Monster Beverage was founded in the 1930s by Hubert Hansen and was called Hansen’s Juices, Inc. Over the course of 40 years, the company has changed names and slowly evolved into what it is now. The company officially changed its name from Hansen Natural Corporation to Monster Beverage Corporation in 2012 (Monster Beverage Corporation Annual Report, 2016, p. 6). Monster Beverage’s stock symbol is MNST (Yahoo! Finance, 2016). Monster Beverage’s current CEO is Rodney Sacks and their headquarters is located in Corona, California (The Wall Street Journal, 2016). The reason this company was initially started, according to its annual report, was “…to sell fresh non-pasteurized juices in Los Angles, California” (Monster Beverage Corporation Annual …show more content…
The idea that we should maintain a healthy and active lifestyle is a huge sociocultural trend that affects nearly every industry. Monster Beverage is heavily affected by this. This can be clearly seen by the types of products Monster Beverage has been producing recently. Monster Beverage has slightly drifted away from only producing high-calorie, high-sugar products and are starting to produce “healthier” alternatives. Products like the Monster Ultra line (zero calorie, zero sugar) are a prime example of Monster Beverage adapting to this changing view point of healthiness. People are looking for healthier, more natural products. Monster Beverage has even gone as far to create an energy drink with no caffeine (Monster Unleaded). Connectivity and convergence are another sociocultural trend that affects business (Singh, 2014). Meaning, the ability to communicate with anyone at any time. With the help of the internet, this trend is becoming increasingly popular and businesses should utilize it. Monster Energy does a great job at staying connected. One of the biggest ways they do this is by being one of the biggest sponsors of motor sports. They also sponsor athletes such as Rob Gronkowski and Ronda Rousey. By being sponsors at multiple levels, they are allowing for this trend of connectivity to positively affect them (Monster Energy Sponsored Athletes, …show more content…
Customers are vital to how Monster Beverage conducts business. Millennials are drinking energy drinks more than any other generation. Monster Beverage has molded its marketing strategy based upon that fact (Bailey, Energy Drinks Continue to Thrive despite Controversies, 2015). Customers also play a role in what kind of sponsorships Monster Beverage takes part in. Because millennials are Monster Beverage’s top customer, Monster Beverage sponsors athletes, bands, and personality that they think Millennials will like. According to Sharon Bailey from Market Realist, “Monster Beverage sponsors adventure sports, rock bands, and music concerts primarily to cater to the Millennial consumer.” (Bailey, Energy Drinks Continue to Thrive despite Controversies,
Gatorade does a lot of promoting. They are online though YouTube ads, ads on sports sites like the NBA and their own official website. Gatorade is also the official drink of many sports organizations such as the NBA, NFL, USA basketball, US Soccer Federation, NHL, MLB, MLS, WNBA, high school sports
The Affordable Blended Smoothie, Inc. will be producing a healthy non-alcoholic product. As more families and the society continue struggle to maintain healthy lifestyles, the new beverage comes at the right time in remedying the situation. The new energy drink will be suitable to all classes of people regardless of their age, educational level, income, gender, or ethnic affiliation. However, we will be able to employ targeted marketing where the marketing strategies for the company will be directed to rising middle class in Virginia (Wit, 2010).
Starbucks Corporation, generally known, as Starbucks Coffee is the leading retailer and a brand of world’s forte coffee in the world, with more than 15,000 retail locations in North America, Latin America, Europe, the Middle East and the Pacific Rim, wherever in this world where premium quality coffee is in demand. Starbucks is the largest coffeehouse company in the world ahead of UK rival Costa Coffee, with 20737 stores in 63 countries and territories, including 11910 in the United States, 1496 in China, 1442 in Canada, 1052 in Japan and 772 in the United Kingdom. The first Starbucks was open in 1970. The name was inspired from Herman Melville’s Moby Dick, a definitive American novel regarding the 19th century whaling industry. The nautical name matches seamlessly for a store that imports the world’s finest coffees to the cold thirsty people of Seattle. In May 1998, Starbucks have finally successfully entered the European market through its acquirement of 65 Coffee Company stores initially originated from Seattle in the UK. Both companies shared a common culture, focusing on a great commitment to customized coffee, similar company values and a mutual respect.
Monster started in 2002 in California the main idea was to and a very large amount of caffeine in to a simple soft drink, this was a bad idea considering that caffeine can sometimes be deadly.
