A Strategic Analysis of By: Jerry Morales
AgendaCompany ProfileMission and VisionMarketCompetitorsSWOT AnalysisObjective 1Objective 2Objective 3Considerations and Conclusion
Company ProfileFounded in 1990 as the Juice Club1995 name changed to Jamba Juice6,000 employees743 locations30 StatesBahamasRevenues exceeding $248 MillionDown 7.21%
Mission and VisionMission: Jamba! Enriching the daily experience of our customers, our community and ourselves through the life nourishing qualities of fruit and vegetablesVision: FIBERFun – Have funIntegrity – Do what you sayBalance – Live a balanced lifeEmpowerment –Believe in yourselfRespect – Be respectful
MarketIn 2007 Smoothie and Juice Industry exceeded $664 Million in the United StatesYounger (under 40)Middle class with some disposable incomeHealth-conscious
CompetitorsStarbucksFounded in 1971Total revenue exceeding $11 Billion55 Countries WoldwideMaui WowiStarted in 1983 More than 600 locationsOrganic Smoothie KingEstablished in 1973600 Locations across U.S. and South KoreaVoted #1 Smoothie Bar for 17 years in a row
SWOT AnalysisStrengths: Well Known brandWeaknesses:Competitors exceeding Jamba Juices revenuesNot as popular during Winter months or in NorthOpportunities:Health conscious trendMerchandisingThreats:EconomyEasy market entrance
Synergy with Gold’s GymCreating a Synergy with Gold’s Gym3.5 Million membersLocated in 42 states and 30 Countries WorldwideHighest market share at 20%, 96% brand awareness30 Days – Negotiate locations to pilotCA (5), UT(2), AZ (3), TX (4), LA (2), FL (4) 60 Days: Begin Construction in pilot states90 Days: Begin marketing efforts/create awareness180 Days: Jamba Juice Health bars up and runningGrand opening event to follow
Evaluation and ControlMonitoring of Monthly data reports (before vs. after)Revenue and salesEnrollment ratesAttrition ratesStaffing through Jamba JuiceAdhere to both companies policies
Employee DiscountsWould 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 legal60 days: Pamphlets and memorandums90 Days: Update Jamba Juice systems for discount180 Days: Discount ready to be offered
StrategyIf Jamba Juice selected 5 employees at random, what would the probability be that three of those employees would not want to join a gym?
Evaluation and ControlMonitor and track discount useEmployee number must be received for discountReview monthly reportsFine tuning if needed
Entrance to the Popsicle and Ice Cream MarketInfiltrate supermarkets and grocery stores across 20 States from California to North CarolinaMinimal 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)
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.
StrategyCritical Path = mixing, storing and loading  ensure processes are not delayed30 Days - purchase machinery , identify employees to relocate or hired60 Days - employees hired/relocated 90 Days - determine what grocery stores and food chains to distribute to and sign contracts180 Days - production begins and products began arriving in stores, marketing, adverting and in store sampling
Evaluation and ControlManagement 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.
Considerations and conclusionWeak economy (limited disposable income) Employees and consumers perception of synergyEmployees 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
AgendaCompany ProfileMission and VisionMarketCompetitorsSWOT AnalysisObjective 1Objective 2Objective 3Considerations and Conclusion

A Strategic Analysis of Jamba Juice Using Mathematical Models

  • 1.
    A Strategic Analysisof By: Jerry Morales
  • 2.
    AgendaCompany ProfileMission andVisionMarketCompetitorsSWOT AnalysisObjective 1Objective 2Objective 3Considerations and Conclusion
  • 3.
    Company ProfileFounded in1990 as the Juice Club1995 name changed to Jamba Juice6,000 employees743 locations30 StatesBahamasRevenues exceeding $248 MillionDown 7.21%
  • 4.
    Mission and VisionMission:Jamba! Enriching the daily experience of our customers, our community and ourselves through the life nourishing qualities of fruit and vegetablesVision: FIBERFun – Have funIntegrity – Do what you sayBalance – Live a balanced lifeEmpowerment –Believe in yourselfRespect – Be respectful
  • 5.
    MarketIn 2007 Smoothieand Juice Industry exceeded $664 Million in the United StatesYounger (under 40)Middle class with some disposable incomeHealth-conscious
  • 6.
    CompetitorsStarbucksFounded in 1971Totalrevenue exceeding $11 Billion55 Countries WoldwideMaui WowiStarted in 1983 More than 600 locationsOrganic Smoothie KingEstablished in 1973600 Locations across U.S. and South KoreaVoted #1 Smoothie Bar for 17 years in a row
  • 7.
    SWOT AnalysisStrengths: WellKnown brandWeaknesses:Competitors exceeding Jamba Juices revenuesNot as popular during Winter months or in NorthOpportunities:Health conscious trendMerchandisingThreats:EconomyEasy market entrance
  • 8.
    Synergy with Gold’sGymCreating a Synergy with Gold’s Gym3.5 Million membersLocated in 42 states and 30 Countries WorldwideHighest market share at 20%, 96% brand awareness30 Days – Negotiate locations to pilotCA (5), UT(2), AZ (3), TX (4), LA (2), FL (4) 60 Days: Begin Construction in pilot states90 Days: Begin marketing efforts/create awareness180 Days: Jamba Juice Health bars up and runningGrand opening event to follow
  • 10.
    Evaluation and ControlMonitoringof Monthly data reports (before vs. after)Revenue and salesEnrollment ratesAttrition ratesStaffing through Jamba JuiceAdhere to both companies policies
  • 11.
    Employee DiscountsWould employeestake 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 legal60 days: Pamphlets and memorandums90 Days: Update Jamba Juice systems for discount180 Days: Discount ready to be offered
  • 12.
    StrategyIf Jamba Juiceselected 5 employees at random, what would the probability be that three of those employees would not want to join a gym?
  • 13.
    Evaluation and ControlMonitorand track discount useEmployee number must be received for discountReview monthly reportsFine tuning if needed
  • 14.
    Entrance to thePopsicle and Ice Cream MarketInfiltrate supermarkets and grocery stores across 20 States from California to North CarolinaMinimal 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 DistributionMixing 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.
    StrategyCritical Path =mixing, storing and loading ensure processes are not delayed30 Days - purchase machinery , identify employees to relocate or hired60 Days - employees hired/relocated 90 Days - determine what grocery stores and food chains to distribute to and sign contracts180 Days - production begins and products began arriving in stores, marketing, adverting and in store sampling
  • 18.
    Evaluation and ControlManagementwill 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 conclusionWeakeconomy (limited disposable income) Employees and consumers perception of synergyEmployees 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.
    AgendaCompany ProfileMission andVisionMarketCompetitorsSWOT AnalysisObjective 1Objective 2Objective 3Considerations and Conclusion
  • 21.