Niko Vergis

Executive Summary

Main Goals

- Gatorade v. Competitor

- Marketing Strategies for Men and Women

- G-Series knowledge

- Success of a low-calorie/sugar free product

Executive Summary

What We Found

- Gatorade preferred over competitors

- General knowledge about the G-Series line (no specifics)

- Sugar free/low-calorie product would be successful for

women.

Introduction/Background

- Owned by PepsiCo

- Distributed in +80 countries

- 1965: First developed by researchers at U of Florida to

replenish fatigue during Gator football games.

- Leading in the sports drink industry

- Wide product line

Situation Analysis

Strengths

- Brand Recognition

- Innovation with the sports drink industry (uniqueness)

- Market leader

- Science to back up their product

- Official Sports drink for most sports

Weaknesses

- Wide product selection (no focus)

- They have products that they do not market well. Going onto the website I never even heard of G Natural which is their natural Gatorade only using natural ingredients.

- Priced relatively high compared to other sports drinks

- Poor exposure and sales abroad

- Their new three part G series seems to be lost (they have both a G series regular, fit, and pro.) With three types of options that do relatively the same thing it confuses customers on which one they should purchase.

Situation Analysis

Opportunities

- Market/ exposure abroad

- Addition to the sports they are already involved in, possibilities in UFC and MMA endorsements since it is a growing sport

- Possible Gatorade energy drink

- Work with local high school and college programs to help promote healthy physical activity since Gatorade attracts a young demographic

- Product and service expansion

Threats

- Healthier Sports Drinks

- All Sport

- Powerade (Top competition)

- Vitamin water

- SoBe Lifewater

- Propel

- All Sport

Situation Analysis

Quaker Oats bought Gatorade from Stokely for $220 million

dollars.

In 2004, sales linked to Gatorade were 1.22 billion dollars,

estimated at 75% of the market share among sports drinks.

Gatorade’s marketing and advertising expense declined over 40% in

2005-2009.

The launch of “G” caused a 6.5% increase in 2010, which was an

improvement from the 13% decline the previous year.

Current brand-marketing strategies used are professional athletes as

brand ambassadors or opinion leaders and a wide product line.

Situation Analysis

Competition

- Average Powerade prices declined nearly 2.5% over the last

12 months, while average Gatorade prices only declined 1%.

- In 2007 Coca-Cola bought Glaceau for 4.1 billion, which

included Vitamin Water (etc.)

- After Coca-Cola’s buyout the company’s U.S. volume grew

133% in 2007 and the enhanced flavored water segment

made up of 34% of the company.

Focus Group Results

Physical activity

Classic look

Too much sugar, Protein drinks preffered

Confusion with the G-Series

Brand consistency

Competitors upper-hand

Primary Research Information

Quantitative : Non-probability: Online Survey

Qualitative : Classroom Focus Group

Convenience Sampling

- Time limit, money constraints, focused on students,

convenience factor

Primary Research Information

Objectives

- Determine most helpful ways to gain women’s interest in Gatorade

- Determine if separate marketing strategies are necessary for men

and women

- Determine percentage of our target that switched to a competitor

- Determine percentage of our target population that would purchase

a new sugar-free Gatorade

- Determine the issues our target population had with the G-series

Characteristics of the Final

Sample

Characteristics of the Final

Sample

Characteristics of the Final

Sample

Characteristics of the Final

Sample

Characteristics of the Final

Sample

Summary of Research Findings

This chart shows that cutting down on sugar would help

make Gatorade an overall better product.

Summary of Research Findings This chart shows that calories and nutritional value were the two most important reasons why women might not want to consume Gatorade products.

Summary of Research Findings This chart shows that the three reasons why our target population would choose a competitor brand over Gatorade were flavors, convenience, and nutritional facts.

Summary of Research Findings This chart shows that these three reasons would all factor into their

decision into purchasing another sports drink brand.

Summary of Research Findings This chart shows that the majority of the target population would try a sugar free Gatorade.

Summary of Research Findings

The chart above shows that the majority of the targeted

population is aware of the Gatorade G-Series.

Summary of Research Findings

The chart above shows that most people knew the exact number of the three-part hydration system or they had no idea what the number was.

Summary of Research Findings The chart above shows that the majority of the people surveyed do not know anything about the Gatorade G-series and some people were somewhat knowledge about the product.

Summary of Research Findings This chart shows that most people would maybe use the Gatorade G-series.

Recommendations

More research is recommended in order to determine if the

following would help the Gatorade brand.

Separate marketing strategies

Create a larger demographic (focus on women)

Create new sugar-free/low-calorie drink

New advertisement and marketing campaign