... ii. Part B: 9 iii. Part B: 10 8. Question 8: 10 9. Bonus Question 10 10. References: 11 MBA Marketing Exam Take-Home Exam Feel free to use lecture notes, the text book, and any other source. I am looking for your line of reasoning and applications rather than listing of what is already found in the book or slides. Question 1: Do you think this company is following the differentiation or cost leadership strategy? Why? Which growth strategy (market development, product development, diversification and market penetration) did they follow to improve their product portfolio sales? Reviewing Dr. Pepper Snapple Group Inc. case and assessing the situation to dr. Michael Porter generic strategies of achieving and maintaining competitive advantage, we may see that the company mostly was following the differentiation strategy as it is offering differentiated products from its competitors in many terms including the packing and pricing [pic] As for part two ,and regarding the Ansoff's product/market Expansion Grid [pic] Some may be puzzled and think that the company was applying a Diversification strategy as it was introducing new branded product(Venom ) into a new beverage market to the company (Energy beverage market), but that's flawed as the company did not leave its current product lines(beverages) to new...
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...5. Consumer Analysis 20 Nature of the buying decision Participants Demographics Psychographics 6. Mission Statement and Vision Statement 22 7. Objectives 22 8. Marketing Strategy – Market Segmentation, Target Market, Market Positioning 23 8.1. Market Segmentation Bases 8.2. Target Market 8.3. Market Positioning Positioning Statement Positioning Strategy Slogan 9. Marketing Strategy – Product 30 9.1. Levels of Product Core Benefit Actual Product Augmented Product 9.2. Product Life Cycle Stage 9.3. Product Attributes 9.4. Brand Name, Brand Image, Brand Equity 9.5. Packaging and Labeling 9.6. Product Support Services 9.7. BCG Analysis 10. Marketing Strategy – Price 38 • 10.1. Pricing Objectives • 10.2. Pricing Method • 10.3. Pricing strategy 11. Marketing Strategy – Distribution (Place) 39 11.1. Geographical Coverage 11.2. Distribution channels 12. Marketing Strategy – Promotion 39 12.1. Promotional Goals 12.2. Advertising 12.3. Sales force requirements, techniques, and management 12.4. Sales Promotion 12.5. Publicity / Public Relations 12.6. Direct Marketing 13. Budget 45 Letter of Acknowledgement The report is a result of our comprehensive and hard work; all of the group members have...
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...Project Proposal Prepared for: International Marketing ENERGY DRINK ENERGY DRINK Prepared by: Rajarjun Reddy Gummi DATE \@ "d MMMM y" 10 June 2015 Student ID: S00900869 EXECUTIVE SUMMARY Objective To launch the newly introduced energy drink into the massive market of United Kingdom. Goals To capture maximum market share in the energy drink category in the least given time and earn customer loyalty with a repetitive positive brand re-call value. Solution Launch the product nation wide with a huge marketing strategy but at the same time keeping the values of budget and establishing a brand re-call value. Project Outline The following document has been prepared for the International Marketing course. It focuses on introducing a new product into the market of the United Kingdom. The product is the GRAVITY energy drink. This drink directly competes with RedBull and Lucozade. In the very beginning, I have mentioned both the vision and the mission statement. The product will be introduced into the market soon and the marketing strategies have been prepared for it to penetrate into this massively established market with established players. The document isGRAVITY ENERGY DRINK GRAVITY ENERGY DRINK divided into various parts as it explains about the product and the market respective to the present scenario. It focuses on the marketing mix, the strengths and the weakness, the entry mode, the distribution channel, marketing strategy, product positioning, positioning strategy...
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...the rival drink Red Bull in France, Zip-6 has decided to look into its potential prospects in France. Entering into the French energy drink market could be beneficial not only for Zip-6 but also for a country that is becoming increasingly concerned with the ingredients in energy drinks. In order to make an informed decision concerning the possible entrance into the French energy drink market Zip-6 needs to know what kind of competition currently exists, what the trade limitations might pose a problem, and what entry strategy would be best suited for the situation. One of the biggest influences for the company to enter into a country would be the competition currently on the market in the host country. “The degree of rivalry in the French market is affected by the continuing concentration of market share by two or three players, market rivalry is therefore currently classified as moderate.” [ (MarketlLine Industry Profile Carbonated Soft Drinks in France, 2012) ] The two or three aforementioned companies that have a hold in the French market would be Coca-Cola, Nestle SA, PepsiCo, Inc., and Suntory Group. Coca-Cola is the only one that has a corner in the energy drink market with several already in production, while the others do not distribute an energy drink to speak of in France. France’s beverage market can be “difficult for a new entrant to compete with the brand strength and reach of existing players.” [ (MarketlLine Industry Profile Carbonated Soft Drinks in France...
