Chapter 7, Question 2

Chapter 7, Question 2
Based on factors that facilitate the adoption process, what is the likelihood that Splenda will receive widespread consumer acceptance and become a major competitor to the older, and better-known brands in this product category?

Relative advantage: when speaking of relative advantage, Splenda does have a perceived relative advantage to sugar as it provides the same taste, yet is calorie free. Actually, I would say that adoption has taken place for Splenda, and it is mostly driven from its relative advantage. Last year, American consumed 576 cans of soda per person (http://www.nexlev.com/Soda/tabid/77/Default.aspx) X 303,123,716 Americans = 175 BILLION cans of soda. If you can get 10% of the market share, you would have 17.5 Billion cans of soda with Spenda.

Compatibility: Splenda, especially when partnered with Coke and Pepsi products, is very compatible. As an additive, it is already in our products. For a sugar replacement, it can be purchased as a substitute in the sugar isle.

Complexity: Very easy to use/purchase as noted in capability.

Trialability: There are free samples on Spenda (https://www.splendidlife.com/ancillary/samplingprogram.do) that allow you to sample the product. They can also demo the product at grocery stores, gas stations, etc as it is already in everyday products used.

Observability: This would be a low scoring for Spenda as it is hard to observe others consuming it.