The paper "Marketing Challenges of SodaStream" is a great example of a marketing case study. The company is known as SodaStream and it deals with an apparatus that injects pressurized carbon dioxide into the water to make sparkling water and different flavouring can be added to make different sodas. The problem facing the company is the refusal by CBS to air its advertisement since it was highlighting the weaknesses of two major soda companies which is Pepsi and Coca Cola. The company was forced to use YouTube to air the rejected advertisement.
The solution for the company lies on the social media where it can include the use of Facebook and Twitter which has millions of users. It is recommended that the company should rely heavily on social media as opposed to the use of the CBS channel. The use of social media can be easily implemented and it has a lot of advantages in terms of costs and coverage. Findings SodaStream had just been bought by Yuvan Cohen and it was on verge of collapse at the time although it still had the potential of performing well in the market.
New management was put in place and strategies to revive the company were developed. The company developed new products and an effective distribution system. However, its main challenge was in the advertisement. According to the theories of marketing, advertisements are important in creating awareness of the product among the members of the public (Nihel, 2013). The company was able to come up with an advertisement that was controversial after buying airtime at the super bowl at a cost of $ 4 million. The advertisement was powerful and it highlighted some of the weaknesses and disadvantages of the products of two major companies.
CBS rejected the advertisement as it was targeting two major companies which are Pepsi and Coca Cola. Although the company was able to establish that it had not made any infringement, CBS could still not run the advertisement. The problem in the case study is the failure of CBS to run the advertisement which had already been paid for and it had to replace the advertisement. Running a controversial advertisement was carried out online.
Failing to advertise creates other problems for the company. The failure of CBS to run the advertisement meant that millions of people could not be able to access it. This has negative impacts on the products of the company in terms of marketing its products. The advertisement could have attracted more customers to the company as a result of the advertisement. Discussion The major problem is the refusal of CBS to air the advertisement of the company which could have ensured that millions of people are able to view it.
This has negative impacts on the marketing process of the products of the company. According to the marketing theory, advertisements not only attract the customers but it is also useful in enhancing the PR of the company (Jobber & Ellis-Chadwick, 2012). The company may, therefore, have lost an opportunity to popularize its products to millions of customers. The particular advertisement was rejected by the company as CBS profited from the advertisement revenue from coke and Pepsi which had been targeted by the company in the advertisement. The solution to this problem is to change the method of advertisement.
The company has done this by engaging in the use of online means. This is still a viable solution to the problem but it should take the advertisement to social media like Twitter and Facebook.
List of References
Nihel, Z, 2013, The effectiveness of internet advertising through memorization and click on a banner, International Journal of Marketing Studies, 5(2), p93.
Jobber, D, & Ellis-Chadwick, F, 2012, Principles and practice of marketing (No. 7th), McGraw-Hill Higher Education.
Homburg, C, et al, 2013, Marketing management: A contemporary perspective, McGraw-Hill Higher Education.
Hollensen, S, 2015, Marketing management: A relationship approach, Pearson Education.
Hartley, R, & Claycomb, 2013, Marketing mistakes and successes, Wiley.
McKenzie-Mohr, D, 2013, Fostering sustainable behavior: An introduction to community-based social marketing, New society publishers.