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Brand Portfolio Management in the Beverage Market

The Challenge

A new product, introduced 4 years previously, was now under-performing.

Unclear whether consumers considered the product a new brand or a 3rd variation on the original brand.

Despite heavy investment, evidence of cannibalisation of other brands within the portfolio.

Internal debate on whether to stick with original plans or reposition, with a gradual transition to a new brand proposition.

What We Did

In-depth analysis of all available information covering 4 countries (1 emerging, 3 developed with vastly differing product performances).

Identification of key performance drivers, specific to each local brand positioning, and communication strategies adopted during each launch phase.

Defined alternative brand positioning.

Clear recommendations on future positioning to regenerate consistent growth.

Key Findings

Cannibalization risk was high between the 2nd and 3rd brand variant due to similar target consumers.

Repositioning of the new product variant would benefit not only the variant itself, but also the original over-arching brand, positioning the company well for future growth.

Consumer needs, as well as legislation, are evolving and the company could stay ahead of the curve through a well-managed transition to a new portfolio positioning.

The Results

Findings were not a complete surprise, and were well grounded in hard evidence, but the buy-in process to a new positioning would require a significant organisational change.

Over the following 12 months, however, recommendations were taken on board with a revised communication strategy in selected countries.

The original approach and significant contribution of Sevendots has led to subsequent projects for the same company across countries and across internal areas of the business.