Essay About New Energy Beverage Brand Introduction And Energy Beverage Category

Dpsg Case Question
Dr Pepper Snapple GroupCase QuestionsHow would you characterize the energy beverage category, competitors, consumers, channels, and DPSG’s category participation in late 2007?Describe the categoryDescribe the competitorsDescribe the consumersDescribe the channelsDescribe DPSG’s current strategy and future involvement Does your characterization bode well for a new energy beverage brand introduction in general and for Dr Pepper Snapple Group in particular?What are the success factors?Could DPSG have what it takes?What target consumer market should be chosen for a new energy beverage brand?What are the bases for segmentation? In your opinion, which group is the most attractive?Should DPSG target this group?What product should be introduced and how should it be positioned/differentiated?Describe the product that you think DPSG should introduce given the features that are most popularWhat are the pros and cons of the positioning options for this new product?Through which channels should a new energy beverage brand be distributed?Where should the new product be sold?What dollar amount for media advertising and promotion should be budgeted for a new energy beverage brand?How much is currently being spent on media advertising?How much more is typically spent on promotions in this category?How much do you think might be needed to launch a new product in this category? Look at what other product launches in the past have cost.)What suggested retail price should be recommended for a new energy beverage brand?Calculate a price per ounce for competitor brandsA case is 18 16-ounce containers or 12 24-ounce containers; regardless of sizes and numbers of containers, a case is always a total of 288 ounces. Determine the price for the new product given its features at the economy, midrange and premium price points (to compete with Monster, Tab Energy or Red Bull).What is a reasonable first-year sales forecast for anew energy beverage brand based upon your recommended target market and marketing mix?Use the chain ratio method to determine projected sales given your target market, channel decision, product decision, and DPSG coverage of the energy beverage category. Determine total revenue based upon projected units sold.Determine DPSG’s selling price to c0neneince stores (DPSG owns their own distributors so they don’t have to pay a wholesaler margin).Adjust this number for the effects of competition – otherwise the forecast is unrealistic.