Essay on Crescent Pure

Words: 1613
Pages: 7

Blue - People
Purple - Notes
Green - PDB
Red - Competitors
Orange - Decisions

Sarah Ryan - Vice President of Marketing, Portland Drake Beverages (PDB). PDB - Manufacturer of organic juices and sparkling waters.

Positioning: After segmenting and targeting. Where in customers’ minds the product occupies relative to competing products.

Crescent: Non-alcoholic functional beverage, impending launch in three U.S. markets. Acquired in July 2013. Energy-enhancing, hydrating, all-organic ingredients.

Energy drinks vs. Sports drink(hydrating)

PDB’s competitors: Planned to launch all-natural versions of own sports/energy drinks in second half of 2015.

PDB: Due to production capacity constraints, national launch only in early 2015. Soft

15 split
2 firms holding 73, 21%
6 split.
Opportunity
Rising demand for healthier choice
Growth areas.
Threats
Energy drinks slumping due to health concerns.
Childhood obesity. Removal from vending machine.
Market size
Projected 13.5b in 2018
Projected 9.58b by 2017

Energy Drinks (%)
Sports Drinks (%)
Refreshing
12
34
Healthy
6
16
Affordable
5
11
Functional
22
28
Too sweet
9
8
Suitable for Teens
7
22
Fun
9
11
Natural
4
6
Hydrating
11
49
None of these
52
27

Retailer feedback:
Inventory depleted quickly, raised price by 25%, still sold out before replenished.
Most popular between customers 18-30yrs.
Higher percentage of women purchased than expected.
Younger men often buy 6 or more at a time.

Focus Group:
Three segments; (1) Women 25-33yrs (2) Men 18-24yrs (3) Men 25-35yrs, consisting of 8 participants who had never heard of, or tasted, Crescent.
Taste: Appeals to most. Nobody disliked it.
Energy content: Half were initially concerned. Once learning more, only 25% concerned. Older consumers were happy with healthy alternative. Younger said had less than they hoped.
Customer profile: Exactly what they wanted; healthy, good taste, slight pick-me-up. Focus on health and wellness. Transcended demographics.
Price: Expected price to be above $3.00 due to USP. Questioned quality at low price.

Anchit’s Part:

Positioning: (Anchit, Rin)
Decide how to position (sports drink with additional health benefits)
1. Why going into sports market is