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Jones Soda

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Jones Soda Co.
Company typePublic (Nasdaq: JSDA)
Founded1987
HeadquartersSeattle, Washington
ProductsSoft drinks
RevenueIncrease $39.03 million
Increase $4.57 million
Websitejonessoda.com

Jones Soda Co. is a U.S. beverage company based in Seattle, Washington. It bottles and distributes soft drinks, non-carbonated beverages, energy drinks, and candy. Jones Soda is a carbonated soft drink that has many unusual flavors that are not offered by other soft drink makers.

Peter van Stolk founded the Urban Juice and Soda Company Ltd. in 1987, intending to compete in the alternative products segment of the beverage industry. Until 1995, the company was a distributor of other beverage lines such as AriZona Iced Tea and Thomas Kemper sodas in western Canada. The Urban Juice and Soda Company changed its name to Jones Soda Co. on August 1, 2000, most likely hoping to benefit from the fact that over 85% of the total revenues came from the Jones Soda brand.

In November 2006, Jones Soda announced that the company would be transitioning to use pure cane sugar instead of high fructose corn syrup (HFCS) in its products. On January 22 2007, Jones Pure Cane Soda was launched in 12 ounce cans. This would be unique in the carbonated soft drink category compared to other national brands that are sweetened with corn syrup. By April 2007, all of the company's products switched to cane sugar, except for its energy drinks, which will change by the fall.[1] As of March 2007, a 12 ounce bottle of Jones Pure Cane Soda Root Beer lists in its ingredients "inverted cane sugar", also known as Inverted sugar syrup, which, like HFCS, is a mixture of fructose and glucose.

Its offbeat bottle designs, flavors, and alternative marketing strategies have drawn many comparisons to The Coca-Cola Company's failed OK Soda.

Beverage Lines

Jones Soda

File:Jones Soda Bottles.jpg
Jones Soda

Jones Soda was developed in 1995 and introduced in 1996 with six flavors: Orange, Cherry, Lemon Lime, Strawberry Lime, Raspberry and Grape in 12oz glass bottles. The use of photos on the labels was a marketing ploy designed to create an "emotional attachment" to the brand.[citation needed] To help break into the soft drink marketplace, Jones pursued what it calls an "alternative distribution strategy" to attract consumer attention, selling soft drinks in venues such as clothing and music stores, tattoo and piercing parlors, and sporting equipment shops. Eventually Jones Soda was available nationwide in larger chain stores such as 7-Eleven, Safeway, Albertsons, Wal-Mart, Winn-Dixie, and Barnes & Noble. Recent business distribution deals have further expanded the company, placing some basic flavors in stores such as Meijer, World Market, and Panera[1]. On March 17, 2004, it announced a deal to distribute Jones Soda in over 3900 Starbucks locations in the United States,[2] though Starbucks does not supply Jones anymore. On October 12, 2004, Jones Soda introduced 12oz cans for the first time with an exclusive distribution deal with Target.

Since the original six flavors were introduced, 22 additional flavors have been created: Root Beer, Vanilla Cola, FuFu Berry, Cream Soda, Blue Bubble Gum, Green Apple, Pineapple Upside Down, Crushed Melon, Pink, Happy, Fun, Peachy Keen, Fruit Punch, Strawberry & Cream, Orange & Cream, Berry Lemonade, Lemon Drop, Blueberry, Tangerine, Watermelon, Twisted Lime, and Chocolate Fudge. Recently, there has been a dessert special available, including such flavors as Apple Pie, Blueberry Pie, and many others. Several flavors have since been retired including Happy, Peachy Keen, Fruit Punch, Fun, Chocolate Fudge, Strawberry & Cream, Pink, and Pineapple Upside Down.

Slim and Sugar-Free

In January 1999, Jones introduced the “slim” line of diet sodas, but discontinued it in 2003 in favor of a sugar-free line. It is ironic as, when the company first began, a clear marketed difference from other more "mainstream" soft drinks was the lower sugar content the company's blends originally had. Its sugar-free formulas contain sucralose of the Splenda brand, but no acesulfame potassium or aspartame. Current Sugar-free flavors include: Green Apple, Black Cherry, Root Beer, Cream Soda, Ginger Ale, and Pink Grapefruit.

