Jamba Juice Case Thought Starters
1. Please analyze the external environment for Jamba Juice concentrating on the six external variables discussed in class.
2. Review the value chain for Jamba Juice and discuss where they are gaining a competitive advantage.
3. Discuss the marketing strategy for Jamba Juice and how it is positioning itself. Do you agree with this strategy?
4. If you were a marketing director for Jamba Juice and were asked to develop an advertising and media plan which vehicles might you use to build awareness and generate traffic.
5. Do an assessment of the financial health of the company.
6. What recommendations would you make to see Jamba Juice grow and increase market share? Do you think their proposed
…show more content…
The firm has to be aware of changes in this demographic and react accordingly. People in its target market covet convenience, technology, quality products, the environment, among others. A robust and efficient value chain can be a key enabler in the success of firms. For Abercrombie and Fitch, marketing, sales and services are crucial components of its value chain that critical for its success. The firm does an overall great job at marketing to its target audience. The ambiences in its stores are very much in tune with its target market. “The retailer’s hip, trendy, all-American look ….” (Abercrombie and Fitch) is a powerful marketing strategy. Its target audience could relate to it well. It spends very little on marketing. For example in 2004, it spent less than 2 percent of net sales on marketing. (A&F case) This if far below industry average, the firm instead relies heavily on word of mouth marketing. This is by far the most effective form of marketing and it seems to work well for Abercrombie and Fitch. Another value added service that helped the firm is its logistics and supply chain management. It has a modern and well designed website. Its ecommerce business generates revenues in excess of over 100 million dollars a year (A&F case). By driving business to its website the firm could rely less on bric k and motar facilities for all its revenues. It also consolidated its sourcing and distribution