The time when company started its business, only 20 smoothies were sold and this figure has increased up to 420,479 smoothies’ everyday which is a considerable achievement.
Increasing sales, revenues and consumption of smoothies indicate that the quality of products offered by the company has been remarkable because of which Innocent Drinks is able to achieve a lot. Products offered by the company are made up of natural fruits and the quality management team makes sure that the fruits are fresh so that the quality of the products is maintained.
Product life cycle is defined as the stage of the product as the life of the product increases, it moves from growth stage to maturity stage and then it starts declining (Kotler, 2009). Smoothies are at present during the growth stage of product lifecycle (Innocent). Products offered by Innocent Drinks are also at present in the growth stage and the increasing demand of smoothies represents further growth of the product.
As the products offered by the company are still growing and generating substantial amount of revenues for Innocent Drinks. The market as well as the company is growing at the moment however major portion of the industry has been captured by Innocent Drinks with approximately 71% of the total market share. At a time when the market growth rate would decline, then Innocent Drinks can be considered as cash cow.
Perceptual mapping shows that the products offered by Innocent Drinks are considered as of high quality and at the same time the prices of these products are believed to be relatively higher than the prices of competitors. Although some competitors are offering it at a lower price, but then the quality of products offered by these competitors is a question mark thus Innocent Drink is able to provide quality products at a relatively higher price.
According to Ansoff Matrix the ...