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Ryan Deer
MKTG 450W, Marketing Strategy Product Launch
Fit Soda: “Active. Lively. Fizzy.”
Mission Statement:
As a consumer product and beverage, Fit looks to become the top soda in a new era of
lifestyles and health-conscious markets. Ever focused on the community, Fit looks to
grow and help others grow in a natural, nutritious, and of course a fit environment.
Idea:
Demonstrated by the product name and slogan, Fit is a soda focused on natural
ingredients, nutritional properties, and complimentary supplements that benefit the
human body. The product name, Fit, is meant to embody it’s healthy ingredients and
properties and also describes the goals and attitudes of those who drink it. The slogan
reinforces the brand using simple yet strong words and also declares that it is a
carbonated beverage.
The beverage itself has organic and natural properties that are enticing to the healthconscious individual. Fit’s list of ingredients are naturally occurring compounds that are
beneficial for the body. The soda will include soy protein. Protein promotes muscle
growth, workout recovery, and as a complete protein, can be more beneficial for one’s
general health (Willett, 2011)1. It was a conscious decision to use soy protein over other
dairy-based proteins for fear of losing the segment of the market afflicted by lactoseintolerance. It would also create a clash amongst the planned flavors. The average can of
a competitor’s soda contains 0.26 grams of protein.2 Fit plans to introduce its flagship
brand with ten grams per soda. According to research, an optimum level of protein for
muscle recovery is twenty grams (Willett, 2011). Fit wants to obtain the benefit of muscle
1 Willett, Brian. (2011). The best non dairy protein powder. Livestrong.com, Retrieved from
http://www.livestrong.com/article/487584-the-best-non-dairy-protein-powder/
2 (2012). Protein in sodas. FatSecret, Retrieved from http://www.fatsecret.com/calories-nutrition/food/soda/protein
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synthesis but does not want to risk the soda being too filling for consumers when
accompanying meals. Ten grams sets Fit Soda well apart from other sodas, yet doesn’t
compromise its drinkability. In addition to the soy protein, Fit will feature branch chain
amino acids (BCAAs). There are nine essential amino acids that the body cannot produce
and must be consumed through food or supplements. BCAAs have been shown to support
muscle recovery, increase metabolism, and reduce appetite. Consuming BCAAs on a
regular basis “can help provide your body with vital muscle building elements from a
high-quality source” (Bodybuilding.com, 2012).3 This component to Fit Soda builds its
report as a “healthy” soda.
Market:
Environment:
Soda and soft drinks are a mature and completely saturated market. It seems that every
soda that can be made, has been made. Lesser known sodas have featured everything
from rose pedals to natural honey while soda giants Coca-Cola and PepsiCo eat away at
each other’s market share. As of 2010, the top brands in the market were Coke (17%),
Diet Coke (9.9%), Pepsi-Cola (9.5%), and Mountain Dew (6.8%) (Huffington Post,
2012).4 In the United States, the demand for soda is immense. People buy soda when they
go out to dinner, at the supermarket, out of vending machines at work, and even pack it in
their children’s lunches.
Trends:
An important trend over the past five years has been the shrinking market share of top
brands in favor of options with less calories. The biggest gains amongst the top ten
carbonated soft drinks came from the likes of Diet Mountain Dew, Diet Dr. Pepper, and
3 (2012). Back your muscle with bcaas. Bodybuilding.com, Retrieved from http://www.bodybuilding.com/store/bcaa.html
4 Top 10 soda brands by market share. (2012, FEBRUARY 23). Huffington Post, Retrieved from
http://www.huffingtonpost.com/huff-wires/20120223/us-pepsi-next-cola-wars-glance/
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Coke Zero. Americans are becoming more health conscious and want their products to
reflect their lifestyles. According to Editor of Beverage-Digest John Sicher, “more and
more Americans became concerned about calories” leading to unprecedented growth of
the bottled water industry and diet sodas staying afloat. If indeed the market is looking
for something fresh, healthy, and revitalizing like sports drinks, ready-to-drink teas, and
energy drinks, Fit Soda will have a home in an exciting new category of its own…the
healthy choice of soda. I believe that with the changing consumer demands and concerns,
tomorrow’s market will see switching from the classic cola’s to a soda that represents
fitness, wellness, and nutrition.
