Jamba Juice

Jamba
Type Public (NASDAQJMBA)
Founded San Luis Obispo, California (1990)
Headquarters Emeryville, California
Number of locations 736
Key people

Joel Caudillo, President & CEO Shane Sorenson, Senior Vice President

Celina Ramirez-Gill, National JambaGO Key Account Manager
Revenue increase$317 Million USD (FY ending 1/1/2008)
Website jambajuice.com
Jamba Juice headquarters in Emeryville (in the same building as Sendmail).
A typical Jamba Juice store.
A Jamba Juice store located along the CityWalk in Universal Studios Hollywood.

Jamba Juice is a chain of smoothie restaurants, headquartered in Emeryville, California,[1] with over 700 locations operating in 30 states, the Bahamas, Canada, Korea, and the Philippines. Over 500 locations are company-owned, with the remainder being franchised.[2] For the Fiscal Year ending on December 29, 2009 sales were $302 million, which included sales of $296 million from company locations.[3]

Contents

History

Jamba Juice was founded in April 1990 by Kirk Perron, along with co-founders Joe Vergara, Kevin Peters, and Linda Ozawa Olds.[4] It was incorporated in 1990 as Juice Club, Inc. in San Luis Obispo, California.[5][6] It is known as one of the leaders in the quick-serve fruit and vegetable juice market nationwide.[7] Juice Club Inc. of San Francisco changed its store name to Jamba Juice in 1995.[8] Said founder Perron:[9]

I'm surprised there aren't more companies creating a culture beyond selling, [offering] a soulful experience for the customer. That's been the basis for our success.

In August 1997, Jamba entered into an operating agreement with Whole Foods Market to sell only "natural" products inside some of the Whole Foods's locations, including Jamba's smoothies' ingredients.[10] For this reason, offerings at Whole Foods sites may differ from those at stand-alone sites.[11] Jamba Juice acquired all nationwide Zuka Juice, Inc. stores in March 1999.[12] Zuka Juice was founded in Orem, Utah by Dave Duffin and also was a prominent smoothie company at the time. Since then, Jamba Juice has expanded to become one of the nation's best known smoothie chains, emphasizing the benefits of a healthy lifestyle.

Since entering the market in New York City in June 2004,[13] Jamba Juice has opened 19 locations across the city, and it continues to open more locations. The first location was at Columbus Circle and 59th Street in the basement of the Time Warner Center and is part of the Whole Foods Market seating area. Other locations include one south of Union Square, Times Square, Tribeca, and one in the Port Authority Bus Terminal.

On March 13, 2006, Jamba Juice agreed to be acquired by Services Acquisition Corp. International for $265 million. Services Acquisition is headed by Steven Berrard, former CEO of Blockbuster Inc. Upon the closing of the transaction, the publicly traded Services Acquisition changed its name to Jamba, Inc.[14]

In reaction to the chain's decline in smoothie sales, Jamba, Inc underwent its biggest transformation in June 2009 when it started to offer a line of sandwiches, salads, and flat breads in all of its California stores and within the next year, all its stores nationwide.[15]

In July 2009, in promoting its new line of products, Jamba Juice was criticized for running an ad campaign which was described as a "ripoff" of the work of cartoonist David Rees.[16] The ad campaign looked similar to Rees' "Get Your War On" series. Rees was informed of the Jamba Juice ads by a fan who sent in a letter. Rees stated that "Jamba Juice bit my style, with no credit, and it's kind of disrespectful."[17]

Nutrition

Jamba Juice uses real fruit and processed fruit juices from concentrate. All smoothies, except for its "All Fruit Smoothies," contain another ingredient, as per the recipe: sherbet, frozen yogurt, sorbet, plain yogurt, low-calorie dairy base, chocolate base, or soymilk.

Jamba Juice is frequently criticized for selling smoothies with more sugar than is recommended by the USDA to consume in one day.[18] Because of this, Jamba Juice introduced "Enlightened Smoothies" in 2004 with less sugar and fewer calories and carbohydrates. They have since been renamed "Jamba Light." The Lower-calorie dairy base (formerly called Enlightened Base) is made with Splenda, non-fat milk and Whey Protein.

In addition to the smoothies, Jamba Juice sells fresh-squeezed orange juice and carrot juice, as well as wheatgrass juice shots. Jamba Juice also offers a substitute to coffee, for a caffeine fix, called Matcha Green Tea, which can be taken in a smoothie or as a small 4-ounce shot with soy milk, orange juice, or a mixture of the two, called a "Matcha Dream Shot". All of these are similar to an espresso shot with a more appetizing taste to some. Jamba Juice also offers boosts (dietary supplements). Each smoothie and yogurt blend comes with the option of one free boost addition, from a selection of six such as Soy Protein, Immunity, Energy and Daily Vitamin. The Protein Berry Workout, Acai Super Antioxidant, Coldbuster and Strawberry Energizer each come with a boost, so upon purchasing, the consumer has the option of adding an extra boost in addition to the boost already added. Extra boosts, such as Matcha, Whey Protein, Antioxidant, 3G Charger, Flax & Fiber, Probiotic or another of any of the four free boosts may be added for fifty cents. Prices vary by region (a medium size smoothie ranges from about $3.85 to $5).

Any smoothie can be modified from its standard recipe. Every customer has the opportunity to remove ingredients and substitute others. This is recommended to customers who have varied dietary needs.

Jamba Juice debuted its new organic steel-cut oatmeal in January 2009. The oatmeal is freshly prepared every morning with soy milk and includes toppings such as brown sugar crumble, fresh banana, blackberry-blueberry, apple cinnamon and berry cherry pecan.

