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Ram0n C0keah0lic
07-23-2009, 10:46 AM
Gatorade stumbles after makeover
GMA SmartBrief | 07/23/2009

A re-branding that put the letter "G" instead of "Gatorade" on the sports drink appears to be the second makeover backfire for PepsiCo, after the one for Tropicana. Volume sales of Gatorade for the first six months of this year dropped 17.5%, and market share slipped 4.5%, to about 75% of the sports-drink market. Wall Street Journal, The (07/23)

Gatorade stumbles after makeover - Related Stories - GMA SmartBrief (http://www.smartbrief.com/news/gma/storyDetails.jsp?issueid=F9E41D1F-83C7-4590-81E1-0E54B61398C3&copyid=11E1ACBC-ABDA-42CD-BAD6-727F5D5C4181)

greg
07-23-2009, 11:21 AM
Gatorade is the Brand!!! The "G" was stupid...nobody ever said, " Hey grab me a bottle of G when you go to the store"
G Is like just using X for Xerox Copy where XEROX has become synonomous with any document reproduction or using K when talking about Kleenex. Kleenex is a brand and the product is a tissue, but everyone just calls it Kleenex no matter what brand it is.
I think someone is trying to hard to think out of the box at Pepsico or the marketing company that came up with these dumb ideas.

fusion
07-23-2009, 01:21 PM
I have seen this first-hand. Wal-Mart back rooms are filling up with "G" because the warehouses keep forcing it out to the stores, and it's just not selling like it used to. One store actually made us take down a Powerade display, because we were selling too much, and "G" wasn't selling enough.

Mr Zabe
07-23-2009, 02:56 PM
The "catch 22" of dumb store management. Cutting back a good seller to even out sales of a slow moving brand is backA$$ at best.

popologist
07-23-2009, 03:16 PM
pepsi is trying way too hard to be "cool" and it's backfiring all over the place.

i went to the store to pick up some G2 about a month ago and accidentally picked up G (aka Gatorade) because the packaging looks almost identical. so, my guess is that a lot of consumers see "G" and think it's G2... and they don't want G2.

i doubt there's the same confusion with the new pepsi logo, but... it's so dull. that navy blue just doesn't work for soda pop. i mean, it's pretty bad when your flagship brand has the lousiest packaging. i can only imagine how much it's hurting their sales.

if diet coke finally passes pepsi in market share this year (which is very possible), don't be surprised if they change the pepsi logo again... and promptly.

fusion
07-23-2009, 05:07 PM
Now they're even messing with their shelving. I found this setup at an Acme grocery store here in Delaware today:

http://img.photobucket.com/albums/v608/garya/newgshelf.jpg

popologist
07-23-2009, 05:49 PM
who's in-charge at pepsi anyway?!?

Mr Zabe
07-23-2009, 06:32 PM
Now they're even messing with their shelving. I found this setup at an Acme grocery store here in Delaware today:

http://img.photobucket.com/albums/v608/garya/newgshelf.jpg
Speak about confusing the average sports drink impulse consumer!

popologist
07-23-2009, 07:17 PM
i guess the point of the new layout is so people don't have to reach for a bottle on the back of the shelf, but that doesn't change the fact that the new labels are confusing.

Ram0n C0keah0lic
07-23-2009, 11:07 PM
Here in Mexico instead of the "G", Pepsico Mexico released another logo for Gatorade... I'll post a pic later...

XLS_04
07-24-2009, 02:18 AM
I get the Gatorade Lemon-Lime and Gatorade Lemonade mixed up all the time now. As others have said all the bottles look the same now.

Acheron
07-24-2009, 08:03 PM
From the headline story:

PepsiCo CEO Indra Nooyi, during an earnings conference call, said that most of the brandís losses have come from casual Gatorade drinkers, those that were buying it simply for the taste.

Those users, Nooyi said, ďdidnít really have a right to exist in the Gatorade world.Ē

The productís core users have always been athletes, she said, and thatís what the brand will focus on going forward.

That's an insane amount of spin right there. She's basically saying "Why no! In fact, we don't need more money, thank you very much!"

popologist
07-24-2009, 08:18 PM
she sounds incompetent.

i mean, first the extreme logo changes... and, now, she pretty much insults gatorade drinkers.

in my opinion, she should be fired.


