Paper Sample on Mountain Dew Market Analysis: SWOT, Challenges, and Strategic Solutions

Introduction

Mountain Dew is one of the Pepsi Company’s carbonated soft drinks brands in North America. It is usually highly carbonated and with a citrus-flavored taste. Its target market for sale was the young, energetic adults following its high calorific value and the sweetened citrus flavor as the captivating factor about it. Despite the stiff competition from other carbonated soft drinks producers, it has thrived well against the odds. This paper will discuss a case analysis of the brand Mountain Dew in the market utilizing the SWOT analysis approach, analyzing its strengths, weaknesses, opportunities, and threats.

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Statement of the Situation

There exists a competitive environment in the target market that Pepsi's brand Mountain Dew serves due to the emergence of other equally robust companies. Pepsi has struggled to meet its target market, which it previously served with minimal competition. It has to strategize do an internal evaluation and develop a new modus operandi, which could safeguard it from elimination in the market by the other carbonated and noncarbonated soft drinks dealers.

Its good relationship with the North American high powered and reputable clients has of late been not working anymore. The broken relationship is accrued to decreased input in its ad strategy coupled with robust competition from the other carbonated soft drinks dealers in the state. Despite its effort to deduce and develop a new separate strategy for the Mountain Dew campaign for a new target market, that’s the African-Americans, it has not yet achieved its initial profit levels.

Strengths

Pepsi has several strengths that can base its objectives on achieving enormous success in the marketing of its brand Mountain Dew. Proper and effective utilization of these objectives will see the company compete fairly with the other dealers in soft drinks, both carbonated and noncarbonated brands.

Mountain Dew's optimum positioning and equity in an exemplary highly relevant and contemporary manner among its target market is a critical strength for steering the company to the standard and competitive level it was previously in.

Optimization on Mountain Dew relevance and positioning in the target population initially specialized in, young adults and male teenagers. This will once more attract and restore the lost interest and preference of Mountain Dew and other brands, that it produces, that the target market had a prior preference to its competitor companies.

The marketing idea and strategy of associating Mountain Dew with the most exhilarating experiences and adventures, upon its consumption\ in a well-articulated manner, will see the company regain trust in its target population, the teenagers.

Associating Mountain Dew with the most exciting and thrilling adventures with the experiences of intense fun and even involving the advertisement strategy of prominent soccer players would attract a large group of buyers from all walks of life. This will even draw a broader market with an enormous buying task force.

Reliance on various spot ideas such as the Mel Torme, which has been known to impress the Dew Dudes with the lyrics it featured in its second-ranked hit in the Do the Dew campaign.

Weaknesses

The challenge in how the campaign "Do the Dew" could be kept working despite the extreme sports exposition to build the brand. This has been a significant weakness utilized by its competitive agents to maximize their sales.

The shift of taste and preference of the target market population to noncarbonated soft drinks has left the company and its competitors with carbonated so drinks such as Coke and Sprite companies. Young teenagers are now interested in Gatorade, the commonly sold noncarbonated soft drink (Zharan & Bongaerts, 2017).

The formerly over-relied spots by Mountain Dew became overexposed with no option of keeping the brand relevant and exhilarating like it previously was.

Opportunities

One of the important opportunities that Pepsi Company could build on is the possible business increase on Diet Mountain Dew. Allocation of money to increase the distribution of Diet Mountain Dew not only to the rural areas of the brand's most substantial catchment area but all to the other parts to increase its awareness and consumption.

Threats

The major threat to Pepsi Company remains the fast growth and increase of Gatorade, as the significant noncarbonated soft drink and other highly caffeinated drinks that have recently entered the market, and the sugary and artificially sweetened energy drinks, especially the competitive Red Bull.

Another threat to Mountain Dew is its requirement to work extremely hard to maintain a steady sale of its brand since the extreme sport that the brand relied on had become overexposed.

The Market Problem

A significant market problem identified is the poor distribution of Diet Mountain Dew. It is a substantial Pepsi brand, especially in the rural areas where the company has a healthy catchment.

Another market problem identified is keeping the Do the Dew campaign effectively working in the face of many extreme sports, which the Pepsi Company previously relied on, becoming overexposed.

Solution

A practical solution to the poor distribution of Diet Mountain Dew is the increase and spread of the business to all parts of the country. Decentralization of this product, based on its previous performance in the brand's strongest catchment and the heavy citrus flavor it has been blended with to mask the artificial sweetener's indelicacy, will outdo its competitive products in the market, especially among the young males and the teenagers (Shadi, 2019).

Enormous spending will be the most suitable strategy to define a new advertisement approach to maintain the target market and survive the fair competition from both carbonated and noncarbonated beverages. The company executive should propose a new expenditure budget in line with these identified problems.

Employees motivation, especially to Bill Bruce, the company's designer, and Jeff Mordos, among other key employees in the organization, will boost their total average output in their different fields of operation, and this will enable the company to compete fairly and possibly outdo its both carbonated and noncarbonated soft drinks producing companies. Involving all the employees whenever making critical decisions will generally influence the overall company's output. The decentralization approach will make all the company's employees dedicated to their actions and implement the company's objectives. Keen attention to the customers' feedback and working on their best interests will create a conducive environment for businesses to thrive in favor of the Pepsi Company (Shadi, 2019).

References

Shadi, M. (2019). Ways of Improving the Economic Potential of the Company. Components of Scientific and Technological Progress, (2), 13-15. https://elibrary.ru/item.asp?id=41804004.

Zharan, K., & Bongaerts, J. (2017). Decision-making on integrating renewable energy in the mining industry: A case studies analysis, a cost analysis, and a SWOT analysis. Journal of Sustainable Mining, 16(4), 162-170. https://www.sciencedirect.com/science/article/pii/S0925753517308238