers have to test

and experiment with the customization tool before they actually decide to purchase a product.

Also, by doing this objective, it helps the target audience realize and reinforce the idea that

MyJones customization will benefit them and fit their needs.

My forth objective is to motivate half of the target market who used the tool to take

action and purchase their MyJones creations. This is ultimately the most important and final

objective because it will raise MyJones sales, begin brand loyalty and hopefully create repeat

customers.

Creative Brief

Company name: Jones Soda Co.

Product name: MyJones Soda

Problem to address:

MyJones Soda isn't just for holidays and special occasions. Customers must be convinced

that they should purchase MyJones Soda to narrate and share everyday life with their friends and

family. MyJones should become the new scrapbook. Consumers may not know MyJones is a

separate product from all other Jones sodas. Only certain flavors can be customized and

therefore called MyJones Soda.

Communication objectives:

Consumers need to first be informed that MyJones exists separately from normal Jones

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Soda and can only be purchased online. They must also be informed of the customizable

features. Finally, the consumers must be informed this product is available year round and

can/should be bought as a personal item and gift for others for anytime of the year. MyJones

Soda doesn’t have to be bought as a gift for special occasions. MyJones Soda can be a great way

to narrate everyday life for just the individual.

Brand personality and brand character:

The brand addresses the shared need of customers by providing a unique product that has

special customizable features that the competitors don’t have. It addresses the customers’ shared

need of self-expression and enjoyment out of their soda by letting them personally design the

bottle and choose the flavor.

The brand experience should be defined as receiving a quality product that has a cool and

young vibe. Since customers designs their own personal MyJones Soda, the brand experience

should be all about the individual and his or her creativity. This creativity comes from being an

innovator who tries MyJones Soda, taking photos for the soda, designing the bottle and label and

deciding who will receive this creation as a gift.

The personality traits of the brand are fun, youthful, trendy, creative and hip.

The mood and tone of the ad should be cool, youthful and reminiscent of past memories.

The photos and personal design of the bottle should make the giver and receiver of MyJones

Soda reminisce about their past experiences. MyJones Soda should be bought when people have

a reason to share their life with one another. Since the objective is to get people to buy MyJones

Soda any day and for no reason, meaning no special holiday, it is important to help to show those

viewing the ad the important, special and loving moments that do happen in everyday life, which

needs to be showcased.

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Benefits to communicate:

The benefit to communicate is that MyJones Soda can satisfy a customer’s thirst,

creativity and need to share and socialize. Also, a benerfit is that people will enjoy reliving their

past memories every time they drink or even just look at MyJones Soda. This product will make

a customer seem trendy, creative and popular, all of which benefit a customer’s wants and needs.

Support for benefits:

These promised benefits are supported by the brand personality, which helps support the

appearance a customer of MyJones Soda will receive. Also, since the customer creates their own

MyJones Soda, their satisfaction is mostly in their own hands. Also, returns are an option for

MyJones Soda if design was distorted or order shipped incorrectly.

Additional suggestion:

This ad needs to remain very youthful in its casting, tone, design and language. It is

important to make sure that the most people within the target audience are reached. Since very

few people know that MyJones Soda is a separate product from regular Jones Sodas, it is

important that a distinction between the two is clear and emphasized. The customer also needs to

know that they by buying MyJones Soda they are also buying the vibe that Jones Soda portrays,

which is cool and trendy.

Creative Concept

MyJones Soda can be a great way to narrate everyday life and share life with others. So

essentially, we want consumers to see MyJones Soda as a way for people to share pictures and

memories, on top of being a unique soda for the consumer to drink. We want to convince the

target audience that MyJones Soda has the potential to last after the soda is drank, the bottle and

personal image can go on the wall and can be the “new scrapbook” and be the new way to

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share/keep images. This doesn’t have to be for special occasions, it is purely to bring personal

images and text to life and give them a personality. That is why for this ad we chose to focus on

the photography aspect of the MyJones customization. So we found a photo of black and white

Polaroid photos that exemplify the old and outdated way of sharing photos, and used it as the

back drop of a vivid MyJones Soda bottle in order to show the contrast. The color contrast is

used to highlight MyJones Soda’s unique flavors and also to draw the eye to the soda bottle. I

used “Bring your photos to life” as my headline to help achieve my objectives. I think this line

shows the emotional and sentimental connection that MyJones soda is. I think this aligns with

Jones Soda Co. as a whole because it is youthful and cool.

