Marketing Plan

Running head: SWOT ANALYSIS 1

SWOT ANALYSIS 7

SWOT Analysis

Institution

Name

Company Description

TruGood Inc. is an American non-alcoholic beverages company that specializes in the production, packaging, and distribution of energy drinks to our esteemed consumers across the United States. The company was founded in the year 2019 by Houston Lay. TruGood Inc. headquarters are located in Paterson, New Jersey, United States. Since it was established, TruGood Inc. has strived to adopt various growth strategies meant to help us become one of the largest NAB company in the American market.

TruGood Inc. focuses on producing non-alcoholic beverages for consumers not only in U.S. but also across the European market. Our company is set to launch a new and healthier energy drink –Heaven Drink –which is caffeine free for the purpose of making it fit for consumption. For now, our company is planning to serve 6 major states in the United States among them New Jersey, Washington, California, New York, Virginia and Illinois. In the next one year, our company plans to be among the top 20 largest Nab companies with an annual revenue of at least $1 billion.

Our company strives to build a competitive brand not only in U.S. but also across the European market. The company’s main aim is to drive a strong financial and shareholder value while at the same time striving to create a sustainable environment for humanity. The health of our consumers come first as we endeavor to constantly produce energy drinks that are caffeine free. TruGood Inc. aspires to become the world’s leading NAB producer while taking into consideration quality and health of our customers. In order to achieve this objective, we uphold ethics, innovation, and understanding in the bid to improve the well-being of our employees, consumers, and business partners. Phone: +1 888 609 9292 | Website: www.trugood.com | Email: [email protected] |Company Name: TruGood Inc. |Production Description

TruGood Inc. intends to produce and sell a new energy drink known as Heaven Drink. Heaven Drink is a non-alcoholic beverage which is aimed at offering new experience and maximum level of satisfaction to our esteemed consumers. The drink seeks to restore energy in the bodies of consumers while at the same time hydrating their body tissues. The major ingredients of this energy drink include: water, citric acid, natural grape, salt, monopotassium phosphate, sodium citrate, sucrose syrup, and glucose-fructose syrup.

Moreover, Heaven Drink comes in four distinct flavors namely: Orange Tangerine, Pineapple Mango, Strawberry Kiwi, and Blue Raspberry. Apart from restoring energy and water levels in the bodies of consumers, Heaven Drink has both vitamin B6 and vitamin C which offer unparalleled health benefits to customers. Thus, the drink can be used to replace calories lost in the body especially for sports people.

Heaven Drink has been chosen over other non-alcoholic brands due to its uniqueness as far as the health aspect of consumers is concerned. Unlike other energy drinks, Heaven Drink is caffeine free hence making it truly good to consumers since it is healthier to bodies of our consumers. Moreover, its packaging is unique since it comes in a special container that can keep it cool up to 7 hours even after being removed from a refrigerator.

Mission Statement

“To become one of the leading producers and distributors of non-alcoholic beverages will a good reputation both locally and internationally for producing energy drinks that are truly good to consumers in terms of quality and health characterized by natural ingredients which results to customer satisfaction.”

Generally, the company’s mission statement is based on the core values of accountability, responsibility, and value for our key shareholders including customers, employees, and business partners. TruGood Inc. seeks to produce caffeine free drinks which are healthier to our consumers. The company also lays key emphasis on employee welfare for the purpose of ensuring improved productivity and performance. For our business partners such as investors, TruGood Inc. strives to uphold honesty, integrity, and fairness in order to guide us in striking clean business deals –something that helps to add value to the capital invested by shareholders in our company. Finally, the company strives to address social and environmental issues in order while working towards delivering organizational goals and objectives.

Trends

The U.S. non-alcoholic beverage industry is growing tremendously and it is expected to register a growth rate of between 3.5 to 5 percent by the year 2021 (Ashton et al., 2014). Notably, people in United States are becoming more concerned with their health especially the elderly. This has increased demand for drinks which offer more health benefits to consumers. This trend is linked to decrease in demand for the existing energy drinks due to the presence of caffeine as a major ingredient in them. Notably, caffeine has been linked to a lot of health issues among them insomnia, muscle tremors, nervousness, and stomach problems (Huang et al., 2015).

Additionally, the American economy has registered a 7 percent growth which means that there is a greater opportunity for NAB industry to grow. The existence of various opportunities in the market has attracted more key players in the industry hence leading to growing competition. Notably, the demand for healthier non-alcoholic beverages in the American market has prompted our company to produce Heaven Drink that is caffeine free in the bid to serve the changing consumer needs and wants.

Strategic Position

The best strategic position for TruGood Inc. is benefit positioning. Notably, the company’s new produced Heaven Drink is a product that seeks to offer customers health benefits which are not offered by other non-alcoholic beverage brands in the market. Notably, Heaven Drink produced by TruGood is meant to offer unmatched health benefits compared to other energy drink brands offered by rival companies.