From the headline story:

PepsiCo CEO Indra Nooyi, during an earnings conference call, said that most of the brandís losses have come from casual Gatorade drinkers, those that were buying it simply for the taste.

Those users, Nooyi said, ďdidnít really have a right to exist in the Gatorade world.Ē

The productís core users have always been athletes, she said, and thatís what the brand will focus on going forward.

That's an insane amount of spin right there. She's basically saying "Why no! In fact, we don't need more money, thank you very much!"

fusion
07-24-2009, 09:15 PM
Yeah, that's about the stupidest thing anyone could say about their product and their customers. Customers are customers. If they didn't want non-athletes as customers, then why create drinks with catchy names and a line of 12oz flavors called "All Stars" for kids? Why not just stick to the basic flavors - orange, fruit punch and lemon-lime?

The idea of being successful in business is to grow your business, not shrink it by alienating a large portion of your customer base. I'm willing to bet the farm that more gatorade (in bottles, not powder mixed into those big jugs) is consumed in non-athletic situations than in athletic ones.

Mr Zabe
07-25-2009, 01:08 AM
Yeah, that's about the stupidest thing anyone could say about their product and their customers. Customers are customers. If they didn't want non-athletes as customers, then why create drinks with catchy names and a line of 12oz flavors called "All Stars" for kids? Why not just stick to the basic flavors - orange, fruit punch and lemon-lime?

The idea of being successful in business is to grow your business, not shrink it by alienating a large portion of your customer base. I'm willing to bet the farm that more gatorade (in bottles, not powder mixed into those big jugs) is consumed in non-athletic situations than in athletic ones. You hit the nail on the head.

popologist
07-25-2009, 05:54 AM
that woman is running pepsi into the ground...

the saint
07-25-2009, 06:37 AM
that woman is running pepsi into the ground...

BUT, BUT, BUT, BUT, she is creating a more diverse and non discriminatory workplace.

She taking the responsible road on admitting to a large group of people that mountain dew does in fact cause acid erosion their teeth by paying for them to be fixed and buying the "pro-bono" dentist a new rv setup to go into the hills and fix their teeth. Then come back and say it isn't mtn dews fault that their teeth are rotten. Then come back a third time saying that pepsico will help to "recruit" more "pro-bono" to fix these peoples teeth. here is one link

http://abcnews.go.com/Health/Story?id=6899312&page=1

She is bringing a new demographic of not just new Pepsi drinkers into the Pepsi family but a large new demographic of drinkers into the whole Pepsico family of brands by introducing "new and exiting" logo and graphics changes.


blah, blah, blah, blah so on and so forth. I just hope my pepsi stocks don't crash during her tenure and become useful as toilet paper. The name of the company is "PEPSIco" hence PEPSI is where the money originally came from. I understand people are moving to healthier things but I honestly think she would quit making Pepsi tomorrow if she could get away with it. She is all about "health and wellness" and it has filtered over to PBG. So now I get crap in the mail about my "health and wellness" all the time, we have "health and wellness" meetings about once a month, surveys to fill out a couple of times a year, the list goes on and on. We get the whole speech of soda isn't healthy and we should push aquafina, g2, proplel and lifewater more, then they scream because soda sales drop. the lady is an enviromentalist wacko like Gore and the like, wants all of us little people to carpool and use masstransit and use fluorescent bulbs to save the world but they themselves have 5-6000 a month electric bills in EACH of their homes and take PRIVATE planes wherever they are going.

popologist
07-25-2009, 10:12 AM
thanks for the added info, Saint. after all that, i'm surprised she didn't change the logo to shades of green. lol (i guess your stocks can be thankful for that.) ;)

my guess is that, if pepsi's market share suddenly plummets faster than it already was and diet coke overtakes it this year, she'll be forced out.

at first, i just thought she was incompetent, but it seems that she also has an "agenda." an agenda that isn't consistent with making money. who hired her anyway?

