Booster Juice

Why is Booster Juice not achieving greater success in

India? (issues)
Inefficient use of some of the 4 Ps
Place/Location Challenge:

People from all socioeconomic classes living together.

Difficulty in choosing the right location for the target market.

Unsuccessful initial location decisions- relocation expenses $35,000.

Price Challenge:

Not many Indians can afford the premium prices of Booster Juice.

Products challenge:

In Canada, Booster Juice offers product in different sizes: Large, medium,

and small

In India: Only offer medium and small sizes at lower prices.

Supply Chain Management

Not finding the required local suppliers in terms of quality.

Had to import products from Canada Extra Costs.

Delays due to importing processes.

Competition

Indirect competition from local cart juice vendors.

Analyze Indias business environment

PESTEL
POLITICAL
Largest
democracy
in the
world
Runs on
federal
governmen
t
Greatly
influenced
by the
governmen
t policies

E
4th largest
buying
power
Rapidly
growing
middle
class
GDP is
about 7.46
billion
dollar and
estimated
to grow to

S
Population
of 1.2
billion
Consists of
28 states
and 7
territories
Complex
social
structure
Diverse
cultures,
religions

T
One of the
strongest
IT
infrastructu
re in the
world
Served
both 3G
and 4G
Technology
is widely
used
Technologic

E
Poor air
quality
Presence of
environme
ntal
pressure
groups
Early
stages of
recycling
and waste
material
reduction

L
Regulations
such as
minimum
wage and
gender
discriminati
on

Influenced
by
politicians
interests as
well as the
ideologies
of political
parties.
Lot of
corruption

7.75 by
2020
148th ease
of doing
business
186th
enforceme
nt
contracts

and
languages
Mall culture
Average
age of
population
in 2020 =
29

al support
and
services
are easily
available

process

Identify market segments and customers for Booster

Juices products. (issue, analysis)
Market segment
-

Health conscious
Males and Females
Healthy, great-tasting and convenient alternative
Meal replacement
Fast-paced lifestyle: Health-oriented, Busy, Active

Many suppliers in
India.
Low switching cost.

High
Power of
Buyers:

Low switching
costs.
Low loyalty.

Threats of
New
Entrants:

Low

High

Power of
Suppliers:

Low barriers to
entry.
Easy to enter the
market with
cheaper prices.

Threats of
Substitutes:
Many substitutes
High Lower prices

Kids and families

With a significant purchasing power they represent a fantastic opportunity as
Booster Juices are healthy products that boost energy and have no negative
connotations for kids.

How to do this?
-

School lunch programs

School fundraisers

Target families : May entice them to try Booster Juice products

Exercising and Athletic Market

Could be used as a workout snack or a post-workout meal
Celebrity endorsements
-

Jos Bautista in Canada

Cricket stars in India? E.g. Sachin Tendulkar

Positive associations
Middle and upper classes
Need to make consumers understand that prices are higher due to differentiating
features
-

Higher Fruit Content

Lower Ice Content
No Added Sugars or Preservatives
Free Nutritional Supplement or Booster
Using superfoods like Goji and Aa berries

Indian market
Target market: Young, health-conscious consumers, aged from 18 to 35
Main selling point: Offering a healthy, convenient, portable meal
Premium Product
Targeting upper and middle classes

What would have been the optimal entry strategy for

Booster Juice in India in 2009? (issue, analysis,
recommendation)
JOINT VENTURE
Booster Juice
business type is
not suitable for a
joint venture
Lack of control
Lack of trust

LICENSING
Lack of control
Can become a
competitor after
license expires

EXPORT
High
transportation
costs.
Perishable good
Less control over
Marketing &
Distribution

WOS
High cost
Complex social
structure.
Diverse cultures,
religions and
languages.

What would be the perfect marketing mix for Booster

Juice in India? (analysis, recommendation)

Build brand awareness

Maintain Booster Juice image in India
Increase sales at current locations
Encourage successful expansion in India

PRODUCT:
Use BCG Matrix to:
-

Turn Question Marks and Stars into Cash Cows

Keep creating new products and observe consumers reactions.
Continuously take in consumers ideas.
Keep monitoring the quality and inventory level of the Cash Cows

Health-oriented, busy and active consumers => Commercial areas

Children and families => Affluent neighbors
Athletic consumers => Gymnasiums

Premium product
Competitor-based pricing strategy

PLACE:

PRICE:

PROMOTION:
-

Increase brand awareness

Informative advertising to promote brand, competitive advantage
and quality image
Sales promotion and Loyalty program for customer retention
Involve local celebrities in their advertisements.
Create campaigns through social media.
Sponsoring of sport events

Should Booster Juice follow McDonalds strategy, by

Indian-izing the product, price, place and promotion?
(analysis, recommendation)