Columbia College Chicago 2013

1. DEVELOPING A MARKETING PLAN
FALL 2013
COLUMBIA COLLEGE CHICAGO
AMP ENERGY
Zanah Thirus
Zanahthirus@gmail.com
11/10/13

2. EXECUTIVE SUMMARY
Amp Energy was launched by PepsiCo in 2001. AMP Energy is the premier energy brand
of Purchase, N.Y.-based Pepsi-Cola North America Beverages (PCNAB). With its energizing
blend of B-vitamins and a specially formulated intense combination of taurine, ginseng, and
guarana, AMP Energy provides the power needed to tackle everything in life, day or night.
PCNAB is a division of PepsiCo, which offers the world's largest portfolio of billion-dollar food
and beverage brands.
Over the past several years, Amp Energy has seen a dramatic financial decline. In 2008,
Amp was the 4th most bought energy drink (behind Red Bull, Monster, and Rock Star). Since
then, PepsiCo’s CSD dollar sales have declined 1.4%. Amp Energy has moved to being the 5th
most popular energy drink, below NOS and its leading competitors.
Recently, the Amp Energy team decided to rebrand Amp. Eliminating all 15 flavors and
reinventing 3. The following marketing plan contains a market summary, competitive overview,
demographic summary, a financial analysis, and a media plan for the newly revamped brand
strategy.
The purpose of the marketing plan is to restructure Amp’s current marketing strategy to
target its current primary consumer base (families and young professionals). Demographic charts
and competitive overview charts are from Spectra and MRI.

3. TABLE OF CONTENTS
Table of Contents
p.1
Company Overview
p.2
Market Summary
p. 4
Competitive Analysis
- AMP
- Red Bull
- Monster
- Rock Star
p.7
p.7
p.9
p.11
p.13
Competitive Analysis Summary
p. 15
Channel Summary
p.16
GAP Analysis
p.18
SWOT Analysis
p.20
Cultural Issues
p. 22
Market Strategy & Programs
- Marketing objectives
- Financial Objectives
- Target markets & Target Audiences
- Positioning Strategy
- Marketing Budget and Calendar
p.23-34
Bibliography
p.35

4. History of Amp: A PepsiCo Brand
Amp Energy is the energy drink version of Mountain Dew, created by PepsiCo, and
released in 2001. AMP Energy is the premier energy brand of Purchase, N.Y.-based Pepsi-Cola
North America Beverages (PCNAB). With its energizing blend of B-vitamins and a specially
formulated intense combination of taurine, ginseng, and guarana, AMP Energy provides the
power needed to tackle everything in life, day or night. PCNAB is a division of PepsiCo, which
offers the world's largest portfolio of billion-dollar food and beverage brands
Amp Energy was launched by PepsiCo in 2001. PepsiCo is one of the world’s leading
food and beverage companies with over 65 billion in net revenue in 2012. Pepsi Co has a global
portfolio of diverse and beloved brands including Pepsi, Gatorade, Lays, Amp, and Quaker.
Pepsi Co employs over 250,000 employees in 200 countries across the globe, and the reported
revenue growth in the beverage division was 4.5% in 2012. According to Pepsi Co’s website,
80% of the current executive team was promoted from within. The company headquarters is
located in Purchase, NY. The current CEO is Indra Nooyi. Pepsi Co Brands are organized into
the four global business units:
Pepsi Co American Foods
Pepsi Co American Beverages (Including Amp)
Pepsi Co Europe
Pepsi Co Asia, Middle East, and Africa (AMEA)
According to Pepsi Co’s 2012 annual report, the company objectives include:
Building and retaining top talent

5. To focus on driving cost savings and other productivity enhancements derived from our
complimentary food and beverage portfolio.
Reinforce our existing value drivers (refocusing efforts on most popular global brands).
PepsiCo’s original strategy for Amp was to position it to compete with leading energy drink
brands like Red Bull and Monster.
PepsiCo repositions AMP:
In 2008, AMP was America’s 4th most popular Energy drink (behind Red Bull and
Monster). That year, PepsiCo decided to “amp up” Amp’s media budget and positioning
strategy. PepsiCo launched a massive campaign starring Nascar driver dale Earnheardt Jr., three
new flavors, a high profile summer promotion, and a slew of packaging variations. This was all
in an attempt to increase Amp’s presence in the Energy Drink market, and to compete with the
leading brands, Red Bull and Monster.
Since the major campaign in 2008, Sales for Amp have taken a major drop. In the last
year, PepsiCo’s CSD dollar sales have declined 1.4% amounting to “The Worst performance of
PepsiCo in over a year”, according to Wells Fargo’s senior analyst, Bonnie Herzog.
Amp is now sitting below Rockstar, NOS, and Starbucks Double Shot. Those three
brands are sitting below Red Bull, and Monster. Something had to be done. This year, PepsiCo
decided to rebrand and reposition Amp Energy. PepsiCo eliminated all 15 of Amps categories
and created a product line of 3 with all new formulations and designs.
“Our New line of innovative products provides a kick of energy to match anything the day
brings. So tell your Monday morning to bring it on, your Friday night to wait up for you, and
everything else in between to be ready. You’re on your way”- Amp Energy Team

