MARK3220 L2B: Multi-V
Table of Content
Executive Summary| 3|
Research Design| 6|
Data Analysis| 10|
“Glacéau Vitaminwater”, the vitamin enhanced water, spreads globally with record-breaking sales once it was launched. Vitaminwater stepped into Hong Kong market in 2009. However, the sales are not that good. The research was conducted to investigate into the existing problems that led to the unsatisfactory sales in Hong Kong and provide suggested solutions. It was mainly focusing on the universities students. After conducting this research, we have come up with the potential ways to rectify the current situation. Existing Problems
Vitaminwater has been enjoying a positive brand image. But with lots of sponsors provided to universities, there is still a poor word-of-mouth effect. The positioning of Vitaminwater is ambiguous. In general, the main reasons are the inappropriate promotion strategies, lack of promotion coverage, unattractive tastes, no choices considering the volume and the high selling price. Suggested Solutions
Positioning should be clearer as healthy drinks. More intense promotion strategies are suggested to increase the coverage, particularly on magazines, newspapers, bus advertisements and leaflets. Invite celebrities with energetic and healthy images as spokesmen. Some gimmicks like free samples distribution and random home visits are suggested to be included in the promotion strategies. Besides, providing Vitaminwater with localized flavors is a sound choice. Students are quite interested in Citrus maxima and Lemon and Honey flavors. Apart from that, for the level of sweetness, it should be increased a little bit. 400mL bottle size should be introduced as well to gain attractiveness and a fresh image. As Vitaminwater is positioned as a high-ended drink, the selling price should not be reduced without much consideration.
‘Glacéau Vitaminwater’ (Vitaminwater) was originated in US in 2000 with the aim to help people on the go feel better, perform better, and live healthy lives. It is composed of filtered water with mineral and vitamin and provides more than ten flavors with colourful package. It began its global expansion starting from 2008 and stepped into Hong Kong market in October 2009. Despite its variety of promotion mix and healthy image as a high-nutrition drink with vitamin, it is unable to win a good mouth in local market and results in a relatively low market sales compared to US market which created a record-breaking sales of 700 million USD in 2010. Purpose of Research
Since Vitaminwater has a very satisfactory performance in US, we believe the product itself has potentials to be sold in Hong Kong. However, due to the very different taste and culture between US and Hong Kong market, the same promotion strategies may not be appropriate in Hong Kong. Looking at the performance of Vitaminwater in Hong Kong after its launch in 2009, we believe there are rooms to improvement. And a very essential first step is to understand the customers of the product so that we can provide what customers want and design promotion strategies that fit to their interests and needs. What’s more, only by conducting a research on customers who have tried Vitaminwater help figure out the existing problems of the product, taste, promotion and other attributes. After this research, a clearer direction of how to target on local market can be obtained and improvements of the product itself and marketing strategies can also be made in order to increase the sales of Vitaminwater in Hong Kong. In this research, we aim to find out the perception of customers to Vitaminwater and the concrete reasons of low market sales of Vitaminwater in Hong Kong, so as to provide suggestions to help boost the sales of Vitaminwater in Hong...