Ram0n C0keah0lic
07-25-2009, 03:23 PM
Here's the new mexican Gatorade label, the one at the left is the old one and the one at the right is the new one...

http://img196.imageshack.us/img196/7069/2407092028.jpg

Dewman1979
07-25-2009, 07:24 PM
BUT, BUT, BUT, BUT, she is creating a more diverse and non discriminatory workplace.

She taking the responsible road on admitting to a large group of people that mountain dew does in fact cause acid erosion their teeth by paying for them to be fixed and buying the "pro-bono" dentist a new rv setup to go into the hills and fix their teeth. Then come back and say it isn't mtn dews fault that their teeth are rotten. Then come back a third time saying that pepsico will help to "recruit" more "pro-bono" to fix these peoples teeth. here is one link

PepsiCo to Support Dentist in Appalachia - ABC News (http://abcnews.go.com/Health/Story?id=6899312&page=1)

She is bringing a new demographic of not just new Pepsi drinkers into the Pepsi family but a large new demographic of drinkers into the whole Pepsico family of brands by introducing "new and exiting" logo and graphics changes.


blah, blah, blah, blah so on and so forth. I just hope my pepsi stocks don't crash during her tenure and become useful as toilet paper. The name of the company is "PEPSIco" hence PEPSI is where the money originally came from. I understand people are moving to healthier things but I honestly think she would quit making Pepsi tomorrow if she could get away with it. She is all about "health and wellness" and it has filtered over to PBG. So now I get crap in the mail about my "health and wellness" all the time, we have "health and wellness" meetings about once a month, surveys to fill out a couple of times a year, the list goes on and on. We get the whole speech of soda isn't healthy and we should push aquafina, g2, proplel and lifewater more, then they scream because soda sales drop. the lady is an enviromentalist wacko like Gore and the like, wants all of us little people to carpool and use masstransit and use fluorescent bulbs to save the world but they themselves have 5-6000 a month electric bills in EACH of their homes and take PRIVATE planes wherever they are going.

So...she bleeds. Not good.

popologist
07-25-2009, 08:17 PM
not a whole lot of difference from each other, but definitely better than the "g" version in the US. ;)

Here's the new mexican Gatorade label, the one at the left is the old one and the one at the right is the new one...

Acheron
07-26-2009, 12:41 AM
my guess is that, if pepsi's market share suddenly plummets faster than it already was and diet coke overtakes it this year, she'll be forced out.

I am eagerly anticipating seeing what the numbers look like post MTN dew and Pepsi 'smile' makeovers.

XLS_04
07-26-2009, 03:17 AM
The logo there is 100% better than the logo in the US. This is what the next Gatorade logo should look like, it is evolving from the ORIGINAL Gatorade logo. The current "G" logo we have just looks dull and it does not seem like a sports drink anymore.



Here's the new mexican Gatorade label, the one at the left is the old one and the one at the right is the new one...

http://img196.imageshack.us/img196/7069/2407092028.jpg

PepsiBlue
07-30-2009, 01:20 AM
The logo there is 100% better than the logo in the US. This is what the next Gatorade logo should look like, it is evolving from the ORIGINAL Gatorade logo. The current "G" logo we have just looks dull and it does not seem like a sports drink anymore.

I agree, i hope the us gets that mexican label soon.
The G campaign is horrible, it just alienates the people who like talking normal, and not say "Its a G thing, homie G" screw that!

But yea pepsi's label makeover in general I think is a failure.
Im sure theres people that dont recall the label thats in my avatar cause pepsi max only used it for 2-3 months before it changed to he current crap.

popologist
07-30-2009, 07:55 AM
yeah. me too.

if the initial public reaction was any indication, it's not going to be good...

I am eagerly anticipating seeing what the numbers look like post MTN dew and Pepsi 'smile' makeovers.

popologist
07-30-2009, 08:00 AM
I agree, i hope the us gets that mexican label soon.
The G campaign is horrible, it just alienates the people who like talking normal, and not say "Its a G thing, homie G" screw that!

But yea pepsi's label makeover in general I think is a failure.
Im sure theres people that dont recall the label thats in my avatar cause pepsi max only used it for 2-3 months before it changed to he current crap.

pepsi is having an identity crisis... and i blame that loon they've got as a ceo. she seems remarkably clueless.

fusion
07-31-2009, 04:11 PM
BevNet is reporting that the chief marketing officer for PepsiCo's North America Beverages is leaving the company... wonder why?