Media Plan

Audience Objectives

The target audience for these MyJones Soda advertisements is for women between the

ages of 18 and 25. The target audience has the shared need to find an outlet to express

themselves, practice design, set rends and share their experiences with friends and family from

far away. To reach this audience will increase awareness about MyJones Soda being a specific

product and that it has customizable features. My overall objective is to make the target audience

view MyJones Soda as the newest scrapbook. Once they drink the soda, the bottles can still be

displayed and used to memorialize events. Ultimately, the goal is to make MyJones Soda be

purchased for any occasion, rather than just holidays.

Message-Distribution Objectives

Message Weight: Approximately 1,000,000 impressions/views (2,000,000

adults/homeowners).

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Geographic Range: We want to reach women located all over the U.S., but primarily in

suburban and urban areas.

Timeline: June 20, 2013 – August 1, 2013, is the desired timeline. The message will be

aired during summer because that is when soda sales rise due to heat. Also, people

usually have more time to do crafts during the summer like creating MyJones Soda

labels. Ads this time of year will promote sales and increase interest in the product.

Desired Frequency: Seven exposures to the advertisements per audience member over

this short advertising schedule are ideal. This will allow the message to become clear and

reach the attended audience.

Media Strategy

Classes of Media:

Television – This medium will allow the online customizable features to be showcased.

This will show how to use the product so people are no longer confused that MyJones Soda is

different than regular soda. Also, it will show people in the target audience that this product is

easy to use. The target audience does watch television, so it will be useful to use this medium.

Magazine- I chose this medium because it can highlight the photography aspect of

MyJones Soda’s customizable labels. Also, it will be presented in a youthful magazine to

continue the hip vibe of the product. A magazine is a good medium for this ad because it is very

visual and can really evoke emotions. This will be the medium I will develop creative concepts

for in the overall project.

Video- YouTube provides a medium to present the product visually. Also, this young

target audience is very active on online media. This will allow the company and product to

connect with the target audience and begin to create a relationship. In addition, this

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advertisement will make MyJones Soda seem more hip, young and cool. The TV ad will be

posted here.

Media Vehicles:

To reach the target audience it is important that I chose major networks that are very

culturally relevant, since that is what the audience values. Since they value innovation and

knowing cultural trends, these advertisements will be featured on E! Network and NBC. These

two networks tend to have very trendy and innovative television shows that are receiving a lot of

praise from the target audience on social media.

The magazines the advertisements will be featured in are Cosmopolitan and Elle. These

two magazines usually present a wide variety of advertisements. Since MyJones Soda and these

magazines have the same target audience, it makes sense to include the ads inside these

magazines.

YouTube provides an opportunity for millions of users to view promoted videos by

MyJones Sodas. In addition, promoted videos that have the skip feature only cost the advertiser

if the viewer decides to watch the whole video and not skip. This will save money and also make

the first ten seconds of the video the most important.

Size/Length of Ads

The television ad should only be 30 seconds. That way it isn’t intrusive or creating more

clutter. This length will be short, but also effective since the commercial will mostly feature

images and pictures, rather than a lot of copy or voiceovers.

The magazine ad should be a full page so that it can be as visual as possible.

The YouTube promoted video should only be about 30 seconds long, and be the same ad

from the TV ads in order to save money. However, after the first 10 seconds people can skip the

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promoted video. It is important that the first 10 seconds are really the most important and

attention catching. I also think this online-style advertising will help reinforce already presented

ideas about MyJones Soda. This is especially important since we now live in a two-screen

society.

Positioning

Since the cost is so high, television ads will air during The Mindy Project on NBC and

Keeping Up with the Kardashians on E! Network. All of these shows air in the summer as

reruns, but are still popular. This will save money. Even though the ads will be aired during

reruns, these shows are still one of the highest trending and culturally relevant television shows

in society today. By airing during reruns, money will be saved, and the number of viewers will

still be incredibly high.

