Sales Promotion Energy Drink Study

• Determine under what conditions each of the “energy drinks” might be useful to the consumer.

Based on data obtained from limited English sources dated 2005 to 2010, energy drinks have become more popular among teenagers and young adults (Rath, 2012). SixWise.com’s (2008) article “What is really in a hot dog?” provided evidence that just because the product is purchased by the public does not automatically mean it is beneficial long term (Wyrick). This new craze of energy drinks has the world consuming them at a staggering rate. The debates concerning the effects among energy drink consumption in all age groups are real and impacts most of us in some shape or form. Some people will argue there are benefits found in some of the ingredients that enhance the psychological and physiological mental and cognitive performances such as

This document is part of the requirements of the Foundations of marketing course, the University of Newcastle. It is the first part of the marketing plan for Red Bull, the leader of energy drinks market.

During the introduction stage, Drive energy drinks are developed and introduced to the market. However, in this stage, a proper marketing mix must be constructed to ensure the product establishes a market and generates customer demand.

The design and packaging of many energy drinks also relates to the target market. For example, Energy Fizz, which is sold as a powder that is mixed with water to create the drink, is easy to store and carry, so it is convenient for people continually on the go. Although the energy drink industry currently caters to a very specific target market, as it continues to grow and develop, it is likely that marketing efforts and the focus consumer base will be more diverse and expansive.

Energy drinks are drinks that don’t contain alcohol, and often lightly carbonated. They are designed to give the drinker a burst of energy by adding of a number of ingredients, most notably caffeine. They are mostly found in grocery stores, corner stores and gas stations, usually displayed beside the soft drinks, juices and sports drinks. The study, published in the journal Pediatrics, reports that more teens are downing energy drinks; in 2003, 16% regularly consumed the drinks, while in 2008, that percentage jumped to 35%. Another study of college student consumption found 50% of students drank

Back in 1050, the first energy drink was created the “Black Drink.” The brand Coca-Cola is considered to be one of the first energy drinks. Later in 1987, the brand Red Bull was launched. Ever since the launch of Red Bull, it has been the top seller being followed closely by Monster. But, in the whole world Monster is the top of that chart. Athletes and sports organizations have been sponsoring Red Bull causing their market to boom (Energy Facts Everything You Need to Know). Recently research has shown that some of Starbucks drinks can be considered energy drinks. Along with some coffees, green teas with lots of sugars can be called energy drinks too. Minors most commonly drink soda and tea rather than energy drinks (What You Should Know About Energy Drinks). Energy drinks have evolved from just the energy drink itself to some other drinks being considered energy

To start with, market segment for energy drinks is targeted at group of people in their late teens to early thirties. The age group is determined between 18 to

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

There are (3) reasons why I have chosen energy drinks as my NAB. First off, there is a growing market for energy drinks. Red Bull and Monster Beverage Corporation, together, form over 80% of domestic energy drinks volumes by estimates. Dollar sales for energy drinks grew almost 6% to $6.67 Billion in measured channels in 2013, which propelled sales growth for convenience stores (Team, 2014). A growing thirst for caffeinated “energy” drinks, which include the likes of Red Bull, Monster, and Rock star, has spurred a heart-thumping surge in sales. Globally, the energy drink industry has gone from a $3.8-billion business in 1999, to a $27.5-billion

The target consumer market that should be chosen for a new energy beverage brand is males between the ages of 15 and 26. Marketing to this age group falls between the 12 to 34 year olds that estimate to make up 70 percent of the energy drink market (Kerin & Peterson, 2010). This would allow them to still market to the heavy users but would be able to narrow it down to a specific age group within the market. Marketing to this group would allow you to focus on groups such as high school & college students, athletes, and young adults entering the work force or newly parents. The students that would be using the energy products can use it for staying up to study or to help wake up and be alert in class. Athletes could use this product for refocusing after a workout or practice so they would crash. Young adults could use this energy drink for staying up in there social life late at night or to make sure they are awake in the morning for that new job to impress the boss. A different market would be the parents of a newborn. Markets like this could be beneficial because parents want to stay up to feed their new born and make sure everything is okay during the day especially after a sleepless night or two. Marketing to specific target markets helps companies clarify what the product is used for and how it can be beneficial instead of having it say we

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

Since the turn of the new millennium, there has been a visible trend in the marketing and consumption of energy drinks. The consumption of these energy drinks could be attributed to the viral marketing that has been boosted by social media and created by the wave of synthetic, caffeinated high-energy drinks that are being manufactured. The drinks target the youth market and the athletes. In the past ten years or so, there has been a growth in the uptake of the drinks and of the social media as whole. The convergence of the efforts to market the drinks and the growth of social media as a marketing tool. Using "V" as a case study, the review analyses the consumption of caffeinated beverages and the

As a result, the majority of energy drinks are developed for and advertised to this younger generation.

Promotion is an aspect of the marketing mix that has great importance. In order for our product to be successful, the promotion we use will be very vital. This is because of the fact that the method of promotion we use for the product can help to differentiate our product from other products which makes it unique and outstanding amongst other brands. Moreover, using the right promotion can be used as a way to persuade consumers of our product that they made the right choice.