Flavors

Flavors as of November 2011:

Classic Smoothies: Aloha Pineapple, Peach Pleasure, Pomegranate Pick-Me-Up, Razzmatazz, Strawberries Wild, Strawberry Surf Rider, Orange-A-Peel, Mango-A-Go-Go, Banana Berry, Blackberry Bliss, Caribbean Passion [19]

All Fruit Smoothies: Five Fruit Frenzy, Mega Mango, Peach Perfection, Pomegranate Paradise, Strawberry Whirl [20]

Fruit and Veggie Smoothies: Apple N' Greens, Berry UpBEET, Orange Carrot Karma [21]

Probiotic Fruit and Yogurt Blend: Strawberries Alive, Vibrant Blueberry, Thrivin' Mango [22]

Pre-Boosted Smoothies: Acai Super Antioxidant, Protein Berry Workout, The Cold Buster [23]

Jamba Light Smoothies: Berry Fulfilling, Mango Mantra, Strawberry Nirvana [24]

Creamy Treats: Chocolate Moo'd, Coffee Craze, Match Green Blast, Mocha Mojo, Orange Dream Machine, Peanut Butter Moo'd Pumpkin Smash [25]

2007 Nestlé deal and entrance into breakfast foods

In December 2007, it was announced that Jamba would be partnering with Nestlé to lend its name to a line of healthy, ready-to-drink beverages under the Jamba brand. They will offer two different products: Smoothies and Juices.[26] On December 19, 2008, a press release from Nestle USA and Jamba Juice announced suspension of Jamba ready-to-drink products due to "...challenges...with manufacturing on a consistent basis, resulting in inventory and out-of-stock issues."[27]

See also

References

  1. ^ "Contact Us & Comments." Jamba Juice. Retrieved on February 25, 2010.
  2. ^ Jamba, Inc. Reports Financial Results For The First Fiscal Quarter Ended May 1, 2007
  3. ^ "Jamba Juice Company - Jamba, Inc. 2009 10-k SEC filing". Ir.jambajuice.com. http://ir.jambajuice.com/phoenix.zhtml?c=192409&p=irol-SECText&TEXT=aHR0cDovL2lyLmludC53ZXN0bGF3YnVzaW5lc3MuY29tL2RvY3VtZW50L3YxLzAwMDExOTMxMjUtMTAtMDUyNzQ4L3htbA%3d%3d. Retrieved 2009-09-22. 
  4. ^ "Jamba Juice Company - Company History". Fundinguniverse.com. http://www.fundinguniverse.com/company-histories/Jamba-Juice-Company-Company-History.html. Retrieved 2008-09-14. 
  5. ^ Gregg H. Hawkins | A Recipe For Success
  6. ^ Jamba Juice: UFOC freefranchisedocs
  7. ^ Carlsen, Clifford (1996-06-14). "Juice Club given fresh cash, will pour into new markets". San Francisco Business Times. http://www.bizjournals.com/sanfrancisco/stories/1996/06/17/story3.html. Retrieved 2007-08-20. 
  8. ^ cached article from shareholder.com
  9. ^ Juice up your image: Jamba Juice - Company Profile, Entrepreneur, Sept, 1997 by Gayle Sato Stodder
  10. ^ "Whole Foods Market Reports Record Third Quarter Results". Third Quarter, 1997. http://www.wholefoodsmarket.com/investor/Q397financial.html. Retrieved 2007-08-20. 
  11. ^ http://www.mercurynews.com/mld/mercurynews/living/people/teens/13982331.htm
  12. ^ [1], freefranchisedocs.com
  13. ^ [2], jambajuice.com
  14. ^ JAMBA JUICE COMPANY AND SERVICES ACQUISITION CORP. - INTERNATIONAL ANNOUNCE MERGER, SEC
  15. ^ Jennings, Lisa (June 11, 2009). "Jamba Juice to offer sandwiches and salads". NRN.com. http://www.nrn.com/breakingNews.aspx?id=368218. 
  16. ^ http://www.fastcompany.com/article/has-jamba-juices-controversial-ad-just-pureed-its-billion-dollar-dreams "Has Jamba Juice's Controversial Ad Just Pureed Its Billion-Dollar Dreams?", FastCompany
  17. ^ http://www.fastcompany.com/article/has-jamba-juices-controversial-ad-just-pureed-its-billion-dollar-dreams "Has Jamba Juice's Controversial Ad Just Pureed Its Billion-Dollar Dreams?", FastCompany
  18. ^ http://www.fitsugar.com/208410
  19. ^ http://www.jambajuice.com/products/classic_smoothies
  20. ^ http://www.jambajuice.com/products/all_fruit_smoothies
  21. ^ http://www.jambajuice.com/products/fruitveggie
  22. ^ http://www.jambajuice.com/probiotics
  23. ^ http://www.jambajuice.com/products/pre_boosted_smoothies
  24. ^ http://www.jambajuice.com/products/jamba_light_smoothies
  25. ^ http://www.jambajuice.com/products/creamy_treats
  26. ^ "Nestle USA and Jamba Juice Blend Their Expertise to Create Healthy Ready-to-Drink Products," Jamba Inc., Business Wire 2007, available at http://ir.jambajuice.com/releasedetail.cfm?ReleaseID=279609.
  27. ^ "Nestlé USA and Jamba Announce Suspension of Jamba Ready-to-Drink Products," Jamba Inc., Business Wire 2008, available at http://ir.jambajuice.com/releasedetail.cfm?releaseid=355145.

External links


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