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Business Management: Power Up Drink Add in library

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Describe about the marketing environment audit and marketing plan of the Power Up drink?




Power Up is an energy drink introduced by a UK based startup- Pure Health Pvt Ltd. The goal of the company is to make its latest energy drink “Power Up” as the superior and leading energy drink in the domestic market initially and then gradually expand in the international market. The mission of the company is to become the leader in producing the energy drink through organic and hygienic process. This report would be discussing the marketing environment audit and marketing plan of the Power Up drink. The report would also evaluate the marketing communication activities of the competitors of Power Up drink in the energy drink sector.

Marketing Environment Audit

Role of the marketing environment audit

Marketing Audit is an efficient examination of a marketing activities, techniques, objectives and environment with a perspective to distinguishing key issues, problem areas and opportunities. It plays a key role in planning the business arrangement for advertising in a specific market and is useful for outlining marketing plan. This process of marketing audit is the part of the audit process by the management which incorporates financial audit, personnel audit and operations audit. The marketing plan will be pretty much comparable to the arrangement of data in which it prepared on. There are different tools and strategies that can be utilized to lead marketing audit. As per Ph. Kotler, M. McDonald and H. Meffert- marketing audit is an exhaustive, precise, free and intermittent examination of activities, environment, goals and procedures of the organization, which expects to recognize issue ranges and opportunities and proposals for further activity to streamline marketing organization.

Marketing Audit process is the premise whereupon an arrangement of activity to enhance performance of the marketing process can be fabricated. The marketing audit process gives answers to inquiries:

  • How the organization is performing in accordance to the customer perception, profitability, and market share?
  • What might it accomplish if it keeps on pursuing its present techniques and where it is reaching?
  • What are its methodologies how has it come to here?

One of the best tools of analysing the marketing Audit is SWOT analysis.

Strength: Power Up is a provocative, audacious, aggressive brand. Being a start up company it has decided to launch lots of promotions and campaigns for the target audiences and also sponsorships. It is organic and fresh juice. Additionally they are creating some focused and aggressive marketing campaigns that indicate clear strategies and goals.

Weakness: Weakness is that the company do not have any reputation in the market. People are not aware of the brand. They have small staff. There is a need of lot of hires to train for and proper organizational learning.  Since people have become tech-savy setting up good reputation on the internet will be quite difficult.

Opportunity: There is a growing need for organic products in the market. Since the company- Pure Health Pvt Ltd will be focusing on using organic ingredients for preparing the energy drink there is an opportunity to capture the organic market. The company would be focusing on Government Programs to support the energy drink promotions. Additionally the new generation target audiences appreciate high-end labels and bottling so this is an opportunity for Pure health to meet the need.

Threat: The business sector is growing and expanding with many opportunities, but developments in the technology will be bit difficult to adapt. Any kind of wrong change in the focus of the company may bring in difficulty for the brand to sustain in the competitive market. Additionally many companies in this sector are setting up vertical integration process through setting up their supply and distribution channels. There are huge fluctuations in the prices being supplied. High competition in the market is creating new marketing campaigns.


Macro (external) environment

The external environment of the company can be analysed using the PESTLE tool (Political, economic, social, technological, legal and environmental).

  • Political: The energy drinks politically is under investigation because of occurrences where many energy drink companies consumptions has prompted deaths typically in conjunction with liquor utilization. While these deaths are less but are under the consideration of media.
  • Economic: The industry of energy drink has kept extending at a twofold figure rate for the most recent decade, this development has generally been unaffected by the downturn & has outperformed other practically identical commercial enterprises. This is truly a demonstration of the developing ubiquity of energy drinks particularly as they have a tendency to be significantly more extravagant than substitutes, for example, mineral & coffee. There is a slowdown of worldwide figures of energy drink in the developed economies.
  • Social: The companies of energy drinks are extremely dynamic on social networking sites, for example, Facebook & Twitter. Socially the energy drink brands are seen as cool because of the compelling games picture & group sponsorships. This cool picture has helped organizations to turn out to be very famous with clubbers, understudies & drivers. However, these drinks get a considerable measure of feedback through new computerized media, for example, sites, particularly in connection to deaths that were brought about by inordinate consumption of energy drink with spirits. Alcohol consumptions together with these energy drinks are truly famous amongst clubbers and students because of the energy it boosts. Additionally, many companies of energy drink are being cleared up in the general health pattern which has existed for as long as couple of years, & has brought about the arrival of options for sugar.
  • Technological: Technological factors are essentially restricted to enhanced assembling & transport capacity. Development in this industry has a tendency to originate from segmentation of product. The most critical Technological consider the Energy Drinks Industry is the Internet. This creation has permitted individuals over the world interface with the brands from the solace of their home, whether it is viral ads to make buzz on YouTube ever or simply collaborating with their online networking page.
  • Legal: Legitimately there is an expanding measure being taken against every single unhealthy products in the market, for example, sodas, particularly in connection to promoting at kids. Energy drinks specifically are taking a great deal of fire from political foundations which are hoping to utmost their purpose of offer. This is down to two reasons rising stoutness amongst youngsters & grown-ups, & likewise the prominent deaths connected with the consumption of energy drink.
  • Environmental: While there is sure contaminations cause by the assembling of energy drinks. The Industry is exceptionally centered on packaging reusing. The most well-known type of packaging is the aluminium can which is 100% recyclable. A percentage of the least expensive brands do use packaging using plastic for their products however these are less recyclable.

