BÀI TẬP TÌNH HUỐNG 1

 ZUMO - CREATING A GLOBAL BRAND

BACKGROUND

The best - selling sports drink, Zumo, is produced by Zumospa, a food and drink company based in Valencia, Spain. In the last financial year, Zumo contributed EUR 30 million  to Zumospa's annual revenue, accounting for 20% of the company 's total turnover. It is, in fact, Zumospa cash cow. generating more revenue than any other of its products.

At present, Zumo is sold only in Europe. However, the sports drink market is the most rapidly growing segment of the world beverage market. Zumospa is now looking outside Spain for markets and would like to make Zumo a global brand.

KEY FRATURE OF ZUMO

- Contains caffeine, vitamins and glucose
- Has a secret ingredient, "herbora", made from root of rare Africa plants.
- Scientific studies show that the body absord Zumo faster than water or other soft drink
- The unique formula contributes to  Zumo's taste and thirst-quenching properties.

MARKETING

- Launching in the mid-1980s. Positioned as an energy product for fitness-concious people, espacially sportsmen and women, between the ages of 20 to 45

- Distribute mainly through grocery stores, convenience stores and supermarkets. Also through sport clubs. Additionlly, sales are generated through contracts with professional legues, such as footbal, goft and tennis associations.

- Press, TV and radio advertising is backed up by endorsement contracts with famous European footballer and tennis stars.

- Zumo is offered in four flavor and its price is in the medium range.

DEVELOPING A GLOBAL BRAND

Zumospa needs to reposition it for the global market. Initial research suggests that Zumo is percieved as a Spanish drink, and its close indentification with Spain may not be suitable when developing a globle brand.

Zumospa would like to launch a global campaign focusing first on South America, Mexico, the southern states of the US and Japan, where they have regional officers. A decision has been take to use standardised advertising theme in these markets, although the copy of the advertisments and language of the TV and radio commercials will be adapted to local needs.

Before setting up focus group in these areas and commissioning market surveys, the MArketing Department of Zumospa have organised an informal departmental meeting to brainstorm ideas for their glabal marketing strategy.

BRANSTORMING SECTION

1. Does Zumo need a new name? If so, what?
2. Introduce Zumo varieties for different market segments e.g diet Zumo? Other version?
3. Redesign Zumo bottle/can? If so, how?
4. Create a new slogen? Suggestions?
5. Ideas for TV or radio advertisement. Also, newspapers and magazines?
6. Price - medium range?
7. How to compete again simillar products from Coke, Pepsi, Heinz, etc?
8. New market opportunities for Zumo?
9. Create a special division to market Zumo worldwide?
10. Apply to be official sponsor at next Olympic Games?

TASK

You are members of the Marketing Department of Zumospa. Work in group and brainstorm the points listed in the rough note. One person in the group should take notes. Then meet as one group and select some of the best suggestions for futher study.

WRITTING

As Marketing Manager for Zumospa. write an email to the directors of the company informing them of the key ideas which came out of the brainstorming session you attend. You should indicate which idea you favour and why.