Swot analysis of energy drink industry

Happy's Hype Energy Drink SWOT Analysis

Chiquita Freeman

BUS599

April 23, 2018

Dr. Vanessa Graham

Running head: HAPPY'S HYPE ENERGY DRINK SWOT ANALYSIS

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HAPPY'S HYPE ENERGY DRINK SWOT ANALYSIS

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Happy's Hype Energy Drink SWOT Analysis

Happy Hype is a soft drink company that specialize in producing an energy drink that is healthy for its consumers. The drinks are healthier with less chemical ingredients and sugar. The Happy Hype is a name that is easy to grasp and may be persuasive in selling the company products. The company is targeting to produce as many products as possible and create a favorable environment of selling the products to the customers. Majorly, the company is aimed at producing healthy energy drinks that animates the people while they enjoy consuming them.

The Mission of the company is to continuously operate in the competitive industry and enhance providing the best corporate practices of making and supplying the drinks that are of best quality and taste hence satisfying the customers.

The missions will help the company to create value and make a difference in its products. The mission statement will be rationalized by the desires of the company to coordinate the production and distribution of quality energy drinks based on the preferences of the customers and obedience with safety standards. Most importantly, the mission is aimed at helping Happy Hype to establish permanent relationships on the strength of high quality service philosophy and recognize the need of profitability for a long term success.

There are five main trends that have the potential of inspiring up the non-alcoholic beverage industries more especially the Happy Hype energy drinks industry (Zheng & Kaiser, 2008). The first trend in this industry is total transparency, which is reasonably understandable. This entails radical transparency whereby the consumers need and demand to know about their beverages. The company has provided the information that meets the expectations of the consumers. Thus, transparency is very key to all non-alcoholic companies in order to create an understanding of their product so that the expectation of the customers can be met. The second trend entails deciding what is good for oneself. In other words, this requires self-care which requires one to be responsible of his or her wellbeing and health. This means that the consumers do careful examination of beverage ingredients and thereafter use the information to decide if the products are appropriate with their nutritional plans. Therefore the Happy Hype products will help to support their health both physically and emotionally due to the ingredients which are used to make the products. The other trend of the NAB companies, Happy Hype to be specific is focusing on new textures and use transparent bottles to make different flavor variations.

Equally, regarding the trends for nonalcoholic beverage companies, is the subscriptions for non-alcoholic beverages. Most consumers are now trying out various ways using the growing technology and other channels to purchase beverages (Schuppner, 1968). This should apply to the Happy Hype energy drinks company which allow the use of subscription services that will result to customized recommendations hence creating a new era of personalization. The science of new solutions is the last trend of this company and other non-alcoholic beverage industries. The company need to implement technology in order to develop solutions places where there is a shortage of such drinks.

Within the Happy Hype energy drinks industry, the company’s energy drink will highly lead to the growth of the industry in general because, first, the beverage is made from the best and health ingredients that will meet the physical and emotional health needs of the consumers. Secondly, the company will help increase the company size by allowing subscriptions services that will create an era of personalization. Lastly, the beverage have transparency which enables the consumers to develop an easy understanding of the product and at the same time meet their expectations.

SWOT analysis means Strengths, Weaknesses, Opportunity and Threats. This technique is very useful to the Happy Hype Company to understand its strengths and weaknesses for identifying both the opportunity to open threats that the company is facing. The strengths of the company entails the capability of the company to produce products which are alcoholic free. The drinks produced are unique and different since they have positive health implications to the consumers. This will attract more consumers thus, making the company to grow through selling of many products. Similarly, the company is capable of utilizing the growing technology such as allowing the use of subscription services thus creating an era of personalization, this will as well increase its market.

The external factors that are likely to affect the company is competition from other nonalcoholic companies. The companies producing the same product will affect the market trends by lowering the market. For the Happy Hype company to overcome the competition from its rivals, its needs to develop a competitive advantage. This can be achieved through offering clients better and greater values. What the company needs to do is to produce the best drinks by using the top ingredients, which enhances the health of the consumers. In addition, the company should ensure that that they sell the products a reasonable price. Therefore, this will lead to the recognition of these products by the target market.

References

Schuppner, J. H. R. (1968). U.S. Patent No. 3,413,125. Washington, DC: U.S. Patent and Trademark Office.

Zheng, Y., & Kaiser, H. M. (2008). Advertising and US nonalcoholic beverage demand. Agricultural and Resource Economics Review, 37(2), 147-159.