Though they are not labeled sugar-free, four flavors are considered "Mid-Calorie"[3]: Twisted Lime, Watermelon, Tangerine, and Blueberry. These flavors are sweetened with Splenda, but still include 21 grams of sugar (compared to approximately 45-50 grams in the regular sodas).

WhoopAss and Jones Energy

In October 1999, Jones introduced Jones Soda WhoopAss (later shortened to simply "WhoopAss"). Jones Energy is a second entry into the energy drink market and includes three flavors in 8.4oz cans: Mixed Berry, Lemon Lime, and Orange. Big Jones Energy and Sugar Free Jones Energy (both 16oz cans) are also available.

Jones Juice and Naturals

Jones Juice debuted in 2001 with Limes with Orange, Berry White, Dave, Black, Purple Carrot, and Fu Cran Fu. The line was renamed Jones Naturals in 2002 and later expanded to include Betty, Bananaberry, D'Peach Mode, Bada Bing!, Bohemian Raspberry, and Strawberry Manilow. Naturals do not have the fortunes under the caps, instead they have cartoon-like symbols. Naturals are sold in 20oz glass bottles, making them almost twice as big as Jones Soda. Naturals contain between 1 and 10 percent juice depending on the flavor.

Dave, Black, Purple Carrot, Fu Cran Fu and Berry have since been retired.

Jones Organics

In 2005, Jones announced a new line in its series: Jones Organics.[4] The blends consist of six different tea-based flavors—two each of white tea, green tea and red tea. The bottles have a clean, minimal label (designed by Jason Gomez), as opposed to customized photos. The exact blends are: Strawberry White Tea, Cherry White Tea, Berry Green Tea, Mandarin Green Tea, Tropical Red Tea, and Peach Red Tea; each certified Organic by the USDA. This marks one of the few times that a rooibos-based beverage has been available outside of, for example, a tea store.

24C

Jones came out with 24C sports drinks in 2006. The flavors include Cranberry Apple, Mandarin Orange, Lemon Lime, Tropical Citrus, Berry Pomegranate, and Peach Mango. They are vitamin enhanced water beverages that come in 20 oz plastic bottles.

Non-Beverage Products

Flavored Lip Balm

In October 2004, Jones announced a licensing agreement with Lime Lite Marketing to create Jones flavored lip balm. The line features UV-A and UV-B protection, SPF 15, Aloe Vera, and Vitamin E. Available flavors include: Green Apple, Fufu Berry, Orange & Cream, Strawberry Lime, Cream Soda, and Blue Bubble Gum.

Frozen Soda Pops

In early 2005, Jones Soda entered the "frozen novelty" market with their Jones Frozen Soda Pops.[5] They are currently available in Green Apple, Berry Lemonade, and Cherry soda flavors. The Jones Frozen Soda Pops are part of a three year licensing agreement with Kroger, and are currently available in Kroger stores.

Carbonated Candy

On October 19, 2005, a press statement was released in regards to Jones Soda's licensing agreement with Big Sky Brands[6] to produce a soda "flavor booster" candy. At the time, they announced that the candy's three different flavors would be Berry Lemonade, Fufu Berry, and Green Apple. The product was released in the United States in 2006.

In 2007, the lineup was increased to six flavors, the three new flavors being Orange & Cream, Cream Soda, and M.F. Grape. Big Sky Brands announced also a contest to incorporate 24 user-submitted photos of crazy, distorted sour face "cringes" onto new labeling of the "New Jones Soda Candy" line. The prizes included Jones Soda branded apparel and a year supply of the candy. The deadline for the contest was early February, but the new product has yet to hit the general market.

Limited Editions

2003

The first special edition Jones was the Jones Hot Wheels Pack, created in July 2003 to honor of the 35th anniversary of Hot Wheels. The pack included a Hot Wheels Jones Soda Orange RV along with four themed bottles and was only available through the Jones Soda website.

In November 2003, Jones introduced a "Turkey & Gravy" seasonal flavor in honor of Thanksgiving. Demand was so overwhelming that Jones sold out within two hours, the bottles (both full and empty) fetching in excess of $10 a piece on auction sites such as eBay.