With food retailing, the relationships between food manufacturers and retailers have been traditionally fairly complicated. We certainly see this complicated relationship with the mega box retailers. Manufacturers often pay slotting fees for shelf space and fund promotions, which means that they are subsidizing the advertising for their products. Trader Joe’s on the other hand have taken a much different approach. Trader Joe’s has eliminated many of the middlemen as they buy directly from the manufacturers. They buy large quantities, don’t sell shelf space, don’t offer discounts or coupons, and most importantly, they pay their suppliers quickly rather than stretching out the accounts payable for as long as possible. They do however change the balance of power in the supplier relationship by buying
New employees in the career of sports marketing lead by example from some of the most successful products such as the Red Bull energy drink and Skullcandy products. The most efficient way to be successful is to promote products with several sponsors. For example, everyone knows what Red Bull is, a sports drink known for its burst of energy right when we need it. The company has had great success taking a new approach on sponsorship. Conway argues in his article “A Sports Marketing Success Story” that “Red Bull wants to own teams and events. The company has a huge focus on brand management and ownership allows it to completely control how its brand
This paper focuses on a company analysis of Molson Coors Brewing Company. The second part of the project will give a better understanding of the company by analyzing their stock price, total cost of
Consumer Behavior Monster Energy Target Market Because the energy drink is still part of a new and developing industry, the energy drink target market is different than in some of the other beverage industries. Monster energy drinks have become a very popular, “hip” part of society, but the market at which they are aimed is not as wide and expansive, or diverse, as some might think. Early in energy drink history, when they were first being sold in the United States, athletes were the primary consumers. This shows that even initially energy drinks were directed at a select crowd, a group of people with specific interests. Although the consumer base for energy drinks has now expanded beyond that of simply athletes, the target market is
The Molson Coors Brewing Company is an alcohol beverage company. It manufactures and markets beers and other beverage products through its subsidiaries across the world. Commercializes its products under a line of owned and partner brands. MCBC operates through four reportable segments, namely, Canada, the US, the UK, and Molson Coors International (MCI). Some of its major brands include Coors Light, Molson Canadian and Carlin
Imagine your eight year old self watching this commercial that features Olympic athletes—your role models—eating Chicken McNuggets, French Fries, and a McFlurry. Instantly, you feel obligated to go to McDonald’s to buy the same thing; after all, you want to be just like them. Athletes build a bridge between consumer and company, which helps companies—like McDonald’s—sell more of their product (Arthur). For this reason, McDonald’s sponsors many popular athletes, including the following: Charles Barkley, Usain Bolt, Kobe Bryant, Dwight Howard, Lebron James, Michael Jordan, and Michael Phelps—just to name a few (McDonald's Endorsers - Athletes). When fit athletes are featured in junk food commercials, people perceive
At the end of 2012, Costco was a successful business, but there are some issues that they would need to deal with. These issues mainly arise from their previous successful ventures as a warehouse wholesale company. The first issue is that Costco has competitors that can actually be and are a threat to their success. Competition allows a company to improve itself and prove its prowess to its customers. However, when a competitor is able to provide the service at a much reduced cost, problems will arise. As for the second issue, it seems that Costco’s efforts to become an international company are moving slowly. They have not reached a point where their US and Canadian warehouses provide a backbone for their finances. Costco’s third issue is that their finances are too reliant on acquiring new members and not on selling their products. If they cannot keep acquiring new members at a steady rate, their financial infrastructure could suffer.
Energy drinks have outperformed the growth in carbonates in the last few years, and present a substantial opportunity for beverage manufacturers to extract further growth from their sales. There are many driving forces of change and critical success factors in the energy drink industry. Companies such as Coke Cola and Pepsi contend with criticism from health officials due to the excessive caffeine in most high-energy drinks. However, before the 2000’s consumers were accustomed to carbonated soft drinks as the traditional beverage. The shift to an energy drink, sports drink, and vitamin enhanced waters increased sales while becoming an alternative beverage choice for a fast-paced mobile society. Therefore, this industry endures many
The company that I am writing about is Starbucks, the international coffee shop chain. The company's financial statements for this analysis are from the FY2011 Annual Report and 10-K. The company has 10787 stores in the United States, of which 38% are franchised and the remainder are company-owned. The franchise model is more common when the company operates internationally. There are 6216 Starbucks stores internationally and of these 63% are franchises, with just 37% company-owned. The franchise model for international expansion has been utilized to help Starbucks expand quickly in foreign countries and to mitigate foreign political risk and to ensure that the product/service offering is tailored to local tastes (Thompson, 2012). The company is now in the process of buying back some overseas franchise stores in order to retain more profits for itself (Franchise Press, 2011). This paper will take a look at the company's most recent annual report to analyze the financial statements.
In 1954 Ray Kroc became the first franchisee appointed by Mac and Dick McDonald in San
On 2/16/10 Burger King, the second largest U.S. hamburger chain after McDonald 's, said it would serve Starbuck’s “Seattle 's Best” coffee in about 7,250 U.S. outlets by September making it a direct challenge to McDonald’s strong sales of its new coffee items. On the other hand, TheStreet.com Ratings Investment Analyst Jake Lynch recently reported McDonald’s to be a top dividend-paying stock to buy because its fourth-quarter net income increased 23% to $1.2 billion, revenue jumped 7.3% to $6 billion, and its stock has increased 15% in the past year.