The Gatorade Company, Inc. is a manufacturer of sports-themed beverage and food products, built around its signature line of sports drinks. Gatorade is currently manufactured by PepsiCo and is distributed in over 80 countries. The beverage was first developed in 1965 by a team of researchers at the University of Florida, to replenish the combination of water, carbohydrates, and electrolytes that the school 's student-athletes lost in sweat during rigorous sport activities.
Originally produced and marketed by Stokely-Van Camp, the Gatorade brand was purchased by the Quaker Oats Company in 1983, which, in turn, was bought by PepsiCo in 2000. As of 2010, Gatorade is PepsiCo’s 4th-largest brand, on the basis of worldwide annual retail sales. It competes with Coca-Cola 's Powerade, and Vitaminwater brands worldwide, and with Lucozade Sport in the United Kingdom. Within the United States, Gatorade accounts for approximately 75 percent market share in the sports drink category.
History
Gatorade was formulated in 1965 by a team of scientists at the University of Florida College of Medicine, including Robert Cade, Dana Shires, Harry James Free and Alejandro de Quesada. Following a request from Florida Gators football head coach Ray Graves, Gatorade was created to help athletes by acting as a replacement for body fluids lost during physical exertion. The earliest versions of the beverage consisted of a mixture of water, sodium, sugar, potassium, phosphate, and lemon juice. Ten
Gatorade is a flagship brand of PepsiCo and has a commanding 75% market share of the sports nutrition beverage marketplace globally, being sold into 80 different countries according to the latest PepsiCo annual report published in late 2011. Gatorade's success in branding and product marketing has actually expanded the global market for sports nutrition beverages during the late 1990s and into the 21rst century. Recently however the company has faced many channels including product line extensions of the last decade which failed to deliver strong results (Pollack, 1997) and a more critical analysis of their ingredients as many of their beverages are sold in public schools (Tallon, 2009). Despite these challenges however, Gatorade continues to experience strong market share and growth. The intent of this analysis is to evaluate and provide recommendations for each of the four areas of the marketing mix including product, price, promotion and place or distribution.
As you watch the Gatorade commercial you notice that Gatorade wasn’t only promoting hard work and dedication, but they were also promoting hydration, strength, power, and energy. Dedication is shown by waking up early in the morning, going for your daily jog or walk, while others are still sleeping. Staying hydrated helps the body keep moving and fully functional. Gatorade shows the importance of hydration by athletes taking breaks between workouts. Hydration also reduces the risk of cramps and soreness. Gatorade promotes energy by showing, before eating a Gatorade chewy the athlete did not have the energy he needed to start his morning run or weight lift. However, after eating the chewy they instantly gained energy. Power is symbolized by the lightning bolt, which
Have you ever wondered who invented Gatorade, what are some facts about that person, and how was Gatorade invented? Well, James Robert Cade was born on September 26, 1927. He went by Robert. Robert had a mom named Winifred, dad named Robert and little sister, Thelma.
Gatorade is a company that manufactures sports nutrition products, and they usually have different athletes
PepsiCo has 6 divisions, North American Beverages, Frito-Lay North America, Quaker foods North America, Latin America, Europe Sub-Saharan Africa, and Asia, Middle East, North Africa. Gatorade falls into the North American Beverages division. Within Gatorades brand name there are a few product lines, The G-Series, Endurance, and Equipment lines. The sports drink is part of the G-series which is based on three steps, prime, perform, and recover and is part of the perform step.
Have you ever gotten a sports drink instead of a soda thinking you were choosing a healthier option? Well this might change your perspective. Powerade and Gatorade are just watered down soda; yes, it gives you electrolytes which is what you lose when you sweat, but that does not mean it is good for you. There are many other healthier ways of getting electrolytes than by just drinking a sugar drink. In the Powerade article written by the company does not argue about how water is not helpful to athletes and does not have the opposing argument. Although the gatorade article written by David R. Lamb they make it more persuasive than informational.
