Does the type of sweetener in sports drinks drive sales? Get an in-depth analysis on how Pepsi switched its sports-drink brands Gatorade and G2 from high fructose corn syrup (HFCS) to sugar, and what effect, if any, the switch had on sales. You'll learn: - What factors happening concurrently with the switch affected Gatorade and G2 sales, and how - How consumers’ concern for added sugar in general, and not the type of sweetener, affected sales - How Gatorade’s main competitor, Powerade, stuck to HFCS as its primary sweetener, and how it paid off, despite perceived consumer concerns - Explore the difference between functional benefits to consumers and customers’ perceptions of healthfulness, and which really affects sales of sports drinks. Learn more: http://bit.ly/1TD8qKW.

1. DOES SWEETENER CHOICEADD ENERGYTO SALES?
GATORADEVS.POWERADE:

2. IN THE QUEST TO MEET CONSUMER
DEMAND, MANY MANUFACTURERS
HAVE PUT SPECIFIC SWEETENERS
UNDER SCRUTINY.

3. HOWEVER,
RECENT RESEARCH
SHOWS CONSUMERS
DON’T CARE.
67% OF CONSUMERS AGREE
THAT MODERATION IS
MORE IMPORTANT THAN
SWEETENER INGREDIENTS.
Source: Mintel Consulting (2013)
67%

4. SO WE PUT THIS THEORY TO THE TEST
AND LOOKED AT TOP SPORTS DRINK
BRANDS GATORADE AND POWERADE.

5. UNTIL 2010, BOTH BRANDS
FORMULATED WITH HIGH FRUCTOSE
CORN SYRUP (HFCS).
THEN GATORADE MADE THE SWITCH TO SUGAR.
SEE HOW SWITCHING PLAYED OUT FOR OTHER BRANDS

6. WOULD GATORADE’S SWEETENER-
SWITCHING STRATEGY PAY OFF?

7. YEAR ENDING
JANUARY
2010-2011 2011-2012 2012-2013 CAGR
GATORADE 5.9% 2.7% 1.1% 3.2%
POWERADE 20.3% 9.5% 10.4% 13.3%
TOTAL 9.5% 4.8% 1.3% 5.1%
SPORTS-DRINK SALES GROWTH BY BRAND, 2010-13
NO ... SALES GROWTH DECLINED.

8. WHY WASN’T THE SWITCHING
STRATEGY SUCCESSFUL?
TO GET THE FULL STORY,
DOWNLOAD THE CASE STUDY HERE >