V8 +Energy is a healthy caffeinated drink produced using vegetables, fruits, and tea. Containing a similar measure of caffeine as driving caffeinated beverages (80 mg), V8 +Energy is a healthy option for steady energy. Add it to any well-adjusted eating routine for a restorative boost. V8 +Energy Pomegranate Blueberry is produced with caffeine sourced from regular tea and no additional sugar. With one consolidated serving of vegetables and fruits, this bubbly caffeinated drink is made with carrot, sweet potato, and squeezed apple, and injected with tart pomegranate and delicious blueberries. Besides, every can is plentiful in nutrient B, has no hues from counterfeit sources, and is only 50 calories. V8 +Energy Pomegranate Blueberry is the ideal morning start, early afternoon pick me up, or late night boost.
Macro-environmental Factors affecting the Production and Distribution of V8 +Energy
As for Campbell Soup, their many factors that will impact the production and distribution of V8 +Energy. However, as a company, the mandate is to satisfy clients' needs must be accomplished. To achieve customer satisfaction, there is a need to leverage the company's abilities. The significant aspect that is tied to customer satisfaction is the market environment and without proper consideration, the company’s plans to produce and distribute V8 +Energy may stall.
Delegate your assignment to our experts and they will do the rest.
The market environment includes refers to forces and factors that impact the ability of a firm to create and retain successful client relationships. The market environment comprises three levels of the environment, which include the following internal environment, microenvironment and macro environment. For this section, we will address the macro-environmental factors and the environmental forces that the company should be aware of and also how it will adjust.
Macro-environmental factors
These are extensive societal factors that can impact the launching of V8 +Energy . They include demographics. Demography is the spread of people in a location or area ( Xu et al., 2019) . Demography is a standpoint variable and it regulates how a company designs and structures its business. Before the company introduces V8 +Energy into the market, it must conduct a study of the population, its age structure, and select a superb conveyance method it will use to deliver the product into the market.
The economic environment is the second macro-environment factor that deals with money issues, exchange rates, the balance of payments, and inflation. The company must time properly avoid launching the product during times of inflation. Another factor is the physical environment, which comprises of the climatic factors, water availability, raw materials, and environmental changes. Other micro-environmental factors include cultural and social factors, technological factors, and natural forces.
Environmental Factors that will enable Campbell to adjust accordingly
Business operations are usually affected by many factors, some of which owners cannot be controlled. As the company prepares to introduce V8 +Energy into the market, several environmental factors are likely to affect its sales . Examples of these environmental factors include political factors. Political factors include the current political state of the nation and the global political conditions that may influence a country and its businesses. Political factors such as wars can impact sales due to insecurity reasons ( Xu et al., 2019). Examples of political factors are entry mode regulations, government policies, the stability of the government, and taxes and tariffs.
Economic factors are the second factor that the company should take note of. Examples of economic factors include foreign exchange rates, state of inflation, unemployment rates, fiscal and monetary policies, and interest rates. Prior knowledge of the economic status is vital for the company because it is easier to evaluate the chances of succeeding in a new market.
The third factor is the statutory factors. Legislative changes occur from time to time. When these changes take place, they affect business dearly. Since this V Fusion + Energy beverage is a new product in the market, the company must take note of all the laws that govern the introduction of a new product, employment regulations, health and safety of the works producing the product, patent infringements, and competitive rules.
Competitive Analysis of Campbell Soup
The major competitors of V8 +Energy drink are Nestle Jamba, Starbucks Refresher, acute Fruit Energy drinks, and Odwalla Quencher. Other brands competing with V8 +Energy include Monster Rehab and Rockster Recovery ( Xu et al., 2019). Another group that competes with is refrigerated energy drinks found in all stores. Other products that pose a threat are those that are handy crafts and instant beverages.
Odwalla and Starbucks sell their products expensively than other beverage manufacturers. By selling their products expensively, the two companies lure consumers who might doubt the quality of the brands from other manufacturers. However, Odwalla and Starbucks refreshers offer similar nutrients that are provided by other beverages. In the past, Starbucks sold its fresheners in their stores (Lukovitz, 2013). Due to stiff competition, they now package the refreshers and sell them through their stores present in Target and Wal-Mart. Odwalla, on the other hand, distributes its beverages in grocery stores.
Moreover, many stores that have a lot of stock are the upscale neighborhood grocery stores. Starbucks and Odwalla make their clients think that Odwalla Quencher is the only top beverage in the stores. Competitors also place their products on open shelves where everyone can see them (Lukovitz, 2013). Since the drinks are made of vegetables and fruits, they supply crucial body needs such as Vitamin A and C. The beverages also contain minerals like Calcium and Iron.
