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 products Plans 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 ● Gin Tequila Water Energy Fruit

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 ● Gin Tequila Water Energy Fruit

5. WATER-BASED COOLER You 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 CAPABILITIES It’s an occasional drink ….FOR GIRLS ? It’sNOT UNIQUE REAL FRUIT JUICE

7. It has a small market with not a lot of interest ? GIN

8. Small Market Tequila could be too strong Little Interest ? TEQUILA

9. Health Concerns Little Interest ? ENERGY-DRINK

10. WATER-BASED COOLER It’s UNIQUE There’s HEALTH APPEAL AdditionalEQUIPMENT NOT NEEDED Potentially STRONG MARKET

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

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

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

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

15. THE FOUR P’s PROMOTION SamplingandTaste Testing Limited Time Offers Distribution in bars andrestaurants Sponsorshipof summer sports

16. THE FOUR P’s PROMOTION WATER-BASED COOLER You 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 OFF of a four-pack

17. THE FOUR P’s PLACE Canada cooler market share: $230,000,000 QUÉBEC Market Share: 25% B.C. Market Share: 14% ONTARIO Market Share: 38%

18. THE FOUR P’s PLACE Canada cooler market share: $230,000,000 QUÉBEC 65% interested B.C. 77% interested ONTARIO 80% interested

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

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

22. Extensive Market Research Strong Retailer Relationship Successful Previous launches Established National Sales Force VINCOR’S STRENGTHS

23. VINCOR’S STEVE BOLLIGER Valuable Human Capital

24. V Previous Failures Vincor’s Association is limited to the WINE INDUSTRY VINCOR’S WEAKNESSES

25. Large Presence in BC & ON opening in the market Adventurous consumers Potential for high sales volume VINCOR’S OPPORTUNITIES

26. Time Sensitive Quotas must be met Liquor board approval needed New products have a shortlife-span VINCOR’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 Share 62500*56.7 = $ 3 543 750 1.54 % Market Share 100000*56.7 = $ 5 670 000 1.77% Market Share

28. WATER-BASED COOLER SO, WHAT WE’RE TRYING TO SAY IS... Distribution will be concentrated in ONTARIO, QUEBEC, AND BC Our 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