Market a Sports Drink

Market A Sports Drink

Assignment:

·  You will work as an individual to complete this assignment.

·  Your assignment is to develop a new sports drink for the consumer market.

·  Review the situation below before starting the project

·  Complete the attached worksheet & turn in at end of class 1.

o  You may need to refer to the Product Development slideshow on my website on January 4/5

·  You will create a PowerPoint next class.

o  Please do not start this assignment without the rubric given on class 2.

Situation:

·  You work for the SERM Beverage Company, which is a creator of new sports drinks.

·  The market has been dominated by Gatorade, PowerAde and AllSport.

·  Your company thinks it has a formula for a new sports drink that’s even better.

·  Your company believes that affiliation with a popular sport or athlete would help get this new product off the ground.

New Product Development Worksheet

1.  Name of Sports Drink: ______

2.  Describe your target market: ______

______

______

______

3.  Advertising campaign: Theme/Slogan:______

______

______

______

4.  Sports/Celebrity/Team Endorser:______

______

______

5.  Features/Product Benefits:______

______

______

______

6.  Competition:______

______

______

______

7.  Apply the steps of Product Development:

1.  SWOT Analysis (detailed)
Strengths Weaknesses
Opportunities Threats
2.  Idea Generation:
What is your new product?
Why would a company want to introduce your new product?
3.  Screening & Evaluation
Identify which ideas are being eliminated & indicate the reason (You may not infringe on existing trademarks)
Ask your teacher and several classmates about your idea
Determine why or why not people may want to buy your product
4.  Business Analysis
Determine the cost of the product (use the chart below)
Is the suggest retail price appropriate for the marketplace? why
5.  Development
Include a prototype (can be a basic drawing/overview)
Must include a detailed example of the label (use the chart below)
6.  Test Marketing
Where would test market your product and why?
Is it cost-effective for your product to enter this step: why or why not?
7.  Commercialization
Apply the Marketing Mix to your final product as it enters the marketplace:
-Product:
-Place:
-Price:
-Promotion:

8.  Complete the steps of the product development process. Provide the appropriate information for each step:

4.  Business Analysis:

Use the following figures to determine the cost of ONE unit of your sports drink. Circle the items being included in your costs.

Ingredients: Cost:

Water .012

Corn syrup/sugar .05

Citric acid .02

Carbonation .005

Cola flavoring .025

Lemon/lime flavoring .028

Fruit Flavoring .028 for each flavor

Preservatives .013

Aspartame .06

Other .01 each (list ingredients)

Package: Cost:

Glass .05

Plastic .035

Aluminum .03

Size: Cost:

8 ounces .02

12 ounces .025

16 ounces .03

20 ounces .04

32 ounces .05

Label: Cost:

Paper .005

Printing .02 per color (list each color being used)

Cost: ______Suggested retail price: ______(include 40% markup)

5.  Development:

1.  Design a label for your package. The label must include:

a.  Brand name b. Brand mark

a.  Ingredients d. Nutritional information

e. UPC code

Presentation and Evaluation:

·  In addition to your New Product Development worksheet (must be submitted), you will present your new sports drink to the class on exam day. This includes the actual package for your new sports drink (bottles, cans, construction paper).

·  Remember: It must be the size indicated in your cost analysis. Your package must meet the following five functions of packaging:

o  Label

o  Brand name

o  Ingredients

o  UPC code

o  Brand mark

o  Nutritional information

Market A Sports Drink - PowerPoint Presentation

Today you will be responsible for creating a PowerPoint slideshow to showcase your Sports Drink. The following must be included in your PowerPoint:

1.  Title Slide: must contain the name of your sports drink, a picture of your sports drink, and you/your partners names

2.  Background Slide: must include the specific target market that you identified, price of your sports drink, locations where this product will be sold

3.  Information Slide: explain the following: name of your product, advertising theme/slogan, sports/celebrity/team endorser, product benefits/features

4.  Prototype Slide: explain what elements you included on your product label (i.e. Brand name/Brand mark, Ingredients, Nutritional information, UPC code) ALSO this is the time where you will show your prototype sports drink (i.e. hold up your custom made bottle with unique label)

5.  Conclusion Slide: conclude by answering the following “would my classmates/teacher purchase my product? Why or Why Not!”

Please also take the time today to make sure that the following have been completed and/or turned in:

1.  Market A Sports Drink packet with completed worksheet pages 2 & 3 (this item must be TURNED IN)

2.  Bottle Label must completely meet the following 4 characteristics & printed in color (this item must be TURNED IN)

a.  Brand name/Brand mark

b.  Ingredients

c.  Nutritional information

d.  UPC code

3.  PowerPoint slideshow must completely meet the 5-slide minimum that I listed above (this item must be COMPLETED and saved on your home drive)

4.  Product Prototype must include the following in order to be considered complete (this item must be COMPLETED and kept in your locker for presentations next week)

a.  Be an empty bottle that meets the size you determined on your Market A Sports Drink worksheet

b.  Contain a colorful label that meets all of the requirements that I listed above for the Bottle Label

Rubric
Name: / Date:
Requirements / Possible Pts / Score
50
(5 pts. each)

Target Market Identified

Name of Sports Drink

Advertising Campaign: Theme/Slogan

Sports/Celebrity/Team Endorser

Features/Product Benefits

Completed steps of the product development process:

·  Idea generation

·  Idea screening

·  Concept testing (evaluation)

·  Business feasibility

·  Pricing: Cost, Wholesale, Suggest Retail Price
Product Development / 40
(5 pts. each)
Your package must meet the functions of packaging:
·  Label
·  Brand name
·  Ingredients
·  UPC code
·  Brand mark
·  Nutritional information
·  Creative design
·  Same size as cost analysis
Midterm Exam PowerPoint Presentation / 50
Effectively introduced your new sports drink and answered questions effectively
THIS SECTION COUNTS AS YOUR SECOND SEMESTER FINAL EXAM!!!
Total Points: / 150