CRESCENT PURE
A HARVARD BUSINESS SCHOOL CASE STUDY ~SHOAIB ARSHAD KHAN
PDB (PORTLAND DRAKE BEAVERAGES) COMPANY PROFILE1.Manufacturer of Organic Juices.
2. Clocked $120.5m revenues by 2012
3. Values: Health & Affordability
CRESCENT PURE’S HISTORY
as
as
~Founded by Peter Hooper in 2008
~Because he saw a market for healthy , energizing drink
~Non-alcoholic, functional beverage.
CRESCENTS ACQUISITION BY PDB MICHAEL BOOTH (CEO, PDB)
Saw his son’s drinking Crescent pure
They found the drink healthy and refreshing
Consumer demands for organic beverages were increasing
Booth thought Crescent to be perfect match for PDB’s organic Segment hence acquired it
SITUATION :-• as
AS
Soft launch in 2014, due to lesser
Production Capacity
CEO has asked Sarah Ryan (V.P.
Marketing) to form suitable
Marketing Strategy
PRODUCT POSITIONING OPTIONS
• as
ENERGY DRINK1.$2.99 per Can (Avg. Pricing)2.Age Group :- 18-243.Top 6 players account for 85% of
Revenue4.Attracts comparatively lesser
consumer base
SPORTS DRINK1.$1- $2 per Can ( Avg. Pricing )2.Age Group :- 12-243.Top 2 players have 94% market
share4.Attracts higher consumer base
ORGANIC DRINK1.25% premium2.All Ages3.New emerging Market
MARKET TRENDS1. Drinks with low Caffeine & Sugar2. Rising sales of healthier beverages3. Fierce competition amongst both energy
and sports drink4. Organic Drink Industries – emerging and
growing rapidly
CRESCENT PURE Vs
COUNTERPARTS
Contains Organic Juices
HERBAL STIMULANT :- GUARANA SEED (Delivers Caffeine= 80 mg)
RAW CANE SUGAR(70% less sweeter)
GREEN TEA
BEVERAGE DISTRIBUTION SYSTEM IN U.S.
MANUFACTURER
DISTRIBUTORS (Adds 25% margin while selling to retailer)
RETAILERS (Adds 40% margin while selling to customers)
CONSUMER STUDY
CONSUMER STUDY
CONSUMER STUDY
BREAK EVEN ANALYSIS
DISCLAIMERCREATED BY SHOAIB ARSHAD KHAN, SSGI-FET BHILAI, DURING A MARKETING INTERNSHIP BY PROF. SAMEER MATHUR, IIM LUCKNOW
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