This was a presentation done by my classmates and I for Communcations 462: Persuasive Communication in the Ross School of Business at The University of Michigan The assignment was to analyze a current company and creatively reposition their marketing and creative tactics.

2. Agenda
Introduction
Situation
Analysis
Consumer
Insights
Problems &
Opportunities
New
MarComm
Strategy

3. Introduction
Powerade is far behind category leader
Reinvigorate
Powerade's
Image
Powerful
product calls
for powerful
marketing!
Overcome
heart loyalty
to Gatorade
Elicit unwavering
brand loyalty
through the minds
and hearts of
consumers
“Find the 4th"
competition
campaign
Big Idea:
POWER4WARD

4. Situation Analysis
Introduction
Situation
Analysis
Consumer
Insights
Problems &
Opportunities
New
MarComm
Strategy
Company Analysis
Consumer Analysis
Product Analysis
Competitive Analysis

5. 2010 Sales Growth
Sports Drink Category
Powerade
Gatorade
11%
28%
6%

6. Total Sales
$638 $681
$856
$688
$3,030
$2,710
$2,860
$2,152
$0
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
2008 2009 2010 2011
Millions
Powerade Gatorade

7. Sports drink still in the GROWTH stage of product life cycle
Mintel projects the market for sports drinks to grow
by 52% from 2013-2017

8. Company Analysis
Skills and Resources
• Coca-Cola System
o Strong bottling partnership
o Coca-Cola provides
expertise and resources to strengthen partnership
• Sustainability
o PlantBottle
o Reduce water stress

9. Consumer Analysis
Male, 18-24
Athletic
Sweet Tooth
4.48-4.63
glasses per
day
On the run

10. Consumer Analysis
Energy Boosting
Vitamins
Minerals
Electrolytes
Protein

11. Product Analysis

12. Competitive Analysis
Functional
Drinks
Energy
Drinks
83%
Sports
Drinks
11%
Nutraceutical
Drinks
6%
Gatorade
76%
Powerade
23%
Other
1%

13. Fruit & Vegetable Ready-To-Drink Soft
Juice/Smoothies Tea Drinks
Sports Energy Functional Cocunut Bottled
Drinks Drinks Water Water Water
Competitive Analysis

14. Consumer Insights
Introduction
Situation
Analysis
Consumer
Insights
Problems &
Opportunities
New
MarComm
Strategy
Survey
Focus Group

15. Consumer Insights
• Participants mainly aged 18-22
• 35% male
• 28% on a collegiate
sports team
• 50% exercise between 2-5 times a week
72%
28%

16. Consumer Insights: Survey
• 65% disagreed that they only drink sports
drinks while participating in athletic
activities
• Important factors: taste, nutritional value
• Gatorade: higher mean response for taste,
trendiness, replenishment, nutrition, flavor
variety
2/3 disagreed that they like powerade better
than other sports drinks
1
(TERRIBLE)
5
(SUPERIOR)

17. Consumer Insights: Focus Group
• 10 participants
total
o 4 U of M athletes
• Ages 19-23
• Techniques
o Blind taste test
o Open-ended
questions
o Guided discussion
o Word associations

18. Focus Group Key Findings
Common
belief
Gatorade
has more
electrolytes
Gatorade word
associations
"Champion," "success," "#1"
Powerade
word
associations
"Lame,"
"inferior,"
"second-tier,"
"underdog"
Gatorade vs.
Powerade
Familiarity,
trust, brand
loyalty
Unaware of
Powerade's
advertising

19. Problems and Opportunities
Introduction
Situation
Analysis
Consumer
Insights
Problems &
Opportunities
New
MarComm
Strategy
SWOT
Positioning
Objectives

21. Positioning
With its unique ION4 formula, we are
positioning Powerade as the more powerful
and nutritious sports drink for a generation
of young, determined individuals who desire
a competitive edge in every aspect of life.

22. Objectives
1. Increase Powerade’s market share in the
sports drink category by 7% among our
target consumers, Americans ages 13-24,
from February 1, 2014 to February 1, 2015.
2. Increase the Powerade brand association
as the most nutritional sports drink (i.e.,
four-electrolyte formula) by 18% among
Americans ages 13-24 from February 1, 2014
to February 1, 2015.

23. New Marketing
Communications Strategy
Introduction
Situation
Analysis
Consumer
Insights
Problems &
Opportunities
New
MarComm
Strategy
Advertising
Strategy
o Creative
o Media
Creative
Sales Promotion
Other Marcomms
Evaluation

25. Creative Strategy
OBJECTIVE
Differentiate Powerade ION4 from the competition by highlighting
its unique 4-electrolyte formula
STRATEGY
Make “4” resonate
Bring the electrolytes to life
Memorable and consistent visual branding:
new logo & slogan

26. Target Market

30. Media Strategy
• Seamlessly connect "Power 4ward" message
across touch points
• Media mix: TV, Internet, social media,
special events/sponsorships
• Timing
o TV: pulsing
o Social media: continuous
• Reach & Frequency: reach 40% of target,
males and females ages 13-24, 2+ times
each week over 12 months

31. • Creative impact & positive reactions
• Kickstart "Power 4ward" campaign and
solidify new Powerade image
• Emphasize "Find the 4th" contest
• Capitalize on commercials using Hulu
• Network and cable programs, sports
content
Television

32. Commercial Storyboards

33. Example Commercial:
“Gabby as Magnesium”

34. Digital
• Facebook, Twitter, Instagram
• Basis of "Find the 4th"
• Reinforce TV advertising, special events &
sponsorships
• Goals
o Increase number of follows and user engagement
o Improve appearance & cohesiveness of content
o Emphasize new logo and slogan/hashtag

38. Sales Promotion

39. Other Marketing Communications
• Public Relations
o Sponsoring events
o Press releases/media alerts
o Press conferences
• Cause-Related Marketing
o Involvement with low-income schools
o Special Olympics
• Internet
o Blogs
o Powerade website
 Visual branding
 ION4 athlete bios
 Lebron James and Derrick Rose bios

40. Sample Media Alert

41. Budget
Total Budget: $12,483,770
2012 Budget: $9,602.9MM
Objective 1: Market share from 23% to 30% equates to sales
increase of 30% assuming market size stays
consistent.

42. Media Flow Chart

43. Evaluation
• Sales/Market Share
o Concurrent testing: sales during campaign
o Post-testing: overall market share (7% increase)
• Advertising
o Tracking studies: attitudes, communication playback
o Post-testing: communications effects
 Recall, attitudes, perceptions

44. We hope you’ve all been inspired to…