Gatorade G Series Launch_Cassies_2012

THE 2012 CASSIES – G Series Launch
Section I — Basic Information - Cassies 2012
Case Name: G Series Launch
Client Name: PepsiCo Canada
Agency Name: TBWA\Toronto
Category Entered: Off to a Good Start / Best Launch
Case Period:
Business Results Period – BRP – in consecutive months: April 1, 2011 – June 1, 2012
Start of Advertising/Communication Effort:
April 4, 2011
Base Period as a benchmark:
N/A – New Product Launch
Geographic Area Covered: Canada
Annual Budget Range:
Under $500,000  $500K - $1 million 
$3 - $4 million
 $4 - $5 million
$1 - $2 million  $2 - $3 million 
 Over $5 million 
SECTION II - SITUATION ANALYSIS
a. Overall Assessment
In 1965 Gatorade created the sports drink category. After 40 years of
flavor & pack innovation, and increasingly fierce price-based competition,
Gatorade had to evolve. But remaining a category leader would require
true innovation. Based on years of athlete knowledge and scientific
research, the G Series® was launched – consisting of products intended
for before (Gatorade Prime®), during (the Original Gatorade Perform®),
and after (Gatorade Recover®) athletic activity.
The category that the Gatorade portfolio had once relied upon entirely had
been expanded. The brand could no longer be just about sports drinks– it
was embarking on a plan to reframe itself as a leader in sports nutrition, a
$4.6B market globally. This vision was bold but ownable. After all,
Gatorade knew the needs of athletic bodies better than anyone.
As the new G Series prepared to launch in Canada, the Gatorade
business team was faced with a stark commercial reality: How to drive a
new path to growth while the brandʼs most serious competitor, Powerade,
was aggressively cutting prices.
This case describes the launch of the G Series (from April 2011 to June
2012) and demonstrates how advertising can help a belief brand build a
new ritual among consumers.
b. Resulting Business Objectives
The business objectives were three fold: grow revenue by 7%; increase
profitability by 3%; grow dollars spend per buyer. In order to realize this,
the following marketing objectives were established for the G Series® first
year in market:
1. Announce and generate active awareness of the G Series®
system.
2. Encourage trial of the Gatorade Prime® and Gatorade Recover®
products.
3. Provide athletes with nutritional and performance reasons for using
all three products (exceed norms for ad persuasion metrics).
4. Establish the G Series® as a legitimate player in the Canadian
sports nutrition market.
SECTION III - STRATEGIC THINKING
a. Analysis and Insight
Competitive athletes are the kind of individuals who commit to being the
best at what they do and possess the intrinsic motivation necessary to
push harder every day. Every rep in the gym, stride on the ice, or sprint
on the field is in an effort to better themselves and gain an inch on the
competition.
Gatorade had long been the hydration solution for these athletes during
intense activity but was never thought of outside this occasion. It was time
to change that. Over time competitive athletes learn the importance of
areas that extend beyond the game. First comes practice and then comes
training. By the time these athletes are in their early teenage years they
feel they are operating at 100% of their potential. But most of the time that
is simply not the case. To reach your true athletic potential you need to
combine proper training with proper nutrition. The saying, “You get out
what you put in” had to be given a new meaning.
The athlete we were speaking to put very little emphasis on nutrition and lacked
understanding of the different needs the body has before, during and after
exercise. As such, effective communication of the occasions (before/during/after)
and the three-part product message was essential. The core of the insight was
to position sports nutrition, and specifically the G Series®, as a legitimate means
to improve performance.
b. Communication Strategy
Gatoradeʼs communication target is comprised of two distinct parts; the core
athlete and their shopper parents. This is a tricky target to get right and one of
the reasons Georges St-Pierre and Sidney Crosby were selected as the brand
spokesmen. Their ability to speak to both the athlete and the shopper was key to
achieving universal understanding of this new product line.
The challenge with a dominant brand spokesman like GSP or Crosby is how to
deliver product information. Great athletes donʼt always make great pitchmen and
asking them to speak like a salesman undermines their athletic endorsement.
However, if you donʼt focus on the product, the athleteʼs personal celebrity can
overwhelm any information youʼre trying to communicate. Therefore, the use of
the product had to be shown in a way that was truly authentic to the athleteʼs
routine.
The following phased approach was taken to launch the G Series® in Canada:
1. Seeding (Pre-Launch) – connect with the athleteʼs support group (ie.
Coaches, Trainers, Athletic Therapists) to start the nutrition conversation
2. Launch Part 1 – Introduce the G Series® and establish before, during and
after as three distinct athletic occasions
3. Visibility – activate around cultural sports events relating to our athletes
4. Launch Part 2 – communicate why each of the occasions are unique to
the body and how the G Series® benefits athletes
SECTION IV – KEY EXECUTIONAL ELEMENTS
a. Media Used
1.