Key contemporary trends

The sales of energy drinks worldwide came to €44 billion in 2014 (about $49.9 billion), as indicated by, an online news administration covering the beverage and food industry. That is a 5% increment more than 2013 deals. Energy drinks are a piece of the more extensive soft drink classification, which incorporates carbonated refreshments, foods grown from the sports drinks, bottled water, vegetable juices and refreshment concentrates.

The market of energy drink has become saturated, making it hard for little and new organizations to contend. No organizations seem to represent a genuine risk to Rockstar, Monster or Red Bull performance. There may be room in the market for energy drink in for organizations that separate themselves from the main players' brands, which look strikingly comparative in their publicizing, advancements, and sponsorships. Contenders face difficulties, for example, circulation, getting rack space, and by and large offering something interesting from the huge three- Red Bull, Rockstar and Monster.

Second trend in the market of energy drink is with extra fixings that should improve athletic execution and recuperation. We may additionally begin seeing more energy drinks beetroot extract and creatine, n-acetyl-l-tyrosine, protein, branched-chain amino acids (BCAAs). Other moderately new mixed bags of existing energy drink have offering focuses like no caffeine, no calories, no sugar and no carbs. There are additionally espresso flavours and non-carbonated flavours. Other promoting methods incorporate restricted version beverages offered just in certain store chains and flavours customized for distinctive nations.

The non-alcoholic drink industry has been changed due to the introduction of this energy drinks in the market. As Generation Y ages, they will expand favour energy drinks that fit into a healthier, more develop way of life. Drink organizations ready to exploit this demographic movement will wind up on top. With close indistinguishable choices customers get confounded and head to solidness – as the first-mover this has a tendency to be Red Bull. Beast handled this test by presenting items and flavours for each taste – realizing that once a client in the end attempted and discovered a Monster beverage they appreciated they'd be more inclined to attempt other Monster items later on. Creature is as yet focusing on the same market as Red Bull – however it’s doing as such with item separation. Differentiation in terms of experience, quality, price, packaging and ingredients can be verging on any.

Porter’s Five Forces analysis

Substitute threats: The threat of substitutes is high for the energy drinks in the market. Various energy products, sodas, fruit juices, soft drinks are available in the market. The consumers have many choices to meet their needs.

Rivalry threat: Presently there are many energy drinks brands in the market like Rockstars, Red Bull, Monster etc. Red Bull has already captured the energy drink market with major market share. There is threat is high from the present competitors in the market.

New entrants’ threat: The energy drink market has already reached its saturation. But still many entrants are entering the market. Companies like Pepsi, Coca Cola are also planning to introduce their own energy drink. Since the entering cost is less in this industry many new entrants are entering and creating high threat.

Bargaining power of suppliers: The supplier’s bargaining power is less as the raw materials and ingredients are easily available.

Bargaining power of buyers: The bargaining power of customers is high as there is high availability of products in the market to switch too. Any chances in this area can decrease the purchasing power.

Marketing Plan

SMART objectives

The objectives of the organization are:

  • To achieve minimum of 40% market share within 2017 in the energy drink market sector
  • To offer the best quality drink and best service to the customers, employee value and expand in the international markets like Asia, USA and Australia
  • Developing an online shopping process with 2017 for busy target audiences

STP strategy

Power Up is a way of life and self-expression brand image that engages the more youthful ladies portion of the millennial generation. Digital and social networking is the favoured approach to achieve the objective business sector, and a lot of advertising ought to be committed in this area. A wellbeing cognizant item with no calories, carbs, or sugar will be offered to speak to the millennial market overall. Labelled product data is additionally imperative to these subcultures, and the brand will be speaking to the transparent and authentic prerequisites of the group. This shows that the Power Up initially would be following benefit segmentation.

