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Transcript of Crescent Pure
What's Going On?
Sarah Ryan, vice president of marketing for Portland Drake Beverages, is positioning the newly acquired beverage line, Crescent Pure, but must decide whether the drink should be positioned in the sport drink market or energy drink market.
Cons for Sports Drink
Pros for Energy Drink
Cons for Energy Drink
The sports drink market is 2.2 billion dollars less then energy markets
Crescent's $2.75 sports drink is significantly higher then competitors prices
Concerns for sugary sports drinks have caused government guidelines to remove numerous sports drinks in schools.
Crescent enhances mental focus and boosts energy, it is not viewed as a sports drink.
Pros of Sports Drinks
Consumers chose sports drinks more often.
The ingredients boost endurance and relieve fatigue.
Market is $6.3 Billion.
A high percentage of consumers considered sports drinks "anytime beverages."
A Study showed consumers favored Sports drinks over Energy Drinks for multiple factors.
News stories highlighting health risks.
Only 32% of consumers said they have drank an energy drink in last 6 months.
11% of people are drinking less energy drinks because of health risks.
Some younger consumers think it has less energy then they had hoped.
Some people question the ability to deliver quality organic ingredients at only $2.75
To strategically position Crescent Pure as an energy drink
To strategically position Crescent Pure as a sports drink
The PDB Company needs to
choose one of the following actions, in regards to its branding strategy:
The recommended plan of action for PDB is to market Crescent Pure as an energy drink.
Ability to boost energy and mental focus
Trending market growth
Does not contain artificial chemicals
Uses caffeine from natural products
Uses much less sugar
All natural flavors
Market grew 40% between 2010-2012
Sell it at a loser cost
Sarah Ryan, VP of marketing for PDB
Crescent Pure Acquisition
Need to position Crescent in the market
$750,000 for advertising
Desire to be first mover
Define: 10/1 Launch: 1/1
In the Beginning...
Peter Hooper, founder of Crescent
Organic Energy Drink
Started in Oregon
Michael Booth, CEO of PDB saw potential
Why Crescent Pure?
70% less sugar
Caffeine = 1 cup of coffee
Sold 1000 cases/month
$2.75 < $3.75
Energizing, hydrating, all-organic