Grove Fresh Ltd. (GFL) was founded in 1994 in the UK and became the first company to market organic juices. It experienced strong growth through the 1990s and 2000s, reaching a 60% market share in the UK organic juice market by 2006. However, GFL also began encountering problems like slowing market growth, increasing competition, and supply shortages. The document discusses GFL's history, operations, marketing strategies, and challenges.

1. Akshat Badaya
Anshul Gupta
Ronak Agrawal
Shuchi Arya
Vishal Singh

2. Grove Fresh Ltd.
• Founded by John Taylor in 1994.
• GFL became first company to market organic juices in UK in 1996
• Registered remarkable year-on-year growth of 52% to 3.2 million
pounds.
• Operated under the umbrella United Foods International
• Admired for High Quality Products & Innovative Marketing
• Acquired German based FSP FRISCHE & French FRAICHEUR in
1998.

3. • Acquired Fruity King and achieved sales growth of 185% and saw a profit
of $ 0.9 million in 2000.
• In 2001, UFI (A GFL holding) ranked 3rd in Fast Track 100 survey.
• 2003: GFL registered 52% year on year growth in profit.
• 2006: Continued to dominate UK organic juice market with market share
exceeding 60%.
• But encountered problems like slowing market growth, mounting
competition, supply shortage

4. GFL’s Customer Segment
• Empty Nesters
• Younger generation shifts to Organic Juices
GFL’s USP
• Pure Organic Juices
• Certified to Soil Association Standards
• Introduced unique flavour combinations
GFL’s Pricing Strategy
• Priced Over normal juices (Others being Non-Organic)
• Willingness of Customers to pay higher for Health Advantages
• Maintained Price Parity with Premium Segment Competitors

5. Distribution
• Through Supermarket Chains
• E-Retailing
• Other means, such as distribution channel
Promotion
• Prominent trademark
• Print media
• Free samples
• Captivating Posters
• Highlighting health and environment

6. Sales Turnover

7. UK market for Organic not from
Concentrate Citrus Juice
Year
Volumes
('000 Litres)
Volume Growth
(%)
Revenues
(US$ mn)
Revenue Growth
(%)
1998 822 - 2.47 -
1999 2660 224 6.78 175
2000 3903 47 9.16 35
2001 4500 15 10.35 13
2002 4864 8 11.07 7
2003 5107 5 11.63 5
2004 5362 5 12.21 5

8. SWOT Analysis
Strength:
• High Quality
• Innovative marketing
• Diversification (Fruit juice to vegetable juice)
• Strong customer base
Weakness:
• Main source of supply – Florida
• Too much dependent on 3rd party distribution channels
• Supply and production shortage of fruits in UK

9. Opportunities:
• Market expansion of organic juice.
• Increase their market shares in UK by acquiring other competing brands
• Come up with exclusive shops.
Threats:
• Claims saying that it is not organic.
• Low price competitors.
• Although the volume is increasing the rate of volume growth is
decreasing.
• Growth in no. of players operating in organic segments, such as: Everfresh
juice corporation, Holiday Juice Ltd.

10. 4Ps
Product:
• Product Category: FMCG
• They were having product line with various flavours such as Apple,
Orange, Apple + Orange, Apple + Cranberry, Grape fruits, Traditional
lemonade, Breakfast juice.
• Product diversification – Merger with Dutch company “Fruity King” in
UK.
• Branding – Strong brand image helped to dominate the UK market.
• Brand expansion by starting a sub–brand called “V-juice”.
Price:
• They followed a premium price strategy.
• As organic products were considered environmental friendly and by using
them customer felt that they were making positive choice to safeguard the
environment.

11. Place:
• Through super market chain they dominated the UK market for organic
products as they did not use the agent middle men and wholesalers in their
distribution channel. As they further directly contacted costumer through
e-retailing.
Promotion:
• They used print media like weekend supplements of national news papers
to target youngster .
• They did their advertisement through women magazines as it targeted
females for their product.
• Promotions by giving free samples as promotion is bit different form
advertisement.

12. STP Analysis
Segmentation:
• Market was segmented by two variables-age groups and income.
Targeting:
• GFL targeted middle aged people.
• Health conscious people like youngsters.

13. Positioning
• GFL adopted one of the best strategy to position their product by launching
an organic product which is purely an extract of fruit and vegetables and
with no extra added preservatives, colour and additives.
• Also the unusual combinations of fruits and vegetables juices has been
other unique factor which helped company to differentiate from other
competitors in the market.

14. PEST Analysis
Political Analysis:
• Political Analysis Fruits and juices imported from USA and other
countries were not examined properly (SOIL standards).
• Controversial advertising campaigns which hampered the company’s
image badly.
• It created legal problems and ASA accused company for unethical
practices and called for quick action PEST Analysis.
Economical Analysis:
• In 2006 due to shortage of fruit and vegetable supply they had to import
the fruits from the USA and other countries which had direct impact on
country’s economy.

15. Social Analysis:
• Due to organic farming since 1994 the fertility of the land is preserved and
giving higher yields in the future.
• Organic juices rich in nutrition helped the heart disease patient and others
with different health concern.
Technological Analysis:
• They used latest technology in the organic farming .
• Used e-retailing for distribution of their product .
• E-retailing helped product look attractive which added many new
customers.

16. Promoting the acceptance & usage of
organic foods
• Promotional campaign.
• Handouts and stalls at leading stores.
• News paper cut outs.
• Advertising – Celebrity endorsement.
• Exclusive shops.
• Promotional activity through doctors.
• Certification for product.

17. What does the future have in store for
GROVE FRESH Ltd.
• Slowing market growth.
• Mounting competition.
• Supply problems.
• Analyst’s verdict that organic foods aren’t important.

18. What can GROVE FRESH Ltd. do to
address the challenges
• Online promotion of products.
• Use UFL’s presence in the market to expand & tackle competition.
• Experiment with new packaging technologies to cut down on costs.
• Implement more mergers & acquisitions to increase their existing market
share.