Soft Drinks And The Soft Drink Industry Essay

1289 Words Dec 2nd, 2016 6 Pages
The soft-drinks industry is currently facing several challenges. According to Murray (2006), the industry is saturated with competitors, no longer expanding and its market share is actually decreasing as more and more consumers change to beverages perceived as healthier substitutes. In order to remain relevant, soft drink companies have to embrace innovation and continually introduce new products, so that their businesses can be aligned with the market trends and therefore, thrive in this competitive and challenging industry.
More specifically, the soft drink industry has to overcome the current challenging market realities of; consumers shifting towards substitute drinks which are regarded as healthier, complexity of the sales environment which has several channels with different management needs, increase in retailer strength which has led a corresponding increase in their bargaining power and stiff competition especially from rivals in the soft drink industry. Consequently, every soft drink company must consider its strengths, weaknesses, opportunities and threats in the market as it drives innovations (Shil, 2011).
For new soft drink products to succeed in the market, an integrated and well-balanced 4Ps of marketing mix has to be in place. The elements of the marketing mix variables of Product, its Price, the Distribution (Place) and Promotions have to suit and complement each other. Marketers must therefore, embrace and integrate all marketing mix variables to see…

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