BevNET.com: PepsiCo replaces Burwick as CMO (http://www.bevnet.com/news/2009/7-31-2009-pepsico_replaces_Burwick)

popologist
07-31-2009, 06:04 PM
BevNet is reporting that the chief marketing officer for PepsiCo's North America Beverages is leaving the company... wonder why?

BevNET.com: PepsiCo replaces Burwick as CMO (http://www.bevnet.com/news/2009/7-31-2009-pepsico_replaces_Burwick)

here's why: "Dave shepherded the re-launch and re-branding of the entire Pepsi trademark while ushering in the 'Refresh Everything' campaign."

translation: he destroyed one of the most famous logos in the world. fire him.

mjb1124
08-03-2009, 12:02 AM
From what I've read, it seems like Burwick and Nooyi did some good things for Pepsi in the past. But apparently they've gone mad with power. Especially Nooyi.

greg
08-03-2009, 07:39 AM
From what I've read, it seems like Burwick and Nooyi did some good things for Pepsi in the past. But apparently they've gone mad with power. Especially Nooyi.


You're only as good as your last project!

popologist
08-03-2009, 11:12 AM
it will be interested to see the market share numbers this year. pepsi really had a rough year last year (even worse than coke). i'm guessing that's why pepsi went with such a dramatic makeover.

but if pepsi continues to lose market share faster than coke, nooyi may be the next to go. at this point, none of us know if the new logo has hurt or helped sales (or maybe had no effect at all).

fusion
08-09-2009, 02:41 AM
Looks like the Tiger line isn't doing all that well. I saw a ton of loose bottles, and 6 and 8 packs at Big Lots last week, and I noticed yesterday that Food Lion is deleting the 8 packs and 32oz bottles from their set.

JasonCH18
08-09-2009, 10:47 AM
Whether you like the new logos or not, if you like the taste, does it really matter? If you know it tastes the same as when it had the old logo, why wouldn't you continue to purchase it? That's retarded.

mjb1124
08-09-2009, 01:04 PM
Because, as others have noted, people are getting the flavors mixed up as a result of the new packaging. People will think regular Gatorade is G2, or that Lemonade is Lemon-Lime, and so forth.

JasonCH18
08-09-2009, 02:06 PM
Maybe if they read the flavor on the label, they wouldn't get mixed up. I guess Gatorade forgot about the lack of common sense in the general population.

fusion
08-09-2009, 04:34 PM
They also changed the names of the different lines, from Fierce to Bring It, Rain to No Excuses, AM to Shine On, X-Factor to Be Tough, and Tiger to Focus.

Which makes absolutely NO SENSE. Why mess with a good thing? Why rename your product? What's next? Pepsi is going to be called P? sheesh.

juniorjin
08-09-2009, 10:56 PM
Maybe if they read the flavor on the label, they wouldn't get mixed up. I guess Gatorade forgot about the lack of common sense in the general population.

I think this point is valid, but for alot of routine purchases, colour and logo are the two things that help quickly identify what you are purchasing. Having two identical colours and just slapping a G, with a tiny tiny reference to the flavor will for sure make anybody pick up the wrong flavor more often than not. Way to alienate your customers....
I'm guilty of the same thing. I'm in a rush and i've picked up rain instead of g2 so many times now that i've switched to powerade zero.

Funny thing is, I didn't realize that during a recession athletes don't work out as much (so they don't drink as much gatorade). Even at my gyms I notice that people are drinking less Gatorade, the gyms are just as busy, and guess what, drinking more WATER! LOL.....
I used to have respect for the ceo of Pepsi but until she said that remark, I totally realized she has absolutely no idea what she's doing...at all.