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...Throughout the years, energy drinks have been perceived as an attractive beverage and as of recently, has insinuated into the lives of a range of demographic groups including youth, ethnic groups and athletes. “Energy Drinks” manufacturers entered the beverage market utilizing an advertising route, dignifying the various inimitable elements featuring health claims linking their ability to restore energy and alertness . The lack of regulatory oversight has caused a marketing blitz of this popular beverage and has drawn concern from health activists and has caused regulators, specifically Health Canada to regulate caffeine content in such beverages stringently. In a recent study, it was found in a study at a university, 39 percent of students had consumed at least one energy drink in the past month, with considerably higher rates for men . While health officials have attempted to publicize the detrimental effects in the consumption of these beverages, manufacturers have contended there is a lack of empirical proof that the caffeine content in their drinks is harmful. This paper will spotlight the need for regulation on the caffeine content of these beverages based on the concepts of risk assessment and risk management. Furthermore, the need for an ex ante and post strategy from a risk assessment standpoint will be proposed in order for regulators to proactively standardize the acceptable range of caffeine concentrations of energy drinks and to effectively redress harm in the context...
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...SAMARAHAN CAMPUS MKT750 MARKETING MANAGEMENT CASE STUDY DR PEPPER SNAPPLE GROUP, INC. ENERGY BEVERAGE PREPARED BY: RAMSIS ANAK WILLIAM AGIM 2012402536 Strategic Issues and Problems Being the consultant of Dr Pepper Snapple Group, Inc. (DPSG), I am charged to assess whether or not a profitable market opportunity existed for a new energy beverage brand to be produced, marketed, and distributed by the company. The decision to explore a new energy beverage was made by senior company management of DPSG as part of a corporate business strategy to focus on opportunities in (1) High Growth and (2) High Margin beverage businesses. My tasks involve a number of important factors. I must assess the likelihood that DPSG Competitive environment will be liberal or conservative in its marketing of the new energy beverage. An important consideration is DPSG role in affecting this environment, given its strong presence in the CSD market and utilizing that strength to push the new energy beverage. Ultimately I must make a “go-no go” decision. A “go” decision requires a recommendation in the form of the new energy beverage, its target market, its price, and promotion. A “no go” decision must take into consideration Dr Pepper’s profit and growth position without the new energy beverage and measures to minimize their impact. The problem facing Dr Pepper’s is how to retain its present competitive position given an environmental threat (other energy beverage) while at the...
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...XS Energy Marketing Plan Erin Moller Bryant Johnson Sam Kunjummen Megan Victorson Bryant Johnson Erin Moller Sam Kunjummen Megan Victorson University of Minnesota-Duluth . . . . . . . . . TABLE OF CONTENTS Executive Business Summary 1 Mission Statement History of XS Energy Growth of the Business Market Potential PRODUCTS 2 13 Flavors of XS Energy Drinks Situational Analysis 3 Internal Strengths and Weaknesses External Opportunities and Threats MARKET ANALYSIS 4 Target Market Identification Market Demographics Product Market Grid MARKETING STRATEGIES 5 Product Strategy Price Strategy Promotion Strategy Distribution Strategy FINANCIAL SUMMARY 6 Cost Structure Life Cycle Analysis Break-Even Analysis IMPLEMENTATION PLAN 7 APPENDIX A Competitor Analysis APPENDIX B Survey Results Executive Business Summary 1 Mission Statement The mission of XS Energy is to market an alternative to high sugar energy drinks. Rather than getting energy from sugar and carbohydrates, it’s packed with B-vitamins and amino acids that are healthier and still give you the boost you need. Currently XS Energy drinks are sold independently in cases, but the objective to our marketing plan is to reach a younger demographic by supplying to college campuses and offices, while still maintaining our private status. ] History of XS Energy In 2001, XS Energy Drink was launched into the U.S...
