Case Study on Glaceau Water

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Marketing management

MPK 732

Assignment One

Trimester 1, 2010

Unit chair

Paul Harrison

Submitted by:

Darshan Raghavendra Katta- 800657253

Suhas hiremath-900014303

Kaushik jadhav-900047356

Word Count- 3976

ANSWER 1

Introduction

Two decades ago, the market share of bottled water industry in Australia was close to zero, everyone preferred to drink tap waters where they have access to safe, clean drinking water .due to fundamental life style shift occurred over time resulted tremendous growth in this product category.

In 2007, the functional beverage market reached $9.8 billion. From 2002-07, there was an increase in the market of 30% at current pricing. Ready-to-drink enhanced bottled water and sports drinks are leading with highest among consumer usage aged 18-34, as well as households with children. Many youngsters see these drinks more as a hip, lifestyle beverage. These consumers select brands of beverages just as they select the “in” brands of clothing. Market gains have to do with teens and young adults who flock to the energy drinks and enhanced waters, as these consumers understand these drinks rebellious and/or trendy images. Customers are now demanding more from the beverages. Instead of just being thirst quenching, these drinks must have other perceived benefits such as vitamins, minerals and energy drinks. [13]

Glaceau emerged and well established in 1996 in” enhanced water category.” Glaceau produced a line of bottled beverages called Vitamin Water, which combine distilled water with vitamins, herbs, and fruit flavours. Vitamin Water is a dominant brand that has much strength in its overall marketing strategy and has strong brand positioning [13]

where it targets a large demographics and occupations , Vitamin Water is available in North America and recently launched in Australia by Australia Energy Brands, Inc. offers several flavoured vitamin water drinks. In 2007, Coca-Cola...