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  • 1.
    Tokalic, Adisa
    et al.
    Jönköping University, Jönköping International Business School, JIBS, Marketing and Logistics.
    Dahlberg, Måns
    Jönköping University, Jönköping International Business School, JIBS, Marketing and Logistics.
    Melber, Tulinawa
    Jönköping University, Jönköping International Business School, JIBS, Marketing and Logistics.
    The Challenger Brand vs. The Established Brand: A case study on a challenger brand and an established brand within the Swedish Dairy Industry2016Independent thesis Basic level (degree of Bachelor), 10 credits / 15 HE creditsStudent thesis
    Abstract [en]

    In 2013 a ready to eat version of quark, was launched as the first of its kind on the Swedish market by a new company. Since this initiative was taken in the dairy product market, which is dominated by an established enterprise, we call this newcomer the challenger. It secured at an early stage a major segment of a market, which would grow and expand quickly. Presently, the challenger despite subsequent market developments still remains the leader.

    We decided to use a specific example within a low involvement product category to gain a deeper understanding of how social media can work as the core communication strategy to create a competitive advantage against traditional established brands. 

    The study within this thesis was conducted applying the interpretivism philosophy. Since the purpose of this thesis is to generate explicative findings, rather than develop theories, the inductive approach was used. The research method was based on qualitative research. Case studies included semi structured interviews to obtain primary data. Relevant articles and other scholarly literature, as well as market information were used as secondary data.

    Separate accounts on Instagram and Facebook managed to emphasize the newly introduced product’s individuality. The social media content was well aligned with the overall marketing strategy of the product. This enabled the challenger to create a community around the product and establish a direct communication channel with their core target group. The pivotal benefit obtained by developing a dialogue with consumers was the enhancement of the product development process, identified as the key driving force of increased sales within the market sector. Such strategy appears relatively more rewarding if performed with a well-defined purpose and great involvement. It is imperative, however, that the costs and engagement required to effectively run an account are not underestimated. Both the challenger and the challenged brand hold social media in high regard and consider them as more important than traditional channels. Opposing opinions regarding social media marketing communications, however, exist. 

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