Thursday, April 1, 2010

Strategic Quadrant

The category Coca Cola is trying to enter is the health drink category. Although Powerade, which is in this category, is a Coca Cola product, they are attempting to leverage their brand equity and garner more soda sales by pushing Diet Coke into direct competition with this and other sports drinks. The category leader is Gatorade. Drinks in this category are supposedly more nutritious for you then high calorie drinks (although some beverages in this category do have a high calorie count). Many drinks have electrolytes and other health benefits.

The customer is anyone who drinks Diet Coke at least one time a month. About 51% of Diet Coke drinkers are female.
- Aim for high purchase frequency, high purchase quantity, and brand loyalty (ie won't drink Diet Pepsi over Diet Coke)

The marketing objective is acquisition. Soda sales are down, and Coca Cola wants to acquire new customers by pushing their soda into the healthy beverage category. Their calorie free beverage and partnership with the Heart Truth campaign will help them reach this goal and convince customers to purchase Diet Coke instead of their competitor's drinks.

The source of volume is steal share from Gatorade and other health drinks. Gatorade is the category leader, and Diet Coke would like to inspire customers to purchase their beverage instead.

4 B's:
Bodies:
female, health conscious beverage consumers
Beliefs:
(before) Diet Coke is a soda, it is not healthy. I drink Gatorade when I want a healthy beverage.
(after) Diet Coke is a healthy beverage that is more refreshing than Gatorade
Behaviors: drink Diet Coke (before purchase Gatorade, now purchase Diet Coke)
Bucks: TBD

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