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...101 Monster Energy company has brought a new product to the market, called “Monster Dragonfruit-Pomegranate”, specially designed for the teens and young adults who are especially vulnerable to insufficient energy and persistent exhaustion as well as for those extreme sports enthusiasts, hip-hop group and gamers. In the following paragraphs, we will look into how Monster Energy is planning to integrate and coordinate its promotional mix tools for maximum overall impact to win its market share. The Integrated Marketing Communication (IMC) campaign for Monster Dragonfruit-Pomegranate is “Drink and Go” The overall message of the campaign is that there are so many things around us that are amazing and inspiring which can make us feel our life offers limitless opportunities and willingness to give an attempt to achieve dreams. However all these are ignored due to tiredness we feel which are caused because of our super-charged lifestyle. Hence the campaign message is telling us to feel excited, interested and energized once again by drinking Monster Dragonfruit-Pomegranate, which will give the consumer the energy he needs to continuously work on his ambition. Monster Energy Company is going to integrate and coordinate its promotional mix tools of advertising, public relations, personal selling and consumer sales promotion by combining these elements with place, price, and product to position the firm’s offering in peoples’ minds. By doing this, Monster Energy will successfully...
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...LTD). The energy drink market had been growing exponentially; but in the recent years growth has been decreasing. How can energy drinks cope with a dwindling market place? Along with dwindling growth, competitors Red Bull and Rockstar have to deal with smaller startup companies trying to steal market share. This report will analyze market share reports from Snapshots International LTD, as well as many other sources. One company that wasn’t even on the top 5 list in 2005, Monster, is now the second biggest competitor in the market place in 2009. Is there a correlation between energy drinks that sponsor sports events or more of a correlation to sponsored athletes? This report will also examine Price, Place, Product and Promotion that Red Bull and Rockstar use. There is a 50/50 split with energy drinkers and non drinkers alike, how can energy drinks expand their sales outside of the energy drink market. This report will also analyze results from Google trends which shows a graphical analysis of search hits. Along with secondary research, this report also includes a primary research section. Included in this section is a survey posted to Survey Monkey.com. With 100 respondents this survey finds out the primary concerns and preferences of energy drink consumers and non-drinkers as well. Broken down within this section are results from Red Bull drinkers, Rockstar drinkers, non-drinkers, as well as those who drink energy drinks only 1-2 times per week and those who drink energy drinks...
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...Marketing Plan STUDENTS MKT 421 University of Phoenix DATE Professor Pepsi B Energy Marketing Plan: Phase One Pepsi is performing a marketing control of their recent release of the Pepsi Diet Slim can, evaluating the successes and the failures of product. Based on the market successes of the Pepsi Diet Slim can, Pepsi is planning to develop a sugarcane-based Pepsi energy drink consisting of vitamin B12 and other B vitamins. This new product is packaged in a format similar to the Pepsi Diet Slim to offer a new look to Pepsi’s soda cans and to compete with the irregular shapes of existing energy drinks. Pepsi B Energy is to cater to customers who want to drink a healthier Pepsi. Pepsi B Energy’s Marketing Plan Phase One is designed to develop the basics of a marketing strategy for Pepsi B Energy. Pepsi B Energy’s Marketing Plan Phase One provides an overview of PepsiCo, a brief description of the product, the importance of marketing for PepsiCo, a SWOTT chart for Pepsi B Energy, and the preferred marketing research approach for Pepsi B Energy. PepsiCo Pepsi was founded in 1898 by a druggist from North Carolina named Caleb Bradham. Through a series of acquisitions and other business dealings, Pepsi became PepsiCo. PepsiCo currently produces a variety of beverages, many in partnership with other companies. PepsiCo sell soft drinks, juice drinks, sport drinks, bottled and enhanced waters. Recently...
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...Red Bull is an Austria-based company started in 1987 by Dietrich Mateschitz that sells one product: an energy drink containing taurine (an amino acid) that’s sold in a slim, silver-colored 8.3-ounce can. The drink has been an enormous hit with the company’s target youth segment around the globe. For the year 2001, Red Bull boasted sales of $51 million in the United States alone and captured 70% of the energy-drink market worldwide. From Stanford University in California to the beaches of Australia and Thailand, Red Bull has managed to maintain its hip, cool image, with virtually no mass-market advertising. However, today, due to certain health issues and the growth in competitors in the market, several doubts and issues have come across for Red Bull such as Whether Red Bull is able to maintain its lead and its point of differences or the brand may simply lost its edge and become “slate”, Whether the concern of health and bloggers might have a huge negative impact on Red Bull, Whether Red Bull’s target audience move on as it ages is an issue due to its limited product line, and so on. The matter of maintain a company lead in the market is always present as same as for its point of differences in products. In the case of Red Bull, according to recent records of energy drinks product companies in 2015, Red Bull owned 60% to 70% market shares which means globally Red Bull is one of top brands, establishing over 167 countries with approximately 5 million cans selling per year in...
