Brand Perception/RealityPresented by Sean Stoner

Product Category Background• Juice Production in the U.S, NAICS 31211c.

• Founded in 1869 by Thomas Bramwell Welch in Vineland, New Jersey.

• It was acquired in 1952 by the National Grape Cooperative Association, who have owned the company ever since.

www.ibisworld.com

Product Category Background Cont.

• The industry is in the mature stage of the product life cycle• People may be drinking less grape juice and more water due to

the sugar content.

www.ibisworld.com

  2011 2012 2013 2014 2015Reven

ue(Mil)

$12,647.3

$12,926.3

$13,067.6

$13,190.3

$13,236.0

Profit (Mil)

$1,898.0

$1,869.8

$1,826.3

$1,890.4

$1,904.3

Profit Margin

15% 14% 14% 14% 14%

Grape Juice Market Share

60.00%23.00%

1.00%

16.00%

Welch's Ocean Spray GV Otherwww.ibisworld.com

Survey Results• 50 total participants (26 males 24 females)

• Four category motivators: Price, Taste, Healthiness, Bottle Size

• Price and Taste were the top two category motivators

• www.surveymonkey.com

Category Motivator Results

Price Taste Healthiness Bottle Size0

1

2

3

4

5

6

4.14 4

3.84.2

3.9 3.73.5

5

2.83 3

Category Motivators Rating 1(Worst) 5 (Best)

Welch's Ocean Spray GV

Positioning MapHigh Price

Great Taste

Bad Taste

Low Price

Price Rating: 4.1/5Taste Rating: 4/5

Price Rating: 4.2/5Taste Rating: 3.9/5

Price Rating: 5/5Taste Rating: 2.8/5

Welch’s Positioning Statement• It is intended for anyone of age, both males and

females, and that it is made out of 100% juice with no added sugar with a taste that the whole family will love (http://www.welchs.com)

Ocean Spray’s Positioning Statement• It is for anyone of age, both for males and females,

that love the traditional and natural flavors of home grown grapes (www.oceanspray.com).

Great Value’s Positioning Statement• It is intended for anyone of age, both male and female

primarily the middle to lower class, who are searching 100% natural juice at a low price.

Welch’s 64 fl oz Grape Juice• B2C product• Product Development Strategy• 10 fl oz six packs, single 12 fl oz bottles, standard 64 fl

oz bottles, and 96 fl oz bottles

Ocean Spray 64 fl oz Grape Juice

• B2C Product• Product Development Strategy• 10 fl oz six packs, single 15.2 fl oz bottles, 46 fl oz

bottles, 60 fl oz bottles, standard 64 fl oz bottles, and 101.4 fl oz bottles

Great Value 64 fl oz Grape Juice• B2C Product• Product Development Strategy• 10 fl oz six packs, standard 64 fl oz bottles, and 96 fl

oz bottles

Distribution Strategies• Welch’s has 15 distribution centers with 2 of them being

international centers.• Intensive distribution strategyNorth East, PA Distributor Retailer Consumer

• Ocean Spray (PepsiCo.) Distributor Retailer Consumer• Intensive Distribution Strategy

• Great Value Bentonville, AR Distributor Wal-Mart Stores Consumer

• Exclusive Distribution Strategy

Wal-Mart in store placement

Pricing for Grape Juices

• $3.48• ($0.05 per ounce)• Differentiated

Competition• Skimming Pricing

Strategy

• $2.68• ($0.04 per ounce)• Differentiated

Competition• Competitive Pricing

Strategy

• $2.78• ($0.04 per ounce)• Differentiated

Competition• Competitive Pricing

Strategy

Prices from Johnstown, PA Wal-Mart

Marketing Communications Welch’s

• Awareness promotion objective to keep interest of consumers and remind them why they should purchase Welch’s classic grape juice.• Pull Strategy• Advertising • Sales Promotions• Direct Marketing (Email Club)• Public Relations (Charities and donations)• Internet (Blogs, Facebook, Twitter, Instagram, YouTube,

Pinterest, and their company website)

Marketing Communications Ocean Spray• Awareness promotion objective.• Pull Strategy• Advertising • Sales Promotions• Direct Marketing (Email Club)• Public Relations (Events & Sweepstakes)• Internet (Facebook, Twitter, Instagram, YouTube,

Pinterest, and their company website)

Marketing Communications GV• Action promotion objective• Pull Strategy• No advertising unless featured in a Wal-Mart

commericial• Direct Marketing (Coupons from paper ads)• Internet (website)

Taste TestHigh Price

Great Taste

Bad Taste

Low Price

Price Rating: 4.1/5Taste Rating: 4/5

Price Rating: 4.2/5Taste Rating: 3.9/5

Price Rating: 5/5Taste Rating: 2.8/5