Power Up will diversify the drink market by being organic in its nature. This drink will help to lessen the fat formation in the ladies' body furthermore serves to stimulate and be strong and energetic throughout the day. Power Up will be targeted in two categories: secondary target audiences like Amusement Parks, hotels, mall, restaurants, Movie Theatres, Airports or Railway, Pharmaceutical shops, Supermarkets and shops. Additionally the primary market would be the women of age 20-40 years old, who love to have more nutritional products, are health conscious and are price sensitive.

Power up will be positioned as the low price product with high quality nutrients. The company will be using the penetration strategy which targets the price sensitive people and also helps to enter the market. It is purely organic in its nature and uses only vegetables, fruits and dry fruits.


7Ps of Marketing

Association ought to dependably dispatch a fruitful product marketing mix with correct place, right value, utilizing the right marketing promotions for the products. 7P's is a developed marketing mix that comprises of promotion, place, price and products, physical evidence, process and people. 

  • Product: There are three different levels of product- core, augmented and actual. What the customers are actually getting from the brand or the products is the core benefit. The core benefit of Power Up is to keep the women energetic, refresh their mind and reduce fat. The actual benefit of the product is that it is 100% organic. The extra benefit that makes the product augmented is post- purchase service provided to the customers to collect their feedback. The product life cycle is divided into four different stages, introduction stage, growth stage, maturity stage and decline stage. The Power Up is in the introduction stage. The product sales in this stage are low and are vital at this stage to make the clients mindful of this item and its advantages. The promoting expense at this stage is high for Pure Health as there is a fast need to expand the attention to the buyers.
  • Place: Product will be launched initially in main cities of UK and then would try to capture the untapped markets. Consumers can buy this energy drink Power Up from pharmaceutical shops, any super markets and other shops like sweets shops, beverages shops etc. Additionally by 2017 the organisation would be opening an online shopping place where people can buy from sitting at home.
  • Price: The Company would be following a penetration pricing strategy which will offer low cost product in its introduction stage of life cycle then gradually increase the prices as and when they keep growing in the market. The prices are:
    • 50 Oz Can: £1.00
    • 16 Oz PET Bottle:£0.75
    • 8 Oz PET Bottle: £0.30
  • Promotion: For promoting the product in the UK market the company would be using Internet marketing. The product will be displayed in the Facebook, Twitter and website along with its benefits. A free health e-book will be provided to the women to take care beauty and health. Additionally, TV advertising will also be used. The promotion will be basically indicated amid the time when ladies revive themselves by seeing TV in all the channels. Here the local lady would be highlighting the product as a brand ambassador. Addition print media will also be used. The product will be promoted in the national magazine after the grand opening of the 3 branches in UK.
  • People: The advancement key is the remunerating framework and inspiration in the association to address the issues of the representatives and thus meeting the clients need. Training and development will be the key method to prepare the workers to comprehend the business sector and present the item in the business sector.
  • Physical evidence: Power Up, will be intensely actualizing the digitisation process for watching the needs of ladies and their patterns of being solid and delightful by being accessible on facebook and own sites. The items will likewise be sold in fundamental urban communities of UK at first and afterward will be extending in different urban areas as well.
  • Process: To achieve better sales revenue the following process will be used:

Source: Made By Author

Promotional strategy

The Power Up will use the focus generic business strategy of Michael Porter. It is utilizations the niche marketing strategy by concentrating on a solitary target market. In this method the association primarily concentrates on few target audiences like Women. This helps the company have strong benefits over its competitors in the market. It utilizes both the variations of Focus system that is cost concentrate by looking for expense advantage by setting low value contrasted with the rivals in the objective portion furthermore differentiations concentrate by making 100% organic drink using vegetables or fruits and dry fruits mix. As Power Up is serving the clients exceptionally, the company have a tendency to build up strong image of the brand utilizing this product, expand brand dedication furthermore expand the benefit (Kossowski, 2007).

Additionally, branding also plays a vital role in the promoting the product. Branding reflects the nature and number of all the elements of a brand that the organisation offers. Traditionally there are three main branding options: Individual brand, family brand and corporate brand.

