1. A. What is the history of your product? And what year was the product
first introduced?
The University of Florida invented Gatorade in 1965. Florida Gators’ assistant
coach Ray Graves ask the school’s researchers to find out why his athletes were
affected by heat and heat related illness. They discovered that the fluids and
electrolytes that the players lost through practice and games were not replacing.
Gatorade was made to restore the electrolytes that athletes lost. The earliest of
Gatorade contained water, sodium, sugar, potassium, phosphate and lemon juice.
Ten players on the University of Florida football team tested the first version of
Gatorade during practices and games in 1965.
The team finished the season 7-4, outlasting favored opponents and the heat. The
Florida Gators gave credit to Gatorade after winning their first Orange Bowl over
the Georgia Tech Yellow Jackets in 1967. After that, the drink gained
creditability throughout the sports world. Yellow Jackets coach Bud Carson,
when asked why his team lost and he said "We didn’t have Gatorade. That made
the difference."
Shortly after the 1967 Orange Bowl, Robert Cade entered into an agreement with
Stokely-Van Camp, Inc. (S-VC), a canned-food packing company. They agreed to
produce and sell Gatorade in the U.S. as a commercial product. In the same year,
a licensing arrangement made Gatorade the official sports drink of the National
Football League (NFL). A year after its commercial introduction, S-VC played
around with the original Gatorade recipe and finally discovered different forms of
the lemon-lime and orange flavors. This new formulas added fructose and
removed the sweetener cyclamate, which was banned by the FDA in 1969.
In the early 1970s, if the researchers who invented Gatorade were entitled to
ownership of its rights even though they were working under a federal government
grant that provided the money to fund their research. The University of Florida
also claimed partial rights ownership. In 1973, the university was given 20
percent share of Gatorade royalties which totaling $100 million as of 2004.
Quaker Oats purchased S-VC and Gatorade in 1983 for a total of $220 million.
After that, they began to expand the Gatorade name and sold to Canada, Asia,
South America and parts of Europe. In 2011, PepsiCo bought Gatorade from
Quaker Oats for $13 billion. PepsiCo added Gatorade to their wide range of foods
and beverages. Expansion of the popular Gatorade continued as it was sold in
India, the U.K. and Ireland. In 2010, Gatorade became the number one sports
drink sold in the U.S., Canada, Mexico, Italy, Argentina, Brazil, Venezuela,
Colombia, Indonesia, the Philippines, Korea and Australia.
1. B. How has the product changed over the years?
Over the years, the Gatorade recipe wasn’t so much, just a few tweaks here and
there to make taste better and better for you. The biggest changes and
improvements included new products, flavors and different names. The original
Gatorade became Gatorade G, Gatorade Rain became No Excuses, Gatorade AM
was re-labeled Shine On, Gatorade X-Factor turned into Be Tough and Gatorade
Fierce was Bring It. Also, the G-Series came into play. G-Series consist of three
stages of drinks, Prime, Perform and Recover. Prime is made to give an athlete
and extra boost before the big game. Perform is just the original Gatorade drink
and Recover is filled with protein for hydration and muscle recovery. The original
thirst quencher consist of over 16 different flavors including lemon-lime, orange,
fruit punch, cool blue, grape, melon, strawberry, etc.
1. C. Is your product a top Brand Name?
Gatorade was the first product of its kind and is still the most dominant name in its
industry. Gatorade currently commands 73.7% of the sports drink market and its
biggest competitor, Coca Cola’s Powerade, only holds 10% of the market.
PepsiCo’s Gatorade currently holds sponsorship deals with NASCAR, the NFL,
the NBA, the WNBA, US Soccer, MLB, and the PGA. Sports fans can’t miss
seeing the brand when they attend sporting events or watch them on TV.
