Analyzing SodaStream's Brand Development and Marketing Strategies

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SODASTREAM INTERNATIONAL
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Contents
INTRODUCTION............................................................................................................................. 3
WHAT ROLE DID ETHICAL VALUES PLAY IN THE DEVELOPMENT OF THE SODASTREAM BRAND?. 3
HOW DOES SODASTREAM’S PUBLIC PROFILE AND HISTORY INFLUENCE HOW IT ENGAGES IN
SOCIAL ACTIVISM GOING FORWARD? WHAT ADVICE WOULD YOU GIVE BIRNBAUM?................4
CONCLUSION................................................................................................................................. 5
REFERENCES...................................................................................................................................6
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INTRODUCTION
Sodastream is an Israel company which manufactures Home Carbonated System. The company
had been boycotted by different advertising agencies and government as well for creating
conflicting advertising. The company started selling its product to different international market
after its success in the home country. The company always remain in the limelight and it
examined when the company is honored as Outstanding Export Award but the security of Israel
did not fairly treat its employees. In addition to this, there are so many incidences where the
company has to face different issues and challenges (Harvard Business Publishing, 2019).
WHAT ROLE DID ETHICAL VALUES PLAY IN THE DEVELOPMENT OF THE
SODASTREAM BRAND?
Ethical values of the company give assurance that the practices of the company did not harm
any of the stakeholders and build a business reputation by maintaining good relations with
them. Therefore, it can be said that at the time when CBS Television Network refuses to
commercialize its ad because major players i.e. Coke and Pepsi has grabbed the attention of
public relations as well as media headlines. Still, the company follows the ethical approach and
chooses to commercialize its products and brands by advertising through online platform (U.S.
Securities and Exchange Commission, 2019). Following are the roles played by the ethical values
in the development of the Sodastream brand:
Correlation with basic human needs
All the employees want that they should be a part of those organizations which can be
respected because of ethical values. In the same way, at the time of getting Outstanding Export
Award, the employees are not happy with their treatment at the entry gate and organization
takes a stand for them i.e. Birnbaum CEO of the company says in front of television cameras
that, getting an export award is not important than respecting each employee equally
(O'connor-De Losrios, 2016).
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Protection of society and environment
The concern of company towards environment and society also reflects respect in the minds of
the customers and it helps in the development of the brand. The company repositions its brand
image by focusing that the customers can prepare the sodas at home which is convenient,
personalize i.e. they get the flavors according to their taste as well as it will also save the
environment by saving the reducing the use of plastic bottles. In order to customize the
products as per the needs of the customers, the company ties up with established beverages
makers i.e. Crystal Light and Kool-Aid to enter into new lines (Osland and Luo, 2019).
Better decision making
Ethical values force the company to take the decision after considering different ethical, social
and economic aspects. The Sodastream can easily develop its brand image if the decisions are
in the favor of employees, customers as well as other stakeholders for a long period.
HOW DOES SODASTREAM’S PUBLIC PROFILE AND HISTORY INFLUENCE
HOW IT ENGAGES IN SOCIAL ACTIVISM GOING FORWARD? WHAT ADVICE
WOULD YOU GIVE BIRNBAUM?
The Sodastream struggle a lot to develop and maintain a unique position in the market. And it
can be said that due to the presence of major players such as Coke and Pepsi, the company is
not able to develop a top position in the industry. In addition to this, the other stakeholders
such as advertising agencies, public relations, and the government did not support the company
and its products. In spite of this, the company develops its position by strengthening the
internal environment and marketing activities. The company uses the concern of environment
for repositioning its brand in the other markets. Earlier the company uses the advertising jingle
and slogan, “Get Busy with the Fizzy” and after some time the company changes its slogan and
use “Water made exciting”.
The increasing issues of a health concern as well as environmental issues give a new direction
to the company to manufacture low-sugar sodas and low-calorie sodas as a healthier
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alternative. The second key selling position used by the company which shows environmental
concern i.e. to consume the company's beverages which are sold in reusable plastic containers
and also specially designed by concentrating on increasing environmental issue. The company
also advertises this strategy by creating ads which shows that there are thousands of bottles
and cans which pollute the environment which can be stooped by using Sodastream (Cefo,
2015).
The other competitors of the company i.e. Coke and Pepsi only stressed on manufacturing and
selling the product, but Sodastream start collecting the used bottles and cans in Belgium and it
set bottle-filled cages at different places in main markets and uses the text that millions of
containers will be replaced with reusable bottles of Sodastream. In response to this, Coke says
that it is a violation of our trademark and it should be stopped. With so many issues with the
company, the company does not change its path of involving in social activism and uses this
practice to capture large market share.
According to my opinion, I would like to suggest to Birnbaum that due to intense competition in
the industry, adopting the approach which will help the society and environment will be the
best approach to expand its market. In addition to this, in order to reach the target audience of
the Sodastream they can choose marketing programs other than TV commercials. In the current
scenario, their target audience is easily available on an online platform which can be best used
to generate awareness and increase the sales and market share of the company. It is essential
that company continuously come up with innovative ideas to cut-throat competition to major
players and moreover, the company's most important asset is human resources which will help
the company to build a unique position in the industry (Desai, 2015).
CONCLUSION
From the above discussion, it can be concluded that Sodastream still faces many challenges and
struggles to increase its market share. The company adopts different marketing strategies,
repositioning strategies and also ethical values for the development of Sodastream brand. The
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report also includes influence history and public profile of the company and how it engages in
social activism.
REFERENCES
 Cefo, E., 2015. Corporate Human Rights Violations in the Occupied Palestinian
Territories: Is There Any Recourse. Geo. J. Int'l L., 47, p.793.
 Desai, T., 2015. International humanitarian law violations occurring within the occupied
Palestinian territories during the years 1982-2012 (Doctoral dissertation, University of
the Western Cape).
 Harvard Business Publishing, 2019. SODASTREAM INTERNATIONAL: CHAMPIONING AND
MARKETING VALUES online available at
https://services.hbsp.harvard.edu/api/courses/640343/items/IMD947-PDF-ENG/
sclinks/6ab99b3bbac9d903263188632d9c92f3 (last accessed on 7th August 2019).
 O'Connor-De Losrios, D.B., 2016. The strategic use of The Face of Apartheid: examining
Mondoweiss blog activists’ claims-making and protest activities over the Scarlett
Johansson and SodaStream controversy.
 Osland, A. and Luo, L., 2019. Environmental sustainability, sugar consumption, and
SodaStream. SAGE Publications: SAGE Business Cases Originals.
 U.S. Securities and Exchange Commission, 2019. SODASTREAM INTERNATIONAL LTD.
online available at
https://www.sec.gov/Archives/edgar/data/1502916/000114420410054318/
v198147_jp-f1.htm (last accessed on 7th August 2019).
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