CRESCENT PURE
Prepared by Group 11 G16007 – Akansha Singh G16044 – Sandip gumtya G16046 – Saurabh Moharikar G16050 – Shyam Sundar
Given that res!ent is P"#$s %irst entry in the &S sports and or energy beverage markets ' (hat must P# do in regard to res!ent$s pending )aun!h
Sarah Ryan had foremost decide whether to position the product as energy , sports or organic drink. PD shou!d target Crescent as organic drink for fo!!owing reason •
• •
•
roader market share , the drink can "e se!!a"!e to hea!th conscious indi#idua!s , Sports drinks consumer or energy drink consumer No e$isting competitor hence it minimi%es threat Certified ingredients !ike sugar deri#ed from organic raw cane sugar and her"a! stimu!us used to make Crescent Product has to "e !aunched in three states out of which ®on a!ready has a presence so focus wi!! "e more on Ca!ifornia and 'ashington
Sarah shou!d market it at "roader !e#e! and price "eing charged at ().*+ has generated a positi#e response finding from focus group sur#ey *hat %a!tors in%)uen!e the positioning o% res!ent Pure+ Position
,a!tors Produ!t ,eatures
Pri!e /ua)ity
,un!tiona)
&se
-.pressive
&sers
-.p)anation Crescent Pure is "asica!!y a functiona! "e#erage with hea!thy and organic roots. Current price range for #arious drinks in the market. Energy drink /#erage Price ( ).00 per Can 12 o%.3 Sports Drink 4 /#erage Price ( 5.66 per Container 15) o%.3 &rganic e#erages 4 /"o#e ( 7.66 per Can 12 o%.3 Crescent Pure current retai! pricing of ( ).*+ per Can 12 o%.3 it offers a "etter #a!ue proposition with the 8certified organic9 tag. :owe#er, !ower price !e#e!s compared to organic "e#erages might make customers dou"t the ;ua!ity of the product. Due to the presence of !emon, green tea, !ime f!a#our, natura! energy stimu!ator, caffeine and fatigue re!ie#er Crescent Pure can "e consumed for refreshing needs or for energi%ing and enhancing menta! focus "y the consumer. Due to the organic certification and minima! caffeine content it can "e consumed "y hea!th conscious consumers. en= aged 52)?, >en= aged )+7+, 'omen= aged )+77. Energy Drink Current Energy drink consumers are >en= aged 527?. Parents of chi!dren are a!so !ike!y consumers of energy drinks. :ighest energy drink consumption from an income group of !ess than ( )+,666 per year. Energy drink consumer !ook for high energy component. +)@ of consumers cannot associate any trait for the energy drink. Sports Drink
#ene%its
ompetitors and Market Gro(th Potentia)
Sport drink is considered as anytime "e#erage and associated to e$ercises or workouts a!one. ?6@ of men found sports drinks refreshing in comparison to on!y )*@ fema!e. /ppea!s to 52 to )? age group 4 A)@, and **@ of the 5) to 5* age group. ?0@ of consumer found that sports drinks were hydrating. ?*@ of respondents found Crescent Pure as a functiona! drink Product can position itse!f as hea!thier a!ternati#e to the e$isting energy drinks which ha#e high !e#e! of artificia! sweeteners and e$cessi#e !e#e! of stimu!ants. Product can a!so position itse!f as !ow ca!ories and a!! natura! ingredient Banytime drink for anyone. Product a!so position itse!f as organic refreshment with a "roader appea! a!! >arket si%e for Energy drink is growing and it has grown "y ?6@ "etween )656)65). Current market si%e is estimated at ( 2.+ "i!!ion and e$pected to reach ( 57.+ "i!!ion "y )652. New media stories were high!ighting a!!eged hea!th risk associated with energy drinks and consumers were concerned a"out the i!! effects. 7+ competitors in the market with + competitors ha#ing 2+@ of energy drink category re#enue. >arket si%e for Sports drink is growing s!ow!y. Current market si%e is estimated at ( A.7 "i!!ion and e$pected to reach ( 0.+2 "i!!ion "y )65*. New diet and !ow sugar sports drinks has grown "y 77@ "etween )6565). >arket si%e for such drinks is estimated to reach ( ).0* "i!!ion "y )65*. 0?@ of the market share is with two p!ayers, rest is sp!it among )6 products.
Given the segments (hat segments shou)d res!ent be targeted+
The positioning of Crescent as an &rganic Drink seems more p!ausi"!e here. Data from market research show that more peop!e ha#e reacted positi#e!y to a hea!th oriented drink. So, focusing on this segment wi!! "e more fruitfu!. o!!owing are the ad#antages= • • • •
The ingredients are 8certified organic9 with no use of chemica!s and !ow in sugar content.
There are se#era! opportunities which can "e capita!i%ed. 'ith a !arge group of hea!th conscious consumers, a !arge group consider it as anytime "e#erage9 which pro#ides a !arge customer "ase. >oreo#er, the new diet and !owsugar sports "e#erages, which new!y emerged in )660, had a dramatic growth of 77@ from )656 to )65). /s per the perception sur#ey of hydration #s energy, energy drinks are p!aced in the fourth ;uadrant i.e. high on energy and !ow on hydration and as per the perception sur#ey of nutrition #s taste, energy drinks are p!aced in the fourth ;uadrant i.e. high on taste and !ow on nutrition. &rganic drink seems to "ridge the gap in each case.
*hat are the pros and !ons o% positioning res!ent as an energy drink a sports drink or a hea)thy organi! beverage+
Segments
Pros
Energy Drinks
5. :igh >arket Frowth. ). :igh Demand for Energy drinks. 7. Gower Caffeine and sugar !e#e! pro#iding the differentiating factor. ?. /s per sur#ey done, market gap can "e identified in hea!th and functiona! attri"utes.
Sports
5. Hounger customers are more attracted to this segment. ).:ea!thy and !ow sugar content drinks grew "y 77@ in the !ast year. This market is e$pected to grow to ().0? "i!!ion "y )65*. 5. C!aims a price premium o#er con#entiona! "e#erages of the same #ariety. ). Certified organic ingredients used and high on nutritious content. 7. Caters to mu!tip!e attri"utes demanded "y customers. ?. No specific esta"!ished competition. +. Some distri"utors focus specifica!!y on &rganic products.
&rganic
+6@ men 77@ 'omen younger generation Cons 5. :igh Competition, 2+@ market share is he!d "y on!y four p!ayers. ). Negati#e media campaigning. 7. Hounger customer s!ight!y dissatisfied according to focused group sur#ey. ?. 55@ reduction in per capita consumption from pre#ious year, due to media news. 5. >arket Frowth rate is !ow ). 0?@ of the market share captured "y on!y two p!ayers. 7. &"esity Concerns and high go#ernment regu!ation. 5. Gow marketing "udget make the strategy !ess feasi"!e. ). This approach wi!! !engthen the product !aunch. 7. >ore distri"utors and retai!ers need to "e e#a!uated.