For print advertisements, I am aiming at quality magazines that the target market relates

to rather than trying to gain a large quantity of ads in culturally irrelevant outlets. As mentioned

before, these magazines are Cosmopolitan and Elle. It is preferred if the advertisements are in the

pop culture section of the magazine in order to continue the cool, trendsetting and culturally

relevant vibe MyJones Soda is trying to convey.

The promoted YouTube videos will be before some of the most culturally relevant music

videos during the time period. For example, a MyJones Soda promoted video will be played

before a Black Keys’ music video. This band isn’t a top 20 band, but is a very hip and youthful

band that is becoming big on the music scene. Since this band is still in the growing stages, the

viewers who watch it will feel like trendsetters. Since the target audience I am trying to reach is

people who want to feel like trendsetters, it is important to help fulfill this need and value that

they collectively share.

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Schedule of Insertions

Television ads are very expensive, but will also be very useful in conveying MyJones

Soda’s features and vibe. By choosing select television shows, I am able to target the innovators

and youthful trendsetters. Also, these shows are newer, but increasingly becoming popular. By

airing once a week on the rerun episodes of each of these culturally relevant and trending shows,

I will help fulfill the viewer’s and target audience’s collective need of being the first to know

about the latest and hottest new product on the market. This will go on for seven weeks, meaning

that 14 advertisements will be aired.

Since the time period during the summer is so short, I think there will be enough of a

budget to have an ad run in the July and August issues of both Cosmopolitan and Elle. This

would be planned ahead of time in order to be included in magazine.

YouTube promoted videos would be used very generously since promoted videos only

cost if the viewer watches the whole video instead of skipping it after ten seconds. Once the top

four upcoming bands’ newest videos are chosen, the MyJones ad will run before these videos for

every fiftieth viewer. Also, costs can be saved by using the same video that the television ads do.

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Budget

Media

Vehicle

Ad size/

length

Cost Per

Insertion

Number of

insertions

Total cost for

schedule

Audience

size

CPM

Television

ads

30

second

ads per

television

show

$3,000 per rerun

advertisement

insertion

1 ad each

for seven

weeks on

the 2 TV

shows

(listed

above)

$48,000 Approximate

ly 1,000,000

viewers

$48

combined

Magazine

ads

2 full

page ads

$180,000 per ad

for

Cosmopolitan

$124,560 for

Elle

Ads for 2

magazines

for 2

months

$360,000 for

Cosmopolitan

$249,120 for

Elle

2,915,000 for

Cosmopolita

n and

234,000 for

Elle

Multiply

each by 2 for

each

insertion

$125.21

for

Cosmopo

litan

$1,064.62

for Elle

References

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"About Jones Soda." Jones Soda Co. N.p., n.d. Web. 5 May 2013.

<http://www.jonessoda.com/company/about-us>.

“Advertise.” YouTube. N.p., n.d. Web. 8 May 2013

<http://www.youtube.com/yt/advertise/promote.html>

"Beverages." Jones Soda Co. N.p., n.d. Web. 5 May 2013.

<http://www.jonessoda.com/beverages.html>.

“Cosmopolitan- Advertising Cost.” Gaebler Inc. N.p., n.d. Web. 5 May 2013.

<http://www.gaebler.com/Cosmopolitan-magazine-advertising-

costs++26651>

“Elle Media Kit.” Elle Magazine. N.p., 1 January 2013. Web. 5 May 2013.

<http://www.ellemediakit.com/hotdata/publishers/ellemk/advertiser/8231534/2

809559/.pdf>

“Jones Soda Co”. Business Insights: Essentials. Gale Cingage Learning. N.d. Web. 5 May 2013.

<http://bi.galegroup.com.ezproxy.linfield.edu:2048/essentials/company/738288?u =linfiel

d>

“Jones Soda Co. (JSDA)”. Yahoo! Finance. Yahoo! Inc. N.d. Web. 5 May 2013.

<http://finance.yahoo.com/q?s=JSDA>

Macarthur, K. “Quirky Jones Soda steps into mainstream: $34 million brand expands into

candy, lip balm. The New York Times. 27 May 2006. Web. 5 May 2013.

< http://adage.com.ezproxy.linfield.edu:2048/article/news/quirky-jones-soda-steps-

mainstream/108224/>

"Socially Responsible." Jones Soda Co. N.p., n.d. Web. 5 May 2013.

<http://www.jonessoda.com/company/socially-responsible>

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