ABAC School of Management
MKT 4730: Marketing Management Term Project
I. Project Brief
Sport Drink Thailand Market Background
Thai sport drink market has grown significantly each year, +28% volume and +30% value in 2006,
been driven by
1. New Entrants: Amino OK, Unif I-firm, Sappe’ and latest launch B-Ing. These new brands position
themselves a “Lifestyle drink” that cross functioned with sport/Active activities. They rather
expand the market than gain sales from existing players, Sponsor nor M-Sport.
2. New products: Sponsor Orange, Amino OK Orange, M-sport new Glass bottle etc.
3. Higher media spending each year by both existing players and new brands
Spending 2002 2003 2004 2005 2006
Sport Drink 116,627 159,911 95,832 228,293 179,688 119,049 142,680
4. National promotion campaign: Lucky Draw by Sponsor, Amino-OK co-campaign with Oishi
5. Health & Wellness trend: People are concerned more on health. 70% of Thai say they will
exercise more on their next year resolution 2007
6. No. of Fitness and Sport clubs are expanding quickly in BKK
Gatorade was developed in the University of Florida in late ’60 and was rapidly spread out to nearby
states and finally through out the US. Now, Gatorade is no. 1 sport drink TM. Gatorade is scientifically
proven and well accepted by professional athletes e.g. Maria Sharapova, Ronoldinho. Gatorade helps
replenish, refuel and refill and for everyone who sweats.
In Thailand, Gatorade is still small and has about 80% recognizing the brand with only 27% ever tried
due to low number of distribution channels, small marketing activities, and higher price than key
competitors. Despite heavy push/pull activities, Gatorade itself grows gradually each year.
Gatorade in Thailand offers 2 flavours (Lemon Lime and Grape), 2 sizes 250ml @13 Baht and 400ml
@21 Baht. Major Channel of Distribution are Super/Hyper Market Convenience & G-Store, and some
Sport or Fitness centers or Golf Club/driving range
The Science of Gatorade (by www.gssiweb.com)
Gatorade is the Best
It’s been backed by scientific research since 1965
Gatorade is absorbed faster than Powerade and as quickly as water
*Powerade is Gatorade key competitor in the US
Gatorade tastes best during hot and sweaty activities. Gatorade flavors and electrolytes encourage
drinking more fluids than water alone.
Gatorade is a 6% carbohydrate solution. Contrary to what Powerade says, more carbs are not better.
Research shows that and 8% carbohydrate solution takes loner for the body to absorb
Gatorade contains minerals such as sodium, potassium and chloride. Sodium is a key electrolyte
because it stimulates fluid absorption, enhances taste and helps the body “hold” onto fluid longer to stay
Gatorade has twice the performance benefits of water.
The carbohydrate content of Gatorade is scientifically balanced to provide just the right sweetness,
speed fluid absorption and provide performance-enhancing energy to active muscles.
Originated with the Gators
A group of physicians at the University of Florida developed Gatorade in 1965 to help the Gators football
team endue in “swamp-like” heat.
The Gatorade Sports Science Institute (GSSI) tests elite and professional athletes at the GSSI Exercise
Physiology, Biochemistry and Sensory Labs.
You have In In You
You the will to win and the stuff in a bottle to make it happen.
At the end of year 2006, Sponsor acquires the biggest chunk of the market (68% volume share),
following by M-sport (18% volume share), and Gatorade (2% volume share). Their advantages over
Gatorade are brand recognition, distribution, price, and possibly& presumably the level of sweetness
(Thai like sweet). Lower price point is also the advantage. Sponsor and M-Sport both ~40% cheaper
than Gatorade. (see chart)
Average Price per Liter
Price Point Sold in Retail Stores
Indexed to Gatorade
Amino Ok -18%
Unif i Firm -24%
The new brands like B-Ing or Amino OK are also considered Gatorade’s competitors as well. They offer
similar benefits and price point. They have come with modern look, convenient on-the-go and additional
supplements e.g. Amoni acid, L-Carnitine, Vitamins. However, neither Unif I-firm nor Amino OK
manages to sustain their sales, perhaps due to an unclear benefit claims. B-Ing has recently launched
and highly/actively been spending on above the line activities.
Market barriers for Gatorade:
- Low brand awareness
- Higher selling price than major competitors
- FDA functional benefit claim limitation
- Limited distribution channel
- Low product knowledge of consumers
II. Project Details
The key objectives of this project are to determine what we can do to
- Marketing educational messages must go to the right target and able to convince them
“Why Sport Drink” and “Why Gatorade”.
- Build more brand awareness, Top of Mind Brand, Trial, and Repeat usage
- Projecting share shift 2008-2010 (Increase market share from 2%)
In addition, the company also would like to know target market (understand sport drink consumer
segmentation) and consumers behavior in buying sport drink and the influence factors affecting their
decisions. Therefore, the students are required to start the project by initial data gathering.
1. Initial data gathering
Objectives for initial data gathering
The key objectives are to find out
- The target market of Gatorade, and competitors Sponsor, M-sport, B-Ing, Amino OK, etc..
