Project Twist, the 8th largest wine producer, plans to launch a new alcoholic beverage in Canada. After considering options like gin, tequila, and energy drinks, they decide to introduce a water-based cooler. They analyze introducing the cooler under the four P's of marketing: a square bottle with no label priced just below competitors at $9.45, promoted through sampling and sports sponsorships. The target market is younger health-conscious consumers aged 19-45, focusing distribution in Ontario, Quebec, and British Columbia where interest is highest.

1. PROJECT TWIST

2. World’s 8th largest producer and distributor of wine & wine related productsPlans to launch a new alcoholic beverage into the Canadian market

3. GOAL:TO SUCCESSFULLY INTRODUCE A NEW ALCOHOLIC BEVERAGE INTO THE CANADIAN REFRESHMENT MARKET● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● GinTequilaWaterEnergyFruit

4. GOAL:TO SUCCESSFULLY INTRODUCE A NEW ALCOHOLIC BEVERAGE INTO THE CANADIAN REFRESHMENT MARKET● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● OPTIONS ● GinTequilaWaterEnergyFruit

5. WATER-BASED COOLERYou don’t have to live in the Arctic to enjoy natural glacial water. Vincor introduces a new WATER-BASED COOLER to keep you hydrated (so you wake up remembering what happened last night)

6. Vincor has NO IN-HOUSE CAPABILITIESIt’s an occasional drink….FOR GIRLS?It’sNOT UNIQUEREALFRUITJUICE

7. Ithas asmallmarketwith nota lot of interest?GIN

8. Small MarketTequila could be too strongLittle Interest?TEQUILA

9. Health ConcernsLittle Interest?ENERGY-DRINK

10. WATER-BASED COOLERIt’s UNIQUEThere’s HEALTH APPEALAdditionalEQUIPMENT NOT NEEDEDPotentially STRONG MARKET

11. THE FOUR P’s PRODUCT square-shaped bottle with no labelpackaged in a full, closed, 4-packbox

12. THE FOUR P’s PRODUCT Squareshaped bottle with no label

13. THE FOUR P’s PRODUCT Target Sales Range: 50 000 – 75 000 CasesExceptional Sales: < or = 100 000 CasesVs.

14. THE FOUR P’s PRICE$9.45Just below market leader priceSmirnoff Ice $9.65

15. THE FOUR P’s PROMOTIONSamplingandTaste TestingLimited Time OffersDistribution in bars andrestaurantsSponsorshipof summer sports

16. THE FOUR P’s PROMOTIONWATER-BASEDCOOLERYou don’t have to live in the Arctic to enjoy natural glacial water. Vincor introduces a new WATER-BASED COOLER to keep you hydrated (so you wake up remembering what happened last night)$2.00 OFFof a four-pack

17. THE FOUR P’s PLACECanada cooler market share: $230,000,000QUÉBECMarket Share: 25%B.C.Market Share: 14%ONTARIOMarket Share: 38%

18. THE FOUR P’s PLACECanada cooler market share: $230,000,000QUÉBEC65% interestedB.C.77% interestedONTARIO80% interested

19. THE FOUR P’s PLACE Canada cooler market share: $230,000,000QUÉBECTarget Margin: 30%B.C.Target Margin: 20%ONTARIOTarget Margin: 50%

20. TARGET MARKET WE’LL NEED TO SEE SOME IDENTIFICATION, PLEASEWe want to target:A YOUNGER GENERATIONPOPULATION AGES:19 – 45 yrs.We want to target:THE UPPER CLASS AND HEALTH CONSCIOUSAged 44 and Under:Aged 34 and Under:58%38%

22. Extensive Market ResearchStrong Retailer RelationshipSuccessful Previous launchesEstablished National Sales ForceVINCOR’S STRENGTHS

23. VINCOR’S STEVE BOLLIGERValuable Human Capital

24. VPrevious FailuresVincor’sAssociation is limited to theWINE INDUSTRYVINCOR’S WEAKNESSES

25. Large Presence in BC & ON opening in the marketAdventurous consumersPotential for high sales volumeVINCOR’S OPPORTUNITIES

26. Time Sensitive Quotas must be metLiquor board approval neededNew products have a shortlife-spanVINCOR’S THREATS

27. MARKET SHARE ANALYSIS Cost per Case = (Pack Price * # of Packs in Case) = (9.45 * 6) = $56.7/Case 40000*56.7= $ 2 268 000 0.98 % Market Share62500*56.7 = $ 3 543 750 1.54 % Market Share100000*56.7 = $ 5 670 000 1.77% Market Share

28. WATER-BASED COOLERSO, WHAT WE’RE TRYING TO SAY IS...Distribution will be concentrated in ONTARIO, QUEBEC, AND BCOur water-based cooler will be a trendsetting for “Healthy Alcohol”Promotions will begin with sports-sponsorships, limited-time offerings, and sampling and taste-testing...AMEN TO THAT