Crecent Pure Analysis

Taylor Hayden

Prof. Mgrdichian

BUSN 301

12/2/14

Crescent Pure Analysis

Key Issue:

The Key issue in this case is whether not to label the Crescent Pure drink as a sports drink, an energy drink, or focus more on the drink’s healthy and organic roots and which one would attract the most customers.

Relevant Considerations:

- The Crescent energy drink could be promoted to boost energy and promote mental focus

- There is a concern about the long-term viability of the energy drink market

- The regular consumption of energy drinks have fallen because of negative media attention.

- The price for a Crescent sports drink would be significantly higher than those of similarly sized sports drinks.

- The market for energy drinks was growing; between 2010 and 2012, the market for energy drinks had grown by 40%.

- The largest group of energy-drink consumers were males between ages 18 and 34.

- Sales of energy drinks with lower levels of caffeine and purer ingredients were rising due to consumer demand for healthier food and beverage choices.

- Roughly half of men drank sports drinks, while only a third of women did.

- Concern regarding rising childhood obesity rates resulted in government-mandated guidelines to remove high-calorie sugary drinks and snacks, including sports drinks, from school vending machines beginning in 2014.

- New diet and low-sugar sports drinks were growth areas for the industry.

- Crescent appeared to be most popular among consumers aged 18-30

- A higher percentage of women purchased Crescent than expected.

- Younger, health-conscious consumers who regularly consumed energy or sports beverages were prospect for Crescent.

- Crescent could position itself as an organic refreshment and capitalized on the growth of the organic food and beverage industry.

Recommendation:

I recommend that PDB focus more on a healthy, organic drink than an energy or sports drink, since more people have reacted positively to a more health oriented...