Marketing Communications Plan Essay Example | Topics and Well Written Essays - 2500 words

Marketing Communications Plan - Essay Example Within a period of four years, Innocent became a food and drink company with fastest growth in the U.K resulting in growth in turnover from ?0 to ?10.6 million over the same period (Trott, 2008). In 2003 it obtained a market share of 30% in U.K and an intense distribution with 4,500 outlets across the U.K (DATAMONITOR, 2004). In 2004, its turnover stood at ? 15 million with an investment of just ?280,000 (DATAMONITOR, 2004). The company has introduced several new flavors of smoothies and drinks since its inception which is one of its critical success factors (DATAMONITOR, 2004) . The report shall now delve into developing an Integrated Marketing Communications Campaign for Innocent Drinks in an attempt to sustain its competitive edge and make it stand out from its rivals. The SOSTAC framework shall be used along with a feasibility analysis and shall conclude with recommendations of existing and new products. Context Analysis The SWOT and PEST model for Innocent Drinks is as follows: SWOT Analysis Strengths: Innocent Drinks has become one of the top smoothie brands in U.K in a period of just four years from its inception. Its turnover has increased from ?0 to ?10.6 million over the same period (Trott, 2008). The company has emerged as a market leader in U.K smoothies market by managing to capture a tremendous 30% share (Jones, 2008). The company has managed to obtain 50% brand awareness and press coverage significantly higher than that of its major rival, PJ (Appendix 1) ((DATAMONITOR, 2004). It enjoys excellent relationship with its distributors, the retailers, including U.K’s leading stores such as Sainsbury’s and Boots (Lincoln & Thomassen, 2007). It launched a first of its kind birthday party in 2003 which was attended by all its major retailers (Thomas, 2009). Weaknesses: The company suffered a temporary decline in its sales in 2008 due to recession. Its sales fell by 29% in the period 2007-2009 (MarketWatch:Drinks, 2008). However, the fact th at its major rivals racked up profits worth 25%-30% in the same period was a cause of concern (MarketWatch:Drinks, 2008). The recession revealed several flaws in the company’s strategies which include targeting the wrong customers (young professionals), faulty international strategy, no differentiating factor, no benefits-based ad campaign, targeting a niche product to the mass market, no innovation in packaging and failure to introduce new products in recent years (Mellentin, 2010). Another area of concern is the fact that while its rivals have managed to obtain a 60% mark-up on every bottle, Innocent manages to make only 3p-4p worth of profit on each bottle (Mellentin, 2010). Opportunities: The market for smoothies has been growing unlike the market for juices which has occasionally seen a downward trend. There is enormous potential in the ?70 million British smoothie market which has seen double-digit growth over the years (Mellentin, 2010). The rate of annual growth is es timated at 30% (Mellentin, 2010). The company has enormous potential ever since Coca Cola’s purchase of stake in the company (Mellentin, 2010). Furthermore, 75% of the European market still remains untapped by Innocent Drinks (Mellentin, 2010