If Coke was smart, they would start a word of mouth campaign saying that vitaminwater is more beneficial to those individuals that are dehydrated (medically and those nursing a hangover) to really stick it to Gatorade

Mr Zabe
08-09-2009, 11:32 PM
Would not using different colored caps be the
the solution to Gatorade's sub category design
problem? How easy would it be to have a colored
cap system?

popologist
08-09-2009, 11:39 PM
Maybe if they read the flavor on the label, they wouldn't get mixed up. I guess Gatorade forgot about the lack of common sense in the general population.

people don't want to read labels when they're in a busy grocery store. they want to pick-up what they like and get the heck out.

it's just dumb to mess with a good thing.

i was at a store once and had to explain to some lady that "sprite zero" was the same thing as "diet sprite" (or "diet sprite zero").

not everyone comes to bevnet. ;)

fusion
08-10-2009, 05:38 AM
I had people swear up and down that we changed the formula when the name changed from Diet Sprite to Diet Sprite Zero.

The formula had actually been changed a few years prior, with the addition of a second sweetener.

As I had predicted, DSZ was just a transition name, much like Coke did with Dannon > Spring! by Dannon > Spring! (and now it's Aquarius Spring!)

A coworker was telling me about a customer who was basically following him around a store, harrassing him, saying she wanted the FRESH Diet Coke! This stuff is only October! Which is the freshest we have right now. Then she pointed to the dates on Coke - but that has April dates! She couldn't understand that diet sweeteners break down. Splenda seems to have the longest shelf life - the Diet Coke w/ Splenda from Philadelphia Coke (is anyone else still making it?) has 2010 dates.

greg
08-10-2009, 12:32 PM
Funny thing is, I didn't realize that during a recession athletes don't work out as much (so they don't drink as much gatorade). Even at my gyms I notice that people are drinking less Gatorade, the gyms are just as busy, and guess what, drinking more WATER! LOL.....
I used to have respect for the ceo of Pepsi but until she said that remark, I totally realized she has absolutely no idea what she's doing...at all.


I too used to have a lot of respect for her as well. That statement, if she said it, was clearly irresponsible as well as totally false. Pepsi seems to be full of excuses lately.
Never,Never say anything that can be refuted with facts. FACTS are that during a recession that people start taking better care of themselves because they are reminded of what truly matters to them and Health is one of the biggest!
Gyms across America have seen increases in membership as well as those attending(those that have memberships but do not go to the gym on a regular basis).
My company is situated clearly in the heart of the Fitness Industry and we have still maintained steady sales as well has our competitors. The trade magazines I read are telling the same story about increased visits to facilites and increased membership.

Funny, though, Gatorade is affected by the recession by PowerAde is not!?!?!?!? go figure that one out.

fusion
08-21-2009, 02:04 PM
Beverage Digest is reporting changes may be in the works for Mtn Dew and Sierra Mist graphics. Hmm...

mofizz
08-21-2009, 04:27 PM
Beverage Digest is reporting changes may be in the works for Mtn Dew and Sierra Mist graphics. Hmm...

They, PepsiCo, might as well wave the "white flag" and surrender the category if they intend to change Mist yet again. What a dissapointment that brand has been.

el hombre de los moleculos
08-21-2009, 06:14 PM
i hope they do, the sierra mist packaging has knock off quality labeling. (and i'm sure most would say knock off level taste) only if they bring back sierra mist orange, will i be buying a sierra mist product anyway.

popologist
08-21-2009, 06:56 PM
Beverage Digest is reporting changes may be in the works for Mtn Dew and Sierra Mist graphics. Hmm...
which probably means there will be changes coming to pepsi again too. they're probably just trying to save face and do it gradually.

Oakland
08-22-2009, 01:21 AM
Hello all. Long time lurker, finally felt compelled to jump in the fray.

I am in the minority on this one. I love the G campaign. In fact, I would say that my Gatorade consumption has gone up more than ten times over as a result.

I used to drink maybe an 8-pack or 2 a year of Gatorade's Lime 'Rain' flavor. I am a fan of all things lime, and remembered not being crazy about the salty flavor of regular Gatorade from high school sports days. The 'Rain' has a much crisper flavor.

Initially I was confused by the switchover, initially not realizing that 'Rain' has the 'No Excuses' text on the bottle (I thought it may have been discontinued), but after a bit of quick investigation when the changeover was made, the confusion subsided.