  • Individual Branding: Every brand has an alternate name, putting it into an acknowledged competition against diverse brands from the same association. Individual brand names ordinarily allow more noticeable versatility by permitting a blend of unmistakable things, of shifting quality, to be sold without bewildering the customer's impression of what business the association is in or debilitating higher item quality (Wright, 2006).
  • Family Brand: A typical name for brand is used for all the results of the association. The goodwill joined with the family name of the brand points of interest all brands and the use of the name in notification of one brand helps the progression of every single one of brands passing on the family name (Davis, 2010).
  • Corporate Branding: Here the association utilizes the organization name as a part of item being dispatched (Kotler and Pfoertsch, 2010).

Pure Health Pvt Ltd will be utilizing individual brand name for Power Up which would just be concentrating on the Women's energy and health in UK first. The slogan that will be used for this “make it balance with Power Up”. This slogan is chosen to show how women need to balance their career and home both equally (Shimp and Shimp, 2007).

Additionally a TV advert will be used. To highlight the energy effect and the nutritional value of Power Up, the company uses the broadcast media platform to promote the product. It uses the support of doctor to highlight the value of the ingredients present in Power Up(Shimp, 2010). Picking the casting, the company, shuns the allure and soundness of nearby local Woman from UK will be chosen as the brand ambassador of Power Up, adjusting both her career and home effectively with energy till day ends. This would be a TV advert for 57mins highlights the obligations of ladies as a mother, calling furthermore wife and the tiredness she feels by the day's end, as yet staying with numerous obligations to finish. Having the “Power Up” drink she feels new, enthusiastic and again starts her work with fresh mind and energy. Toward the end it will demonstrate the offer of buy 1 get one free (Shah, 2014).

Additionally bulletin campaigns will also be used. An innovative outlining of Billboard can be hard to draw in and miss in thought from miles around. Bulletins are the most surely understood appearance of open air promoting. Broad and prominently set, promoting workplaces are industriously considering new and innovative ways to deal with use them to grab the thought and inventive vitality of their proposed target audiences (Fillis and Rentschler, 2006).


Evaluation of the Competitors’ Marketing Communications Activities 

Energy Drink is a developing area. Canadian, a worldwide refreshment statistical surveying association, expresses that in the previous ten years, caffeinated drinks' volume has more than quadrupled crosswise over both nations. The business volume is required to grow however at a lower rate, showing of a quick drawing closer develop business sector state (Langley 2013).

As per the Canadean, various elements have expanded caffeinated drinks' volume. These components incorporate the accompanying: expanded purchaser premium, new buyers, expanding of item varieties, and expanded advertising. Red Bull caffeinated beverage is driving the business sector of caffeinated drink in a matter of seconds. The business volume for caffeinated beverages is relied upon to increment but at a lower rate, demonstrating of a quick drawing closer develops business state (Langley 2013).

In 2012, Red Bull was the second biggest brand driving development altogether Non-Alcoholic Beverages altogether Supermarkets. Red Bull remains the world's most-expended caffeinated beverage with 5.2 billion jars sold in 2012 (, 2013). Red Bull Energy Drink has 13 stock keeping units over various sizes, flavours, and configurations including the Energy Drink, Sugar free, and The Editions (, 2014).

Red Bull propelled new releases because of its mind-boggling pattern in the classification, demonstrating that shoppers were requesting expanded decision inside of their most loved caffeinated beverage brands. In October 2012, Red Bull discharged three new flavor variations – The Blue Edition (Blueberry), The Silver Edition (Lime), and The Red Edition (Cranberry) (, 2014). Red Bull aluminum container supplanted the current glass bottle in September 2012. This was a development for a caffeinated beverage to move far from glass jugs to give the buyer a novel drinking background (, 2014)

The present purchaser patterns for the caffeinated beverages section incorporate refreshment and premium evaluating.

  • Refreshment – The line between caffeinated beverages and carbonated drinks are starting to obscure. Already, shoppers requested caffeinated beverages only for practical reasons and searched somewhere else for refreshment. Today, customers are requesting that drinks give utilitarian advantages and refreshment (, 2014).
  • Premium valuing – Consumers are willing to pay a premium cost if the item conveys an important recommendation that is taste, mixed bag, practical advantages, and refreshment (, 2014).
  • Practical advantages identify with expanding body vitality without the utilization of drug. Consequently, caffeinated beverages were at first well known with sportspeople. However, today, overall public is requesting refreshment and vitality for routine workdays (, 2014).