2.
3.
4.
5.
Television
Online Pre-Roll
Unique Online Content (videos/Facebook applications)
Online Banners
Grassroots Activations
b. Creative Discussion
Throughout the campaign the creative idea involved a visual reinforcement of the
three-part G Series® that integrated the two starsʼ training and playing routines,
using them to demonstrate – rather than describe - the product benefits. For the
first time ever, Canadians would get a glimpse into the effort level and
commitment of Canadaʼs top athletes.
Seeding (2010)
In August 2010, we announced the G Series to Canadaʼs top athleteʼs and
their influencer groups. Specifically, Georges St-Pierre (UFC), athletic
trainers and nutritionists joined us in sharing this new vision with Canada.
Although product would not hit the shelves until April the transformation
into a sports nutrition innovator was well underway.
G Series® Symposium – August 12, 2010
The event in Toronto included a CATA (Canadian Athletic Therapists
Association) certification course which gave many self employed therapists the
opportunity to earn a credit towards their accreditation put on by the GSSI
(Gatorade Sports and Science Institute). The audience was able to interact with a
panel discussion regarding appropriate nutrition habits for athletes before, during
and after training or competition. For those looking to see the effects of proper
nutrition first-hand we tested some of Canadaʼs top athletes in our performance
lab.
Launch Part 1 (April, 2011)
Recognizing that athletes donʼt think far beyond the moment, we decided
to speak about the G Series® in a way that had the potential to be part of
their routine before, during and after. It was our job to make it apparent
that these were three very distinct moments in time for an athlete.
GSP “Before/During/After” :30 Television Spot – refer to file
GSP_BEFOREDURINGAFTER_30
A 30 second television spot was launched featuring GSP going through
his standard routine at his famous TriStar Gym in Montreal. The speed of
the visuals and the track were finished in a way that displayed the intensity
of GSPʼs training and nutrition.
Visibility (2011/2012)
As a truly essential piece of our athleteʼs equipment, we have always
approached “sponsorship” of the worlds greatest athletes like a
partnership. G Series® is not just a logo our athletes wear, but rather a
part of what fuels them.
GSP “Inverted Push Up” :30 – refer to file GSP_InvertedPushUp_30
On January 2nd, 2011 it was announced that GSP would be fighting in the
UFC 129 event, the first ever UFC event to be held in Toronto. Leading
up to the fight original online GSP content was created which linked
directly to the G Series®. The video showcased GSPʼs unparalleled
athleticism when what seemed like a standard pull up turned out to be an
inverted push up; a move that very few MMA fighters could pull off.
FACE GSP Facebook App
From online wallpapers to network produced content, GSP and the G
Series® were the face of the SportsNet network leading up to the UFC 129
fight. A Facebook app was also created on the Gatorade Canada page,
which allowed fans to upload a picture and virtually place themselves in a
headlock with GSP. From there they would be given the opportunity to
share or export their image to be used as their display picture.
Welcome Back Sidney Twitter Banner
On New Yearʼs Day 2011, Sidney Crosbyʼs season took a turn for the
worst. Following a record 25 game point streak, the NHLʼs leading scorer
was blindsided with a massive hit. After almost a full calendar year without
playing we knew that something had to be done to welcome him back to
the game as Canadianʼs watched from around the world.
Instead of running a print ad or static banner to welcome Sidney back we
decided to give control to the millions of fans and have each welcome him
back in their own way. On November 21st, the date of Sidneyʼs return, we
launched a live twitter banner on Canadaʼs top two hockey sites (TSN.ca
& NHL.com), which allowed fans to send their own personal welcome back
message to Sidney and view it in real time. In the end, Sidney thanked his
fans in the only way he knew how; with two goals and two assists.
Launch Part 2 (January, 2012)
Although establishing before, during and after as unique athletic occasions
among millennials was a step in the right direction, there was still a
knowledge gap that existed. We needed to explain why these occasions
were unique and why the G Series® was effective.
Sidney Crosby “Split Screen” :30 Television Spot – refer to file Sidney_SplitScreen_30
During the NHL All-Star game in January, 2012 a :30 second television spot was
launched in conventional and sports specialty media featuring Sidney Crosby.
Visually, a split screen was used to show all of the nutrition and training (top half)
that went into scoring one game-winning goal (bottom half). The message was
simple; athletic improvement is a combination of proper training, proper nutrition
and of course, effort. For the first time ever athleteʼs would be able to see what
goes into making Sidney so dominant on the ice.
