marketing strategy marketing strategy for vitamin water

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MARKETING STRATEGY MARKETING STRATEGY FOR VITAMIN WATER

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MARKETING STRATEGYMARKETING STRATEGY FOR VITAMIN WATER

INTRODUCTION

• Marketing strategy is the essential objective of up surging sales and attaining a defensible competitive advantage.• It encompasses all the rudimentary short term and long

term undertakings in the field of marketing.• The procedure for marketing normally begins with

scanning the business environment.• Products to be marketed should be the products that are

needed in the market.

STRATEGY

• The product to be marketed is vitamin water.• This product already exists because other companies like

Coca-Cola and Red Bull produce it. • The best strategy to gain market share will be the

challenger.• This means the organization has to offer stiff competition

to the leader in the market. • This may include coming up with an effective pricing

strategy.

PRODUCT DESCRIPTION

• Vitamin water is essentially a vitamin booster; the product is rich in numerous minerals but vitamin is the highest in terms of content. • The product contains vitamins extracted from fruits and

vegetables to give consumers maximum benefits. • This product has various benefits but most importantly it

promotes health. • Comes in eleven flavors and augmented with energy

enhancing natural ingredients and vitamins

TARGET MARKET

• This is a cluster of customers which the business has made a decision of aiming to sell its products to. • The target market is of great significance in the marketing

strategies essentially because it is the source of a business’ revenues. • Consumer demographic profile is the primary determinant

of the target market.• One of the elementary demographic characteristics of

consumers is the age.

CONT..

• This product is actually meant for everyone aged twelve and above.• A strong distribution channel, competitive price, insolent

positioning and aggressive advertising can make this product number one energy drink.• Currently China offers the largest target segmentation

and its consumption of the product hits 38% of the universal volume for energy drinks.

ANSOFF MATRIX ANALYSIS

MARKET PENETRATION

• The market penetration style will that of a challenger.• To be a challenger means to offer stiff competition to the

market leader.• The market leader include: Red Bull, Monster drinks and

Coca-Cola.• Market leaders offer the product at $2-$3 per bottle and

$1 per bottle for wholesale.• Vitamin water will retail at $2 and $0.90 per bottle in

wholesale.

PRODUCT DEVELOPMENT

• Once the product has gained a significant market share it will be considered developed.• Here the organization will increase its price to be the

same of higher than that of the market leaders.• Also the organization can modify the product by giving it

a new physical outlook and increase the price.• Consumers will buy the product because the price will be

the same as that of the market leaders.

MARKET DEVELOPMENT

• This involves expanding to new markets also known as market extension.• Once the product has gained sufficient market share in

one place, the organization can decide to venture in a new market.• With the good reputation created on the previous market,

there are higher chances it will succeed in the new market.

DIVERSIFICATION

• Diversification involves the organization coming up with a new product line to ensure that they don’t run out of business.• Product have a life cycle and when they are in the final

moments, the organization should bring a new product that is related to the product.• The new product will undergo the same phases as the

previous one and since they are related, consumers may choose to purchase them at the same time.

DISTRIBUTION STRATEGY

• The product will be sold in wholesale to grocery stores, convenience stores and anywhere bottled drinks are sold.• Wholesale price will at first be slightly below the market

price in order to attract buyers.• The product will also be found in vending machines and

specialty events like concerts and festivals. • The best wholesale buyers will be the supermarket as

many people visit the supermarket.

OVERALL MARKET SIZE

• The market size fundamentally denotes to the percentage of the market that a business organization commands. • A larger market share means that an organization makes

more money from sales and this boosts their revenue.• Businesses need to implement proper strategies that will

enable them boost their market share.• Vitamin water is commanding 30% of the drinks market

due to the preference of customers.

MARKETING METHODS

• Posters: this is a free board space for announcements and advertisements.• Value Additions: this will encompass discounts for

recurring customers and referral awards.• Referral networks: this is a very invaluable methods as it

encompasses business to business referral. • Follow-up: this will involve the use of questionnaires to

find out what customers think of the product.

REFERENCES

• Daily, S. (2015). Little or no benefit from nutrient additions to vitamin waters and energy drinks.   Retrieved from www.sciencedaily.com/releases/2015/01/150112093230.htm

•  Dean, G. Vitamin Enhanced Water Could Make a Bigger Splash.  Retrieved from http://marketography.com/

•  O'Reilly, L. (2014). People Who Felt Tricked Into Thinking Vitaminwater Was A Health Drink Might Be Compensated With Cash.  Retrieved from http://www.businessinsider.com/coca-cola-glacau-vitaminwater-misleading-advertising-lawsuit-2014-10

•  Wong, S. (2014). Transcript of VitaminWater• VitaminWater. Retrieved

fromhttps://prezi.com/jrqbp4evra_b/vitaminwater/