- The consumer behavior & triggers in buying sport drink
- Current positioning of Gatorade and competitors Sponsor, M-sport, B-Ing, Amino OK, etc..
in Thai market
Recommend appropriate one-year marketing plan suitable with consumers in the current market in order
to achieve the ment
Research approaches and instruments:
Initial data gathering: depends on your approach, for example, focus group or In-depth interview (consult
with your lecturer).
From the result of initial data gathering, develop survey method to know more about consumer behavior.
Initial data gathering: depends on your approach (consult with your lecturer)
Questionnaire Survey: at least 100 units are needed. With 50 respondents are at least past 4 weeks
Gatorade drinkers, and another 50 respondents are at least past 4 weeks drinkers of major competitive
- Available budget for the integrated marketing communication (IMC) spending is not more than 30
million baht (***No advertising on national television due to limited budget and Gatorade is
niche for Thai market - not mass brand)
- Cost of goods sold is estimated at 70 percent of sales.
More information: www.sm.au.edu/mkt
1. Students within the same section (forming a team with students in other sections is prohibited) are
required to form a group of 7 (more members in the group are acceptable only provided that the groups
obtain permission from the concerned lecturer).
2. The team assignment is to formulate one-year comprehensive marketing plan covering period of
January 1st, 2009 – December 31st, 2009.
3. Meet the submission deadlines regardless of reasons.
This group semester project is worth 25% of your total semester performance. The specific mark
allocations are stated in the course outline as:
Project Paper (Written Report) 15%
Research Design & Data Collection 5%
Individual Presentation 5%
SUBMISSION POLICY AND DEADLINES
1. Friday November 16th, 2007. Submit summary of initial research result to your course instructor by
2. Friday December 7th, 2007. Submit your drafted questions for proposed questionnaire used for
survey to your instructor.
3. Friday January 11th 2008. Submit an analysis of current marketing situation including macro, micro-
environment, 3-page summary of research findings, and SWOT analysis.
3. Submit the final project on Friday February 22nd, 2008 at the ABAC School of
Management Office (D-Building, 6th—floor) during the office hours only (09:00-17:00). Late
submission will be accepted with mark-reduction penalty. Only the group leader or representative will be
allowed to enter the Office. Along with the final project, students also need to submit the hard and
softcopy of SPSS inputs and results, and appendices.
4. 1% deduction will be applied to all the works submitted between 17:00-18:00 on the
submission date. After 17:00 sharp, all remaining projects will be suspended until the next working day.
5. Upon submission of project, students need to sign for the evidence of submission.
6. All video and audio materials, i.e., POP, storyboard, mock-up products are not required
on the submission date as they have to be used during their presentations.
1. All teams are required to make appointment with their lecturers for oral presentation, which will be
held after the final examination and during the date and time specified by the lecturers. Since the
project is the group’s effort, the presentation does require all group members’ participation. Failure
to be present and participate in the presentation regardless of reasons, will result in the team
members’ presentation marks be deducted to “0”. Please bear in mind the lecturer (full-time and
part-time) has to exert their extra efforts in making these numerous presentations possible.
2. Each team is required to use “PowerPoint” software in their presentation and to finish the
presentation within 20 minutes time. It is advisable that the team leaders should set appointment for
the team presentation with their lecturers. As appointments would be arranged only on the first-
come-first-serve basis, the sooner the appointment is made; the earliest convenient time can be
selected. Each instructor will inform their students of their presentation evaluation criteria,
presentation schedule, and location.
The topics listed in this section are all mandatory for all projects submitted. The omission of any
parts will result in obtaining “0” point.
Part 1: Introduction
1. Cover Page (including: project name, each group member’s full name, admission code,
section number, and instructor’s name)
2. Detailed Table of Contents (includes relevant pages)
3. Executive Summary
Overview of entire plan, including market and company potential, degree and basis of competition,
the target market, description of the product or service, the differential advantages, unique selling
propositions), the required investment, major competitors, geographic coverage, distribution
channels, pricing objectives and strategy, promotion strategy and anticipated sales and profits,
market share in billings and competitive position in the industry in the future.
Part 2: Industry Profile and Brand Analysis
1. Industry Profile (Tables, graphs, and charts are needed on annual basis.) (Length: 3-4 pages)
Define the market performance in terms of
sectors and segments of the market
Size, growth, and trend of the market
Values (Baht) and volume (units, no. of users)
Related law or restrictions
2. Company / Brand Analysis (Length: 4-5 pages)
Introduce company and analyze the company’s current product(s) (Gatorade).
Introduce the company in terms of
Company background / brief history
Business they are in
Product mix of the company
Analyze company’s product (Gatorade): describe the company’s product for the following
o Product Attributes
o Services Offered
o Current product life cycle
o SWOT Analysis
3. Describe the Current Target Market(s) (Length: 2-3 pages)
Explain in detail the brand’s current target market(s).
Demographic/psychographic profile of the market:
Describe the following characteristics of targeted customers:
o Needs/benefits sought by market
o Product usage
o Product positioning
Evaluate how customers perceive the product in relation to competitor’s
products or to other solutions they use to solve their problems
Describe the purchasing process:
o How does the target market make their purchase?
o Who makes the purchase?
o Who or what may influence the purchase?
