One reason that PepsiCo, Inc., purchased Quaker Oats in 2001 was to acquire the rights to its sports drink, Gatorade. However, Gatorade is under increasing pressure from its competitors, including Coca-Cola’s Powerade. As a result, PepsiCo is initiating an aggressive advertising campaign to promote and grow sales of Gatorade.
In groups of three or four, answer the following questions:
1. Go to the Gatorade Web site at gatorade.com.
(a) How and why was Gatorade developed?
(b) What is Gatorade’s share of the sports-drink market?
2. Drinks can be labeled as sports, lifestyle, or active thirst drinks.
(a) How would you describe each of these drink labels?
(b) Give an example of what you would label a sports, lifestyle, and active thirst drink.
3. Do you think PepsiCo’s advertising campaign will focus on Gatorade as a sports, lifestyle, or active thirst drink? Explain.