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Global Marketing

Jade Brown

on 11 March 2013

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Transcript of VitaminWater

OVERVIEW Situational Analysis
Product Description
SWOT Analysis
Competitive Analysis
Target Market Profile
Strategies History of Russia Overview of Russia Business in Russia Don't need to know each other for long VitaminWater in Russia By Jade Brown & Amanda Laubeustein VitaminWater
History Glaceau was founded in 1996, by J. Darius Bikoff VitaminWater was introduced in 2000 The combination of the flavor and nourishment inspired Bikoff to develop VitaminWater An 8-oz. serving of VitaminWater
contains 50 calories including
13 grams sugar The type and amount of extra vitamins and minerals depend on
the particular flavor There are 15 flavors of VitaminWater VitaminWater Formula Cost & Availability The average cost of a bottle of VitaminWater is $2.49. A 24 pack wholesales for 25.99 Distributed in supermarkets, gas stations, cafeterias, vending machines, gyms and sporting goods stores. SWOT Analysis STRENGTHS

• Fastest growing bottled water brand in the industry

• Online presence is very strong and reflects the same brand outlook

• 15 functional varieties with unique combination of nutrients

• VitaminWater’s candy colored design stands out among other flavored waters creating a striking impactful design used across its advertising and marketing materials WEAKNESS

• VitaminWater is heavily criticized for being unhealthy and deceiving to its healthy brand image

• The fastest growth area in 2011 in Russia was 100% juice products which threatens VitaminWater because the product contains no real fruit juice

• VitaminWater lacks the foresight to advertise to a large over 50 demographic

• An 8-ounce serving contains no more than 66 calories the actual serving size is 2.5, leading a total OF 165 calories OPPORTUNITY

• Russia is a city that is known for their business center and pull for foreign investment

• Competition in the flavored water market is very low

• Sponsorship of a popular hockey/soccer player in Russia

• Create a partnership with ELBRUS Mineral Waters Ltd, one of the leading bottled water companies in Russia.

• Bottled water has opportunity for growth in Russia due to disposable income and poor quality of tap water THREATS

• Russians have a win-lose mentality when it comes to doing business deals

• Strained relationship between Russia and America

• Russians live a very unhealthy lifestyle which might lead them to not gravitate towards a health minded product.

• Russia is the only major international economy that is not a member of the World Trade Organization Target Market Founded in 12th century Became a communist country in 1917 Federation government after 1991 Twice the size of United States &142 million Capital is Moscow & in Western Russia a market based and globally integrated economy one U.S dollar equals about 30 rubles. Russian land is covered by plains and frozen tundra Make appointment far in advance & Be on time first meeting is to define if your company is credible & if the two parties can conduct business. Meetings and negotiations are going to be going slow respect age, rank, and positions win-lose situation Competitive Analysis Lipton Red Bull Evian Perrier $5.99 20 bags Blend selected from from countries like India, Sri Lanka, Kenya, and China. Lipton Yellow Label is blended from as many as 20 different teas Lipton Yellow Label, Lipton Iced Tea $2.50 12 Oz Contains caffeine, taurine, glucuronolactone, B-group vitamins, sucrose, and glucose. Red Bull Regular
Red Bull Sugar Free
Red Bull Zero Calories
Red Bull Editions Mineral water that comes from southern shore of Lake Geneva $1.59 1.5 lt
Mineral water that comes from a spring in Vergeze, France and is naturally carbonated. Carbon dioxide gas is add during bottling process. $1.68 1 lt The world's largest seller of packaged tea Most popular energy drink in the world high-end, high-priced water for its taste and the ultimate refreshment Distribution Distribution the products to business by trunks Promotion TV commercial that features hockey player Aleksander Suglobov Strategies Pricing Competition based pricing Stay relatively the same Hellenic in Russia will manufacture the vitamin water at their Moscow plant location To supermarkets that include Sedmoy Kontinetn (Seventh Continent), Azbuka Vkusa (ABC of Taste), Perekrestok (Crossroads), Globus Gourmet, Eliseevskiy, and Gastronom No. 1. vitaminwater.com/Russia website Magazines ads in Men’s Health, Sportsweek, Cosmopolitan, and Glamour Promote sales through places ad in their weekly circular. Objectives Luxury because of the higher pricing Pull for foreign investment and business presence To be the number one drink in Russia Sales to exceed 200 million in the first year DEMOGRAPHIC Males and Females 15 - 25 years old Diverse ethnicity/education Family income 30k - 100k GEOGRAPHIC PSYCHOGRAPHIC • Fun loving people who enjoy excitement
• Music and fashion lovers
• Care about their health and staying fit.
• Busy lifestyle • Athletic
• Students
• Receive ads from magazines and watching TV
• Favor flavor and a refreshing drink
• Watch a variety of TV channels (drama and reality) THANK You! • long-term growth
• Low Competition
•high access internationally via Coca-Cola’s presence
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