Fiji company of an artesian water source

Fiji water is a
premium bottled water company of an artesian water source that was originally
founded by David Gilmour in 1988, however was not available in the market till
1996 (Martin Roll, 2014). Fiji water is one of the fastest growing water
brands, holding a premium position in the competitive premium bottled water
market. Its headquarters are situated in Los Angeles, where in 2004, it was a fully
owned subsidiary by Roll International Corporation (RIC). The acquisition of
Fiji water by the RIC -a private corporation involved in several industries
such as consumer packaged goods, floral services and agriculture- was estimated
to cost around £37 million (Dean, 2010). Moreover, the acquisition turned into
success within the short span of a year, increasing Fij water sales by 50%.


The beverage
industry is determined out of three categories: major manufacturers (Nestle),
private labels and small manufacturers such as Fiji water itself (Kulin, 2009).

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This enabled Fiji water to identify their market segmentation as high-end hotels,
restaurants and retail (Fijiwater, 2017). The brand’s
water source is exported from Viti Levu – the largest island in Fiji-  making it the leading export of the world’s
finest water with a distribution of several sizes (refer to figure 1) in over
60 countries (Fijiwater, 2017). 1 litre of
Fiji water is priced for £1.49, making it an affordable and of high quality. Further,
the image of the brand is supported by high awareness from large marketing and
promotions to media placement advertisement, hence in 2008, they increased
their advertisement budget from £4.5 million to £7.5 million (Hein,
2008). This is done as the competition in the premium bottled water market is
high, from indirectly competing with Pepsi, Coca-Cola, Dasani and Aquafina to
directly competing with all other water brands found on the shelf (Evian,
Perrier and Voss for example) (Advertising Age, 2009).


In the following
essay, Fiji water business strategies on positions will be evaluated using different
methods of analytics; where recommendations will be provided based on the
strengths and the limitations of the company.