Dr Pepper Snapple Group SWOT Analysis

Dr Pepper Snapple Group initiated its triumphant business of beverages in 1783 when first soft drink was successfully prepared by Jacob Schweppes. This huge company is offering some of most renowned beverages of industry for more than 2 centuries. Dr Pepper Snapple Group offers wide range of refreshing carbonated drinks all over the North America with headquarter located in Plano, Texas. Other products, produced by company include teas, mineral water, juices and mixers.  Some of the famous carbonated drinks by Snapple group are 7Up, Canada Dry, Sunkist Soda, Squirt, Crush, Clamato, A&W, Rose’s, Venom Energy, Mr. & Mrs. T mixers and Schweppes. All these products of Dr Pepper Snapple incurred more than 5 billion dollar revenue for the company in year 2010.

Strengths

• Dr Pepper Snapple group is proud owner of innovative and wide range of carbonated flavors.

• Dr Pepper Snapple group invaded the stock exchange in 2008.

• Employees of Snapple group maintain the reputation of company with proper strategies and ensure its sustainability.

• The business model integrated in company’s policies help company to maintain the quality and from production department to distribution of products.

• The brand is known for its innovative taste and for this reason 9 brands of company stood number 1 in their genre of flavors and from top 10 brands of beverages top 6 soft drinks are from Dr Pepper Snapple Group.

• The business of company remains free of hurdles due to accessibility large cash.

• Dr Snapple group certainly holds sturdy position in market.

• The brand portfolio of company is known throughout North America.

• Consistent growth in revenue is also ensured due to broader line of products by the company.

Weaknesses

• Nowadays, health conscious people and organizations strongly demote the use of soft drinks that can influence the sales of drinks.

• Dr Pepper Snapple Group acquired their 70% revenues from North American that include Canada, USA and Mexico only. 

Opportunities

• With more acquisitions in other parts of world or with more alliances company, can enhance its revenues.

•  Increase in production of bottled water to meet the need of market.

• Company should explore new emerging markets such as China, India and other countries.

• Introduction of more innovative products other than beverages according to the taste and demand of native people.

• With other healthy products from Dr Snapple group can enhance the reputation of company among health conscious groups such as justices and non carbonated drinks.

Threats

• The biggest rival of Dr Pepper Snapple group in field of carbonated drink is Pepsi and Coca-Cola.

• Decline in economy of USA and recession prevailing all over the world influence the sales of company.

• Reduced use of carbonated drinks can also decrease revenues of company.

• Increasing prices of fuel along with increase in prices of other commodities also affect the price of products of company.

• Limited market opportunities in area of North America can also affect the sales of company.

References

•Dr Pepper Snapple Group. (2012). Official Website: http://www.drpeppersnapplegroup.com/values/  Retrieved: 25th Oct, 2012

• Dr Pepper Snapple Group, News.  (2012). Official Website: http://news.drpeppersnapple.com/  Retrieved: 25th Oct, 2012

• Beverage Digest. (1998). Cadbury Announces Deal.  (Special Edition). Retrieved: 25th Oct, 2012

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