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MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University
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MAR331 - Marketing Plan for New Product Launch: Flavored Xpress Water, Pace University

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Task: Develop a Marketing Plan for a New Product Launch.

Task: Develop a Marketing Plan for a New Product Launch.

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  • 1. « ADD SOME FLAVOR TO YOUR LIFE » Mar331 – Managerial Marketing Pace University November 29th 2012
  • 2. XPRESS WATER: A REVOLUTIONARYWAY TO DRINK WATER « Water or…? »
  • 3. THE BOTTLED WATER INDUSTRY HAS A VALUE OF $17,597,300,000 Company Shares of Bottled Water by Off-trade Value 2007-2011 Company Share in 2011 (%) Nestlé Waters North America 22.7 Energy Brands Inc 12.0 Coca Cola Co. 9.0 PepsiCo Inc 5.1 Wal-Mart Stores Inc 4.9MRI Reporter: Fall 2011 DS Waters of America Inc. 3.8Product:Beverages, Bottled Water Gatorade Co. Ltd 3.3& Seltzer, Drank in Last 6 Crystal Geyser Roxane 2.1Months Flavored, Adults South Beach Beverage Co. 1.6
  • 4. FLAVORED WATER CONSUMERS ARE MOSTLYWOMEN • 58.3% are women • 40.7% have childrenunder 11y.o. • Concerned about health and environmental issuesMRI Reporter: Fall 2011 Product: Beverages, Bottled Water & Seltzer, Drank in Last 6 Months Flavored, Adults
  • 5. XPRESS WATER WILLTARGETWOMEN, AGED BETWEEN 25 AND 54 • 48% preferfoodwithoutadditional additives • Findit harder to resistchildren’srequests • 37% spend>$125 in-storeMRI Reporter: Fall 2011Product: • 67,7% look around for specialoffersBeverages, Bottled Water& Seltzer, Drank in Last 6Months Flavored, Adults • 31.9% are currentlydieting
  • 6. THREEAMBITIOUS MARKETING OBJECTIVES• Achieve $100,000,000 net sales in Year 1• Raiseproductawareness by 60% in 3 years• IncreasePepsiCo’s market share by 11.18% in Year 1, 4.41% in Year 2 and 2.92% in Year 3
  • 7. XPRESS WATER, GIVING THE CHOICE TO CONSUMERS • Innovativepackaging • Recycled plastic bottle
  • 8. A WIDE RANGE OF FLAVORS AND HEALTHATTRIBUTES • A healthybeverage: – No calories, fat or sugar – Vitamins C, B6 and B12 • 5 refreshingflavorsMRI Reporter: Fall 2011Product:Beverages, Bottled Water& Seltzer, Drank in Last 6Months Flavored, Adults Distinctive positioning on productbenefitswithstrongdifferentialadvantages
  • 9. AN XPRESS WATER 16OZ. BOTTLE COSTS $0.50 IN MANUFACTURINGThe Evolution of the Bottled Water Industry, Javier Gimeno, Aon Dirk Verbeek, Karel Cool, INSEAD, 2002, p.23
  • 10. THE SUGGESTED RETAIL PRICE IS FIXED AT $1.99 WITH MULTIPLE DISTRIBUTION CHANNELS Manufacturer to Retailer (50%) • $0.49 margin Manufacturer to Wholesaler to Retailer (50%) • $0.27 margin
  • 11. A PROMOTIONAL BUDGET OF $12,000,000 Type of Promotion Dollar Amount Television $3,500,000 Billboards $2,000,000 In-Store Promotions $2,000,000 Magazines & PR $1,500,000 Events $1,000,000 Internet $100,000• $1,900,000 flexible budget
  • 12. PRINTCAMPAIGN IN FOOD, HEALTH AND PARENTING MAGAZINES Theme Magazine Issues per year Health Womens Health 10 Health Natural Health Magazines 10 Fitness Fitness magazine 11 Food Cooking light magazine 12 Women O, The Oprah Magazine 12 Food Weight Watchers Magazine 6 Food Clean Eating Magazine 6 Parenting Hybrid Mom Magazine 4 Costs: $1,500,000 per year "Top 10 Fitness Magazines." Allyoucanread. N.p., n.d. Web. 24 Nov. 2012. <http://allyoucanread.com/top-10-fitness-magazines/>. "Top 10 Food Magazines." Allyoucanread. N.p., n.d. Web. 24 Nov. 2012. <http://allyoucanread.com/top-10-food-magazines/>. “Top 10 Parenting Magazines” ." Allyoucanread. N.p., n.d. Web. 24 Nov. 2012. <http://allyoucanread.com/top-10-parenting-magazines/>.
  • 13. A VERY VISUAL AND SENSUAL 30 SECOND TV SPOTChannels: Lifetime, Oxygen and Style Media.
  • 14. PAYBACK IS EXPECTED AFTER 8.14 MONTHS WITH BREAK-EVEN QUANTITY OF 77,672,515 UNITS
  • 15. WORKS CITED• MRI Reporter: Fall 2011 Product: Beverages, Bottled Water & Seltzer, Drank in Last 6 Months Flavored, Adults• The Evolution of the Bottled Water Industry, Javier Gimeno, Aon Dirk Verbeek, Karel Cool, INSEAD, 2002, p.23• "Top 10 Fitness Magazines." Allyoucanread. N.p., n.d. Web. 24 Nov. 2012. <http://allyoucanread.com/top-10- fitness-magazines/>.• "Top 10 Food Magazines." Allyoucanread. N.p., n.d. Web. 24 Nov. 2012. <http://allyoucanread.com/top-10-food- magazines/>.• “Top 10 ParentingMagazines” ." Allyoucanread. N.p., n.d. Web. 24 Nov. 2012. <http://allyoucanread.com/top-10- parenting-magazines/>.

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