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  • #16
    The market for cars IMO is vastly different than the market for energy drinks. There was and is a mystic associated with energy drinks; some what the same with the one the bottled water industry had during it's revolutionary introduction to the American market.

    Most consumers have placed a irrational value on the merits of energy drinks. As was said by Boodoo, the market supports $2+ for it's average can/bottle. As economy brands get introduced in to secondary and primary stores, the mystic of energy drinks will in the short run deminsih. The market will necessarily seek to compete with lower priced "economy" energy drinks.

    Actually this processes is not in anyway unique.
    The retail electronics industry is a good example.

    [ 12-10-2005, 10:19 PM: Message edited by: Mr Zabe ]
    Don't worry, be happy. Meher Baba

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    • #17
      Basically it will require the big players in the game to advertise and target their brands to the appropriate audience.

      Red Bull has developed their "gives you wings" campaign to market their 8.4oz can that exists in a sea of 16oz cans. They are losing market share (to be expected) but the sector as a whole is still growing leaps and bounds every year.

      It's a fact of retail, you will always lose some shoppers who shop simply on price. That's why Wal-Mart has done so well. People are more interested in the price on the shelf tag than personalized customer service, or hand-cut meats, and so on.

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      • #18
        I've seen some Rip It at my local Price Cutter for .99 cents. I bought it and tried it. It left a nasty aftertaste.

        [ 02-27-2006, 05:48 PM: Message edited by: BluejacketT ]
        Last edited by BluejacketT; 07-19-2014, 03:32 PM.

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        • #19
          I tried two flavors and thought it to be a mediocore product, I've had worse and I've had better. I run a route in the upstate New York area and my accounts are telling me it does move. That $.99 price point seems to do the job. I called the company (National Bev. Corp.) several months ago for pricing and if I remember correctly it's anywhere from $10.50 - $11.00 to the distributor usually sold for $14.99 on the streets. I'm considering bringing it in, distribution for Rip It is weak up here.

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          • #20
            i think this is a good idea for the energy drink market. brands like rip it is just going to get CCE and Pepsi and other marketers to lower their energy drink prices. let's face it. companies like coke are making a KILLING off selling their e-drinks at $2.19 a can.

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            • #21
              Doubtful. You're not going to see Rip It in all the places that Rockstar, Full Throttle, Sobe, Amp, and Red Bull are in.

              The only place I recall seeing it around here is at Food Lion. And it barely sells, from what I can tell.

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              • #22
                Price doenst mean anything, its the sales. Who cares if it is sold for .25 cents, $1 or $10. If its not moving, it does nothing to the asking price.

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                • #23
                  Originally posted by fusion:
                  Doubtful. You're not going to see Rip It in all the places that Rockstar, Full Throttle, Sobe, Amp, and Red Bull are in.

                  The only place I recall seeing it around here is at Food Lion. And it barely sells, from what I can tell.
                  That's not true...Rip It is brought in by Shasta here in SoCal (I believe). They have shelf space with all of the big brands you mentioned above in several grocery accounts here. It may not move as well...but its definitely in there.

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                  • #24
                    Originally posted by DMC:
                    i think this is a good idea for the energy drink market. brands like rip it is just going to get CCE and Pepsi and other marketers to lower their energy drink prices. let's face it. companies like coke are making a KILLING off selling their e-drinks at $2.19 a can.
                    Coke, Pepsi, and whoever else will not lower their price due to a brand like Rip It being 99 cents. It's basically a "private label" or "value priced" energy drink...just like soda. We don't try to compete with private label in CSD...why would we on energy drinks?

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                    • #25
                      that's not necessarily true, because it's been discussed here at coca-cola about how energy drinks could start "price crashing" in the next year or so.

                      it doesn't matter if 'rip it' is a private label or not. have you noticed red bull's marketshare in the last 2 years? what do you think it will be like two years from now? there marketshare isn't what it use to be. how do you think they are going to fix it? it's possible, they can start slashing the prices of their red bull. i'm not saying that's going to happen, but it could. there's a lot of e-drinks out on the market. and if new energy drinks start popping out at .$99 a can, it's going to happen.

                      red bull was basically the first "energy drink". well, first successful e-drink. now look how many e-drinks there are. look at the trend red bull started. 'Rip It', is the first 16oz e-drink to go for $.99. look what Rip It could possibly start.

                      [ 03-01-2006, 03:06 PM: Message edited by: DMC ]

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                      • #26
                        Red Bull's market share has decreased because consumers have been able to buy a 16oz can of energy for the same price (or close to) as RB's 8oz can. Not to mention, many people prefer the taste of non RB brands. That's why they've lost market share....but they are still the #1 selling energy drink hands down.

                        As for pricing...does private label hurt Coke or Pepsi so badly that they are forced to drop prices? NO. And think about this...in my market energy drink prices have been creeping up...yet sales are still growing at incredible rates. It doesn't seem like the consumers care about cheaper energy drinks. As I mentioned earlier, several accounts have developed their own "private label" energy drinks that do sell for less than the mainstream. However, sales of those drinks have been sluggish even though they get primary positioning and multiple facings in the cold vault planograms. My thought is that energy consumers are not as price sensitive as other consumers are. They are paying for what they believe is a "premium" product that provides more than a taste...it provides a function - ENERGY. They are willing to pay $2-$3 a pop for such drinks. That's why value drinks like "Rip It" will continue to do nothing...even though they sell for half the price of the big brands. Can't argue with sales...or lack thereof!!

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                        • #27
                          Since 2006, I tried other flavors of Rip It & they're good. The brand just don't give as much energy as some of the other ones. But a lot of the flavors I've tried were good.

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