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MKTG611 Marketing Management

Published : 02-Sep,2021  |  Views : 10


A typical case analysis solution should have the following parts/components. Please note all cases assigned may not exactly follow this format. Use your judgment. Use the information given in the case; do not bring outside information.

1. Define the problem. Answer the following: Did I define the problem adequately and as succinctly as possible? Did I differentiate between a problem and a symptom?

2. Find the alternatives. Did I identify all pertinent alternatives and uncertainties? Were my assumptions realistic?

3. Evaluate the alternatives. Did I apply any marketing tool or technique for alternative evaluation? Did I consider all information relevant to the case?

4. Make a choice. Did I recommend the appropriate course of action? If so, was my logic consistent with the recommendation? Did I clearly indicate why this is the best alternative to solve the problem?

5. Implement the choice. Did I consider how my recommendation could be implemented? Did I consider how my choice might overcome obstacles?


Definition of the Problem:

Dr. Pepper Snapple Group, Inc. is a well-known brand of bottled beverages in the USA, Mexico, and Canada. The Company mainly focuses on the non-alcoholic beverages. The company generates 89% of the net sales from the USA only. In 2008 the company has decided to launch an energy drink in the existing market.

The organization is exploring the option to come up with a new sort of energy beverage in the market. The decision is being evaluated by the brand manager of Dr. Pepper Snapple Group; Inc. Accordingly, the brand manager is looking into options like launching the Accelerade RTD brand way back in 2007. The energy beverage market is considered the fastest-growing market in the USA. The company has good market share in the USA and a well-known brand in the bottled beverage. These scenarios inspired the organization to introduce a new branded product into the energy beverage market. Now, the company is considering various strategies to introduce the energy drink into the targeted market.

Available Alternatives:

There are certain alternatives available in the market that the organization can pay attention to, for exploring the market opportunity in an optimum manner. Accordingly, the first alternative available to Dr. Pepper Snapple Group, Inc. is to launch an energy based beverage into the existing market of USA, Canada, and Mexico wherein the company operates extensively. The organization has integrated brand to its credit and is focussed on the high growth opportunities along with high margin categories in the market. The business has a strong distribution capacity to make them available to the targeted market. Moreover, Inc. has concentrated on the presence of high margin channels like the convenience stores and the independent retailers. In this way, the offering of the new product would provide an opportunity to have attractive return on the investment.

The second alternative to the company would be to not introduce any such new product in the existing market, as there is already a handful of such product available in the market. Again Dr. Pepper Snapple Group, Inc. operates in a competitive market. So it needs to be cautious as a wrong strategy would hurt its corporate objectives. And it would apparently make way for its competitors like Red Bull, Rock star, Monster Energy, and others. So it would be better for the organization to continue with the improvement of the product line, like introducing a new variant. This would also sustain the interest of customers.

Evaluation of the alternatives:

The first alternative available to Dr. Pepper Snapple Group, Inc. is to launch a new sort of energy based beverage. There is ample opportunity available in the market. The product would be targeted to the population aged between 12-34 years as they account for 70% of the beverage consumption. The organization can enter into negotiation with the various supermarkets and mass merchandisers for a suitable package. A projected retail selling price at worth $2 per single served package would be attractive to the market. The company has also concentrated on the packaging aspect of the product by presenting the drink in a 0.5 litre single served aluminium bottle to grab the attention of the targeted market.

The second alternative for Dr. Pepper Snapple Group Inc. is to concentrate on its existing product, like improving its product for having a stronghold on its targeted market. It seems that it would be favourable for the organization to re-launch the Accelerade RTD. The product is to be introduced along with a new variant. This would definitely help to get the attention of the fitness enthusiasts. The targeted segments of fitness enthusiast are 35 million odd Americans. They could also explore reduction of the existing prices, as it is expensive compared to the other products.

Making a choice:

It seems that keeping note of the present scenario both the alternatives are suitable for Dr. Pepper Snapple Group, Inc. but the first alternative is preferable. It is held that the organisation needs to introduce a new energy based beverage. In this way, the organization would be able to enhance its brand horizon. The product would have the potential to reach out to 153 million beverage users, existing in the market. Further Dr. Pepper Snapple Group, Inc. is a master strategist and market leader in its segment. The company has the right network of marketing and distribution channels. It would be helpful to rightly place the product amidst widespread competition in the market.

Dr. Pepper Snapple Group, Inc. has the right option to place the product in an attractive container. The company may make it available to the nearby convenience stores and the independent retailers. This would apparently help the organization to occupy a respectable market share, on the lines of its competitors like Red Bull, Rockstar, Monster Energy and others. The attractive package of single served 0.5-liter aluminium bottle could be of $2. It will be handy for the youngsters from the age range of 12-34 years, forming the main targeted segment. Moreover, for Dr. Pepper Snapple Group, Inc. various promotional campaigns like that of social media marketing can be used.


Dr. Pepper Snapple Group, Inc. is about to launch a new energy based beverage in the market. To contemplate the same, the organization needs to take into account certain marketing aspects. This could be in terms of a strong promotional campaign and improved product. Affordable pricing coupled with attractive and stylish packaging would also be quite helpful in this case. The company needs to run successful campaigns to launch the product after its development. This could be done by taking help of the personal selling strategy at the supermarkets and selected convenience stores to arouse the interest of the customers. The aspect of social media marketing would also be helpful to grab the attention of the young population, who form the main targeted segment. The distributors have to ensure energy beverage availability in a convenient manner for all the customers. The new energy based beverage need to be available at the independent retail stores also. This would help the targeted segment to access the product easily.

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