Sidney Crosby “Why” :30 Television Spot –refer to file Sidney_Why_30
In April, 2012 a final :30 television spot was launched depicting Sidney
Crosby going through one day of training. Viewers saw all of the grueling
moments that go on behind the scenes for an NHL all-star. The G Series
messaging all related back to the concept of ʻstrongʼ and the product
benefits; energy, hydration and protein. Not only were the occasions
unique but they also contained a new form of significance.
c. Media Discussion
As a sports brand trying to reach athletes and their support system (including
parents) our strategy needed to rely heavily on television media. Using a building
blocks approach we were able to maximize reach, frequency and most
importantly, relevancy of our messaging. To activate against this strategy we
sought out the following programming to introduce the G Series®:
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•
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Sports programming – delivering base level awareness and maximizing
relevancy among athletes
A18-34 relevant programming – extending reach and frequency
High profile programming – Capitalizing on large audiences
Across the 2011-2012 time period the campaign had a total budget of $4.42
million -- Phase 1 of the campaign ran from the beginning of April until July 2011
and Phase 2 activating between January and June 2012. In total there were
2,165 GRPs of television behind the G Series® launch in Canada.
Although broadcast media accounted for the vast majority of the paid media
spend, digital campaigns and grassroots initiatives ran throughout the year to
bring life and authenticity to what was being shown on television. Television was
the ideal medium to efficiently reach both parts of our audience in large numbers
and in relevant sporting contexts. This would be our emotional stimulus, which
would then drive consumers online to gain information on the science behind the
G Series® and how it enhances performance. Online was the perfect venue to
educate as media habits indicated that this was the area where millennials spent
most of their time.
SECTION V - BUSINESS RESULTS
The launch has been a success against all business objectives.
As of June 2012 (YTD):
• Total profit dollar sales increased +20.5%, exceeding objectives
• Revenue increased by 13.3%, exceeding objectives
• Gatorade dollar sales per buyer increased by 9.5% during a period when
Powerade reduced its average shelf price by 12.7%
Overall dollar volume sales of the G Series® has been increasing/steady since
launch amidst severe price based competition.
•
•
Average dollar volume percent change for Original Gatorade Perform®
over business results period +5.18%
3 business periods (out of 16) yielded a negative dollar volume percent
change versus prior year for Original Gatorade Perform®
o G Series® has not cannibalized the base business
The G Series® system has developed a strong presence in the sports nutrition
category while being adopted into the routine of more and more athletes around
the country.
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•
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Sales of Gatorade Prime® and Gatorade Recover® variants have grown
to a $6 million business
G Series® is now the number 7 player in sports nutrition (4.7 share),
equivalent to 20% of Poweradeʼs business in convenience and gas
Gatorade Prime® and Gatorade Recover® SKUʼs account for 4 out of the
top 7 fastest turning products in sports nutrition
SECTION VI - CAUSE & EFFECT BETWEEN ADVERTISING AND
RESULTS
a. General Discussion
Paid, earned and owned advertising media has been proven to be effective in
driving the growth of the G Series® brand. Dollar volume data concludes that
over 66.2% of sales were driven during periods media was in cycle (62.5% of
BRP), including only paid media.
Athletes are showing a greater awareness and understanding of the G Series®
system. This directly drove continued trial and usage of the G Series system
making the above gains in sales and profitability possible.
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•
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At campaign launch aided ad recall for GSP “Before/During/After” :30
(Source: iTrac 2011 Q3-Q4 Hydration Felx) achieved 30%
Post advertising evaluation (Source: Millward Brown 2012 Q1 Brand Health
Study) reported that 90% of the sample believed the Sidney Crosby “Why” :30
presented persuasive new information about Gatorade Prime®, Perform and
Recover - 40 points above industry norm (top percentile)
Among millenials (Source: Millward Brown 2012 Q1 Brand Health Study):
o 86% are aware of the G Series®
o 70% have tried the G Series®
o 12% indicated G Series® is the brand they drink most often
o 34% of those aware of the G Series® learned about it through
television advertising
o Of those who have tried the products, 69% have incorporated
Gatorade Prime® in their routine and 87% have incorporated Gatorade
Recover® in their routine
b. Excluding Other Factors
Spending Levels: Spending levels on G Series® during the first fiscal year
(April 2011 – December 2011) were lower due to the support of multiple product
lines (G Series® & G2). Media spend on G Series® in 2011 was $1.84 million
whereas media spend in 2012 was $2.58 million.
Pricing: In 2012 commodity prices required a 7% price increase. During this
same time period Powerade reduced its average shelf price by 12.7% and sold
over 50% of its volume on deal.
Distribution Changes: N/A
Unusual Promotional Activity: N/A
Other Potential Causes: As a beverage the key external factor that affects our
business is weather. Sales can fluctuate by a certain amount depending on the
weather experienced in the key markets across Canada. In 2012, the market
also saw Private Label brands introduce value-priced sports drinks that also
affected Gatorade market share.