According to Enz, Canina & van der Rest (2015), benefit position refers to the process of positioning your products or services in such a way that they offer unmatched value to consumers. This can be achieved by ensuring that the product has the best features compared to what is in the market. Currently, there is a problem in United States NAB industry whereby most of the energy drinks contain caffeine hence making them unhealthy consumers.

TruGood Inc. seeks to ensure that they produce Heaven Drink is such a way that it offers health benefits to consumers. The ingredients of Heaven Drink include vitamins C and B6 which are healthier to consumers. Moreover, the drink is caffeine free to ensure that consumers are not exposed to negative effects of caffeine which include nervousness, muscle tremor, among others. Thus, the company will position its drink as the best compared to others in terms of health benefits it offers to its consumers.

Distribution Channel

According to Zimon (2017), distribution channel “is the chain of networks used to get the product from the manufacturer to the end producer.” There are a number of distribution channels that will be used by TruGood Inc. to ensure that Heaven Drink reaches the final consumer. These channels include:

Retail: The company will partner with various retail outlets such as supermarkets in the bid to stock Heaven Drink. The company marketing team will be tasked with ensuring that the product is stocked. Moreover, they will keep in touch with these retail outlets to ensure that shelves are restocked when the drinks are out of stock. Direct Selling/Internet: the company will establish an e-commerce site that will allow the consumers to order the drinks online and have them delivered to their respective areas. In this, the sales team will be required to manage the inventories in order to ensure that the drinks ordered are available in the warehouse. In case they are out of stock, there is need to update the site to ensure that consumers do not order for drinks which are not available. Direct Selling/Sales Team: The marketing team can plan to sell the drinks directly to the consumer sin the field. This can take place during sporting events.

Risks

As the American food and beverage industry continues to grow, key players in the sector face a myriad of challenges which include:

Regulatory risks –considerably, companies like TruGood Inc. are subjected to a number of regulations which control their operations. For instance, FDA ensures that drinks produced meet certain quality standards so ensure that they are safe for consumption –failure to which they can be sued for producing substandard products (Studdert, Flanders & Mello, 2015). Moreover, there are other regulatory risks such as workplace safety; environmental protection; as well as chemical regulations. Technological Risks –notably, the world of business is shifting to e-commerce hence causing a major challenge to brick-and-mortar stores (Gupta, 2014). Thus, a company like TruGood Inc. is at a risk of being edged out of the market if it does not integrate technology in its operations. Innovation risks –the company is supposed to remain innovative and creative failure to which it might be edged out of the highly dynamic food and beverage industry in United States.

SWOT Analysis

According to Grant (2019), “SWOT analysis is a framework used to evaluate a company's competitive position and to develop strategic planning.” It is used to assess the internal and external environmental factors that determine the current and future success of a brand.

Strengths

· Heaven Drink is unique since it is caffeine free unlike other energy drinks in the market.

· The drink is cheaper hence offering TruGood Inc. a price advantage.

· TrueGood Inc. has a team of experienced marketers who will ensure that the drink. penetrates in the market.

· Packaging of our drink makes it cool for up to 7 hours even when it is not in the refrigerator.

Weaknesses

· Lack of brand recognition since the drink is new and it will take time to establish itself in the market.

· The company is new and it might face financial constraints.

· Lack of strong marketing strategies.

Opportunities

· The food and beverage is growing hence fronting major opportunity for growth of the company’s brand.

· The economy of the country is growing hence opening more opportunities for TruGood.

· Technological growth is also offering the company a room to grow its online presence hence increasing sales.

Threats

· Competition from other well-established brands.

· Regulation risks

· Financial constraints

References

Ashton, W., Richards, G., Galatsanou, E., & Bollman, R. (2014). Food & beverage processing industry growth pathways to 2020. Brandon, M: Rural Development Institute. See: https://www. brandonu. ca/rdi/files/2011/02/RDI-Food-Processing-Report-2014. pdf.

Enz, C. A., Canina Ph D, L., & van der Rest Ph, D. (2015). Competitive hotel pricing in Europe: An exploration of strategic positioning.

Grant, M. (2019). Strength, Weakness, Opportunity, and Threat (SWOT) Analysis. Retrieved from: https://www.investopedia.com/terms/s/swot.asp [Accessed October 13 2019].

Gupta, A. (2014). E-Commerce: Role of E-Commerce in today’s business. International Journal of Computing and Corporate Research, 4(1), 1-8.

Huang, T. T., Ferris, E., Crossley, R., Guillermin, M., Costa, S., & Cawley, J. (2015). A protocol for developing an evaluation framework for an academic and private-sector partnership to assess the impact of major food and beverage companies’ investments in community health in the United States. BMC obesity, 2(1), 36.

Marks, J. H. (2017). Caveat partner: Sharing responsibility for health with the food industry.

Studdert, D. M., Flanders, J., & Mello, M. M. (2015). Searching for public health law’s sweet spot: the regulation of sugar-sweetened beverages. PLoS medicine, 12(7), e1001848.

Zimon, D. (2017). Quality Management Systems' impact on the functioning of distribution channels in the FMCG market. Calitatea, 18(156), 52.