The change also made it simpler for me to differentiate between the different product lines, and as a result, I've tried many more flavors and sub-brands (Tiger, G2, AM, etc). In fact, the only time I've been confused was when I grabbed a bottle of the Michael Jordan Championship Gold thinking it was a Tiger Woods... and those are the 2 lines that have packaging that deviates from the similar 'G' style of the rest of the product.

I think that the new store displays (as shown in the picture above) are actually easier to navigate as well.

I still prefer Vitaminwater as a whole, and definitely stick with it most of the time, but I've drank more Gatorade since the switchover than I have since 1993.

...and, even aesthetically, I love the G packaging.

But I am just one man. :)

popologist
08-22-2009, 11:20 AM
hmm. could Oakland be the guy who designed the new logos? ;)

Oakland
08-23-2009, 09:20 AM
hmm. could Oakland be the guy who designed the new logos? ;)

Ha I actually thought my post might sound like that. While I did work for 3 years in the liquor industry as a graphic designer, I unfortunately wasn't able to crossover and land the Gatorade account :)

I do agree that the Lemon-Lime and Lemondade flavors look almost identical and are easily confused.

lordmadone
08-23-2009, 07:09 PM
I would think the nod to VW at the end of his post would have clued you in..considering it is a coke product..

People talking so badly of sierra mist is funny because the brand has lasted for a long time..and yeah through many label changes(but ironically everytime there is a logo/label change coke seems to do the same thing for sprite) but it STILL sells well enough as a brand and its temporary and seasonal flavors make it that much more appealing..it is profitable unlike that garbage dump bin full of money called "vault". It like vault is up against a beast of a competitor in its category but unlike vault..it has lasted and stood the test of time and hasn't lost shelf spacing but actually gained some and sold even better..especially with the ruby splash variation..that PLE has really taken off.

fusion
09-02-2009, 12:09 PM
Talking About a Revolution - Beverage Spectrum Magazine (http://www.bevspectrum.com/issue/July-August_2009/Talking_About_A_Revolution)

Gatorade Tiger sales down 57% - no wonder I've been seeing so much of it at Big Lots, and Food Lion just deleted it completely from their sets (8 packs and 32oz).

Mr Zabe
09-02-2009, 12:15 PM
Yeah at my local Jewel, Tiger barely has the minimal facings.

XLS_04
09-03-2009, 12:23 AM
Its because of the logo, the people at Pepsi won't admit it though.

fusion
10-23-2009, 12:23 PM
BevNet is Twittering from NACS, and posted a pic of the new G Natural, sweetened with cane sugar. Due out in April '10. Is this another product going after their core users? Seems like a niche product aimed at those who are into natural/organic.

View Media | Gatorade | BevNET.com (http://www.bevnet.com/reviews/gatorade/media/1BDAF49E6AA046EF950CF6FEC065EB95)

Mr Zabe
10-23-2009, 02:58 PM
If and I say IF, G Natural tastes like the original
Gatorade I used to savor in the mid 70's; I will go
manic with Joy. Back in the day the original (sugar sweetened)
lemon lime Gatorade was way off the charts!

I eagerly await G Natural to roll out. :)

Gatorade glass bottle from the late 60's and 70's.
http://www.mountaintimes.com/mtweekly/2007/0531/gatorade_bottle.gif

fusion
11-02-2009, 01:34 AM
Looks like G is doing something positive with their product - I saw these white labels on Orange, Lemon-Lime and Fruit Punch at Acme here in Delaware.

http://img.photobucket.com/albums/v608/garya/g-pink.jpg

Mr Zabe
11-02-2009, 12:37 PM
It's about time that Gatorade supported a worth while
cause such as Breast Cancer.

However, those white labels are nasty.

fusion
12-08-2009, 06:52 PM
The Tiger line is completely discontinued now. Gatorade says it has nothing to do with the recent events he's been involved in or his affairs. The decision was supposedly made months ago, to make room for new products.

Gatorade drops Tiger Woods product ę Entertainment (http://entertainment.blogs.foxnews.com/2009/12/08/gatorade-terminates-partnership-with-tiger-woods/)

No word if he will continue to endorse their products, though.

fusion
12-16-2009, 01:21 PM
BevNET.com: PepsiCo plans to revamp Gatorade in New Year (http://www.bevnet.com/news/2009/12-15-2009-gatorade_revamp_2010)

The good news is that hfcs is out, sucrose/dextrose is in.