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...| Product Analysis: Monster Energy Drink | Bill ClymerWednesday August 14, 2013Written by: Maira Khalid | PART A Situation Analysis Monster Beverage Corporation The Hansen Beverage company (recently changing their name to Monster Beverage Corporation on January 5th of 2012), was a family owned and operated company in the 1930’s, selling freshly squeezed juices to local film studios. In the 1970’s, one of the Hansen brothers decided to transition their beverage business into marketing ‘natural sodas’. This was the upturn of the company that led them to where they are today. Today, Monster Beverage Corp. has transformed into the largest energy drink company in Canada with sales of more than $ 2.1 billion in 2012. Monster beverages have always been, and still claim to be free of preservatives, caffeine, sodium, artificial flavours and colours. Although many people believe that all energy drinks contain high levels of caffeine and are not healthy, the company’s mission statement which has not changed since Jan 5th, 2012 when the company changed its name, states otherwise. The Mission Statement The mission of Monster Beverage Corp. is to satisfy consumers' needs for superior quality and great tasting, healthy, natural and functional beverages. Our beverages will be positioned as an upscale brand and will often be marketed at a premium to competitive mainstream products. This mission statement provides Monster Beverage Corp. with the information needed for...
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...market leader in the energy drink segment with presence in over 130 countries and an employee base of over 3,900 worldwide. It recorded a turnover of $2.6 billion in 2006 with a whopping 300% increase in global sales as compared to the year 2000. Starting with its first international foray in the neighbouring Hungary in 1993, it has since then entered and established a foothold in various key markets like United States, Germany and United Kingdom. Through its well developed network of local subsidiaries in these and other key markets, it manages to make its products available in more than 100 countries. The brand Red Bull has a reputation of unconventional marketing strategies, first mover in the energy drinks market and a strong player in the overall functional drinks market. This report is based on Red Bull GmbH’s international development and is divided into four distinct sections. Firstly, the key strategic challenges that it faces internationally in the functional drinks sector would be identified and evaluated. Secondly, the existing product mix of Red Bull and any suitable changes to the same will be analysed and discussed. Third section of the report will talk about Red Bull’s existing market entry mode into non-domestic markets and relevant alternative strategies. The final section will cover the company’s existing approach to product promotion/advertising and distribution and if they can act as a source of competitive advantage in the future. The report will be concluded...
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...Practice Case 1: Dr Pepper Snapple Group, Inc: Energy Beverages 1. How would you characterise the energy beverage category, competitors, consumers, channels, and DPSG’s category participation in late 2007? Energy Beverage Category: Energy drinks provide consumers with a boost of energy and they fall under the category of functional drinks. Functional drinks are non-alcoholic drinks which include ingredients such as herbs, vitamins, minerals, amino acids or other nutritional ingredients. Other functional drinks include sport drinks, teas, fruit drinks and enhanced water drink. DPSG participation → In the US and Canada, Dr Pepper Snapple Group participated primarily in the flavoured carbonated soft drink (CSD) market segment Competitor: The largest non-alcoholic beverage category, after carbonated soft drinks, sport drinks, and bottled water, but the fastest growing one. DPSG participation → their major competitors include Red Bull, Monster Energy, and Coca Cola. Consumers: Average US per capita consumption of energy beverage drinkers increased by 14% since 2004. Predominantly consumed by males aged between 12- 34 during the afternoon or morning. The reasons for consumption include energy boost, mental alertness and taste. Most limit their options to 1.4 different brands which sheds light on strong brand loyalty. DPSG participation → DPSG have an attractive positioning within a large, growing, and profitable market. Channels: Distribution channels include convenience...
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...Executive Summary The following report supports our thoughts and goals regarding the market development of Nestlé’s Milo. Overseas, Milo has realized success in the marketplace for over half a century. Through our research and findings, we have determined Milo to be a potentially effective product in the United States. Recent global focus on individual health, specifically among children in schools, calls for a drink that provides all of the necessary nutrients for the active youth. As part of a well established global company such as Nestlé, the building blocks are in place for the growth and popularity for Milo. Our report centers mostly on the importance of promotion and place for the success of our firm and our product. In an attempt to create and strengthen the positioning of Milo in the United States, these two areas of the marketing mix will be essential aspects to the growth of Milo. Although the marketplace is currently consumed by well-founded companies such as Pediasure and Ovaltine, we are optimistic that Milo will have an immediate impact on consumers. Through “buzz” advertising and efficient distribution, Milo will continue the tradition of brand equity maintained at Nestlé. Although the economy in the United States is currently subpar, we believe this is a perfect time to introduce our product to a new marketplace. Many young individuals are in desperate need for a healthy alternative to the high-calorie, ultra-sugary beverages that have come to dominate...
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