1. LindseyNewton
December5,2014
Background
Hoist, a Cincy-made company, has recently made their way into Kroger stores which is definitely cause for celebration! The
problem, however, is that to keep themselves in stores, Hoist must sell 219,000 bottles of their product between 200
Kroger locations in Cincinnati, Cleveland, and Toledo in 2015; about 1,095 bottles per store. The factors that will make this
goal a challenge include fierce competition, a broadly defined target market, lack of awareness and knowledge of the
product benefits, and a lack of general hydration knowledge . There are four vital electrolytes needed for hydration and of
those surveyed, 14% of respondents knew that potassium and sodium were needed for rehydration, and only 6% knew
that calcium and magnesium were needed (Figure 5). Competition is driven by the consumer mindset that “hydration =
Gatorade”. During an experience interview, Rachel (a millennial in Cincinnati) said, “I know that you’re supposed to
prepare for your workouts by hydrating beforehand, but all I know is you need electrolytes.”(Figure 6). Other competitors
such as Sobe Lifewater, Vita Coco, Vitamin Water, and regular bottled or tap water tend to fill the heads of consumers as
well. At least 20% of both males and females observed in Kroger were buying either sports drinks or bottled water (Figure
1, Figure 2). The current target market for Hoist is focused on the millennial age group of 18-35, which makes up about
25% of the Cincinnati population (2010 US Census). This is a very large segment of the population, which is good for sales,
but the consumers can vary greatly in both demographics and psychographics.
Recommendations
• Target millennials that are consistently active 2-4 times per week and that are interested in fitness and health products, live in the
Cincinnati area, and shop at Kroger.
• Create an experience with the product through the ad; the customer should be able to see themselves using Hoist in whatever they do.
Communicate the value proposition “Hydrate Your Everyday”
• Place ads throughout Kroger stores and on Social media (mainly Facebook) to encourage consumers to notice Hoist and learn more about
the brand and the product
• Drive consumers to the Hoist website using the ad. Here they will learn the positioning benefits of made in Cincinnati/Cincinnati proud and
a perfectly isotonic formula.
• Use language and social media incorporation in the ad to communicate the brand character “Community-Driven, Honest, Social” to the
consumer
Rationale
Hoist’s ideal target consumer would be someone ages 18-35 (millennial). By 2018, nearly 22 million households will be made up of
millennials (Keely & Burbank, 2014). These consumers, however do not know about what it takes to rehydrate. Hoist’s main
positioning benefit is that the product is currently the only perfectly isotonic drink on the market in the United States, so nothing
hydrates faster. Hoist is also made in Cincinnati and supports many Cincinnati community events which is important to our target
consumer. The value proposition that should guide Hoist’s marketing efforts is “Hydrate Your Everyday”. Millennials want to be
able to have experiences with products (Ott, 2011). By making the value proposition (and marketing campaign) specific to the
consumer’s life, the consumer can envision themselves drinking Hoist during their everyday activities. By choosing to make the
proposition about the everyday, Hoist is living up to its
catchphrase “live a life less ordinary” and differentiating itself from
other sports drinks that tend to focus on athletes. Hoist should
communicate a brand character of premium, honest, and social. To
emphasize this, it is important that Hoist communicate that it is
involved in the community as well. When surveyed, 52% of
consumers said they had made a purchase from a socially
responsible company in the past six months (Nielsen, 2014a).
Millennials also like transparency and authenticity and are more
likely to endorse a brand they can believe in and trust (Nielsen,
2014b).Social media will Hoist build recognition and trust because
about 52% of millennials say they use social media to interact with
brands, and 59% will trust a friend’s recommendation of a product
(Barton, Koslow, & Beauchamp, 2014). Using an ad in Kroger and on
social media will encourage consumers to learn about Hoist and
therefore increase their likelihood of purchase (Figure 4). Learning
the brand story and product benefits could also increase liking of the
brand by as much as 60% (Figure 3). These recommendations will
help Hoist will meet their sales requirements. Hoist needs to sell
about 1,095 bottles per store in 2015. If they target someone who
buys four bottles per week, then that person will buy approximately
210 bottles of Hoist per year. Each Kroger location needs 6 of these
consumers to meet the objective.
