Table of Contents
Positioning
5Ps
CBBE Model
Brand Elements
Secondary Brand Knowledge
Equity Ranking
Positioning
Brand Mantra
Emotional Modifier Descriptive Modifier
Revitalizing
Healthy
Brand Functions
Specialty Sports Drink
Emotional Modifier: “revitalizing” represents the theme and meaning behind the strong,
favorable, and unique associations of tropical and hydrating. Tropical locations are seen as
vacation destinations in which one can relax and recharge, and hydrating nourishes the body. By
drinking ZICO, people receive the benefit of being revitalized whether its after a strenuous
workout, or a night out on the town.
Healthy: “healthy” is one of the main strong, favorable, unique associations derived by the
consumer. Other associations like natural and hydrating reinforce this “healthy” descriptive
modifier. ZICO is a “healthy” specialty sports drink, and this descriptive modifier clarifies its nature
compared to other sports drinks like Gatorade and Powerade that are more unhealthy because of
their high sugar content.
Brand Function: ZICO exists in the product category of a specialty sports drink. This product
category is fitting for ZICO because it shares many POP’s as Powerade and Gatorade like
revitalizing, hydrating, and energy.
Coconut
Juice
Hydrating
Tasty
Strong, Favorable, Unique
Associations with Zico
Sweet
Flavored
Water
Positive Perceptions
Negative Perceptions
Zico
Beach
Healthy
Yuck
Tropical
Energy
Fad
Disgusting
Zico
Coconut
Natural
Zico has created a strong, favorable, unique association with consumers as a hydrating,
Taste
healthy, and tropical sports drink. Consumers also associated Zico with sweet, natural
flavors. This created strong points of parity between the Zico and its competitors,
creating points of difference in the level at which association describes the products.
Zico’s negative associations include the taste and expensive nature.
Expensive
Sea
Hangover
Cure
Healthy
Strong, Favorable, Unique
Associations with competitors
Electrolytes
Tasty
Positive Perceptions
Negative Perceptions
Coconut
Water
Trendy
Tropical
Not
Tasty
Light
Hydrating
Weird
Hawaii
Coconut
Water
Refreshing
• Because of the industry’s relatively new nature, consumers most commonly linked
Zico’s competitors associations similar to those of Zico: hydrating, healthy, and
refreshing sports drinks. They also saw coconut water as a hangover cure and trendy.
• Consumers negatively associated Zico’s competitors with a lack of flavor and a lack of
credibility as a new entrant in the sports drinks industry.
Bland
Gimmick
Positioning
We placed effectiveness of hydration (POP) and
pricing strategy (POD) on the perceptual map axes.
52% of respondents believe ZICO is priced higher
than other coconut waters, which shows a
premium pricing strategy. In regard to hydrating
effectiveness, ZICO contains the hydrating
ingredients of electrolytes and potassium. The
prominent associations of “hydrating” and
“refreshing” on the mental map show consumers’
perception of ZICO being an effective hydration
beverage.
Least Effective
Premium Price
Most Effective
In Hydrating
In Hydrating
Gatorade
Water
Discount Price
Positioning
Positioning Statement:
“Zico is the only specialty sports drink that creates a
healthy, hydrating, and revitalizing experience for
active, young adults.”
CBBE: Brand Salience
Depth of Brand Awareness
Recall: When asked if surveyors had ever heard of coconut water 30% said no. Of the 70% who
responded yes, when asked to list all coconut water brands respondents could think of, 40%
said ZICO followed by VitaCoco with 35% brand recall. O.N.E had 19% brand recall and C2O
followed with 1%, see graph below.
Recognition: When prompted and asked, “Given the following list of coconut waters, which
brands have you heard of? Mark all that apply.” 63% recognized ZICO, followed by VitaCoco
with 50%.
Breadth of Brand Awareness
40% of respondents answered “Undecided” when asked how likely they are to purchase ZICO,
followed by “Unlikely” with 20%.
Evaluations:
What coconut water brands can you think
of?
-Although we see strong brand awareness
50
for ZICO amongst consumers who recognize
40
the product category, the purchase
30
consideration is very low.
-We can attribute this low purchase
20
consideration to the newness of this category
10
as a whole. Although 70% of respondents
0
know the category of coconut water, that is
still low when you consider the high awareness
O.N.E. VitaCoco ZICO
C2O
of other categories like soft drinks or energy drinks.