The bad news is that they are keeping the G branding.

Two new lines will be introduced - Prime, for pre-exercise, and Perform, for post-exercise.

More of the line extensions may also be eliminated. No specifics, though.

I don't know the market research data, but one has to wonder.. Is Gatorade alienating their core users? In my experience/judgment, I think a lot of people drink it for the taste and that it's non-carbonated, with a perceived "good for you" benefit, not that they are using it for working out. They certainly won't be interested in pre/post workout beverages, especially if they come at a premium price. People expect to pay around $1 or so per 32oz, since they run ads so often and run it at that price in Wal-Mart everyday, with lots of displays (obviously, more per ounce for multipacks of smaller bottles).

Gatorade's market share has been on the decline for a while. Somehow I wonder if this new approach will stop the slide. You may get some people who will try the Prime and Perform, but will there be repeat purchasing?

mofizz
12-16-2009, 04:58 PM
There is no doubt that Gatorade has been struggling as of late, but I think many of the factors are external and do not neccesarily represent the overall health of the brand. For instance Powerade is dirt cheap out there in a lot of markets. This clearly hurts Gatorade. Simple fix = lower the price right? Not really. All that does is dillute profits and start a retail race to the bottom. Same applies to percieved value. The enhanced water and purified water segments are in this situation right now. Ask a Coke bottler how Vitamin Water does for the bottom line. I bet you a cold one they say it stinks. This is what will happen with Powerade too if Gatorade follows suit.

That said, Gatorade is hurting while others take share. I'm just not convinced it's broken. I think Gatorade is playing defense while others are pressing full court. Interesting to see how the dust settles.

Themaster73
12-16-2009, 09:01 PM
There is no doubt that Gatorade has been struggling as of late, but I think many of the factors are external and do not neccesarily represent the overall health of the brand. For instance Powerade is dirt cheap out there in a lot of markets. This clearly hurts Gatorade. Simple fix = lower the price right? Not really. All that does is dillute profits and start a retail race to the bottom. Same applies to percieved value. The enhanced water and purified water segments are in this situation right now. Ask a Coke bottler how Vitamin Water does for the bottom line. I bet you a cold one they say it stinks. This is what will happen with Powerade too if Gatorade follows suit.

That said, Gatorade is hurting while others take share. I'm just not convinced it's broken. I think Gatorade is playing defense while others are pressing full court. Interesting to see how the dust settles.

Powerade also benefits from being a part of the My Coke Rewards program, not only do people get MCR points for buying Powerade, Coke has coupons as rewards. The coupons are good for several Coke products including a FREE 32 oz Powerade (or near free whatever the tax is). As you can see coupons also help Powerade increase its sales.

Mr Zabe
12-16-2009, 09:36 PM
This pre/post branding is doomed to fail.
Once again the average impulse Gatorade shopper will
get confused and may just skip over to Powerade.
Simple is as simple dose....IMO

fusion
12-17-2009, 05:35 AM
Good point, Zabe. I wonder what percentage of sports drink sales are impulse purchases, and what percentage are planned? I know impulse purchase percentage for soda is very high. That's why it's placed prominently on endcaps or lobby displays, sometimes with catchy signs and display pieces, to get you to look at it, and buy some.

And for some people, the soda ad may drive where the shopper decides to do their weekly shopping. That's why most chains put some sort of soda ad on their front page, to draw shoppers that may not be chain-loyal into their store.

janstett
01-11-2010, 03:57 PM
Whether you like the new logos or not, if you like the taste, does it really matter? If you know it tastes the same as when it had the old logo, why wouldn't you continue to purchase it? That's retarded.

Ask the marketing brains at Coke. They were amongst the first to discover the value of branding and hammering it into people's heads to the point where the logo IS the product.

It rings a bell in the consumer's mind. It makes them feel good. They recognize something familiar that they've had with them throughout their lives.

Not to mention companies work long and hard to establsih that kind of branding. This idiot CEO at Pepsi threw away one of the most recognizable logos in the world. Tweaking it is fine; throwing it away is incompetence.