Millennials
make up
25%
of the
Cincinnati
Population
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Figure I. Positioning Strategy
Perfectly Isotonic
“Nothing Hydrates Faster”
Delay in Hydration
Made in Cincinnati – Support
Cincinnati Community
Not made in Cincinnati
Brand Character:
Community-driven, honest, social
Value Proposition:
Hydrate Your Everyday

2. GoingContagiousStoryboard
Who
Grace is a 23 year old recent college
graduate who is just beginning her career as
a marketer. Grace enjoys a variety of fitness
activities, but her passion is running. Grace
fell in love with Cincinnati during her four
years at the Northern Kentucky University,
and she now loves to participate in
Cincinnati traditions like the Flying Pig
Marathon. Grace is very busy, but manages
to make it to L.A. Fitness about four times
per week, spending most of her time training
on the treadmill. Recently, Grace has been
doing the majority of her shopping at Kroger
Marketplace because she likes the ever-
growing natural foods section. Some of her
favorite brands and products include Cliff
bars, Fitbit fitness trackers, and LuluLemon
clothing.
Where
The ad should be placed in Kroger stores,
particularly in the natural foods section and
the drink aisle. The consumer will see the
actual product (bottle of Hoist) on the top
shelf of the drink aisle across from the
bottled water. The ad should also be used on
Facebook to reach more potential
consumers and encourage them to visit
Hoist’s website and to buy the product.
How
Grace heads to Kroger one evening to pick up some fruits, veggies, protein bars, and bottled water. As
she walks down the drink aisle, the ad on the left catches her eye. She reads through the ad and
becomes intrigued. She pulls out her phone and goes to Hoist’s website. She sees, on Hoist’s
homepage, that a few of her running friends already like Hoist on Facebook. She skims a little more of
the site and decides to try a bottle. On her next run, she drinks Hoist and is able to recover faster and
run just a little farther. She updates her Instagram and Facebook (in the same status) with a picture of
her Hoist bottle sitting on the treadmill, and captions it: “I think I’ve found my new running partner.
#LiftLimits” She begins buying 3-4 bottles of Hoist per week and telling her friends about the product.
What
Brand Story: Hoist is a Cincinnati-proud company started by four college friends with a passion to bring its premium hydration
formula, originally used in the NFL, to the everyday individual. Hoist’s isotonic formula combined with the honest, community-driven
spirit of the company will help you lift limits in all that you do.
Product Story: Hoist is the first perfectly isotonic beverage available in the United States. This means that it contains all four
electrolytes needed for hydration (calcium, potassium, magnesium, and sodium) in a formula that has been perfected by scientists to
instantly hydrate you. Let our formula, free of added colors and sugars, help you lift limits in all that you do!
Ad: Grace knows nothing about isotonic, and doesn’t think that there is a problem with drinking water for hydration. The goal with
this ad is to get Grace to notice the brand. This ad shows Cincinnati and running which are two of Grace’s interests. Once she visits
drinkhoist.com, she will learn about the brand and the product which will lead to purchasing, liking, and sharing her experience.
219,000 Bottles
200 Kroger Stores
1,095 Bottles per Store
6 Consumers per Store
4 Bottles per Week
2

3. Methodology
Research for this project was conducted using both exploratory and descriptive research designs. Secondary data was used in
the background as well as to justify some of the marketing recommendations. For the background information, I used
primary data from my observations in Kroger, and data from the sample survey that Dr. Raska gave in class about hydration
knowledge. To back up many of my marketing recommendations, I used articles from Nielsen and Gallup. I also used articles
from The Boston Consulting Group, and Nielsen that were provided to us in class and helped when learning about millennials
as consumers. I also used some data from the 2010 Census to find out more about Cincinnati as a market. In order to learn
more about why products go viral (and help my recommendations) I used an article from Fast Company. In my rationale I
used data from sample surveys that were given by Dr. Raska then provided to us, and primary data from my own experience
interviews with consumers.
References
Barton, C., Koslow, L., & Beauchamp, C. (2014). The reciprocity principle: How millennials are changing the face
of marketing forever. The Boston Consulting Group.
Dishman, L. (2014). Why ideas and products become contagious: The Jonah Berger formula. Fast Company.
Keely, L., & Burbank, J. (2014). Millennials: Dispelling the myths. Nielson.
http://www.nielsen.com/us/en/insights/news/2014/uncommon-sense-millennials-dispelling-the-myths.html
Nielsen (2014a). Doing well by doing good. Nielsen.
Nielsen (2014b). Millennials: Breaking the myths. Nielsen.