CBBE: Brand Performance
When asked, how satisfied are you with ZICO compared to other coconut waters, 29% of respondents
said very satisfied and 26% said satisfied. 52% of respondents believe that compared to other coconut
waters, ZICO is generally priced higher. When asked to rank on a scale from 1 to 5 with 5 being the
highest, how much you like the look, feel, and other design aspects of ZICO, 23% of participants
ranked ZICO a 5 and 42% ranked a 4.
Evaluations:
-Respondents have strong feelings of satisfaction with ZICO.
-The ZICO premium pricing has not gone unnoticed
by consumers, and yet they still have high
Compared to other coconut waters,
feelings of satisfaction with ZICO.
how satisfied are you with ZICO?
-In terms of design aspects and aesthetics
40%
ZICO ranks highly among respondents.
30%
-The sleek design and premium pricing help
20%
to contribute to a strong brand image of
10%
quality and superiority.
0%
CBBE: Brand Imagery
User profiles
79% of survey participants’ ages ranged from 18 to 25. When asked what age group you would expect to
purchase and consume coconut water, 64% answered 18 to 25. When asked what is your impression of
people who drink coconut water 48% answered neutral, followed by 35% with positive. When given several
choices, 39% of respondents said upper class was the term that best described ZICO, followed by honest
(32%) and down-to-earth (29%). When asked what kind of memories came to mind when thinking of ZICO
45% answered neutral which was closely followed by “happy” with 41%.
Purchase & Usage situations
76% of respondents said they would expect to find coconut water in specialty markets and 58% said they
have actually seen coconut water in specialty markets. When asked where they are most likely to purchase
ZICO 29% said at Ralphs, then Trader Joe’s (25%), and finally Whole Foods (21%). When asked which drink
respondents would be most likely to have after a workout only 21% responded with ZICO. The majority, 34%,
said they would drink Gatorade after a workout.
Evaluations:
-We see here the premium pricing and other aspects of ZICO have caused consumers to label the product as
upper class.
-In terms of being categorized as a specialty sports drink, most consumers feel that after a workout they
would go with a more traditional sports drink like Gatorade.
CBBE: Brand Judgments
Brand Quality: 50% of respondents said ZICO is high quality and 18% said it is of very high quality. When
asked if ZICO is of good value 29% of participants said it is a good value and 14% said it is a very good value.
Brand Credibility: In order to understand perceived expertise we asked participants how knowledgeable the
makers of ZICO are 48% of participants said knowledgeable and 17% said very knowledgeable. Participants
were asked, how much the makers of ZICO understand their needs, 45% of participants said understand and
3% said highly understand.
Brand Consideration: 40% of participants said they would recommend ZICO to their friends.
Brand Superiority: When asked to compare coconut waters for superiority, 69% of participants chose ZICO as
superior over C2O, O.N.E., VitaCoco, and Harvest Bay.
Evaluations:
-We see overall strong positive associations and opinions of ZICO.
-Consumers see ZICO as premium priced, superior, a good value, and they would recommend it to their
friends.
-The strong perceived expertise could be due in large part to the premium pricing. Consumers tend to think
that products priced higher are of better quality and made by experts.
-Although only 40% of respondents said they would recommend ZICO to a friend, we feel this is very strong
for a brand so new. We feel we are relevant to our customers and the perceived superiority will in the long
run evolve into customer loyalty and ultimately strong brand resonance.
CBBE: Brand Feelings
Please complete the following question: "ZICO gives me a feeling of...”
(Mark all that apply)
#
Answer
Response
%
1
Social Approval
7
24%
2
Excitement
8
28%
3
Warmth
7
24%
4
Security
2
7%
5
Fun
11
38%
6
Self Respect
6
21%
7
Other (Please Specify)
13
45%
Evaluations:
-When asked what feelings ZICO provokes 38% of respondents said fun and 28% said excitement.
-Sports drinks are typically thought of as very fun, exciting, outdoorsy, and refreshing products. With
consumers seeing ZICO as a specialty sports drink it is bound to evoke feelings of fun and excitement.
-Also, the novelty of trying a new product like coconut water could be a contributing factor to these
response feelings
CBBE: Brand Resonance
I feel as if I almost belong to
a club with others who use…
I have been to Zico's website.
I would wear apparel with
the ZICO logo on it.
I feel Zico is the only brand of
coconut water I need.
I would recommend ZICO to
my peers
I would really miss Zico if it
went away.
I would go out of my way to
purchase Zico.
Strongly Agree
Agree
Neither Agree nor Disagree
Disagree
Strongly Disagree
0
5
10
15
20
Evaluations:
-Overall, brand resonance is low as displayed by the high “disagree” percentage on these questions.
