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Jamba Juice Company

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In the modern business world, the secret to the growth and success of any business venture greatly depends on the sales and marketing strategies that companies and businesses adapt to. A company that is able to address all the needs of its consumers from those that reside in the inner cities to the uptown residents usually attracts more consumers and in the end a strong and reliable consumer base which translates to higher sales returns. One sales and marketing strategy that most companies adhere to is offering promotion on any new product or service that they launch into the market, the reason for this to let the consumers “sample” the product / service before they decide on whether to use it on a regular basis or not.

Purpose of the Research Paper

The purpose of this research paper is to focus on one company that offers snacks to people of all ages. The Jumba Juice Company is a company that was established in the 1990’s to offer snacks services to Americans and since then it has grown to an international brand. As a way of expanding its product base, the company introduced smoothies in three new flavors into the market; the smoothies were of Yumberry, Acai and new Pomegranate flavors (Bhaduri, 2010). During the launch of the products the company conducted a promotion which was called $1 Smoothies. This offer was that a client was allowed to have two smoothies at a price of one. This paper will try to look at the impact the promotion had on the products and if it was a viable idea or not, it will also give marketing mix plan that the company can adapt to in order to ensure that the sales of the new products increase on a daily basis. In conclusion, this research paper will give a summary of the main points that were discussed in the course of study. Relevant sources used in the paper will also be included in the paper.

$1 Smoothies Promotion

According to Bhaduri the Jamba Juice Company has been offering snacks and other refreshments to the American population for more than a decade (Bhaduri, 2010). The main aim for the introduction of the three new flavors was that the company was planning to expand its wings to other corners of the continent and it needed a new product for the new market hence the smoothies. It is said that, the secret ingredient in the new flavors is additional nutrients that is believed to be good for the consumer’s health and it is for this reason that the company decided to have the $1 Smoothies promotion.

As indicated in the introductory section of this paper, the secret to the success of any company, more specifically a new product or service lies in its sales and marketing strategy. To ensure that the new products are a success in America and the outside market, the company needs to focus on the following areas in relation to sales and marketing; the marketing environment and the marketing mix plan.

The Marketing Environment: As an element of the marketing principles and strategies, the marketing environment covers all external factors that affect the performance of the business in one way or the other. Under the marketing environment, the following factors are taken into consideration and analyzed; The SWOT analysis, the PEST analysis and the five forces analysis.

For the Jamba Juice Company however, the main focus will be on the SWOT analysis. The SWOT analysis comprises of both internal and external marketing factors (Marketing Teacher, 2009).  Strengths; these are internal factors of the organization and what it can offer to its clients, for the case of the Jamba Juice Company it is the new “special” smoothies flavors. Weaknesses; this is an internal factor that affects the performance of the organization.  For the case of the Jamba Juice Company, this may be in terms limited of resources, employee’s skills and knowledge in the production of the new products among others (Marketing Teacher, 2009).  Opportunities; These are external factors that motivate the business. Most opportunities are found in the clients who are eager to use the products / services offered. The launch of the products during the summer period worked in favor of the company since most consumers could not resist the heat and needed a new product to cool them down (Marketing Teacher, 2009). There were also unexploited markets in Asia and Africa which was an advantage to the company. Threats; Competitors and rivals are the biggest threat to a business. It is rare for a business to have internal threat to its existence unless there is frication and struggle for power in the management department. For the Jamba Juice Company still competition from other established companies in the industry was and is still a real threat (Marketing Teacher, 2009). After analyzing the SWOT analysis, the company should then take the products through the marketing mix plan.

The marketing mix plan: It consists of four P’s (Product, Price, Place and Promotion) and since the first P is already there (product) focus should shift to the remaining three.

Pricing: There are various pricing strategies that can used by the Jamba Juice Company as it markets the new products, the most convincing one is the promotional pricing where  goods are sold at lesser price as compared to the competitors. This is was the strategy used in the $1 Smoothies promotion; however as the company expands to other regions it can also use the following pricing strategies, penetration pricing, economy pricing and geographical pricing (Mutton, 2009).

The Place: The third aspect of the four P’s is the place which covers the channels of distribution. There are six main channels of distribution that can be applied in the marketing planning and strategies which the company can largely borrow from in its quest to penetrate new markets and they are direct / indirect channels, single / multiple channels, length of channel and finally intermediaries (Mutton, 2009).

Promotion:  Promotion of any product is very important especially for new products in the market.  Apart from conducting promotion at the supermarkets, there are other channels that the Jamba Juice Company can use to promote its new products and they are the media and the internet (Mutton, 2009). It is important to note that promotion is last P of the marketing mix plan.

Summation of the Paper

The idea of the Jamba Juice Company conducting a $1 Smoothies promotion was a brilliant idea but one that could not fully create awareness of the existence of the products to people of all walks of life. The main reason for this is the time duration that the promotion ran (1 day). It will not be surprising for some consumers not to have heard of the products even after the promotion was conducted. As a growing and expanding company, the secret squarely lies with the company adapting to the various marketing strategies that have been laid down.

The rapid growth and development of the internet communication and technology sectors in many nations around the globe cannot be underestimated. One area that has been boosted by the growth of the internet communication and technology sector is the E – commerce (Electronic Commerce). This one area that the Jamba Juice Company can take full advantage off and make sure people from all over the world have been made aware of its products.

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