1. FUNCTIONAL BEVERAGES: OVERCOMING
CONSUMER BIAS TO OVERTAKE THE JUICE
PRODUCTION INDUSTRY
Sharon Tam
Marketing Management- Sandra Metraux
4/23/12

2. 1/3 Of Adult Americans Are Obese
12.5 Million Children (2-19) are also at
risk for diabetes and other unhealthy
diet related illnesses

3. USDA recommends no
more than 40g of added
sugar
Average American drinks
upwards to 120g daily

4. Campaigns promoting health and
fighting obesity have emerged

5. JUICE PRODUCTION INDUSTRY

6. FUNCTIONAL BEVERAGES
 Ready to drink beverages crafted with vitamins,
herbs, minerals and other healthy ingredients to
offer physical vitality and mental benefits beyond
hydration

7. Hydration
Energy Drinks
Enhanced Fruit Wellness & Weight
Drinks Management
Soy Beverages Energy & Rejuvenation
Enhanced Water
Health
Ready to
Drink Teas
Performance
Beverages

8. KOMBUCHA
Kombucha is a fermented tea
beverage that originated from
Asia and Eastern Europe
Week to
Months
Yeast and Bacteria Cultures

9. KOMBUCHA
Ready to drink probiotic tea
that promotes overall health
“Wonder Tonic”

10. YERBA MATE TEA
South American Rainforest Holly Tree
24 vitamins
and minerals
15 amino acids
0 calories

11. YERBA MATE TEA
Ready to drink tea that has the caffeinated
strength of coffee, vitamin and antioxidant
benefits of tea and euphoric qualities of
chocolate

12. YERBA MATE TEA

13. DEMOGRAPHICS
 Generation Y (1972-2002)
 “On the Go” hard working lifestyle
 Energy Drink Consumers
 Technologically Savvy
 Naturally distrustful
 Heavily involved with
Social Media

14. QUANTITATIVE DATA
 Surveyed 30 Babson Students

15. QUANTITATIVE DATA
 Key Takeaways
 80% consume energy drinks
 83% drink to stay awake to finish homework and during
parties
 92% prefer Red Bull, Monster and Amp
 These brands are culturally relevant and lifestyle
appropriate
 42% have interacted with these brands through social
media (Facebook, YouTube)

16. DEMOGRAPHICS
 Lifestyle of Health and Sustainability
 Men & Women (22-55)
 College Educated and Informed Shoppers
 Health conscious, active and culturally aware
 Household income 75k
 Motivated to embody a healthy and sustainable
lifestyle

17. FOCUS GROUP
 5 individuals (20-36)
 Presented randomized kombucha and yerba mate
tea company websites and asked for feedback

18. FOCUS GROUP-KEY TAKEAWAYS
Guayaki Yerba Mate Product Copy
“Each…bottle contains caffeine levels
comparable to a cup of coffee…the stimulation
is balanced by mate's natural theobromines and
theophyllines.”

19. FOCUS GROUP-KEY TAKEAWAYS
“Websites are too
basic, lack web
2.0 integration
and social media
network. ”

20. FOCUS GROUP- KEY TAKEAWAYS
Old Fashioned Folk
Remedies
Not Culturally Relevant

21. FOCUS GROUP- KEY TAKEAWAYS
Foul Smelling and Tasting
Meant for “Hippies” and
Green Extremists

22. CHALLENGES
 Brand Image Trap- Consumers perceptions take a
primary role within a brands strategy
 Consumers associate kombucha and yerba tea brands
as a strictly vegan, hippy and green activist product
 Old fashioned folk remedy
 Unappealing taste and smell
 Product Attribute Fixation Trap- Brand too focused
on product attributes
 Product Copy is too focused on functional benefits and
doesn’t create an emotional connection with the
consumer

23. SUGGESTIONS
 Brand Image Trap- “Foul Smelling & Tasting”, “Only
for Hippies”
 Product sampling tours to showcase beverages

24. SUGGESTIONS
 Brand Image Trap- “Foul Smelling & Tasting”, “Only
for Hippies”
 Expand to Walmart, Pathmart and Shoprite
 Don’t limit themselves to organic grocers such as Whole
Foods

25. SUGGESTIONS
 Brand Image Trap- “ Only For Hippies”
 Targeting middle school and high schools to
carry these natural and healthy products
 Introduction to younger generation will build
brand equity and foster a lifelong relationship

26. SUGGESTIONS
 Brand Image Trap- “Old fashioned folk
remedy”, “Not Culturally Relevant”
 Website makeovers
 Invest in mobile marketing “advergaming”
 Smartphone Generation

27. SUGGESTIONS
 Coca-Cola
 “Thumbs Up Everest”
 Mobile adventure that gave away weekly prizes to a
high score winner
 Downloaded 350,000 times weekly

28. SUGGESTIONS
 Product Attribute Fixation Trap
 Give the copy personality
 Use simple language to explain the product
 Use relatable language

29. QUESTIONS

30. EXHIBITS- SURVEY RESULT DISTRIBUTION