Essay on Cadbury Beverages Inc. Crush Brand Case Study

Words: 2452
Pages: 10

Dimitrius Jeffries
Marketing Strategies
Cadbury Beverages Case Study

Cadbury Beverages is the beverage division of Cadbury Schweppes, a major soft drink and confectionary marketer. In 1989 they had worldwide sales of $4.6 billion. Schweppes was the worlds first soft drink maker and the 3rd largest soft drink marketer. In 1969 Schweppes merged with Cadbury in the year 1989 and Cadbury Schweppes was on of the world’s largest multinational firms and was ranked 457th in the business week’s global 1,000. Beverages accounted for 60% of the company worldwide sales and confectionery for 40%. Cadbury Beverages is the 4th largest soft drink marketer in the U.S., with a market share of 3.4%

In January 1990 the marketing executives at
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Therefore when Cadbury Beverages. acquired the Crush brand from P&G they had to first set right the bottling network to capture back the market. There were some positioning issues and the effect of the first positioning issue were, since the company already marketed Sunkist, questions arose concerning the likely cannibalization of Sunkist sales if a clearly differentiated position for Orange Crush in the market place was not developed successfully. The second positioning issue were relative emphasis on regular and diet Crush with respect to Mandarin Orange. The third positioning issue was that viable positions had to be considered that did not run contrary to previous positioning and would build on the customer franchise currently held by Orange Crush. The bottlers were the main reason for promotion. But the sales came down because of the breakdown of bottlers’ network. Cadbury beverages had to think of advertising and promotion program for the successful and effective re launch of the Crush brand. Therefore they needed to set objectives for advertising and promotion and also communicate that to the advertising agency that would represent the Crush brand. The types of trade and communication had to be determined. Their preliminary budget had to be prepared. Thus the promotional strategy adopted by them should give them a competitive advantage and pave way for them to become a market leader in