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5. How should the Gatorade brand be positioned in Pepsi’s portfolio?

Repositioning with Introduction of G Series ProductsOne of PepsiCo’s key imperatives is to build and expand the nutrition businessworldwide. Gatorade sin!e "##$ has been a!tively repositionin% itself from the

sports bevera%es&sports hydration !ate%ory to the sports nutrition !ate%ory.' (n"#)# the brand was revitali*ed with the G +eries and was the fourth lar%estPepsiCo %lobal brand in terms of retail sales(n "#)) Gatorade alon% with ,uakerand -ropi!ana two other PepsiCo brands were three top brands in a %lobal marketfor !onsumer pa!ka%ed %oods health and wellness produ!ts that ex!eeded 5##billion

(n the "#)) PepsiCo /nnual 0eport the !ompany stated that the G +eries wasexpandin% to 1ra*il 2exi!o /ustralia Canada and the 3.4. -he produ!t line andhow the produ!ts were introdu!ed to the individual !ountries were tailored to ea!h

!ountry. (n 1ra*il !onsistent with Gatorade’s strate%y to broaden the types of storeswhere the produ!ts are sold the G +eries line went into new distribution !hannelsin!ludin% sports !lothin% stores nutritional supplement stores and pharma!ies inaddition to supermarkets and %yms. (n addition a laboratory similar to the Gatorade+ports +!ien!e (nstitute in -ampa lorida will be built in 1ra*il . (n /ustralia 6wayne7ade helped to laun!h the brand and played a %ame of 8 on 8 with /ustraliansports stars in!ludin% surfer 9aura :never and swimmer Geo; Hue%ill. Geor%e +t.Pierre a Canadian mixed martial artist played a si%ni<!ant role in the laun!h inCanada. -he partnership with Geor%e +t. Pierre was so su!!essful that a symposiumdrove )= million earned and media owned impressions and other marketin%enabled hi%h pro<le media !overa%e in!ludin% +portsnet and -he +!ore. (n the 3.4.a dedi!ated team was set up to laun!h Gatorade as a standalone sports nutrition

business as part of its mission to be!ome the number one sports brand in the worldand to support the rollout of the G +eries and the G +eries Pro. -he 3.4. rollout ofthe G +eries was supported by a refreshed website a full time sales team a 5##million 1ritish pound !ampai%n !omprised of advertisin% editorial and di%ital mediawhi!h tar%eted spe!ialist sports titles and an in>house so!ial media monitorin%servi!e

:arly in "#)" Gatorade opened a mobile Gatorade +ports +!ien!e (nstitute in2exi!o inside the fa!ility of the C/0 @the national !enter for development ofathletesA as well as one inside the Club +antos 9a%una where hi%h performan!eathletes and <rst division football players were studied and provided with nutritionwhi!h also supported the nutrition positionin% of B7in from 7ithin. 3sain 1olt a

%lobal sponsored Gatorade athlete was used in the introdu!tion of the G +eries inew Dealand in "#)". Gatorade laun!hed a television !ampai%n and a series ofdi%ital !ommuni!ations in /u%ust "#)" usin% 1olt and in O!tober in !onEun!tionwith ru!or the li!ensed produ!er of Gatorade in ew Dealand 1olt went to D tosupport the brand

Primary Market:F /thletesthis term is intentionally va%ue it applies to any individual who is

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!ons!iously a!tive.F Household in!omes between "#### to =####F Ioun% /dults a%es )J to "= interested in sportsBG proEe!ts to all athletes ran%in% from professionals to individuals whowalk on the

treadmill on!e a week at home. BG is desi%ned to Kuen!h the thirst of hardworkin%athletes. However our primary tar%et market is essential to expand theprevious notionto any hardworkin% individual. (f you have been workin% hard and you arethirsty thanBG is for you. (t is formulated with a deli!ate balan!e of essentials vitaminsmineralsand ele!trolytes to keep you always performin% at your best. BG isadvertised with anattitude of hip ed%y and !uttin% ed%e fashion. (n line with these

advertisements ourbasi! a%e ran%e in our primary tar%et market tends to be youn%er individualsran%in% ina%e from )J to "=.