Competition:
As the market has evolved and consumer tastes have changed, companies have been
changing their offering to meet their emerging needs. This has spawned Fit Soda’s direct
competitors. Although Fit is considered innovative and generally a first-mover in a
fitness/healthy soda offering, certain competing brands offer traits that are similar in
purpose. Coca-Cola’s Diet Coke Plus, PepsiCo’s Tava, as well as non-carbonated
competitors Vitamin Water and Muscle Milk pose the greatest threat to Fit Soda’s
emergence and success. Both Diet Coke Plus and Tava are vitamin-enriched drinks
designed to support hurting sales of top brands due to the public’s lamenting over the
obesity epidemic. These two products are designed as more of a healthy-looking product
than an actually nutritious and beneficial beverage. Either the vitamins provided are nonessential or the drink contains such trace amounts of the properties that it has no bodily
effect (Zelman, 2008).5
5 Zelman, K. (2008). Can soft drinks be healthy. WebMD, Retrieved from http://www.webmd.com/diet/features/can-soft-drinks-behealthy
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As a fitness and health related beverage, Fit Soda gains competitors from the sports drink
and water markets. The top competitors for Fit from un-carbonated markets are Vitamin
Water and Muscle Milk. Vitamin Water, water enriched with nutrients and electrolytes,
also has appeal because it looks healthy. In all reality, Vitamin Water contains roughly
the same sugar content as an average can of soda. Muscle Milk fulfills a different
consumer purpose. Sold as a sports nutrition beverage focusing on post-workout recovery
and athletic training, Fit could see competition from Muscle Milk due to the protein
component available in both.
Segmentation:
Essential to Fit’s segmentation is that its consumers are those that value the virtues of
being physically fit. Physical fitness and overall wellness is a trend generally seen among
both genders. However, different ages often have very different motivations and interests
in staying healthy and active. Those who are physically fit and eat well-nourished diets
are usually those who have the means to provide such lifestyles. Thus, affluence plays a
role in both the targeting and pricing for Fit Soda. Fit, a quality and wholesome beverage
must choose a segment and distributing area that reflect its image of exclusivity while
still being readily available.
Targeting:
Fit Soda will attack a very specific market involving demographic, psychographic,
behavioral, and geographic variables. Fit will cater to both men and women of a young
segment. Ages 16-30 will be targeted for their commitment to fitness, athletic
involvement, and eagerness to adopt new products. As a product with top ingredients and
superior value, price will be reflective. Therefore, Fit will target upper-middle class youth
and those active young couples with discretionary income. The consumers of Fit will all
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share the same personal behavioral trait…they wish to be physically fit and healthy.
Athletes, health nuts, and body-conscious individuals will want to pay more for a can of
soda knowing that it satisfies their bodily thirst and quenches their inner thirst for fitness.
The fitness craze is coast to coast, thus a rolling distribution strategy starting from the
east coast should be implemented.
Positioning:
Fit looks to serve its largest and most loyal target in the very best way as well as manage
how Fit Sodas brand is viewed. Adopting a needs-based positioning view, the young and
active clientele are a great fit for Fit. Fit provides energy and growth while its consumers
return the same benefits. Fit is responsible for consumers who seek a healthy, active
beverage that gives them the nutritional properties to fuel their lifestyle choices.
Strategy:
Arenas:
As mentioned in targeting, Fit will enter into a market with discretionary income to
maintain its image of value and quality. Having an upscale price, Fit Soda will look to
make distributing deals with specialty supermarkets like Whole Foods and Trader Joes as
well as being available in gyms and fitness centers nationwide. This upholds the image of
health and fitness for less press sensitive consumers.
