Due: September 29, 2008
Section 002
Team II
Bornstein, Elisha Dov
Delinko, Matthew Edward
Mata, Juven
Mohr, Kyle D
Tafoya, Astin
Gatorade is a dominating force in the sports drink industry. The company has had a sustainable competitive advantage for over 40 years by means of constant product innovation. By repeatedly analyzing its marketing environment, the company has been able to maintain their advantage, keep their share of markets, and capture shares of new markets.
Strengths
One of Gatorade’s most noteworthy strength’s is its commanding share of the “active thirst” market, approximately 80%. (Portfolio.com) This makes Gatorade a cash cow for the Pepsi Company as growth is fairly calm. As evident by its impressive share of the market, Gatorade is an extremely popular brand and has outstanding brand recognition and loyalty. The company currently offers three lines of products: its Performance Series, Thirst Quencher, and Propel Fitness Water. The Performance Series appeals to athletes participating in demanding physical tasks and includes energy bars, nutrition shakes, specialized sports drinks, and energy drinks. The Thirst Quencher line offers the original Gatorade formula in a variety of flavors varying from the original flavors to morning flavors to Latin-inspired flavors. The Propel Fitness Water line offers an alternative to water drinkers who want a little more flavor and vitamins that water bottled water doesn’t have. All three of these lines combine to cover much of the sports drink market and beyond. Athletes need a way to refuel while they are engaging in their physical activities and Gatorade offers a solution. Unlike water, Gatorade drinks contain electrolytes that athletes lose when they sweat. Gatorade also has a wide array of flavors for consumers to choose from while water only has one. Most energy drinks are at least lightly carbonated and heavily caffeinated
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