In 2011, Red Bull $185 million caffeinated savers class Australia by owing 36 % (Blain 2011). Red Bull has additionally possessed the capacity to keep up its authority by taking after specific procedures recorded underneath.

  • Launch Red Bull Editions, aluminium container presented (Energy drinks 2014)
  • Owns wide circulation channel like contender V (Blain 2011).
  • Sponsors and claims great sport's universal groups
  • Advertise internationally – 5.3 billion jars sold in 2013 (Company 2014).
  • The ever green free drink promoting strategy.
  • Slogan "Red Bull Gives You Wings" rouses competitors and the adolescent (Oswald, 2015).

Red Bull actualized Wall-to-Wall Production at the creation site which means jars are fabricated and filled on the same site. In this manner, more than 7,000,000km of truck travel is spared every year in light of the fact that void jars are not transported for filling. One end to the other Production additionally spares 5,313 tons of CO2 emanations each year (Can lifecycle 2014). Red Bull is profoundly included in corporate social obligation. Red Bull jars are light in weight and 100% recyclable. Reusing a Red Bull can takes 95% less vitality than making one. Red Bull GmbH intentionally changed to aluminium jars. The jars weight 60% less weight and spares valuable crude material. Likewise the jars can be reused again and again without loss of value (Can lifecycle 2014).

Positioning map of Power Up

In the map it is seen that the position of Power Up in the market is analysed, against the market share and the brand loyalty. The market share is taken in the vertical axis and the brand loyalty is taken in the horizontal axis. The market share of Red Bull is the highest in the market so as the brand loyalty. The people prefer red bull than any other beverage, and it is closely followed by Monster and Rockstar. Power Up has a low market share compared to the others. In the year 2014, it was seen that the market share of Red Bull was 43%, followed by Monster 39% and Rockstar 10%, it is seen that Power Up has less than 10% market share and NOS has a market share of 3%.


In conclusion it can be said that the report has effectively analysed the marketing plans and audit of a new energy drink launched by a startup. The drink is named as Power Up which is introduced by Pure Health Pvt Ltd. The drink is targeted towards the women of age 20-40years are health conscious and are price sensitive. The report finds that Power up would be using the benefit segmentation. It would segment the market based on the value it adds to the consumers. The report also makes a competitor analysis of the product. The main competitor is Red Bull. It is found that is uses its CSR activities, market leadership strategies, consumer trends and also product variations. For marketing audit it is suggested that PESTLE analysis and also SWOT analysis is the best tool to audit the external and internal environment of the report.



Belch, G. and Belch, M. (2012). Advertising and promotion. New York: McGraw-Hill/Irwin.

Blain, S. (2011). Popular energy drinks have the majors buzzing. [online] TheAustralian. Available at: [Accessed 9 Jun. 2015].

Can Lifecycle, (2014). Red Bull Can - Sustainability and Environment :: Energy Drink :: Red Bull. [online] Available at: [Accessed 9 Jun. 2015].

Company, (2014). Red Bull the company - Who makes Red Bull? Red Bull Origin :: Energy Drink :: Red Bull. [online] Available at: [Accessed 9 Jun. 2015].

Davis, J. (2010). Competitive success. Chichester, West Sussex, U.K.: John Wiley., (2013). RED BULL GMBH IN SOFT DRINKS (WORLD). [online] Available at: [Accessed 9 Jun. 2015].

Fillis, I. and Rentschler, R. (2006). Creative marketing. Basingstoke, Hampshire: Palgrave Macmillan., (2014). Energy drinks. [online] Available at: [Accessed 9 Jun. 2015].

Kotler, P. and Pfoertsch, W. (2010). Ingredient branding. Heildelberg: Springer.

Langley, S. (2013). Australia and NZ’s ‘unique’ energy drinks markets. [online] Available at: [Accessed 9 Jun. 2015].

Oswald, L. (2015). Creating Value: The Theory and Practice of Marketing Semiotics Research. Oxford University Press.

Shah, K. (2014). Advertising and integrated marketing communicatons. New Delhi: McGraw Hill Education (India).

Shimp, T. (2010). Integrated marketing communications in advertising and promotion. Mason: South-Western/Cengage Learning.

Shimp, T. and Shimp, T. (2007). Advertising, promotion, and other aspects of integrated marketing communications. Mason, OH: Thomson/South-Western.

Wright, L. (2006). Consumer empowerment. Bradford, England: Emerald Group Pub.

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