2004

In 2004, it offered a complete, drinkable Thanksgiving dinner—five bottles—as a box set for $16. Turkey & Gravy was brought back, and the rest of the flavors were unique to this offering: Green Bean Casserole, Cranberry, Mashed Potatoes with Butter, and Fruitcake. The limited edition pack sold out in under an hour, temporarily crashing the company's email and Internet servers. Both years, people resold some seasonal bottles on auction sites such as eBay, with bids reaching as high as $100 a pack. Jones Soda's profits in both years were donated to the charity, Toys for Tots.

2005

In 2005, Jones released Halloween Limited Edition 8 oz. can 4-packs, exclusively through Target. The four flavors included two originals (Candy Corn and Caramel Apple), as well as two renamed flavors (Strawberry Slime and Scary Berry Lemonade).

Flavors released at the end of October 2005 in many Target stores (and, eventually, via the Jones Soda website) included, as in 2004, five different varieties. "Turkey & Gravy" and "Cranberry" made a return from 2004, with three new additions: Wild Herb Stuffing, Pumpkin Pie, and Brussels sprout. A list of wines, half-humorously included on a label of the front of the box, offered suggestions which would "match" with said flavors.

A second limited edition collection was also created in 2005, in part to celebrate the Seattle regional aspect of the company. This collection was also made available in other places across the US, including select Speedway, Kroger, and Cost Plus World Market stores. The flavors differed from the first 2005 limited edition and included in addition to Turkey & Gravy; Smoked Salmon Pâté, Corn on the Cob, Broccoli Casserole, and for dessert, Pecan Pie. As in years past, all profits from the Holiday Pack collections went to charities, in this case, St. Jude's Research Hospital and Toys for Tots.

2006

In February 2006, Jones introduced the first Valentines Pack. Each pack contained two bottles of "Love Potion #6" soda, a Love Potion #6 flavored lip balm, a three-track sampler CD, a book of “Love Coupons”, and a coupon for two free bottles of customized myJones. In addition to selling the packs through retailers and their website, Jones partnered with the non-profit organization, Operation AC, to donate 10,000 packs to U.S. troops stationed in Afghanistan and Iraq.

In September 2006, Jones released the 10th Anniversary Pack, which included two “current favorites” (Green Apple and Blue Bubblegum), two “original favorites” (Pineapple Upside Down and Raspberry), along with a Hot Wheels version of a Jones Van. The bottles were printed with special foil detailing and each pack was numbered with only 10,500 ever made, available only by ordering through their website.

The Halloween cans were available again in 2006 with the return of Candy Corn and Berry Alive (formerly Scary Berry Lemonade) and the new Spider Cider and Gruesome Grape (a renamed version of their regular flavor, MF Grape). Along with the cans, Limited Edition bottles were available in three flavors: Monster Mojito, Lemon Drop Dead, and Creepy Cranberry. Unlike previous Limited Edition bottles, these were available in the normal 4-pack carriers rather than special packages. Also in October 2006, Jones released the Berries and Cream Limited Edition pack to raise awareness for the Breast Cancer Recovery Foundation.[7]

The 2006 Holiday Pack introduced some new flavors in addition to the now classic Turkey & Gravy, including Sweet Potato, Dinner Roll, Pea, and Antacid (which included a disclaimer stating it had no medicinal qualities). The second 2006 pack was dubbed the Dessert Pack and included Cherry Pie, Banana Cream Pie, Key Lime Pie, Apple Pie, and Blueberry Pie. Proceeds once again went to St. Jude’s and Toys for Tots. Three additional flavors (Egg Nog, Sugar Plum, and Candy Cane) were also created in 4-packs similar to the special Halloween bottles.

2007

In 2007 Jones Soda again sold the Valentines Pack, including the two bottles of Love Potion #6, a pair of Jones-branded boxer shorts, a box of Necco Conversation hearts, and a "Spin the Bottle" board printed on the back of the box.

