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
Public Relations
● Community
Sales Promotion
● 2 for 1 deal
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 http://www.bevindustry.com/articles/85656-2012-state-of-the-industry-sports-drinks
Berry, D. (2013, August 27). Sports drink evolution. Retrieved from
http://www.foodbusinessnews.net/articles/news_home/Consumer_Trends/2013/08/Sports_drink_evolution.aspx?ID=%7B6AA703FC-F917-444F-9581-C48A48C2E3DD%7D&cck=1
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
http://www.businessinsider.com/the-marketing-strategy-this-energy-drink-used-to-take-on-red-bull-and-become-a-billion-dollar-brand-2012-2
Datamonitor. 2008a. Functional drinks in the United States. Available from: http://www.datamonitor.com . Retrieved December 5, 2014.
Energy Drink. (2014) Red Bull energy drinks . Retrieved October 14, 2014, from http://energydrink-us.redbull.com/
Energy Drink Sales Will Skyrocket to $21 Billion by 2017. (2013, February 4). Food Product Design. Retrieved October 15, 2014, from
http://www.foodproductdesign.com/news/2013/02/energy-drink-sales-will-skyrocket-to-21-billion-b.aspx
Gatorade 02 Perform. (2013, January 1). Retrieved December 6, 2014, from https://www.sportshealth.com/gatorade-02-perform
Gatorade | Sweat It To Get It: Slap ft. Cam Newton. (n.d.). Retrieved December 15, 2014, from https://www.youtube.com/watch?v=vIZ7tP7C1FU
Lukovitz, K. (2013, July 13). Report: Sports Drinks' Growth To Slow Somewhat. Retrieved December 3, 2014, from http://www.mediapost.com/publications/article/205453/reportsports-drinks-growth-to-slow-somewhat.html
Redbull. (n.d.). Retrieved December 6, 2014, from http://flybyknight.co.in/wp/shop/beverages/redbull
Packaged Facts.(2014). Energy drinks and shots: U.S. market trends. Retrieved October 18, 2014 from http://www.packagedfacts.com/Energy-Drinks-Shots-7124908
What's Inside: Red Bull Energy Drinks-WIRED. (n.d.). Retrieved December 15, 2014, from https://www.youtube.com/watch?v=hIMR5HFs21U