Entering of Sport Drink the San Diego Market Plan

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Sport drink is a beverage which has been specially formulated to help individuals hydrate during exercising or after exercising. In most cases, the drinks are rich in carbohydrates as a source for energy for the body. Sport drinks can be isotonic, hypertonic and hypotonic. Isotonic sport drinks have same concentration of the solute as that of the blood cells. It helps in absorption. Hypertonic drink greater concentration of solutes that of blood cells. They often increase dehydration as they draw water from body tissues. On the other hand, hypotonic drinks have lesser solutes concentration than the cell fluids and blood. The drinks are important in maintaining sport performances and exercises. With the growing sporting industry, there is an experienced increase in the market share for spot drinks. Therefore we as a company are planning to enter the San Diego market to increase our sales.

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One of the leading factors that motivate our plan to enter the San Diego market is the fact that the United States nonalcoholic beverage industry is experiencing a transition. Apparently, well informed consumers are now in look out for wider and better beverage choices beyond the traditional soft drinks. With the various sport drink flavors, like Body Amor, customers are slowly shifting to consuming such drinks. It is because people are now considering healthier drinks than the traditional sodas. The consumer shift is in line with the latest health guidelines by the United States department of health and human services. The department states that traditional soft drinks are often less than 100% juice hence they contribute to excessive calories but no or less nutrients. The agency also confirmed that 47% is the total percentage of the sugar added beverages that are consumed by the American population.

Moreover, such shift has been confirmed by Beverage Marketing Corporation which found out that US sport drinks has grown by 3% since 2014 while soft drink consumption has fallen by 2%. That is, sport drink consumption rose from 4.4 in 2014 to 4.6 gallons in the year 2015. Consequently, there is a continuous weakness in the performance of the carbonated sodas. The research continues to state that American are likely to avoid carbonated sodas just as they are likely to avoid sugar, carbohydrates and fats. More than 60% respondents in a survey conducted by Gallup in 2015 stated that they avoid traditional soda in their diets. It represented an increase from 41% respondents interviewed during the 2014 research. Therefore, major beverage companies like Coca Cola and Pepsi are experiencing weaker soda sales as consumers have grown health conscious. Hence, our company must take advantage of the market to increase sales.

As we all understand, the problem facing our brand our brand of soft drink is the lack of consumer awareness. Therefore, in the marketing plan, the company will employ an aggressive consumer campaign. Also, due to consumer shift to sport drinks, the company is proceeding to take its brand to consumers beyond the sport level. As customers are seeking alternative healthy beverages, we will ensure that our flavors fit well with consumers at social level. Also, due to the sporting activities, the company will ensure that its distribution centers are mainly within the sports centers. Most importantly is the companys willingness to exploit the increasing crossFit in San Diego. It provides the company with primary consumers who are also likely to become loyal consumers of our brands.

Target Market


25-44 years old

Any race

Men and women

Household Income: not below $50,000


Crossfit gyms

San Diego





Hobby / spending habits: all the members do crossfit 5 days a week and will develop a habit



Team work: it is a small community and they help and support each other

Disciplined: all the members must be disciplined because they do crossfit almost everyday

Competitive: if one of the members is having a competition, all the crossfit members will get your back (100% support)

Loyal: Crossfit members are all family oriented and create intimacy

Adventurous: they are full of energy and ambitious

Health conscious: they do paleo diet where they control their eating behavior (eat more protein than carbohydrate)

Nutrition: They watch what they are eating carefully

Appreciate lifestyle: they enjoy doing crossfit and creating a habit

S.W.O.T Analysis (from customer perspective)



Product Taste/Variety of flavors

Athlete approved (professional athletes)

Athlete partnership with company

Natural flavors (No preservatives)

Price is competitive


Larger Brand Awareness

Wider Distribution

Increased health conscious consumers

Increased active lifestyles


Low distribution

Low brand awareness/recognition

-low sport drink awareness has always affected the overall performance of the brands. It is because of the less aggressive campaigns and selective market segmentation.


Small percent of the sports beverage market (Brand Giants: Gatorade & Powerade)/ the traditional soft drink companies like the Coca-Cola and Pepsi have taken up the largest market share.

Other electrolyte replenishers

Lower prices of the traditional sodas. The prices set for the traditional soda are lower than that for sport drink. Because of lowers prices, customers are more likely to be persuaded into buying traditional sodas than sport drinks.