Ott, B. (2011). Marketing to tweeters and their facebook friends. Gallup Business Journal.
http://www.gallup.com/businessjournal/146990/Marketing-Tweeters-Facebook-Friends.aspx
Raska, D. (2014). Kona Ice: Dream team presentation. Bluezzoon.
US Census Bureau. (2010). American FactFinder age and sex county survey: Cincinnati, O.H.
http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?pid=ACS_13_1YR_S0101&prodT
ype=table
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4. Appendix
60%
50%
30%
50%
30%
90%
40%
50%
Married
Buying Healthy Foods
Buying Soda
Buying Sports Drinks
Buying Bottled Water
Looking Around
BuyingOrganic/Natural Foods
Buying Brand Names
Male Behaviors in Kroger
90%
30%
30%
20%
20%
50%
30%
100%
Married
Buying Healthy Foods
Buying Soda
Buying Sports Drinks
Buying Bottled Water
Looking Around
BuyingOrganic/Natural Foods
Buying Brand Names
Female Behaviors in Kroger
Figure 1 Figure 2
Figure 3
Bottom Line: Hoist should place advertisements throughout Kroger that will educate people about their drink,
where to find it, and how to share the brand with friends. Out of the people observed, 50% of females and 90% of
males were taking their time in the store and looking around. Hoist could also set up sampling in the natural foods
section, because 30% of females and 40% of males were purchasing organic foods.
Methodology: Twenty people (10 males and 10 females) were observed on November 9, 2014 in the Kroger Marketplace in Hebron, Kentucky. This observation lasted
about 45 minutes. The majority of people observed were middle to upper class, married (75%), and estimated to be in their thirties.
Bottom Line: Integrating new brands into
marketing course curricula can increase
knowledge, consumption, liking, and
purchase intentions for the brand.
Students who had been exposed to and
learned about Hoist through exercises in
Dr. Raska’s classes, compared to those
who had no exposure to the brand,
reported greater knowledge, more
frequent consumption, greater liking, and
higher intentions of purchasing the brand
in the future.
Methodology (for Figure 3 and Figure 4): A convenience
sample of students enrolled in Dr. Raska’s Fall 2014
marketing courses (N=110) were recruited to complete a
survey via email (78% response rate). Respondents
completed the online sample survey from October 27, 2014
through November 21, 2014. The data was analyzed using
Excel.
2.81
5.84
0
1
2
3
4
5
6
7
Purchase Intentions
LiklihoodofPurchase
Will exposure to Hoist increase likelihood of
purchase?
Not Exposed (n=85)
Exposed (n=25)
*
* Indicates significance
of 99% confidence level.
(p < .01)
Figure 4
Bottom Line: Integrating new brands into
marketing course curricula increases the
likelihood of purchase of the brand.
Students who were exposed to Hoist in
one of Dr. Raska’s marketing course were
more likely to purchase it than someone
who was not exposed to the brand in
class.
4
13%
1% 5% 8%
96%
16%
72% 68%
0%
25%
50%
75%
100%
Topfourboxfrequency
How does integrating a new brand into course
curricula influence brand-related actions?
Not Exposed (n=85)
Exposed (n=25)
*Top box percent is
reported
**Top four box
percent is reported

5. 15%
4%
14% 14%
4%
6% 6%
12%
11%
14%
0%
2%
4%
6%
8%
10%
12%
14%
16%
PercentofRespondents
whochoseattribute Which of the following are attributes of an instantly
hydrating product?
Bottom Line: Rachel is the ideal target customer with a need for hydration, but she needs to
be educated on the benefits of isotonic drinks. Hoist should get her attention through an
advertisement at LA Fitness or the Hyde Park Kroger. Rachel says, “I know that you’re
supposed to prepare for your workouts by hydrating beforehand, but all I know is you need
electrolytes.”
*Indicates vital attribute for
instant hydration
Figure 5
Bottom Line: Consumers need to be educated on what attributes make up an instantly
hydrating product. The four vital electrolytes for hydration are potassium, sodium, calcium,
and magnesium. Of the students surveyed, 14% of respondents knew that potassium and
sodium were needed for rehydration, and only 6% knew that calcium and magnesium were
needed.
Methodology: This was an interview with Rachel Schilling. This interview took place during a 30 minute lunch outside of our office,
Legion Logistics on November 5, 2014.
Methodology: A convenience sample of students enrolled in Dr. Raska’s Fall 2014 marketing courses (N=80) were recruited to complete
in class to complete a survey. Respondents completed the online sample survey on September 18, 2014. The data was analyzed using
Excel.
Figure 6
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