ADV Research Final Project

ADV Research Final Project - Executive Summary The Diet...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Executive Summary The Diet Soda Industry continues gaining profitable margins each year. The three leading producers in the market include: Dr. Pepper/7 UP, Coca-Cola, and PepsiCo. These producers contribute to over $13 million a year in sales for all products. The diet soda category reached $4.8 billion in sales in 2006. Coca-Cola is the number one brand taking up 38.3% of the market, followed by PepsiCo at 32.2%, and Dr. Pepper/7 UP at 19.3%. Dr. Pepper/7 UP was the only company of the top three to have positive growth sales during 2006. For the diet category, Coca-cola took 45.2% of the market, followed by PepsiCo at 32.8% and Dr. Pepper/7 UP at 17.5%. Dr. Pepper, in the diet category, continuously falls in third behind Diet Coke and Diet Pepsi. However, it still produced $347 million in sales in 2006. Its increase in sales between 2004 and 2006 was much larger than the other competitors. Diet Dr. Pepper is a strong player in this industry because of its third place position. Fortunately, it still has plenty of opportunities to continue leading the diet category and move up in position. Diet Dr. Pepper is currently the top- selling diet non-cola in the carbonated beverage market. It has memorable advertising campaigns and is the oldest soft drink company since 1885. It is stable and strong in its position. Our team conducted research surveys with people in the target market. People were asked how they perceived the top brands in comparison to each other. The questions answered how people viewed the favorability, availability, and their favorite diet beverage. The consumers also answered whether they perceive if each diet beverage is good to drink everyday, to drink with meals, and if the it is a good change of pace or not. The research showed that Dr. Pepper is a good change in pace and good to drink at meals. It came in first in comparison to the other leading brands. It came in second for favorite choice and good to drink everyday. It fell third for perceived availability. The research again proved that Diet Dr. Pepper is a strong competitor, but still has room to develop and advance in the market. Our team recommends a new, stronger communication strategy. It needs to focus more on the wants of its consumers. The company should conduct some primary research techniques, including focus groups. These will provide a more in-depth look at the thought processes and belief of the consumers. We conducted a survey, with closed-ended questions, that gave a better perspective. However, open-ended questions can give a deeper look at perceptions and feelings of the brand. Also, Diet Dr. Pepper should try and make the product more available to consumers. If it is more available and noticeable for consumers, then maybe they will purchase the product more often. Little details found in different research techniques help discover ways to help the brand move higher in the ranks. We recommend more research with consumers to help build stronger, long-lasting relationships. These relationships are the foundation of the top
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 03/23/2008 for the course ADV 344k taught by Professor Daughtery during the Spring '08 term at University of Texas at Austin.

Page1 / 9

ADV Research Final Project - Executive Summary The Diet...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online