Strategic Marketing | 2014 - 2015
Seppe Van Den Brande
Terence van Dijk
Dr. Birgit WAUTERS
Prof. Kim WILLEMS
Table of content
Given that Crescent is PDB’s first entry in the US sport and/or energy beverage market, what must PDB do in regard to Crescent’s pending launch?
What factors should influence the positioning of Crescent? (textbook chapter 7-8-9)
9 2.1 Crescent pure as Sports Drink
How is the market segmented? At what segment should Crescent be targeted?
Fout! Bladwijzer niet gedefinieerd. 4.
What are the pros and cons of positioning Crescent as an energy drink, a sports drink, or a healthy organic beverage?
Fout! Bladwijzer niet gedefinieerd. 5.
Position Crescent Pure in the two perceptual mappings given in Exhibit 1 and 2. Also place the brands ‘RedBull’, ‘Monster’, ‘Nalu’, ‘Gatorade’ and ‘Aquarius’ and the maps.
Fout! Bladwijzer niet gedefinieerd.
1. Given that Crescent is PDB’s first entry in the US sport and/or energy beverage market, what must PDB do in regard to Crescent’s pending launch?
Portland Drake beverages acquired Crescent in July 2013. The short-term goal of PDB is to out roll in three cities, because capacity limits prevent national roll out until early 2015. They want to expand their trusted and popular suite of organic products and grow into beverage through acquisition. To reach this goal, a well figured and planned strategy needs to be developed. The PDB Company needs to choose one of the following actions in regards to its branding strategy: To strategically position Crescent Pure as an Energy Drink
To strategically position Crescent Pure as a sport drink
Product Life Cycle
Porter 5 force's
2. What factors should influence the positioning of Crescent? In order to enter the market the V.P. of marketing for Portland drake Beverages (PDB) has to make a decision about the new product's positioning. The new product is Crescent Pure the newly acquired beverage line of PDB, and a strategic decision has to be made between positioning the product either in the sports drink market or the energy drink market. In order to make a decision the factors that affect this decision must be clearly defined so we will examine the pros and cons of the two options.
2.1 Crescent pure as a Sports Drink
Crescent Pure has hydrating elements crucial in a sports drink. Ingredients can help both in boosting performance and reducing fatigue Crescent Pure can be differentiated from the Market leaders in sports drinks as a healthier option. A sizable percentage of consumers considered sports drinks "anytime beverages." Sports drinks attract a wider consumer base than Energy drinks. Opportunity to market it as a "Premium sports drink" due to price. Cons:
The sports drink market is $2.2 bil. less then energy markets. The sports drink market is expected to grow in a smaller rate over the coming years than the energy drinks market ($5 vs $3.2 bil.). Crescent Pure is more expensive than the competitor's products Crescent Pure is also enhancing mental focus and boosts energy which is not sports drink characteristic. Very strong competition with 2 brands dominating the market. 2.2 Crescent pure as an Energy Drink
Very strongly differentiated from competition, as a healthier alternative to market leaders. Crescent pure boosts energy combats fatigue and provides mental focus, main characteristics of energy drinks. Informal consumer survey indicated that "energy" is its more descriptive characteristic. Cheaper than average competition price.
Bigger market growth.
Retailer feedback indicates that Crescent pure most appeals to the consumer base of Energy drinks. Cons:
Narrower consumer base (young males and parents of young children). Concerns about the long term...
Bibliography: Aaker, D. A., & McLoughlin, D. (2009). Strategic market management: global perspectives. John Wiley & Sons.
DiMingo, E. (1988). The fine art of positioning. The Journal of Business Strategy, 9(2), 34-39.
Treacy, M., & Wiersema, F. (1993). Customer intimacy and other value disciplines. Harvard business review, 71(1), 84-93.
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