Provide market size estimates:
Provide size estimates for the potential market
Provide estimates of size for the current target market
Provide estimates of future growth rates (At least through the timeframe for the
plan (e.g., 1 year) but most likely longer (e.g., 3-5 year projections))
4. Competitive Analysis (Comparison tables, graphs, and charts are needed.) (Length: 3-4 pages)
Describe direct and indirect competitors in terms of:
o Target markets served
o Product attributes
o Distribution including the distributor network
o Services offered
Identify SWOT analysis of key competitors
5. Financial Analysis for Product or Product Line (Tables, graphs, and charts are needed.)
(Length: 2-3 pages)
Current Sales Analysis: show for each product category or segment, or region (based on your
Profitability Analysis: : show for each product category or segment, or region (based on your
o Marketing Expenses
6. Environmental Problems and Opportunities (Length: 1-2 pages)
Areas of consideration:
o social and cultural
o legal, regulatory, ethical
Part 3: Marketing Strategy and Objectives
1. Financial Objectives (1 page)
Specify your financial objectives for your marketing strategy for the coming year.
o by volume and growth percentage
o by segments
Ratios (use common financial ratios and other metrics associated with marketing in the
2. Marketing Objectives (1 page)
Target market objectives
o market share
o customers (number/percentage growth)
o level of brand/company awareness
o product trials
3. Marketing Strategy (1-2 pages)
Strategies generally fall under one of the following (or in some cases more than one) ideas:
o Higher market penetration
Sell more to same market (i.e., get current customers to buy more or buy more
o Find new markets
o Develop new products for existing customers
o Develop new products for new customers
Part 4: Tactical Marketing Programs
1. Target Market Issues (Length: 1-2 pages)
Target market: identify current target market. If you have plan to change target market, identify
your objective and details of your plan.
2. Product Issues (Length: 2-4 pages)
Product: identify your plan related to existing products or new products by specifying
features/attributes offered, category of product, branding strategy, packaging, and labeling.
3. IMC Issues (Length: 2-4 pages)
Describe how the product will be promoted. Integrated marketing communication consists of
six major areas – advertising, sales promotion, public relations and personal selling, direct
marketing and event marketing – though not all may be used.
Timetables for promotion are important since certain types of promotions (Most information in
this section can be shown in tables and graphs.)
Specify promotional objectives and cost for each IMC tool planning to used.
4. Distribution Issues (Length: 1-2 pages)
Identify distribution plan for the product (s) in details including objective of the plan, type of
channels, and distribution cost.
5. Pricing Issues (Table and graph are recommended.) (Length: 1-2 pages)
Specify pricing strategy for the existing / new products. It should indicate factors influencing
pricing strategy such as costs, competition, customer expectation, and economic situation.
Part 5: Budgeting, Performance Analysis and Implementation
1. The Marketing Budget (Tables, graphs, and charts are required.) (Length: 2-3 pages)
Outline spending budget for each product for each marketing activity by showing details of
spending timetable by month for 1 year.
2. Performance Analysis (Tables, graphs, and charts are required.) (Length: 2-3 pages)
Show revenue versus expenses for marketing decisions (Detailed financial statement
projecting anticipated income and expenses for one year. Your one-year projection must also
be supplemented by projected monthly income statements.)
Primarily for plans that involve the sale of tangible products, the breakeven analysis indicates
the level of sales (generally described in terms of number of units sold) required before the
company realizes positive marketing contribution.
3. Implementation (Gantt chart format) (Length: 1-2 pages)
Detailed explanation of one-year action plan covering period of January 1st, 2009 – December 31st,
2009 that would enable company to accomplish the aforementioned marketing objectives.
An implementation chart (on monthly basis) of your action plan must also be prepared.
Format and content consideration
Support information, graphs, and pictures can be placed under appendices to avoid providing too
much information in the main part of the marketing plan. They can be classified into different
appendices according to their relevance or type of the information.
To avoid plagiarism, all sources of information need to be properly cited in this part.
THE PROJECT AND DOCUMENTS:
Each group is required to strictly follow the following requirements:
1. Do not exceed 40 pages (excluding Appendix section). The additional pages will be automatically
2. Use only “Arial” style with the font size #12, 1.5 line spacing, gutter of 0.75”, left and right margins of
1” (ensuring space on the left margin for binding).
3. Provide citations when secondary information or data are used. Failure to cite the source of
information will result in 1% deduction from total project scores.
4. Use only “80 grams” white, non-perfumery paper is acceptable.
5. Use rings bindings only.
6. Be noted that the projects written with poor grammar will be rejected and be deducted 3% of the total
scores. The group would be required to rewrite the project based on the original content – presumably
each group will have backup files in the diskette, and submit the rewritten project to their respective
lecturers within 24 hours after the presentation date – (the original project containing comments and
correction will not be returned to students until their rewritten projects are satisfactorily improved).
Moreover, if the rewritten project is still found to contain grammatical mistakes or syntax problems, the
project will automatically result in the additional 2% off from the remaining scores. For their future
reference, each group is highly encouraged to make a backup file of the final project prior to its