There is not a sense of community or loyalty around the brand.
-Although, 34% of respondents said they would really miss ZICO if it went away. This indicates that
as ZICO matures (raising awareness), they may be able to build brand resonance.
5Ps: Product
The core benefit that ZICO satisfies is its ability to provide a healthy natural rapid hydration
and replenishment. ZICO achieves this core benefit through the high amounts of potassium
and electrolytes that exist in its coconut water. Also, ZICO contains zero added sugar, zero
cholesterol, and zero fat. Although ZICO still sells its Tetrapak, it is the first and only coconut
water company to bottle coconut water in a plastic bottle. With the addition of the plastic
bottles and new flavors, ZICO is able to command more shelf space in retail establishments,
which increases their brand awareness among consumers.
14 oz BOTTLE
Natural
Pomberry
Lima Citron
Mango
Passion Fruit
11oz TETRA PAK
Natural
33oz (1 liter)
TETRA PAK
Natural
Mango
Passion Fruit
5Ps: Price
ZICO builds brand equity through its premium pricing
strategy. Compared to the competition, ZICO is priced fifty to ninety cents higher than the
competition with an average price of $2.58 (source). The plastic bottle is priced at a higher
premium than the Tetrapak with an average price of $2.88. The premium price creates a brand
image of quality and superiority compared to the lower priced competition of VitaCoco and
O.N.E.. Additionally, since ZICO and coconut water itself is relatively new, premium pricing is
used to legitimize the benefits of providing replenishment and hydration.
1.67
2.00
2.58
5Ps: Place
In the beginning, ZICO targeted Yoga studios, creating a brand image of healthiness, and quality.
As a buzz was created within Yoga studios across the country, ZICO expanded its distribution.
ZICO can now be purchased at larger establishments like Ralphs, Safeway, Amazon.com, and
Whole Foods. By making ZICO widely accessible in large establishments, people become more
aware of the product, thus increasing the brand equity of ZICO.
5Ps: Promotion
ZICO builds brand equity by taking advantage of the benefits of experiential marketing to
create a positive brand image. ZICO uses experiential marketing by providing free samples at
events like The L.A. Marathon , Toyota U.S. Open Triathlon, and Bikram Yoga Sessions. These
events feature healthy activities, which reinforce ZICO’s brand image. Also, ZICO hopes
people attending these events will attach the positive experiences they had at the event
with drinking ZICO.
In order to increase brand awareness, ZICO created a billboard featuring Molly Sims located
in New York city on the corner of Thompson and Watts Street as part of its “I Am Natural”
campaign. This was ZICO’s first attempt at large scale promotion, and reflects their goal of
increasing brand awareness. In an effort to incorporate consumers within this promotion,
ZICO created a contest to replace Molly Sims on the billboard. Users on their Facebook page
were urged to submit photos of themselves being active, and the photos were judged by the
CEO Mark Rampolla, Molly Sims, and distinguished nutritionists.
5Ps: Positioning
ZICO positions itself as the natural, healthy specialty sports drink. ZICO positions
itself away from sugary drinks like Powerade and Gatorade by highlighting the
zero added sugar, cholesterol, and fat within its beverage. Addtionally, the “I Am
Natural” campaign is intended to promote the natural health benefits of ZICO.
This positioning reinforces ZICO’s desired brand image of being a healthy, quality
product. By positioning the product in this way, and maintaining this brand image,
ZICO strives to gain awareness within the health-conscious consumer.
Brand Elements
Brand
Name
•The simplicity of the name ZICO reduces the effort consumers have to make to comprehend
and process it
•The name’s short length facilitates recall because it is easy to encode and store
in the memory
•Since it is a non-meaningful name, it can easily be transferred to other countries
•ZICO’s pronunciation, however, hinders brand awareness
•ZICO (Zee-Koh) is difficult for many to pronounce it hinders word-of-mouth exposure
that can help build strong memory links
•Those who are unsure of how to pronounce ZICO stray away from actually saying it out
loud
•Although it is not familiar nor meaningful, the name is differentiated, distinctive, and unique
•The brand name is an inherently unique, made-up word that improves brand
recognition
•The “co” in ZICO can also remind consumers of coconut water
Brand Elements
Slogan
•ZICO’s slogan, “I Am Natural,” contributes to brand equity by promoting its quality, healthy
brand image
•It emphasizes the all-natural benefit of the brand and thereby shows how the product
is a healthier alternative to other sports drinks. This ultimately enhances the brand
image of ZICO being a quality, healthy product.