For V8 +Energy to enter the market, it must adjust its prices and ensure that they are lower than its direct rivals. There is a need to advertise widely the benefits that customers can obtain by consuming V8 +Energy. The company must inform its potential buyers that V8 +Energy is an excellent beverage for their health, and it has superb nutrients that Starbucks and Odwalla do not have.
Target Market for V8 +Energy
Market presence and expanded patterns in caffeinated drink consumption have helped the energy drinks companies to flourish and publicize their products. The essential entity of the business which is additionally viewed as the situating technique, is advertising. With expanded advertisements, there will, in general, be increased benefit and development to the caffeinated drink companies (Wiggers et al., 2019). Small and new energy drinks companies encounter stiff competition from established companies because of assets that facilitate substantive promotions and their prices.
The most appropriate target market that suits the V8 +Energy drink is the younger population that is engaged with sports exercises. Youths drink more energy drinks than other age groups. Young individuals are known to be incredibly determined by their peers and the media impact. This is one of the best strategies to use when presenting V8 +Energy to the youths and expand the market.
Brand situating techniques will be the best procedure utilized by the organization. This is essentially because of the way big firms in the caffeinated drink showcase, and consequently, it is a demonstrated strategy. Whenever embraced entirely, the system has demonstrated to be the best and thus will initiate productivity and market nearness. The principle issue with new items is getting them acknowledged by clients.
Positioning Strategy
Entering a beverage market that has superpowers like Starbucks, Odwalla, and many more will not be easy for V8 +Energy. While other companies have already marked their territories, Campbell Soup has a lot to do. The following strategies can help it to penetrate the market.
Branding strategy
The branding approach will be the company's brand promise. This promise will, in turn, enhance V8 +Energy delivery and position the product appropriately in the market. The branding style that will be used will enable the product to keep its promises to the buyers. The branding approach will further eradicate all invalidating and unconstructive propaganda oscillating around energy drinks. The location of V-Fusion + Energy would be an excellent caffeine-less energy beverage at affordable cost and full contentment.
Packaging Strategy
V-Fusion + Energy will be put in cans with a signature of V8 Splash fruit drink for easy recognition by buyers. The packaging approach will encompass a notable features and diverse colors that represent the true spirit of the product. V-Fusion + Energy’s creation line will be improved by including the latest flavors and drinks.
Distribution Strategy
Campbell Soul food enjoys a secure sharing channel. Furthermore, the company has a similar distribution channel like that of Coca Cola in the U.S ( Xu et al., 2019). Therefore, sharing this channel with V-Fusion + Energy will a perfect option when entering the market. The company will further create a dedicated distribution channel to discos, sports centers, and other places
The pricing strategy for V8 +Energy
V-Fusion + Energy is a new product in the market, and that means that customers are not aware of its benefits. To access the demand for this product, the company can use two pricing approaches as it continues to learn the market dynamics. While learning the market dynamics, the company can understand different market operations and trends before it makes a sudden decision that might impact its operations. The best time to learn the market is during this time when the product is new before embarking on more significant projects (Wiggers et al., 2019). The pricing strategies that are recommended include price skimming and price penetration.
The price skimming strategy deals with profit increase and maximization. This is done by setting high prices for customers who will buy V8 +Energy while it is new in the market. With time, the company starts to reduce its prices to attract more customers. However, the company reduces the cost after a substantial amount of sales have been made. Since the beverage market is already competitive, the price of V8 +Energy will be reduced to increase its sales as the company tries to cope with the completion. Furthermore, price skimming will give the company a clear guide of what consumers are willing to pay.
Price penetration is a type of pricing mechanism that most companies use when entering a new market or introducing a new product in the market with intentions of securing a market share. When using the price penetration method, proper planning is needed. This strategy will be useful if Campbell will be willing to produce V8 +Energy beverages in excess (Wiggers et al., 2019). Again, the Campbell Soup must be in a position to launch extensive campaigns for the product to publicize the low prices for V-Fusion + Energy beverages. Penetration price encompasses expensive operations, and the company must be ready to bear the costs. For instance, a low consumer demand can mean an accumulated stockpile of unwanted V8 +Energy beverages.
References
Lukovitz, K. (2013). V8 V-Fusion + Energy in Daylight Savings Campaign. Retrieved from https://www.mediapost.com/publications/article/195260/v8-v-fusion-energy-in-daylight-savings-campaign.html
Wiggers, D., Asbridge, M., Baskerville, N. B., Reid, J. L., & Hammond, D. (2019). Exposure to Caffeinated Energy Drink Marketing and Educational Messages among Youth and Young Adults in Canada. International journal of environmental research and public health , 16 (4), 642.
Xu, W., Fu, H., & Liu, H. (2019). Evaluating the Sustainability of Microfinance Institutions Considering Macro-Environmental Factors: A Cross-Country Study. Sustainability , 11 (21), 5947.
