Jamba Juice Brand Audit Final Report

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Jamba Juice Brand Audit Final Report Jamba Juice Preliminary Report 1 Jamba Juice Brand Audit Final Report Pamela Garcia Emily Smith Ari Monroe Olivia Smith Cristina Herrera VIC 4312 Jamba Juice Preliminary Report 2 Table of Contents Executive Summary….......................................................................................................... 3 Introduction ……...………..................................................................................................... 3 The Brand Inventory............................................................................................................. 4 Product Market Overview ......................................................................................... 4 Market Analysis ....................................................................................................... 5 Brand Element Analysis .......................................................................................... 8 Marketing Programs Analysis................................................................................. 10 Target Segment Profiles ......................................................................................... 12 Brand Benefit/Differentiation Analysis .................................................................. 15 The Brand Exploratory ....................................................................................................... 16 Consumer Research Questions .............................................................................. 16 Research Design .................................................................................................... 16 Major Findings ....................................................................................................... 17 Branding Recommendations...............................................................................................17 Jamba Juice Preliminary Report 3 Executive Summary: The smoothie industry is a jam-packed field that sees companies both forming and closing year by year. Jamba Juice, a brand founded on the principles of health conscious and convenient smoothies, finds itself in the midst of the clutter with its market shares dwindling away to competition. To boost their position in the smoothie market, Jamba Juice should capitalize on all of the factors that currently entice consumers to interact with their brand. The promise of a healthier, quick meal is what motivates many people to stop in at Jamba Juice. The segment of consumers that stay active and workout frequently look to Jamba Juice as an easy meal replacement. The idea that they will be purchasing smoothies that come with a balance of protein, fiber and healthy fats that help with energy and metabolism can be seen as motivators for the active consumers. Those seeking a post-workout meal may also treat it as a reward. Jamba Juice also promotes themselves as a healthy quick option to fulfill the amount of servings a day of vegetables and fruit an individual needs. So, for moms who are quick on the go or millennials who need a fast way to stay energized, Jamba Juice is the perfect solution. According to the Jamba Juice website, while eating the necessary amount of fruits and vegetables can be a challenge, an individual still needs 7 to 10 servings of fruits and veggies to stay healthy. The promise that Jamba Juice can help satisfy the USDA recommended amount of fruits and veggies needed a day is a huge motivator for those always quick on the go. Lastly, a huge motivator is that Jamba Juice’s products are made with real whole fruits and veggies containing no artificial preservatives or artificial flavors. Also, consumers being able to see Jamba Juice employees actually make the products with these fresh ingredients is a bonus. For health nuts and those looking to stay away from artificial ingredients, Jamba Juice’s healthy options motivate them the most. Introduction: The Juice & Smoothie industry is highly competitive. The leading trend in this product category is “healthy freshly-pressed juice” or “fresh” products. A trend in the Juice & Smoothie Bar ​ Industry is functional beverages. Functional beverages are those that can act as meal ​ replacements, energy boosters and sports performance enhancers (Team, 2015). Jamba Juice has incorporated a celebrity trainer and certified nutritionist to endorse their brand. This is where Jamba Juice appeals to consumers who are health conscious and lead an active lifestyle. The global smoothie market within itself is predicted to incline throughout the next couple of years. “The global smoothies market is forecast to grow at a CAGR (Company Annual Growth Rate) of 7.1% during the period 2016-2020” (Wood, 2016). Companies from Smoothie King to Starbucks and McDonald’s continue to introduce smoothie beverages to their menus, creating a very competitive market for Jamba Juice to thrive in. “Consumers are craving for products that will ​ ​ help them lose or maintain their weight, optimize their nutritional needs, help them achieve their health goals, and fend-off the effects of ageing” (Feldman, 2016). Consumers are seeking out functional beverages for convenience and nutritional value. Jamba Juice Preliminary Report 4 Brand Inventory Product Market Overview Jamba Juice has the unique selling point of “healthy freshly-pressed juice” (Cansler, 2016). Now, all Juice & Smoothie Bars are catering to the trend towards “fresh” products. There is a high demand for transparency from customers. “The Juice and Smoothie Bar industry has grown steadily over the past five years as operators have adapted to rapidly changing consumer preferences” (IBISWorld, 2015). They want to know they are drinking quality ingredients. The color of the juice or smoothie is also a major factor. People prefer vibrant and bright colors for their drinks (Cansler, 2016). When superfood ingredients are added to a smoothie it becomes a Smoothie Bowl (Cansler, 2016). The superfood ingredients include hemp protein, chia seeds, granola, goji berries, and flax seeds. The Smoothie Bowl’s consistency is thicker than normal and can be used as a meal replacement (Cansler, 2016). There has been an ongoing trend towards more health-conscious options. Meal replacement smoothies are a major seller at competitor, Tropical Smoothie Cafe (Cansler, 2016). Competitor Tropical Smoothie Cafe has adjusted to the trend for customizable smoothie ​ options. Consumers are adding dietary supplements such as protein to their smoothies (Feldman, 2016). A popular smoothie include fresh fruit, vegetables and protein powder(Feldman, 2016). Within developed markets, these smoothies are being labeled as “super healthy” and accepted as a replacement for meals (Feldman, 2016). To meet the rising demand for transparency, meal replacement products are manufactured with natural ingredients only (Feldman, 2016). Another trend in the smoothie industry is the rise in popularity of ​ “functional beverages,” especially among millennials (Team, 2015). Functional beverages are those that can act as meal replacements, energy boosters and sports performance enhancers (Team, 2015). Smoothies are functional beverages because they can be all of these. Smoothies are the perfect on-the-go meal replacement and they’re perceived as being a health conscious alternative with many smoothies packing a nutritional punch and natural sweeteners. Millennials are looking for natural sources of caffeine and energy which is why many smoothie places offer additional “energy shots” that can be added to smoothies. Many places also utilize protein powder in their smoothies to capitalize on the pre or post workout crowd. The Juice and Smoothie Bar industry is gaining cultural influences. Within the Latin American and Asian market, smoothies have been considered a traditional healthy beverage (Feldman, ​ 2016). Competitor Planet Smoothie serves matcha green tea (Cansler, 2016). This is a very ​ popular dessert in Asian markets. Planet Smoothie also carries a mexican inspired flavor, Horchata (Cansler, 2016). Horchata is a mixture of rice milk and cinnamon (Cansler, 2016). Tying in charitable contributions with smoothies purchases is a current trend. Smoothie companies are making the public aware that they are socially responsible companies. For example, Planet Smoothie launched their “Give $1, Get $1” campaign where customers donated $1 to benefit Susan G. Komen for the Cure during breast cancer awareness month and customers received $1 off a future smoothie purchase (“Planet Smoothie launches benefit,” 2010). Tropical Smoothie Café has their annual Flip Flop Day campaign where they raise money for their charity partner Camp Sunshine (“Tropical Smoothie for charity,” 2016). Jamba Jamba Juice Preliminary Report 5 Juice has their Sip to Support program where customers can give 10% of their bill to a charity or community organization of their choice (Fuccillo, 2013). Future of Product Market There’s a growing demand for smoothies and the market for them has risen faster in the last five years than ever before (“Smoothie King SWOT,” 2016). “The global smoothies market is forecast to grow at a CAGR of 7.1% during the period 2016-2020” (Wood, 2016). This growing demand for smoothies gives rise to expansion opportunities: more smoothie franchise locations could be seen appearing in the future. Conversely, 44% of millennials make their smoothies at home instead of visiting a smoothie franchise location (Team, 2015). “Fueled in part by Pinterest ​ boards populated with inspirational DIY projects, and doused with a healthy
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