Baby Boomers
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SUNKIST (RFM Corporation) AGGREGATE CATEGORY FACTORS: Category Size •
Sunkist has 4 categories: Fruit drinks which has four thirst-quenching flavors such as apple, mango, orange, and maple; Tea drinks which have two great flavors such as Lemon Iced Tea and Lemon Green Tea, conveniently packed in PET bottles; Hi-juice with 3 refreshing flavors: orange, mango and lychee-apple; and powder juice which have 3 flavors: orange, pineapple and lemonade.
•
There is lots of Sunkist that are being distributed all over the market.
Category Growth •
Sunkist (RFM Corporation) has a market shares in powder juice industry about 4 % in 2003.
•
Category enlargement by having new entries of competitors, existing brands with new product and flavors, and market dissemination.
•
The increase of revenues to 2.3 billion due to double-digit growth.
Product Life Cycle •
Sunkist became mature in the fruit drink industry which they level off to other competitors.
Sales Cyclicity •
Increase in raw materials inputs and the peso depreciation against U.S dollar that leads to declining of sales.
•
Normally the main content of Sunkist is a fruit is which is seasonally in nature.
Seasonality •
A slight sales in summer and in the start of classes which more users specifically children are
Profit •
The average profit margin of fruit drink is 8 % in 2003.
•
Increase of raw material with new entry of product _____________________.
•
Net sales of 9.11 billion in 2003 which fell to 6.55 billion or percent of sales.
CATEGORY FACTORS: Threat of New Entrants/exits •
Strong Potential Competitors
•
Its attractiveness is now diminishing because of the massive entrance of new product category.
•
It is most likely that small competitors will enter through the natural food channel, creating more direct competition.
Economic Scale •
Sunkist arises only on the inferior goods and not on normal goods because most of the people bought colas as their primary beverages.
Product Differentiation •
There are some factors that Sunkist juice drinks are differ to the other products such as packaging, taste, formulas of the juice, and price. The nutrients may be same as the other products.
Capital Requirements •
There capital requirements are low because they have their resources and raw materials.
Switching Cost •
The switching cost is very low.
Distribution • ENVIRONMENTAL FACTORS: Technological Factor •
The use of technology would increase the output of product in terms of manufacturing, distribution and launching of Sunkist drink.
•
Having a new packaged Sunkist
Economic Factor •
In price, tetra pack Sunkist rapidly lowers their price in the time and in that consumers may hastily get one of it.
•
Economic crisis affect the economic status that more consumer prefer to drink water than other fruit juices.
Political Factor •
It is important to have an approval on the Bureau of Food and Drugs (BFAD), and conduct other business regulation.
Social Factor •
Consumers are more on outdoor activities and having their mealtime shrink, that make Sunkist drinks suitable for their lifestyle.
•
Normally, children and even young would love to drink fruit juices like Sunkist.
GROUP: BABY BOOMERS Arato, Mariecor P. Dizon, Ma. Ramona Isabel S. Garcia, Cindy S. Pescante, Errol R. Tapan, Alyssa A MKA31 Mrs. Chona O. Bautista July 29, 2008
.
Sunkist has 4 categories: Fruit drinks which has four thirst-quenching flavors such as apple, mango, orange, and maple; Tea drinks which have two great flavors such as Lemon Iced Tea and Lemon Green Tea, conveniently packed in PET bottles; Hi-juice with 3 refreshing flavors: orange, mango and lychee-apple; and powder juice which have 3 flavors: orange, pineapple and lemonade.
•
There is lots of Sunkist that are being distributed all over the market.
Category Growth •
Sunkist (RFM Corporation) has a market shares in powder juice industry about 4 % in 2003.
•
Category enlargement by having new entries of competitors, existing brands with new product and flavors, and market dissemination.
•
The increase of revenues to 2.3 billion due to double-digit growth.
Product Life Cycle •
Sunkist became mature in the fruit drink industry which they level off to other competitors.
Sales Cyclicity •
Increase in raw materials inputs and the peso depreciation against U.S dollar that leads to declining of sales.
•
Normally the main content of Sunkist is a fruit is which is seasonally in nature.
Seasonality •
A slight sales in summer and in the start of classes which more users specifically children are
Profit •
The average profit margin of fruit drink is 8 % in 2003.
•
Increase of raw material with new entry of product _____________________.
•
Net sales of 9.11 billion in 2003 which fell to 6.55 billion or percent of sales.
CATEGORY FACTORS: Threat of New Entrants/exits •
Strong Potential Competitors
•
Its attractiveness is now diminishing because of the massive entrance of new product category.
•
It is most likely that small competitors will enter through the natural food channel, creating more direct competition.
Economic Scale •
Sunkist arises only on the inferior goods and not on normal goods because most of the people bought colas as their primary beverages.
Product Differentiation •
There are some factors that Sunkist juice drinks are differ to the other products such as packaging, taste, formulas of the juice, and price. The nutrients may be same as the other products.
Capital Requirements •
There capital requirements are low because they have their resources and raw materials.
Switching Cost •
The switching cost is very low.
Distribution • ENVIRONMENTAL FACTORS: Technological Factor •
The use of technology would increase the output of product in terms of manufacturing, distribution and launching of Sunkist drink.
•
Having a new packaged Sunkist
Economic Factor •
In price, tetra pack Sunkist rapidly lowers their price in the time and in that consumers may hastily get one of it.
•
Economic crisis affect the economic status that more consumer prefer to drink water than other fruit juices.
Political Factor •
It is important to have an approval on the Bureau of Food and Drugs (BFAD), and conduct other business regulation.
Social Factor •
Consumers are more on outdoor activities and having their mealtime shrink, that make Sunkist drinks suitable for their lifestyle.
•
Normally, children and even young would love to drink fruit juices like Sunkist.
GROUP: BABY BOOMERS Arato, Mariecor P. Dizon, Ma. Ramona Isabel S. Garcia, Cindy S. Pescante, Errol R. Tapan, Alyssa A MKA31 Mrs. Chona O. Bautista July 29, 2008
.
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