In preparation for the Seattle Seahawks' 2007 season, Jones offered a limited-edition Seahawks pack starting on September 27.[8] The collectors' pack included sodas flavored in perspiration, sports cream, "sweet victory," natural field turf, and dirt. In the Pacific Northwest, Jones labeled their regular sodas with Seahawks-themed pictures during the 2007 football season.[8]

The 2007 Jones Holiday Packs offered choices for both Christmas and Chanukah. The 2007 Christmas Pack included Christmas ham, Christmas tree, egg nog, and sugar plum sodas, plus "1 very cool stocking stuffer" with proceeds benefiting Toys for Tots. The 2007 Happy Chanukah Pack was a four-pack of latke, applesauce, chocolate coins, and jelly doughnut sodas and included "1 completely functional dreidel;" proceeds from Chanukah Pack sales benefited Vitamin Angels. Both holiday packs contained no caffeine. All sodas, including the ham-flavored soda, were certified kosher.

Labels

Jones Soda continually changes the photographs on its Soda and Naturals labels. Except for Root Beer, Vanilla Cola and certain Fufu Berry bottles, the photos are all black and white.[9] Its website features a database of several thousand submitted pictures, as well as an archived collection of internal company notes, detailing which pictures appeared when, on what flavors (for collectors of the images). Customers can also submit fortunes (similar to a fortune cookie) to be printed underneath the bottle cap.

The website sometimes asks for specific themes for photo uploads like the Patriot Photos or the Landmark Contest in order to create a special collection of labels. Recently, they have created a Signature series which includes photos and written signatures of Jones Soda Pro Athletes.

myJones

In 1999, Jones began selling myJones through a new section of their website[10] in order to meet the growing demand of people wanting to circumvent the photo selection process. myJones is a customizable 12-pack of bottles which anyone can have their picture and message on. The creation process involves uploading a picture (with an option photo credit up to 50 characters) and providing a customization (up to 7 lines of 50 characters). The fortunes under the caps are not customizable.

Above the picture on the label, the word "my" is added before "Jones Soda Co." to indicate it was customized and not bought at retail, in addition, the barcode is labeled "Not for Resale".

Marketing

Rather than the television or other mass media ads like other national companies, Jones chooses to focus on unique marketing techniques. Athletes such as Benji Weatherley[11], Matt Hoffman[12], and Bam Margera[13], known as Jones Pro Riders, promote Jones by appearing with the logo (or often the actual product) at various events or on television appearances (During the episode of MTV Cribs featuring Bam Margera, he opened his fridge to reveal several bottles of Jones Soda). Another group of athletes, the Jones Emerging Athletes, also support Jones. The main reason for the use of athletes is most likely to further target the intended demographic of people in their teens and twenties.

Jones also employs two Jones Soda RVs which travel the West and East coasts of North America "handing out soda and talking to the people on the street"[14].

On May 23, 2007, the Seattle Seahawks chose Jones Soda as their official soft drink. Starting in the 2007 season, Qwest Field has exclusively sold Jones Soda drinks at its concession stands. Jones Soda was also made available in bottles depicting Seahawks players both at football games and in supermarkets. The Seahawks used to sell soft drinks from the Coca-Cola Company; the Jones Soda deal makes the team the first in the NFL to sign an exclusive deal with a soft drink company other than Coca-Cola or Pepsi.[15]

On February 12, 2008, Alaska Airlines and Horizon Air announced they would serve Jones Soda on their flights. [16]

Jones motto, "Run with the little guy… create some change." appears on most Jones products.

See also

References

  1. ^ Seattle soda maker ends the sweet talk, opts for sugar. Seattle Times. February 5 2007.
  2. ^ Starbucks Distribution
  3. ^ Jones Soda Co. Products: Sodas
  4. ^ Jonesorganics.com
  5. ^ Popsicles
  6. ^ Big Sky Brands
  7. ^ Breast Cancer Recovery Foundation
  8. ^ a b Jones Soda Co. Launches Perspiration Sodas in Honor of the Seattle Seahawks
  9. ^ Sample Jones Soda labels URL last accessed January 3 2007.
  10. ^ MyJones.com
  11. ^ Benji Weatherley - Jones Soda
  12. ^ Matt Hoffman - Jones Soda
  13. ^ Bam Margera - Jones Soda
  14. ^ Official "About Jones Soda Co." Page
  15. ^ Jones Soda lands soft drink rights at Qwest Field
  16. ^ Alaska Airlines, Horizon Air to Serve Jones Soda on Flights
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