U.S. Juice Market: Coke is No1, Pepsi No2


courtesy of www.adage.comAdvertising Age’s recently published article on the U.S. Juice Market Share now indicates that Coke’s Minute Maid and Simply juices have taken over the first position.  Pepsi’s Tropicana and Dole brands dipped in market share a little bit this past year, and coupled with Coke’s growth in this category the overall net effect was a switch of their positions.

Many insist that Tropicana’s package redesign contribute to the decline in sales, where consumers confuse the No1 brand with a private label.  Company executives indicate otherwise, saying the decline in sales resulted from economic downturn and thus switched consumers to private label brands instead of name brands.  There is truth to this theory as Information Resources Inc., reported that more units sold compared to a lower dollars sales.  However, there is a almost a 4% absolute change here, as Coke’s sales did increase while Pepsi’s sales decreased.  So even though private label products did sell more, even though there was an impact from the economic downtown, the package redesign has damaged Tropicana.

Over at TheDieline.com, their article by Ted Mininni here indicates that Tropicana’s redesign efforts were not very well thought out.  By updating their packaging (or as Pepsi likes to call it, “refresh everything”), Pepsi has essentially taken away the message and recognition that the consumers know so well for something similar to a foreign, control brand orange juice.  And this is important because Coke’s Minute Maid has recently undertaken a redesign of their packaging as well.

courtesy of thedieline.comTheDieline.com quotes Guy Wollaert, general manager for Coca=Cola’s global juice center, as saying, “Based on the research we’ve done, we’re quite confident we’re on target. It’s been amazing, the consistency in the brand equity cues.  The new Minute Maid packaging features fruit fresh from the trees with a sliced piece resting on top of whole fruit. The brand identity is strong and dominant. Beneath that, a vertical swath of color with the fruit variety appears. At the bottom of the front panel, a green vertical bar states: ‘100% Pure Squeezed Orange Juice’.”

Mininni gives it his stamp of approval because it provides a clear message leaving the important factors unchanged for easy consumer interpretation.

The graphics for the old package has a half-sliced orange over numerous whole fruits, in front of a rising (or setting) sun with a sky-blue background in the distance.  The old package conveys fresh orange juices – whole oranges taken from their natural element and then squeezed into juices.  Whereas the new packaging with the white background and green leaves may take some time to get used to.  It does convey fresh orange juice and 100% squeezed, but BevWire still prefers the old packaging, maybe for nostalgia.  With Minute Maid’s sales holding steady so far, it shows the package redesign is a success.

At least this hasn’t brought about the magnitude of attention and press coverage as Tropicana’s redesign.

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