Ocean Spray International 8/9/99 With limited resources, Ocean Spray's plans for international expansion will be severely limited. This is one of the primary reasons the label and marketing side of the cooperative must be sold to a corporation with the wherewithal to expand overseas. With little money for market research, how could Ocean Spray even determine which populace even has a taste for cranberries? As we know, the cranberry taste is unique, and may not appeal to all nationalities. To avoid costly market research, it might be tempting to to bring the Ocean Spray label and logo into a country which already has market for citrus, with the grapefruit line. This would compete with orange juice. But such a marketing decision would be a management blunder for another reason. If Ocean Spray is successfully introduced to a new market as a citrus juice, the consumer will associate the label with citrus, not cranberries. When cranberries are introduced, they will be seen as ancillary to the grapefruit juices. This worked well in the United States because the initial Ruby Red offering was under the trusted Ocean Spray label, it was red, and it was an excellent product which was sweeter than the typical shelf stable grapefruit juice. Even if the reverse worked elsewhere, it could hardly be considered successful because the Ocean Spray label would long be synonymous with grapefruit rather than cranberries. "Crave the Grapefruit Wave and try the Cranberry Swell?" It defies common sense. The cooperative has such a huge stock in the freezers now that they are having a new freezer facility built in Wisconsin. More bogs and marshes are coming into production. Growers in Canada and Chile will need a home for their fruit. Once international markets for cranberries are developed, all cranberry growers will benefit. Dried cranberries, with varying levels of sweetness, should be test marketed in regions like the mideast where people already purchase dried fruit. As market leader, Ocean Spray must make a decisive commitment to bringing cranberries to the world. They must do so now. A successful launch of cranberry products in one populous region within the next year is essential. Every month that passes brings more cranberry growers closer to bankruptcy. There has not been one viable suggestion brought forth in these months of debate as to how Ocean Spray can afford to enter the international market on its own. Hal Brown
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