Marketing Strategy of Bionade

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I Marketing Strategy Plan

1 Company and Product
1.1 Company overview

The “BIONADE GmbH” is a small German manufacturer and distributor of the organic lemonade brand “Bionade”. The family-owned-enterprise has 107 employees and is located in Ostheim, a small town in the northern Bavaria region of Germany. Sigrid Peter-Leipold is the industrial business manager, owner and executive manager of the “Privat Brauerei Peter KG Associate Partner” and the “BIONADE GmbH” and “BIONADE International GmbH”.1 As an offshoot of the private beer brewery (Rhoehnpils), the “BIONADE GmbH” was incorporated in 1995. The brewery master in this time Dieter Leipold invented the beverage, especially the technical producing process. It is made by a complete organic process according to a century old brewing tradition. It is the first fermented non-alcoholic drink without any extras of sugar or antidegradantes. The company started in 1995 with around 100.000 bottles per year. In 2000 a big beverage distributor of the gastronomy sector in Hamburg discovered the product. Since then sales increased continuously up to 25 million bottles in 2005. 2006 it would be twice as much. Today the company is market leader of the German organic beverage market (Anon, 2006a; Lange & Lange, 2006; Bionade, 2006).

1.2 Mission Statement
The Mission of BIONADE GmbH is to offer a high quality product produced by a completely organic process according the old family brewing tradition. The identity and the origin of the product are guaranteed. Additional the company aims to provide a higher standard of living in the area by support the local organic farming and give new job opportunities to the people.2 1 In the following report the company is named as Bionade. This includes the international and the national firm. The private beer brewery Peter KG will not be examined.

2 The company do not present an official mission statement. The mission is formulated by the author, out of the given official information (Bionade, 2006).
1.3 Product and market
The company sells only one product - Bionade. Bionade is convenience product, an organic refreshment drink. Because of the high level on minerals (calcium and magnesium) as well as the low calories (20 cal/ 100ml) it is additionally an adequate diet and sport drink. It is main sold as a non alcoholic alternative to beer in 0,33 litre glass bottles. Additionally it is available in 0,5 PET bottles. Among to the classical herb product, it is offered in four other tastes: Elderberry, Lyche, Lyche-Forte and Ginger-Orange.

Located in the market for soft drinks1, it is a functional as well as a non coke carbonate beverage. Additionally it is part of the organic food market (Bionade, 2006). The marketing strategy plan follows from the approach of Dibb et al. (1994) and Kotler & Keller (2006). It is based on the marketing audit, which is shown in the appendix. 1.3 Corporate objectives

The corporate objectives of the company are:
⇒Increase sales up to 99 million litres in 2010 by an entrance in the international market over all distribution channels
⇒Start running the new factory in the springtime of 2007 with a capacity of 120 million bottles per year
⇒Further support of the local organic farming
2 Executive Summary
This report shows the marketing strategy plan for the next 5 years for the beverage company Bionade GmbH. It is based on an external and internal marketing audit of this organisation (appendix). The product performed well. Sales rates increased about 350% over the last years. They did not do any big marketing campaigns. To achieve the planned sales forecast over the 1 The soft drink market is differentiated into carbonates (coke and non coke carbonates), fruit juice, bottled water, functional drinks, RTD tea, RTD coffee and Asian speciality drinks (Euromonitor International category definition, 2005).

next year and to protect the current market leader ship in the segment of healthy functional...
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