Whenever I watch my favorite teams play, all the players are drinking from
Gatorade cups and bottles, they are sitting in front
of Gatorade coolers and wiping their heads with
Gatorade towels. Recently, Cam Newton,
quarterback for the Carolina Panthers and winner
of the Offensive Rookie of the Year Award, sat on
the bench after every drive with a Gatorade towel
on his head. Everybody watching the games saw
the towel, which led to Gatorade signing him to a
contract. The point is that players constantly
endorse Gatorade without being under contract with them. Gatorade is number one
in the sports drink market because it maximizes performance, reduce heat stress,
speeds up recovery and you can buy it at any store that sells drinks. Gatorade
even test their products to find out new ways to increase performance and
recovery. There are constantly testing athletes and receive results to further their
research.
1. D. Is the product ranked?
Gatorade is definitely ranked and recognized as a top brand. It is the most used
sport drink and is the official sports drink of all major U.S. sports. Gatorade
currently commands 73.7% of the market. According to Frobes.com, Gatorade
currently ranks fifth amongst the world most valuable sports brands. It currently
destroys its top competitor , PowerAde in sales and consumption. Their sales have
gone up 15% since 2010 and seems to just go up.
1. E. What is the brand’s market share.
2. A. What is the retail price of your product?
G-Series
Prime- $1.99
Perform- price varies from $1.99 - $6.69 (includes drink, powder pouch, powder
pack and size of drink)
Recover- $1.99
Equipment- $5.99 - $74.99 (cups, bottles, towels, coolers, bottle carrier and ice
chest)
2. B. What retail prices do other competitive brands charge?
Powerade- $1.37 - $3.99 (price varies on size
Vitamin Water- $1.79 – 3.99 (prices varies)
All Sport- $1.50
These drinks may cost a little less money but they don’t provide the superior
quality that Gatorade does. Gatorade is proven to quench your thirst, rehydrates
you, fights heat stress and maximizes your performance. Gatorade is always
testing their product to make that the consumer is always satisfied and wants more.
Gatorade also provides a wide range of products from performance drinks, energy
drinks, fitness drinks and bottles and coolers to make sure that your drink stays
cold.
3. A. What consumer sales promotions does the company use to promote the
product to its target market?
Gatorade’s sales promotions consist of banners
with dark colors and writing in orange to catch
your attention. These banners, advertisements and
coupons have phrases to encourage you to buy the
product to improve your game. Their main phrase
that everybody knows is “Is it in you?” Some other
phrases are “are you ready to step your game up?”,
“Quench your thirst” and “That’s G.” They put
some of the slogans in a form of a question to
make you question yourself and think about whether or not you need Gatorade to
succeed. Also, they ran some sweepstakes that required you to buy the product
and use a promotion code to enter. The prizes were tickets to games, free gear,
meet professional athletes and free training dvds. Gatorade has done a great job
with the colors they use for their advertisements. They use dark backgrounds,
mostly black and grey, to make the color of their drink pop. If you take a black
background and put very colorful drinks in front of it, it will catch your attention
and make you notice them. In a Gatorade context, G represents the heart, hustle,
and soul of athleticism – and will become a badge of pride for anyone who sweats,
no matter where they’re active. Even when you go to the store to buy something,
they catch your attention without you knowing. They have ads put in store where
the consumer will subconsciously notice the brand and want it. This includes floor
mats, posters and advertisements on the side of the refrigerators and vending
machines.
3. B. Where does it advertise to reach its traget market
Gatorade’s biggest sales promotions are with professional sports. Gatorade
teamed up with NASCAR, the NFL, the NBA, the WNBA, US Soccer, MLB, and
the PGA. You can’t turn on any sporting event without seeing the famous
Gatorade G and lighting bolt. Gatorade dominates the sports world. Players that
have contracts with PowerAde such as Derrick Rose, Chris Paul and Lebron James
are shown on TV drinking from Gatorade bottles, cups and using Gatorade towels.
