Dr. Pepper Snapple Group

Editor's Notes

• #16: Put in info about hand-cranked vending machine
• #22: Need data on how effective this plan is, have numbers but need graph in comparison to b4
• #23: If can find data/graph on who soda co target
• #25: *Need data on obesity and diabetes trends.*- http://library.cqpress.com/cqresearcher/document.php?id=cqresrre2003013100&type=hitlist&num=0
• #27: Although this marked the second year of growth for the beverage industry, after two consecutive declines in 2008 and 2009, the pace of growth slowed from 2010However, despite a growth in beverage market overall, the sales of carbonated soft drinks fell 1 percent in 2011, faster than the 0.5 percent decline in 2010- this is related to the healthier living trend in AmericaDPS and PepsiCo are both rolling out new ad campaigns to compete with coca-cola:The new Dr Pepper campaign carries the theme “Always one of a kind,” replacing the previous theme used in 2011,“There’s nothing like a Dr Pepper.” - The Dr Pepper Snapple Group spends about $40 million a year on ads for Dr Pepper alone. Pepsi-is bringing back Sofia Vergara for a second year as the spokeswoman for its Diet Pepsi brandIn June 2010, Coca-Cola paid DPS $715 million for the right to continue selling Dr Pepper drinks once it acquired the North American bottler, Coca-Cola Enterprises, There was also a similar deal between Dr Pepper and PepsiCo who bought its own top North American bottler and paid DPS $900 million to continue selling Dr Pepper, Crush and Schweppes.Energy-sales grew 14.4 percent by volume in 2011. This means it was the fastest-growing segment with the beverage industryWater-sales volume was up 4.1 percent in 2011, faster than the 3.5 percent growth in 2010
• #28: JUST FOR DPS –compared to the overall market globally, DPS only makes up 5.1% of the market share.US- 2010(not correct=89.2%) of total revenues$5,903 millionInternational- 10.8% of total revenues$607 millionLatin america $382 million=6.07%It is clear that Coca-Cola dominates the market with 47.6% of the market share
• #30: Energy drinks-sales grew 14.4 percent by volume in 2011. This means it was the fastest-growing segment with the beverage industryBottled water-vitamin/mineral-As for bottled water, its growth continues to accelerate. In 2008 and 2009, tough economic times led to a decline in bottled water sales, but the category recovered in 2010, and its growth rate accelerated in 2011. Bottled water sales volume was up 4.1 percent in 2011, faster than the 3.5 percent growth in 2010. Distribution mergers/aquistion- talked previously about the acquisitions of the Coca-Cola and PepsiCo companiesCost of resources increasing-as the US becomes more anti-obesity and health conscious, with plans like the sugar tax, soft drink companies are finding their cost per bottle is increasing. (one example of this is the increase in cost of fructose/or corn syrup).
• #34: Global projected growth rates of the carbonated soft drinks industry
• #39: Source: http://finance.yahoo.com/q/co?s=dps
• #53: General Counsel=oversees all legal issues for the company.Corporate Affairs=overall responsibility for all aspects of internal and external communications, public relations, government affairs and corporate social responsibility.Packaged beverages=coast-to-coast sales force and fleet responsible for direct-to-store delivery (DSD) and warehouse distribution.Supply Chain=logistics & distribution; manufacturing; quality, environment, health & safety (QEHS); concentrate manufacturing; supply chain planning; packaging & engineering; corporate facilities; and non-franchise sales across North America, Canada and the CaribbeanConcentrated Beverages=national sales organization that includes route-to-market and fountain foodservice teams in the U.S. and Canada and recetly Latin AmericaHuman ResourcesR&D=product development, regulatory, nutrition, sensory and consumer guidance, flavor and concentrate technology, chemistry, functional ingredient technology, process development engineering and knowledge management.Marketing=commercial brand management and marketing, including market research, graphics, merchandising, consumer and shopper insights, brand activation, advertising and sales promotion.
• #54: Revenue for 2011 has increased by $267,000 from 2010- even though consumption has been declining, the prices have been rising steadily and this has made up for the drop in ConsumptionEarnings before Interest and Taxes have decreased by 10,000 from 2010, which means our operating margin has increased by 277,000Moving on to the balance sheet, both our assets and liabilities have increased for 2011 but our equity has decreased by 196,000 from 2010Lastly our operating cash flow has also decreased by 1.7 million, however 2010 was not a typical year- in the past the average has been around 680,000(on cash flow financial we had a lot of money under other liabilities)
• #60: These expectations were based upon several factors including the recent 2-3% increase in commodity costs and because of the 2-2.5% increase in their pricing mix
• #61: Cite:DPSG annual report 2010
• #62: Cite: DPSG annual report 2010
• #65: Threats-loss of partner bottlers- there is a possibility that if
• #70: Water- right now we only have our brand of water in Latin America- called penafiel but that should branch out in USThe health and wellness market makes up $600 billion dollars globally Graph is in millions of $Projected growth- reach 64.46 Billion Liters by 2015natural beverages, manufactured without any additives or preservatives are dominating the fruits and vegetables market. Nutritious food products and drinks manufactured using organic ingredients are gaining preference. Teas and juices- already compared to competitors offer a variety of teas and juices but we should take advantage of this competancy and the health concern and diversify our line
• #75: http://www.cnbc.com/id/46796332