Competitive Analysis

Only Natural flavors No artificial flavors Coconut-water based (high electrolyte content) Athlete-Company Partnerships No high fructose corn syrup

BODYARMOR 80% 80% 50% 60% 60%

Gatorade Coco vita water



We're going to increase brand awareness of Bodyamor by 50% in the CrossFit community in the San Diego area within x months.

We're going to increase sales by 60% in the CrossFit community in the San Diego area within x months.

Market Researching

The company will continue to work with focus groups to gain insight into the variety of its likely customers. Just like the previous focus group, the company was able acquire useful insights regarding venturing into San Diego. A suggestion card system has been used as a feedback channel about the dynamics in the San Diego. The suggestion card system contain several statements which members of the focus group are asked to rate on a scale of 0 to 10. Hence, the company is using the suggestion from the consumers. Moreover, continues market research evaluation will be conducted after every month. Of the research will be based on competitive analysis.



The BODYARMOR drinks will position itself as sensibly priced soft drink company that allow singles to meet one another and as an outing place for dating partners. Hence, the company will set-up drinking cafes in San Diego. This system is called the structured conversation system. The system is completive advantage because most drink manufacturers do not concentrate on a single niche. Since such companies manufacture certain flavors, it explains why clients will choose certain drinks over the others. Therefore, the BODYARMORs business model is to sell the drinks and to provide customers with asocial setting. T is also important to note that the companys will be distinguished by the fact that its business model is concentrating on developing a strong value for customers other than serving or selling the drinks to them. Hence, generating customer value is the main focus of the companys business model. If the customers in San Diego will be happy with our services other than just the brand, then revenues will increase. I such a scenario, the management will assume that the increase of revenues is dependent on proper financial and marketing controls. Hence, concentrating on the needs of customers in San Diego will beyond selling and serving drinks will distinguish the company characteristics from its competitors and help the business gain its market share rapidly.

Action Plan

The main objective for positioning BODYARMOR joints at strategic sport venues is to create customer awareness which is very low at the moment. The shops will pull clients who will come into direct terms with the various drink flavors offered by the company. As noted above, the shops will be attraction points for singles to interact and couples to bond during the indoor or outdoor sports activities. Eventually, customer base will grow followed by client loyalty and referrals. The message that BODYARMOR Drinks Company will seek to communicate is that BODYARMOR Drinks keeps peoples body fresh and strong. Also, the other message will be to sell the shops or joints as the best meeting points for couples and singles to meets for they can enjoy different drink flavors while playing games such as pool table, table tennis and among many other forms of indoor sports. Such messages will communicated through various media of communication such as.

Body Armor targets competitors and the individuals who wish to wind up competitors with the sole reason to improve them. A piece of their statement of purpose expresses, "Each item must be superior to what's as of now accessible available and should make competitors better". This item is ideal for the target market because there is as of now and dependably will be a need for athletic execution gear. Body Armor is reasonable to the objective business sector. Their business sector expects a higher worth, and that is the thing that permits them to keep on selling. Individuals have expected incredible quality out of Body Armor. Also, their notoriety is one motivation behind why they do as such well (Majumdar, Butola, & Srivastava, 2013). Their objective business sector expects an incredible worth out of the items they are buying and in this manner will purchase these drinks, regardless of the possibility that it is not the least expensive option.

Body Armor is presently in the development phase of the item cycle. For the thirteenth straight quarter, the organization has developed their income at 20% for each quarter. As of June 2013, its administration is focusing on $4 billion in deals by 2016; deals are evaluated to hit somewhere around 2.23 and 2.25 billion for the year of 2013. In this way, administration is foreseeing more a long time of no less than a 20% development expand. They are additionally presently hoping to fan their items out to different nations. Value Based Pricing

BODYARMOUR will employ value based pricing as a way of maximizing profits and covering for marketing and other costs. It is also important to bear in mind that the company is offering a unique product that has limited market share. However, it is imperative for the company to distinguish itself from the existing competitors. More importantly, value based pricing, where the prices of flavors offered are slightly higher than competing brands will provide the consumers of San Diego premium feeling of the Bodyamord drinks. The operating expenses are predicted basing on the bodyarmours past financial statement and they are as shown below.


Other than creating Bodyamord social joints, the company will also exploit the available retailers in San Diego to distribute the drinks. Hence, the drinks will be distributed to supermarkets and other convenient retail centers. Total distribution costs will be $ 3000,000.

Print and Website Advertisement

The company will make a consistent advertisement campaigns on the print media of Wilamette Weekly. This is because the paper has a readership number for the desired population. The magazine covers weekly entertainment, sports, movie news and weekly upcoming events like sports, movies and...

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