AMP energy drink is energy drink brand which is produced by PepsiCo and was introduced in the market in 2001. The brand has made a mileage from 2009 to date and it now enjoys its own trade mark name. The product has found its markets in the United States, Canada and now in India and by 2009; the brand was ranked fourth energy drink in the United States with regard to all retail sales (Hein, 2009).
Marketing mix is the marketing model that is consisted of four P’s so when planning to market AMP drink it is essential to know how customers perceive it and for our case the quality of AMP energy drink will determine how it will fare in the competitive market (Schermerhorn, 2004).
The AMP energy drink has the original flavor of mountain dew but in order to make it more unique, and appealing to consumers it has been enhanced with ginseng, taurine, B complex vitamins, maltodextrin which is a complex protein as well as guarana which the company has patented as MDX5 (Hein, 2009).
AMP energy drink is also made unique by vitamin B that makes it to glow in light. In addition AMP is a catchy name that is used to illustrate the effect the product has on those who consume it. The consumers are required to get “AMPed up” which has been used to mean partying all night long and PepsiCo has used the slogan “get plugged in” (Hein, 2009).
The target consumers for AMP should be college men ages below 25 years because males, more than females drink more energy drinks. The other way under the product mix is the packaging of the brand which is like any other energy drink in an 8.4 ounce can but the AMP drink can, should be uniquely designed with an image that appeals to mountain drinkers. It is however wise for company to consider having different varieties to make it appealing to different consumers.
In the marketing mix, where the product is found is very important and the underlying factor is that the place should be accessible and presentable to the buyers. AMP brands should be distributed conveniently within the college campuses or near the college because it should target college students (Wyatt, 2004).
Other places where the brand can be placed are the bars and clubs because they remain open until late evening in India. With more than three hundred deemed universities a part from the private universities, India will make the best market for the AMP energy drink.
Displaying the brand in campus buildings, store and vending machines will get the attention of targeted consumers. This can be done by utilizing the university’s vending machines which are used to make the AMP available.
There are many health benefits which are associated with AMP energy drink, one outstanding potential is its ability to fetch substantial profits to the PepsiCo company. Even when the retail price for AMP is relatively low the company can earn a lot of money through economies of large scale when is sells in bulk and at the international market (Hill, 2009).
One way the company can encourage large scale buying is by giving promotions to its customers. For instance it can decide to add an extra can for anybody who buys in cartons for retailers and for consumers or insert coupons on the cans as an offer to customers who more products.
The product is sold at a price similar to those of competitors such as red bull but PepsiCo should be careful not to engage in price war with such competitors (Wyatt, 2004). The price should determined more by quality and the demand of the brand rather than looking more into the prices of alternatives.
Mountain dew has not given AMP a lot of promotion in India and therefore the company should invest a lot in promoting the product and thus stepping up promotions in university stores and bars can be useful (Wyatt, 2004).
The only advertising that the AMP has utilized is the online and therefore there is a need for the company to employ other means of advertisement such as print like magazine which can provide the direct contact with the male students. Posters can also be used to advertise within the stores in the campuses and thus this can influence buyers and new ones to continue buying.
Today the AMP drink has been in the market for quite some good years to be able to compete like other energy drinks and especially in India. PepsiCo should now concentrate in modifying the product in a way that it becomes a top competitor.
This can be done by modifying its taste to have as many flavors as possible. In pricing today the AMP is sold at prices higher than carbonated beverages and PepsiCo must research to attain the suitable price which is able to compete in the market. In order to attain these PepsiCo must step up promotional programs in India especially the advertising strategy.
The brand can do well if promotions such as raffle tickets, coupons, advertising by television, magazine and online ads and so forth are exhaustively utilized (Hill, 2009). Lastly the brand should be distributed through possible stores targeting the consumers as we have already seen with an aim of making AMP a generic name after which PepsiCo will have to incur no further expenses in promoting it.
References
Hein, K. (2009). Monster Goes Small While AMP Goes Big. Brandweek. Web.
Hill, C.W. (2009). International Business Competing In The Global Marketplace (7th ed.) Boston, MA: McGraw-Hill.
Schermerhorn, J. (2004). Core Concepts of Management. New York: John Wiley & Sons Inc.
Wyatt, K. (2004). Energy drinks winning fans at bars, not gyms. Online Athens. Web.