Each sports drink contains 21 grams of sugar are contained in a 12 ounce bottle of Gatorade. With most bottles being 32 ounces, the consumer is actually ingesting 56 grams of sugar. Although this is not healthy, it is less grams of sugar than an average soda per ounce. “In fact, Berkeley researchers say the sugar in sports drinks may be contributing to the child obesity epidemic by increasing their caloric intake”. For consumers that are less active, the added sugar in their diet is not recommended. Weight gain from extra calories has also been found to be a problem for less active consumers. “For people who are not exercising for at least one hour, 5 days per week, water is the best bet for staying hydrated.” Experts suggest sports drink consumption should be monitored by children’s parents. The best source of hydration for children continues to be water (Schaefer). Unless a person is participating in vigorous exercise for a long period of time, water is the best option for
In 1991 Gatorade released a commercial asking the general public if they wanted to be like Mike. Now you might ask yourself who is Mike, the Mike they were referring to was Michael Jordan of the Chicago Bulls. Coming off his first championship season he would go on to win 6 more in his career becoming quite possibly the greatest basketball player to ever play the game. Gatorade used the popularity of Michael Jordan, who at the time was a worldwide icon to sell their product.
The operation manager for JBI suggested considering that Saver Superstore is an easy to deal with partner unlike some other customers that make the business spent a lot of time on their rush orders .This comment brought Johnson to wonder about the customer service costs structure and allocation system. The current system allocates these costs based the revenue generated by each customer which assign a large share to Saver Superstore the biggest one.
The highest percentage of the company sale is as a result of making impulse purchases; hence this requires a good point of sale support team. The market is very competitive. There are a couple of competitors that offer the same products as Gatorade, for example, MW, M.I.T and A.U.I. The experience that the firm has in the
Gatorade has emerged as the global leader in sports nutrition beverages by continually managing their brand to signify high energy, athletic excellence combine with one of the most efficient new product development and introduced processes in the beverage industry. As a result of being able to consistently synchronize these many components of their business so well, Gatorade today holds a 75% market share in the sports nutrition market globally today. Gatorade is owned by PepsiCo, which has made it possible for the company to sell in 80 countries today. Gatorade relies heavily on the PepsiCo distribution and retail network globally. Gatorades' revolutionary approach to managing branding for beverages has served to increase the total market size for this product category globally (Huang, Sarigöllü, 2012). Despite the continued widespread adoption of Gatorade as a healthy energy drink, the company has encountered resistance to its brand and the ingredients used for creating the many variations of Gatorade energy drinks (Tallon, 2009). Despite these setbacks the Gatorade brand continues to experience exceptional growth and stability over time.
The PepsiCo continued to expand its reach by picking up Gatorade and Sobe. PepsiCo Inc. is the fourth-largest distributor of beverages and snack foods, which provides a continually increasing stock for its shareholders. While shareholders are being taken care of, Employees are also on the priority list.
For Quaker: Economies of scale and higher penetration for Gatorade (increase in sales, points of sale, geography), especially in cold channels. Synergies between the two brands in cold and warm channels, and geographic presence as well as the combination of corporate and entrepreneurial mindsets.
- Not only producing Coke, Coca Cola own more than 500 brands in over 200 countries or territories in the beverage markets. They consider the customers’ needs and sell products for each group of people in each period of time. For instance, Coca Cola introduced Tab (1963) drinks to meet the needs of customers who are in the diet and then developed it into a new successful brand – Diet Coke (1982). Another example is that during the 1990s, the company responded to the growing consumer interest in healthy beverages by introducing several new non-carbonated beverage brands. These included Minute Maid Juices to Go, Powerade sports beverage, flavored tea Nestea (in a joint venture with Nestle), Fruitopia fruit drink and Dasani water, among others.
PepsiCo Inc. is an American multinational foods and beverage manufacturer. It is headquartered in Purchase, New York and operates in more than 200 countries around the Globe. It is one of the world's leading brands in the beverages and grain-based snack foods industry. It was incorporated in 1965 in North Carolina by Donald Kendall and Herman Lay. The main product offerings by PepsiCo Inc. include soft drinks, energy drinks, coffee drinks, breakfast bars, cereal, rice snacks, side dishes, sports nutrition, and bottled water. The most recognized brands of the company are Pepsi, Starbucks, Quaker, Lay's, Mountain Dew, Mirinda, Gatorade, Aquafina, Lipton, Frito-Lay, Brisk, Tropicana,