Also, Gatorade’s commercials are very memorable. Who can forget seeing
athletes playing and sweating the different colors of Gatorade? Some athletes
include Michael Jordan (NBA), Derek Jeter(MLB), Peyton Manning(NFL), Tiger
Woods(PGA) and Sidney Crosby(NHL), arguably the best at athletes at their
sport. Whenever a football team wins a big game, what do the players dump on
the coach? A cooler filled with Gatorade. Gatorade easily reaches its target
market because the target market is athletes and no matter what sport you are
watching, you will see the players using Gatorade products.
3. C. Does it sponsor events?
Gatorade doesn’t sponsor events, but it sponsors sports in general. Instead of
seeing an advertsiments that says “watch the Super Bowl, sponsored by
Gatorade,” Gatorade will have advetisments during the games. They are the
offical sports drink of all major U.S. sports, some collegiate teams and they supply
teams with their products. For instance, when I watch my favorite basketball team
play, the Los Angeles Lakers, I always see Gatorade behind the bench. Also,
sports that don’t have teams such as tennis and golf, the athletes are given
Gatorade products so it is seen on TV. Gatorade’s biggest advertising is having
sports teams and athletes use their products.
3. D. Any additional information you can find to state how your product is
promoted.
Gatorade’s increased presence in sports through the 1990s and the new
millennium has translated to an increased presence in screen time. With
appearances in movies such as “Juwanna Mann,” “The Sixth Man,” “Like Mike,”
“Friday Night Lights,” " Jerry Maguire,” “Ace Ventura: Pet Detective,” “Coach
Carter,” “Rebound,” and “Kicking &
Screaming.” It’s rare that Gatorade misses an
opportunity to plug their products in movies.
The best plug in a movie was in “Waterboy”
when Adam Sandler’s character is told water
sucks and Gatorade is better and “Not only
does Gatorade quench you thirst better, it taste
better too.” Gatorade even appears in video
games, such as the NBA 2K series.
4. A. Of what is your product made?
Gatorade is specially formulated to give athletes what water and other sports
drinks can’t. Studies have shown that athletes who hydrate with Gatorade perform
better than when they drank just water, PowerAde or any other drink. The
performance improvements included the ability to exercise longer before fatigue,
maintaining a faster sprint speed and exhibiting higher explosive power. Gatorade
has different products and each is made of different things. Prime is made of a
concentrated blend of carbohydrates and B vitamins. Perform or original Gatorade
consists of a unique formula of sodium, potassium and essential carbohydrates and
electrolytes. This allows your muscles and mind to rehydrate, replenish, and
refuel. Recover is made of electrolytes, carbohydrates and protein for hydration
and muscle recovery benefits. Gatorade Fit includes customized portions of
carbohydrates, protein, electrolytes and nutrients.
4. B. What are the ingredients and/or materials of your product’s top
competitor?
Gatorade’s top competitor is PowerAde. PowerAde doesn’t offer the essential
ingredients to promote maximum performance, complete hydration and allow your
muscles to recover. PowerAde contains Water, glucose, fructose, citric acid,
mineral salts (sodium chloride, magnesium chloride, calcium chloride, potassium
phosphate), flavourings, acidity regulator (potassium citrate), stabilisers (acacia
gum, glycerol esters of wood rosins), sweeteners (sucralose, acesulfame K), colour
(brilliant blue) (this was directly off of Coca Cola’s website). PowerAde is
designed to help with muscle cramps and fatigues and if you don’t drink it for that,
then you are just taking in extra calories for no reason.
4. C. Features and benefits of your product.
Gatorade is just a beverage so it doesn’t have too many features but there are
many benefits. It has a unique formula of sodium, potassium and essential
carbohydrates and electrolytes; therefore it rehydrates athletes which means the
athlete can perform longer and at their best. Athletes can achieve maximum
performance, ultimate rehydration and replenishes your mind and muscles. This
unique formula is better than the competitors and assures you will perform at your
best.