Secondary Market:F -he +outhF Older adults a%es "= to =#F :xpand international promotionBG possesses a lar%er !onsumption rate in the +outh than the in the orth./s a result

BG plans to spend more advertisin% with re%ard to re%ion spe!i<!allytar%etin% the+outh. 6ue to the density of the advertisements in the +outh advertisersexpe!t thatsome of the ads will be e;e!tive for other individualsspe!i<!ally olderadults ran%in%in a%es from "= to =# within the 3nited +tates. BG also plans to expand itsadvertisements internationally in attempt %row its !onsumer base to fosterthe %rowth of sales.

"It's not a drink, it's a system", Gatorade's tagline in an ad for their newest sports drinks (G

series, G series Fit, and G series Pro). Their mission is to turn their sports drink rand into a

sports nutrition rand!G series sports drinks, energy ars, protein shakes, supplements, et.

#ere are three ways through whih Gatorade an e positioned into Pepsi$o portfolio

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%. Distribution. Gatorade is not only going to e sold in groery stores, ut their produts will e

ad&ertised and sold in &itamin shops, sporting good stores, and speialty sports stores. The

 produts are where athletes would go to shop!"It's aout eing where athletes shop and sweat",said y ndrea Fairhild, &ie!president of rand marketing.

. Sticking to their Brand. In the reession a lot of ig rands were dropping their pries, utGatorade stood y their produt and their  rand image. Gatorade's parent ompany Pepsi$o

$hief *euti&e +ffier, Indra . -ooyi said for onsumers who drink tap water and soft drinks"...didn't really ha&e a right to e*ist in the Gatorade world." whih ring us to the third point...

. Audience. It's a ommon theme we see o&er and o&er again in the marketing world! target

your ore onsumers/audiene. The rand wasn't as foused on marketing to athletes as it shouldha&e een. 0o they inorporated a new testing faility in Florida for athletes. Gatorade didn't 1ust

make a drink they made it into a siene for their onsumers gi&ing the rand rediility.

Gatorade’s strate%y overseas is to be adaptive to its lo!al markets and tailors its

produ!ts and marketin% to maximi*e its sales. Gatorade’s repositionin% from a sport

bevera%e to a nutritional produ!t was a bold move and not without risk %lobally. -he

G +eries and G +eries Pro have been rollin% out around the world but has been

sele!tively introdu!ed to !ountries with some !ountries havin% only the G +eries and

not the G +eries Pro.

(n fa!t the new G +eries has not been introdu!ed worldwide and is still bein% rolled

out in di;erent re%ions.

Gatorade sponsorships and use of athletes teams and sportin% events provides thebrand with a hi%h level of awareness and makes it synonymous with sports. -he

brand uses a mix of world>renowned athletes as well as lo!al athletes to both test

and promote its produ!ts around the world. 2any athletes provide feedba!k on the

produ!ts before they are laun!hed and then often parti!ipate in the laun!h and the

on%oin% marketin% of the produ!ts. -heir hi%h pro<le provides the brand with

authenti!ity and !redibility. Gatorade also trains athletes to perform better at their

sports s!ien!e institutes and puts on both hi%h pro<le and lo!al events in many

parts of the world. (n addition throu%h resear!h produ!t testin% and usin% 2ission

Control Gatorade is able to <nd out what its !onsumers want and then !an tailor

marketin% plans and new produ!ts a!!ordin%ly. -heir marketin% is fully inte%rated

from understandin% what !onsumers are sayin% about the produ!ts in real time to

adaptin% their plans and then to usin% their athletes advertisin% and promotion to

support the brand positionin%. Gatorade uses this strate%y mix to rise to the top of 

brand !ate%ories overseas. Gatorade is not Eust a sports drink that has %one

internationally it is a !ulture that has extended internationally.