Vehicles:
The distribution of Fit Soda to local specialty grocers and gyms allows the Fit
manufacturers, research and development, and top management to turn out product
uninhibited by distribution woes. Fit is able to delegate a large responsibility while still
maintaining structural control.
Differentiators:
Increasingly becoming more and more popular in health circles is the inclusion of antioxidants and essential vitamins into one’s diet. Fit Soda will be fortified with Vitamin E,
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Vitamin C, and Vitamin A, all of which contribute to body tissue strengthening, muscle
growth, and even proper immune system function (Bennett, 2010).6 At product launch,
Fit will have grapefruit juice and flavoring. Not only does it avoid mainstream flavoring
options, grape fruit’s ruby red juice boasts the antioxidant lycopene, believed to lesser the
risk of developing some cancers. Research on grapefruits has revealed that the tropical
fruit can lower cholesterol and a loose correlation exists between consumption of grape
fruit and anti-aging/prolonged lifespan (Pittman & Davis, 2012).7
A strong differentiator, Fit Soda will refrain from using high fructose corn syrup and all
sugar entirely. Fit will instead use Stevia Root Extract; a substance naturally found that is
sweeter than sugar. Using no sugar puts Fit Soda in ahead of the community’s fears of the
high sugar and calorie intake and subsequent risk of diabetes discussion normally
associated with most soda. Tying all aspects of this healthy concoction will be the aspect
that makes soda soda, carbonation. Fit will be lightly carbonated and not overpowering to
ensure drinkability for all times of the day and all occasions. I believe the largest
differentiator is the fact that there are no truly healthy carbonated fitness drinks. The
benefit of the Fit Soda is unrivaled by anything with fizz. Genuine healthiness brings
something to market that other competitors have yet to offer.
Staging/Pacing:
Fit plans to launch with one flavor, grapefruit, in order to gain market share with a
common product. After the rollout reaches national levels and Fit Soda gains acceptance
amongst its target segment and distributors, Fit Soda will release a second nutrient-rich
flavor; Peach.
6 Bennett, A. (2010). The best workout vitamins. Livestrong.com, Retrieved from http://www.livestrong.com/article/118447-workoutvitamins/
7 Pittman & Davis. (2012). Texas grapefruit for your health. Pittman & Davis, Retrieved from
http://www.pittmandavis.com/articles/citrus/grapefruit/texas-grapefruit/texas-grapefruit-for-your-health.html
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Economic Logic:
Previously mentioned in segmentation and targeting, Fit Soda will be a premium product.
Designed to offset ingredient costs and convey a sense of product quality, this
distinguishable tradeoff could lead to windfall profits.
Fit and Sustainability:
It is important to recognize that every soda that gains popularity gets made and then
remade, copied and nearly exhausted. Fit Soda is the first fitness soda but measures must
be taken to ensure its continued dominance in that sector. Fit Soda has made itself
sustainable into the future by 1) Being incredibly unique with differentiable ingredients,
2) Staying consistent with the brand image and mission. 3) Considerable tradeoffs (price,
quality, only natural ingredients, fit consumers).
Fit Soda will make a commitment to “stay true” to the brand and reinforce its values
through all activities. One such venture that will differentiate, sustain, and create thirdorder fit in business is also a direct network effect designed to build the Fit Soda
community.
Network Effects:
A QR code will be printed on every can that Fit Soda sells that directs consumers to the
Fit Website. The code, scanned from a smartphone or tablet brings up input from others
on healthy food pairings, sharing of active lifestyles, and when they choose drink Fit.
The option to share your Fit experiences creates utility through a growing community of
loyal followers, tying in brand engagement. This leaves the door wide open for Fit Soda
for present profit and future success. Launching a new beverage has inherent risks, but Fit
Soda’s uniqueness, brand mentality, and superior quality anchor a marketing strategy
designed to ensure long-term fit and sustainability within the consumer market.