4. D. Describe your product’s style and design.
Gatorade’s unique style and design appeals to athletes everywhere. It is sharp,
stands out and isn’t too much to look at. Whenever you see then lighting bolt or
the Gatorade G, you know and
easily recognize the product. The
use of dark backdrops and
colorful bottles, and words
differentiates Gatorade from other
products in the same market. The
color of the drink pops and you notice it. Also, some bottles have a sports grip,
which allows you to have a more comfortable grip while you drink. The different
colors also makes Gatorade unique. The colors make the consumer notice it in the
store and make them want to try the flavor. If somebody’s favorite color is blue,
then they are going to buy the blue color Gatorade.
4. E. Is the packaging of your product unique compared to your competition?
Gatorades packaging is very unique. The colors of the drink can pop more
because the plastic wrapping around the bottle is clear. Since the wrapper is clear,
you see more of the color and when you’re walking down the isle of a store, you
will notice it. The wrapper also offers another advantage. The famous lighting
bolt and G is big and bold which makes it simple and more attractive e because its
not too much too look at. The various sizes also offers an advantage with the
packaging. When the consumer sees the sizes, they buy based on their need. If
you are playing sports for a long time, than you would buy the bigger bottle, but if
you are just hanging out, than them consumer would buy the smaller bottle. The
Gatorade powder is also packaged very uniquely because it is in the shape of the
Gatorade cooler. When I was walking through the store, I bought the powder
because the packaging was unique and it stood out. The bottles are also recyclable
and Gatorade is always trying to find out new ways to use less material to make
the bottles.
4. F. Compare your package to your top competitor’s.
Compared to PowerAde, Gatorade’s package is just more appealing. It’s more
attractive to the eye and stands out more because the colors of the drink are
brighter. The color pops more when next to the less appealing darker and lighter
colors of PowerAde. PowerAde tried to use a sleeker bottle but when sitting next
to Gatorade bottles, the eye tends to look at Gatorade. Gatorade also has more
colors than PowerAde does. Gatorade has over 20 different flavors and colors,
which makes a person recognize them more. The colors also make the drink looks
like it taste better. The plastic wrapping around the Gatorade bottle shows more of
the color and more appealing to the average customer. PowerAde uses a white or
black plastic wrapping around the bottle which takes away from the effectiveness
of the color to attract the customer.
4. G. Does your product come with a warranty?
Gatorade is a sport drink so is doesn’t come with a warranty. It is made to be
consumed after purchased, not kept and saved.
5. A. Describe your product’s target market.
Gatorade’s target market is anybody who lives an active lifestyle. Gatorade was
originally made to keep athletes hydrated in the heat so they can stay focused and
perform at a high level. Gatorade targets anybody who plays sports. When you
play sports, you lose key bodily fluids through sweating and Gatorade refuels you.
It replaces the fluids you lose restore the electrolytes that athletes lost during
strenuous activities. The best athletes want to be able to perform at their best,
drink Gatorade and continue to perform at the highest level possible. That is the
market that Gatorade targets.
5. B. List the retail stores where your product is sold.
CVS
Stop & Shop
Shop Rite
Walgreens
Dick’s Sporting Goods
Convenient Stores
Sporting good stores
Modells
Sports Authority
Vending machines in malls or gyms
Wal-Mart
The list goes on and on
5. C. What makes your product unique?
Gatorade is unique because it was the first of its kind. Gatorade was the first
sports drink made to rehydrate and replenish an athlete after a long workout or
game. It has been around the longest and is the most popular amongst consumers.
Also, Gatorade is the official sports drink of all major U.S. sports and is being
advertised during every game. Since professional players drink it, it makes the
consumer want to buy it more. Other drinks don’t fully rehydrate you, but
Gatorade has been proven to. Gatorade is always testing their product and trying
to come out with new and better products. Another thing that makes Gatorade
unique is that fact that the top athletes endorse it. It makes the product seem better
because the best of the best use it. Gatorade is more unique than PowerAde
because the athletes that are endorsed by PowerAde are shown drinking Gatorade
in TV since it’s the official sport drink if many professional leagues.
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