•It serves as an indispensible means of summarizing and translating the intent of the
marketing program: to market ZICO as an all-natural way to re-hydrate
Brand Elements
Packaging
•ZICO’s move from carton to bottle plays a role in building brand equity directly through points
of difference created by functional elements
•ZICO delivers the first all-natural, aseptic bottled coconut water in the world.
•No other coconut water competitor bottles their beverage in a plastic bottle
•The ZICO bottle allows the brand to provide ideal, on-the-go hydration for an active
lifestyle.
•ZICO’s new bottle packaging also helps build brand equity indirectly through the
reinforcement of brand
Image
•The 100% recyclable bottles exemplifies ZICO’s commitment social and environmental
responsibility
•Also, the plastic bottle can be perceived as a more premium product compared to the
cardboard Tetrapak
Brand Elements
Molly Sims
•By inciting interest and excitement, supermodel Molly Sims enhanced brand likeability,
awareness, and credibility
•Sims has appeared on a ZICO billboard to help capture the public’s attention. ZICO is
leveraging Sims celebrity status and to draw awareness to ZICO
•Sims has also handed out bottles of the drink while informing them about the benefits.
Sims is a credible source and fits the brand image of ZICO because she lives a healthy, fit
lifestyle.
•Sim’s approval of ZICO adds credibility to the functional benefits of ZICO
Brand Elements
ZICO’s
New Face
of the “I
Am
Natural”
Campaign
•Fitness enthusiast Amanda Russell was chosen as the new face of the campaign to enhance
brand likability and awareness
•Russell, an avid athlete who is in need of a product to naturally re-hydrate, embodies
the brand’s core and thereby is able to reinforce the brand’s key product benefits
•Awareness and likability were created by having users submit photos of themselves on
ZICO’s Facebook page, making the brand relevant to consumers and creating buzz around
the contest
•Russell is considered to truly exemplify what ZICO is all about because she is athletic,
passionate, and health-conscious. Thus, she inspires others to seek out a healthy lifestyle
and naturally replenish with ZICO.
Secondary Brand Knowledge
Celebrities •A celebrity’s use of ZICO is publicized by ZICO on their Facebook page and website:
•Besides Molly Sims, ZICO does not pay celebrities to use ZICO, but ZICO does publicize
pictures taken of celebrities holding ZICO
•Celebrities include Gisele Bundchen, Alex Rodriguez, Kelly Slater, and Courtney Cox
•By choosing to publicize ZIC) use with these celebrities, ZICO is able to increase brand
awareness and credibility. These celebrities are fit, and healthy, which is in line with
ZICO’s overall brand image. Also, it sends a message of credibility to the consumers that
ZICO can help them attain this fit lifestyle.
Sporting
Events
•ZICO sponsors sporting events like triathlons, surf contests, and Yoga sessions:
•By sponsoring these events and passing out samples, ZICO is able to raise awareness of
its brand within its target market. Additionally, people can transfer associations from the
sporting events to ZICO, maintaining its brand image of being a healthy and quality
product.
•Some associations that could be transferred include healthy, fun, exciting, and natural
Secondary Brand Knowledge
16
•By focusing its distribution initially to mainly high end “organic” grocers like Whole foods and
Tader Joe’s, ZICO was able to:
•Transfer the associations of “quality”, “natural”, and “high-class” from these grocers to
its own brand
•Large retail grocers like VONS and Ralphs do not have these same associations that are
in line with ZICO’s image of premium quality and healthiness.
VeeV
•ZICO’s engaged in co-branding by by mixing its beverage with VeeV (an acai spirit):
•VeeV with coconut water is mixed onsite and promoted at high end clubs in Los Angeles
•VeeV, like ZICO, is a premium product, that holds associations of quality and uniqueness
•This ingredient branding reinforces the premium image ZICO strives to uphold, and
increases brand awareness among its young adult demographic target market
Consumer Equity Ranking
STRENGTHS:
-Perceived as high quality and upper class by consumers
-Premium pricing sets it apart from its competitors
-Recognized as being created by very knowledgeable people
-Variety of flavors distinguishes it from competitors
WEAKNESSES:
-Low brand awareness amongst consumers unfamiliar with coconut water as an
industry
-A new brand within a relatively new industry leads to low brand recognition and recall
-Have not strongly differentiated themselves as a brand from other coconut waters
-Not a very strong following of consumers. Can easily be replaced by other coconut
waters if not available to the consumer
EQUITY RANKING: 4
-Zico is still a very new product trying to break through in a developing industry.
Coconut water in general is still new and is seen not as a daily drink but as something
trendy and as a specialty drink.