A presentation on Monsters Position in the Market using secondary and primary research.

1. Team Monster
Unleash The Beast
Brought to you by: Richard Brown, Rachel Lichtman, Reesa
Arshoff, Noah Diamond, Sarah D`ambrosio

2. Objective
To determine and develop
strategies for Monster
Energy Drink to improve its
position in the energy drink
market

3. What You Will Learn Tonight...
Secondary Research:
• Market size
• Segments
• Growth rate
• Per capital consumption
• Channels of distribution
• Product pricing in Canada
• Major competitors

4. What You Will Learn Tonight...
Primary Research
• Main purchasing criteria
• Monster versus Competitors

5. Market Segments
Demographics
males and
females,
children,
students adults
and seniors
Psychographics
- boost of
energy
- health hazards
- Nutritional
content

6. Market and Market Size
Energy drinks increase energy levels and alertness.
200+ companies and 300+ brands in North America
The volume market size in 2009 was 40 million Liters
The dollar market size in 2009 was $319.4 million, a 14%
increase from 2008
http://www.youtube.com/watch?v=6tCZkFzQoVI&feature=related

7. Market Growth Rate and
Per Capita Consumption
Forecasted to grow by $72.5 million or 22.7% from 2009 to 2014.
In 2009 consumed 1.2 liters of energy drinks per person,
In 2014 predicted to reach 1.3 liters per person by 2014
0
10
20
30
40
50
60
70
1 2 3 4 5

8. Distribution Channels
Distributed by Coca Cola.
83.5%  independent retailers, supermarkets, and on-trade
establishments
 17.5%  specialty retailers, convenience stores, vending machines,
drugstores, service stations, and department stores

9. Competition
Red Bull
32%
Monster
28%
Rockstar
9%
Other
31%

10. Market Leaders
Year Market Leader
2008 Red Bull
2009 Monster
2010 Red Bull

11. Versus
Quarter Total Market Monster Red Bull
Q4 2009 +3.7% +12.2% +9.4%
Q1 2010 +7.5% +8.8% +13.3%
Q2 2010 - +12.7% +15%

12. Competitive Positions
• Sponsor/participate in sports and music events (specially in the
rock genre).
• target market gets to immediately see effects of Monster
Monster
• “It gives you wings”
• Sponsor sports activities, art shows, music, and video games
• promote "cool" public image and raise brand power.
• the slender container suggests "sexier" image
Red Bull
• "twice the size” for “hard core people”
• Sponsors metal and rock festival touring the US and the “Taste
Of Chaos” (AKA "Winter Warped Tour“)
Rockstar

14. Target Markets
Male High School and University students aged 17-30.
•Increase alertness when:
• studying,
•playing sports,
•video games
•and other activities.
•Promotional material heavy focus on this segment.

15. Target Markets
Lo- Carb -Female high school and
University ages 17-30
Females care more about weight gain
than men
Khaos - Mature clientele looking for a
boost to keep up with increasingly active
lifestyles and careers.
energy drink that has at least 50
percent real or fresh juice content.

16. Price
Red Bull - $2.49, $3.49, $3.99, and $9.49 for a 4 pack.
(price varies with size)
Monster - $2.99
Rockstar - $3.50, $2.79, $2.99. Extra $0.69 more for the
diet form of their 444ml drinks. (Prices vary by place)

17. And Now ...
The MOMENT WE
(PROFESSOR GORDON)
HAVE ALL BEEN WAITING
FOR..........

18. Decision Making Criteria
Ranking of
Importance
Rating of Performance (1=very
poor, 5=excellent)
(Adding to 100
points) Monster Redbull Amp
Taste 23 3.28 3.7 3.01
Energy Boost 16 3.36 3.61 3.24
Sugar Levels 13 2.93 3 2.94
Crash Effect 11 3.31 3.72 3.05
Priced Fairly 11 2.87 2.48 2.87
Attractiveness of can 9 3.55 3.76 3.19
Convenience 8 3.75 4.14 3.54
Product Size 7 2.61 2.64 3.37
Promotion Influence 3 2.69 2.67 2.58
Weighted Total 100 304 321 295
Value of Monster compared to
Redbull and Amp
-
-5.30% 2.96%

19. Next Steps
• Research on Red Bull’s taste, energy boost,
sugar levels, and crash effect
• Reality versus perceptions
• Nutritional value
• Monster will not only match Red Bull’s
performance, but also it will surpass Red Bull

20. Any Questions?