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Gatorade Family—But with a Different Brand Name, Image, and Formula- Tion—Propel Is Now the Market Leader in flavored fitness Water

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Gatorade Family—But with a Different Brand Name, Image, and Formula- Tion—Propel Is Now the Market Leader in flavored fitness Water just 10 calories per serving. Launched regionally in 2000 as part of the THE Gatorade family—but with a different brand name, image, and formula- tion—Propel is now the market leader in flavored fitness water. Seek to Connect Emotion and Passion to the Brand. 7 Gatorade didn’t fight off the onslaught of Pepsi (All Sport) and Gatorade Coke (POWERade) in the early 1990s RULES by simply having a good product. Gatorade also had good people Nine Business Principles behind it, employees who felt strongly about the brand and connected with for Phenomenal Brand Success consumers through real, poignant and relevant advertising. One of the most effective ads was an emotional by Morton C. Orman, M.D. spot called “Love Hurts,” which ran in 1997, and dared to show athletes as people who suffer and sometimes lose while striving to be their best. Make Sure Your Product, them with the support, funding, and Stay Disciplined. With any Service, or Brand Is Unique and mission to establish the NFL Trainers powerful brand, there’s a temp- 1 Know What Makes It Unique. Association. In the process, Schmidt 8tation to use the brand name to As soon as Quaker Oats acquired the won the trust of trainers and Gatorade branch out, and risk overextending Gatorade brand from Stokely Van- a high-profile place on the sidelines. and devaluing the core brand. Over Camp in 1983, they knew they had to Never Stop Working to Get its 40-year history, Gatorade has sur- determine whether the drink really Your Next Consumer. In 1985, vived misguided brand extensions, worked. The company started funding 4 Gatorade’s brand managers from Gatorgum to Gator Bars, which studies on the science of fluid replace- began to focus on the kid-athlete grabbed a mere 0.8 percent of the ment and sports nutrition. In 1988, community. To invest in its next gen- crowded energy bar market by the Quaker opened the Gatorade Sports eration of consumers, they created an end of 2002, its second and final year Science Institute (GSSI), complete awards program for elite high school on the shelves. Yet, under Quaker and with a lab, to make sure that Gatorade athletes who also excelled on the aca- now PepsiCo, Gatorade has stayed would continually live up to its claim demics field. Winners include Emmitt strong as the ultimate sports drink for as the best thirst-quenching product Smith, Shaquille O’Neal, Marion active, competitive people by staying in the world. Jones, and Derek Jeter. on target the majority of the time. Never Stop Researching the Packaging Counts. When Form Smart Strategic Marketplace. Just because Gatorade was introduced in a Alliances. When ESPN intro- 2Gatorade was still dominating 5 single-serving 16-ounce bottle, 9duced its Web site, ESPNet the market in the late 1990s didn’t sales took off. When Gatorade SportsZone, in 1995, Gatorade was mean that its brand managers sat on changed its 32-ounce bottle from the very first advertiser. Thus, the their hands. Instead, they invested in glass to plastic, volume rose by 25 world’s #1 sports drink tied itself to research to better understand who their percent in the first year alone. In the rise of “The Worldwide Leader in current consumers were and why they 1995, Gatorade was the first brand to Sports.” In the summer of 2004, bought the product. Sales of Gatorade put a noncarbonated drink in a push- Gatorade continued one of the most soared through targeting competitive, pull squeezable sports bottle. powerful alliances in the sports world sweat-conscious amateur athletes. Learn from Your Mistakes. One by putting out 1 billion of its bottles Identify Drivers of the of Gatorade’s greatest mistakes with the ESPN logo on them, com- Business and Take Care of 6 was Gatorade Light. Quaker memorating the network’s 25th 3 Them. Thanks to Olympic introduced this low-calorie, saccharin- anniversary. Investing in ESPN has javelin champ Bill Schmidt, Gatorade sweetened version in 1990. But loyal paid off. Through association, became the winning drink of the pros drinkers—over 80 percent male— Gatorade has established itself as rele- who influence pro athletes: team made clear they wanted full-strength vant in defining the sporting land- trainers. When Schmidt took over Gatorade or nothing. Though scape for fans. ❖ Gatorade’s sports marketing in 1983, Gatorade Light fizzled, Quaker he got right to work on developing a learned valuable lessons. The eventual Adapted from FIRST IN THIRST: How good rapport with the trainers. He result was the creation of Propel, a vit- Gatorade Turned the Science of Sweat into a recognized their needs and provided amin-enriched flavored water with Cultural Phenomenon, by Darren Rovell. DECA Dimensions January/February 2006 21.
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