This document provides a strategic analysis of Jamba Juice. It outlines the company's profile, mission, vision, market, competitors, strengths, weaknesses, and three strategic objectives: 1) Creating a synergy between Jamba Juice and Gold's Gym locations, 2) Offering employee discounts on gym memberships, and 3) Entering the popsicle and ice cream markets. Key details include Jamba Juice's revenues, competitors like Starbucks and Smoothie King, a SWOT analysis, and plans to evaluate objectives through data collection and control processes over 6-12 month periods.

1. A Strategic Analysis of By: Jerry Morales

2. Agenda Company Profile Mission and Vision Market Competitors SWOT Analysis Objective 1 Objective 2 Objective 3 Considerations and Conclusion

3. Company Profile Founded in 1990 as the Juice Club 1995 name changed to Jamba Juice 6,000 employees 743 locations 30 States Bahamas Revenues exceeding $248 Million Down 7.21%

4. Mission and Vision Mission: Jamba! Enriching the daily experience of our customers, our community and ourselves through the life nourishing qualities of fruit and vegetables Vision: FIBER Fun – Have fun Integrity – Do what you say Balance – Live a balanced life Empowerment –Believe in yourself Respect – Be respectful

5. Market In 2007 Smoothie and Juice Industry exceeded $664 Million in the United States Younger (under 40) Middle class with some disposable income Health-conscious

6. Competitors Starbucks Founded in 1971 Total revenue exceeding $11 Billion 55 Countries Woldwide Maui Wowi Started in 1983 More than 600 locations Organic Smoothie King Established in 1973 600 Locations across U.S. and South Korea Voted #1 Smoothie Bar for 17 years in a row

7. SWOT Analysis Strengths: Well Known brand Weaknesses: Competitors exceeding Jamba Juices revenues Not as popular during Winter months or in North Opportunities: Health conscious trend Merchandising Threats: Economy Easy market entrance

8. Synergy with Gold’s Gym Creating a Synergy with Gold’s Gym 3.5 Million members Located in 42 states and 30 Countries Worldwide Highest market share at 20%, 96% brand awareness 30 Days – Negotiate locations to pilot CA (5), UT(2), AZ (3), TX (4), LA (2), FL (4) 60 Days: Begin Construction in pilot states 90 Days: Begin marketing efforts/create awareness 180 Days: Jamba Juice Health bars up and running Grand opening event to follow

10. Evaluation and Control Monitoring of Monthly data reports (before vs. after) Revenue and sales Enrollment rates Attrition rates Staffing through Jamba Juice Adhere to both companies policies

11. Employee Discounts Would employees take advantage of a Gym membership discount through the Jamba Juice/Gold’s Gym membership? 70% of Jamba Juice employees join a gym with first year of employment, 30% do not. 30 days: update and run revised contract by legal 60 days: Pamphlets and memorandums 90 Days: Update Jamba Juice systems for discount 180 Days: Discount ready to be offered

12. Strategy If Jamba Juice selected 5 employees at random, what would the probability be that three of those employees would not want to join a gym?

13. Evaluation and Control Monitor and track discount use Employee number must be received for discount Review monthly reports Fine tuning if needed

14. Entrance to the Popsicle and Ice Cream Market Infiltrate supermarkets and grocery stores across 20 States from California to North Carolina Minimal Cost as many assets already owned (Warehouses, trucks) 7 major activities observed: Mixing (4 hours) Cleaning (6 hours) Freezing (2 hours) Storing (6 hours) Inspecting (3 hours) Truck preparation (2 hours) Loading (5 hours)

15. Path Before Distribution Mixing and Cleaning can be started at the same time as there are two different batches. When materials from one are being cleaned, the other set of materials is mixing the next batch. Cleaning also includes cleaning the distribution trucks before they are prepared for shipment ( filling the truck up with gas, checking fluids and other maintenance issues) When one batch is done mixing it can either be frozen into popsicle molds and ice cream cartons or stored in a freezer. The mix is loaded from storage and Jamba Juice products are inspected and then loaded.

17. Strategy Critical Path = mixing, storing and loading ensure processes are not delayed 30 Days - purchase machinery , identify employees to relocate or hired 60 Days - employees hired/relocated 90 Days - determine what grocery stores and food chains to distribute to and sign contracts 180 Days - production begins and products began arriving in stores, marketing, adverting and in store sampling

18. Evaluation and Control Management will review and monitor sales reports for the first twelve months. If the Jamba Juice products are successful, then the management team will increase the flavor options available from 5 to 10. If the costs are over budget then management will re‑strategize after one year to either modify its processes or consider pulling out of the popsicle and ice cream markets.

19. Considerations and conclusion Weak economy (limited disposable income) Employees and consumers perception of synergy Employees positive healthy attitude (minimal resistance) products could be viewed as named brand and expensive. Increasing competition emerging, Immediate action needed to maintain position as a top specialty drink provider

20. Agenda Company Profile Mission and Vision Market Competitors SWOT Analysis Objective 1 Objective 2 Objective 3 Considerations and Conclusion

21. Questions