By Jose Garcia, Jesse Patterson, Art Falcon
Industry Information & Competitors ● Energy drink industry is projected to grow from a $12.5 billion industry in 2012 to a $21 billion industry by 2017 (Food Product Design, 2013) ● Sports drink industry is growing at a constant pace; the industry grew 6.7 percent in the year ending April 15, 2012 (Beverage Industry, 2012) ● “The number of consumers who report drinking one or two sports drinks in the last 30 days increased 7.1% between 2007 and 2012” (Berry, 2013)
SWOT Analysis Strengths ●Potential ●Market Leader Weaknesses ● Inexperience ● Funds Opportunity ●2 in 1 Drink Threats ●Competitors ●Replicated
Psychographics ● Fitness conscious lifestyle- People who exercise can have much to gain from drinking this product to quench their thirst and energize them. ● Busy lifestyle- People who are busy may find a sports/energy drink more appealing than just a regular energy drink
Concept ● Power-Up - a drink that will give you a boost, like coffee or an energy drink, and is also as electrolyte-infused as a sports drink.
Mission Statement ●To provide a quenching energy refreshment.
Market Needs ● We chose to come up with a drink that will give you a boost, like coffee or an energy drink, and is also electrolyte infused like a sports drink ● This will benefit those who are looking for a boost of energy and the hydration of a sports drink with electrolytes.
Keys to Success ●Public recognition ●Promotion through various forms of media ●Targeting the physically active ●Televised sports events
Marketing Communications Advertising ● social media Sales Promotion ● 2 for 1 deal Public Relations ●Community Direct Marketing ●targets
Pricing ● Power-Up= $2.49 for a 16 ounce ● Gatorade= $2.19 for a 32 ounce ● Red Bull= $3.79 for a 16 ounce
Distribution
Financials Datamonitor. 2008a. ●Market share breakdown: Sports drink and Energy drinks Combines to be 90%
Break-even Analysis
Gatorade ●Electrolytes ●Know the consumer ●Convenience Gatorade | Sweat It To Get It: Slap ft. Cam Newton. (n.d.)
Red Bull ● Competitions ingredients ● Importance of transparency What's Inside: Red Bull Energy Drinks-WIRED. (n.d.)
References 2012 State of the Industry: Sports Drinks. (2012, July 18). Beverage Industry. Retrieved October 17, 2014, from sports-drinkshttp:// sports-drinks Berry, D. (2013, August 27). Sports drink evolution. Retrieved from Bhasin, K. (2012, February 6). The Marketing Strategy This Energy Drink Used To Take On Red Bull And Become A Billion Dollar Brand. Retrieved December 4, 2014, from Datamonitor. 2008a. Functional drinks in the United States. Available from: Retrieved December 5, Energy Drink. (2014) Red Bull energy drinks. Retrieved October 14, 2014, from Energy Drink Sales Will Skyrocket to $21 Billion by (2013, February 4). Food Product Design. Retrieved October 15, 2014, from Gatorade 02 Perform. (2013, January 1). Retrieved December 6, 2014, from Gatorade | Sweat It To Get It: Slap ft. Cam Newton. (n.d.). Retrieved December 15, 2014, from Lukovitz, K. (2013, July 13). Report: Sports Drinks' Growth To Slow Somewhat. Retrieved December 3, 2014, from sports-drinks-growth-to-slow-somewhat.htmlhttp:// sports-drinks-growth-to-slow-somewhat.html Redbull. (n.d.). Retrieved December 6, 2014, from Packaged Facts.(2014). Energy drinks and shots: U.S. market trends. Retrieved October 18, 2014 from What's Inside: Red Bull Energy Drinks-WIRED. (n.d.). Retrieved December 15, 2014, from