We have decided to study the potential market for the French product Lorina's lemonade on the American market.
The French lemonade maker has developed authentic lemonades made from spring sparkling water which is totally in line with the changing needs and behavior of customers.
After being successful in France, they began to export Lorina's products in the United States in 1996.
They are positioned on the market for sodas, which are defined as sparkling flavored drinks.
Therefore, on the American market the company is up against important multinationals like Coca cola, Pepsi and Cadbury-Schweppes, which are situated on the same segment.
Besides it has to deal with American legislation which is poised to implement taxes on sweetened drinks to fight against obesity.
However the company is relatively well established on the American territory given that the product is distributed in 450 Sam's club stores which are retails warehouses owned by Walt-Mart.
Besides it is an important success thanks to the fact that it is made in France, and because of its classy French packaging. Indeed they made a profit of 5.5 millions of Euros in the United States.
[...] In order to become a leader on this market segment, the American group does not hesitate to supply and market Lorina in great quantities. The bottles are delivered by boat (at the beginning of the wearing of Antwerp) and it is Wal-Mart which manages the logistics of distribution in the United States. In 2001, the Lorina ranges and Geyer Traditional were marketed in the United States from 2500 points of sale. However, its chairman does not ignore the issue of sales promotion. [...]
[...] In 2001, Lorina was present in all the French stores. In of CA is carried out in the USA Today more than 50% of CA is realized from export (mainly US through Wal- Mart and its subsidiary company: Trader Joe' S). The CHR (coffee, hotel, restaurant) are likely to represent an important potential for a drink such as Lorina. The majority of soft drinks sold in CHR are presented in the form of small packaging, from 20 to 50 Cl. [...]
[...] The company has to try to put on the market, other products that are not sweetened, to avoid paying taxes. Analysis of wholesale and retail distribution Description of existing distribution channels Until 1995, Lorina was distributed only in the east of France. Yves Kesseler itself, its lemonade delivered to its customers in a radius of approximately 200 kilometers around Munster. Since the resumption of the company by Mr. Barjon in 1995, the products of Geyer have started to permeate greater linear surfaces. [...]
[...] Now it is in a favorable position in the market for “luxury lemonade” which is rapidly growing, with a growth of 30% per year. This will be a growth outside United States, because there are a lot of possibilities of exportation to Japan and Europe. IV. Conclusion SWOT Analysis Strategic Recommendations Following our study of Lorina's Lemonade and in order to maximize the chances of success on the target market, the company should pay attention on the following points: The sales: the company has to sell more and different products in order to develop and gain important market shares. [...]
[...] market that they had in 1999, namely: It's pretty indicative of a mature market, in which the only major move in market share comes through a takeover. Moreover, the takeover targets that are left are so small, that the biggest remaining brand does not make more than difference in total volume. Direct competitor FIZZY LIZZY Product This is a small and new American company which offers a natural blend of fruit juice and sparkling water with no added sugar or corn syrup. [...]
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