Presentation on theme: "Vitamin Water Sebastian Czuszel, Amber Han, Meric Kelleci, Mike Staub, Carrie Zhang."— Presentation transcript:
Vitamin Water Sebastian Czuszel, Amber Han, Meric Kelleci, Mike Staub, Carrie Zhang
Table of Contents
Executive Summary Vitaminwater is a ready-to-drink, brand of stylish, bright, cheerful, and humorous beverages. This powerful brand has many marketing strengths, particularly strong brand positioning where it targets a large demographic. The highest use is among consumers ages 18-34, with the emphasis on the younger age bracket. The consumers select Vitaminwater just as they select popular brands of clothing. They perceive these drinks as a hip, cool, trendy, and as a lifestyle beverage. VitaminWater engages in local and mass promotional activities, which are fun and catchy to correspond with the overall image of the product. It is marketed and sold in various locations and very easy to find! VitaminWater provides benefits, both in terms of real and perceived value. The objective of this marketing plan is to introduce, promote and capture greater market share by VitaminWater, in both China and the United States in the functional beverage market*.* The U.S. campaign will target over-50 demographic market, males and females who are currently neglected in terms of advertising. In The U.S. we will focus on the standardization of product marketing. The initial Chinese advertising campaign will target market health conscious consumers (age ) who are looking for value added health drink alternatives. In China we will achieve our marketing objective by adapting our marketing strategy to appeal to local culture. A wealth of media advertising opportunities-direct mail, event advertising, internet, print, public relations, sales promotions and TV commercials will be utilized to achieve said marketing goals.
Background Statement The History of Vitaminwater Energy Brands also known as Glaceau is based in Whitestone, New York City. Founded in May, 1996 by Darius Bikoff. Privately owned subsidiary of Coca Cola since June, Manufacturer of flavored beverages: VitaminWater, SmartWater, VitaminEnergy and FruitWater. Initially distributed its products to health food stores and independent retailers in the New York area. The company expanded to nationwide distribution in the early 2000s. VitaminWater is company's best selling product. It offers thirteen different flavors. Currently, Vitaminwater is a product brand rather than a lifestyle brand. Energy Brands has strong brand positioning. Utilizes fun and innovative marketing strategy.
Product Analysis: Attributes, Benefits, and Values Attributes: Low calorie, electrolyte enhanced Packed with nutrients Thirteen different flavors currently offered in the United States. Each beverage has a combination of vitamins (A, B, C, E, Potassium, Zinc, Antioxidants and many more) Lower sodium content than it's main competitor Gatorade Benefits: VitaminWater offers a certain amount of nutrients and sugars that are necessary to re-fuel the body Vitamins that enrich VitaminWater are essential to daily activities/hydration Contains the electrolyte potassium, which minimizes fatigue and cramps while exercising Bolsters the immune system with necessary vitamins Values: To make the consumer feel trendy, healthy, and energetic Guilt-free alternative beverage to soda and other sports drinks
Product Analysis: Past Advertising Analysis United States In 2009 Glacéau spent nearly $50 million on a campaign to promote VitaminWater. Past Advertising: 39 “news” vans dubbed Glaceau Tasting Vehicles (GTVs) disperse VitaminWater In stores, Glaceau sets up “hydrology booths,” o Supporting material (billboards, ads, placards) Usage of celebrity flavors TV commercials during 2009 and 2010 NCAA college basketball tournament. Facebook page
Marketplace Analysis ChinaUnited States
SWOT Analysis China U.S. based product Trendy Innovative Niche Market Lack of reliable research Cultural differences Localization vs. Standardization of advertising opportunities Hard to control distribution of products United States Strong brand recognition Customer Loyalty Diversified product base Celebrity endorsements Smart advertising - Creative labeling and prints Easy marketability Predictable trends Well known competitors and conglomerates Low variability Lack of foresight to advertise to a large over 50 demographic Actual sugar content and serving size per bottle is a concern for many consumers. A few very large corporations control the industry High barriers of entry Strengths Weaknesses
SWOT Analysis China Opportunities: Ability to utilize VitaminWater's relationship with Coca-Cola to leverage strong brand name to generate revenues Improving living standard and urbanization of China cities Growing trend for the Chinese to dine out Low entry barriers Chinese beverage sector is on the rise Beverage market is attractive to venture capitalists Beverage market is far from being saturated Threats: Government laws and regulations Intense competition Global economic slowdown Cultural differences Uncertain advertising market Political risk Corruption United States Opportunities: Target mature consumers-baby boomers (over 50 demographic) Robust Coca-Cola's distribution channels Increasing health consciousness would increase demand for the company’s low calorie products Growing Hispanic population in US Broadening portfolio of products to help penetrate into new markets Positive outlook for functional drinks market Threats: Intense competition Volatile economy could impact sales of the company’s products
Marketing Objectives and Rationales Financials China Sales Goals Generate sales of $300M for first year 10% increase for successive years United States Sales Goals: Generate sales of $1B 5% increase for successive years
Marketing Objectives and Rationales Marketing Goals ChinaUnited States