6. I.
MARKET SUMMARY
According to www.energyfiend.com, Energy Drinks are a billion dollar industry. Red Bull sold US$3.4
billion dollars of energy drink product in the 52 weeks prior to July 2013. Monster sold US$3.1 billion
worth. A huge part of energy drink popularity is in the sponsorship efforts, with top brands spending large
sums of money to achieve brand placement. Several energy drinks have definitely been lifting
their marketing efforts and it’s paying off with their recent entrance into the top 15 energy drinks ranking.
The leading energy drinks are Red Bull and Monster. Red Bull sold US$3.4 BILLION
dollars of energy drink product in the 52 weeks prior to July 2013. Monster sold US$3.1
BILLION worth. The third leading energy drink is Rock Star. NOS is in fourth place, and
AMP Energy is in 5th place. The energy drink market continues to grow even in light
of the tough economy and increased health scrutiny. Soda sales have been declining
steadily over the same period, while energy drink sales have been booming.
Despite recent FDA scrutiny regarding the safety of these beverages, 2013 energy drink sales are
up 6.7% over last year in the USA alone.
FIG. 1

7. CARBONATED BEVERAGE (INCLUDING ENERGY DRINKS) DEMOGRAPHIC
SUMMARY – 2013 Spectra Reports
The following four charts are 2013 consumer demographic from spectra. The charts show index
numbers and total volume among the heaviest carbonated beverage consumers. Charts include
data on race of head of household, household structure, household demographics, occupation of
head of household and average household income.
LifeStyle
BehaviorStage
Start-Up Families
HHs with Young Children Only < 6
Small Scale Families
Small HHs with Older Children 6+
Younger Bustling Families
Large HHs with Children (6+), HOH <40
Older Bustling Families
Large HHs with Children (6+), HOH 40+
Young Transitionals
Any size HHs, No Children, < 35
Independent Singles
1 person HHs, No Children, 35-64
Senior Singles
1 person HHs, No Children, 65+
Established Couples
2+ person HHs, No Children, 35-54
Empty Nest Couples
2+ person HHs, No Children, 55-64
Senior Couples
2+ person HHs, No Children, 65+
Total
Cosmopolitan
Centers
Affluent
Suburban
Spreads
Comfortable
Country
Struggling
Urban Cores
Modest
Working Towns
Plain Rural
Living
Total
77
76
112
91
113
128
100
114
93
123
131
138
149
125
176
94
150
156
136
195
152
157
110
145
152
184
211
155
47
64
88
94
78
110
79
48
40
52
71
69
81
62
29
33
36
39
40
46
39
105
96
129
138
135
176
132
97
89
98
121
123
120
107
78
65
73
101
86
85
80
84
79
99
106
103
123
100
Very High: 150+
High: 120-150
FIG. 2
Demographic Skews
Male Head Only with Children
5+ Person Households
Oldest Child 12 - 17
Not a High School Graduate
Presence of Only Children 6 - 17
Farming, Fishing & Forestry Occupations
Female Head Only with Children
Precision Production, Craft & Repair Occupations
Struggling Rural Mix
Presence of Both Children Under 6 and 6 - 17
Total
Consumption
4%
18%
25%
20%
27%
1%
11%
15%
4%
9%
Index
178
165
158
151
146
145
144
141
140
138 FIG. 3

8. Race of Head of Household-Total Consumption Index
150
100
50
0
White
Black
Hispanic
Asian
Other
FIG 4
Source: Homescan Product Library 2013 Sep (Spectra)
Household Income-Total Consumption Index
150
100
50
0
Under $10,000
$10,000 - $19,999
$20,000 - $29,999
$30,000 - $39,999
$40,000 - $49,999
$50,000 - $74,999
$75,000 - $99,999
$100,000 - $149,999
$150,000 or More
Source: Homescan Product Library 2013 Sep (Spectra)
FIG 5

9. II.
Competitive AnalysisAMP/ RED BULL/ MONSTER/ ROCKSTAR
A. AMP ENERGY
The following four charts are 2013 consumer demographic from spectra. The charts show index
numbers and total volume among the heaviest AMP ENERGY consumers . Charts include data
on race of head of household, household structure, household demographics, occupation of head
of household and average household income.
FIG 6
LifeStyle
BehaviorStage
Start-Up Families
HHs with Young Children Only < 6
Small Scale Families
Small HHs with Older Children 6+
Younger Bustling Families
Large HHs with Children (6+), HOH <40
Older Bustling Families
Large HHs with Children (6+), HOH 40+
Young Transitionals
Any size HHs, No Children, < 35
Independent Singles
1 person HHs, No Children, 35-64
Senior Singles
1 person HHs, No Children, 65+
Established Couples
2+ person HHs, No Children, 35-54
Empty Nest Couples
2+ person HHs, No Children, 55-64
Senior Couples
2+ person HHs, No Children, 65+
Total
Cosmopolitan
Centers
Affluent
Suburban
Spreads
Comfortable
Country
Struggling
Urban Cores
Modest
Working
Towns
Plain Rural
Living
Total
95
46
210
137
187
294
163
350
62
153
118
95
229
159
179
72
124
197
161
370
195
168
173
143
57
139
200
152
148
110
144
147
104
69
123
44
61
18
71
32
57
47
17
36
10
29
7
15
17
361
36
242
96
66
88
145
61
50
60
86
46
36
53
39
12
15
46
84
16
32
138
68
104
100
83
113
100
Very High: 150+
High: 120-150

10. Total
Consumption
Demographic Skews
Transportation & Material Moving Occupations
Age 18 - 24
5+ Person Households
Presence of Only Children 6 - 17
Oldest Child 12 - 17
Multi-Person Households without Children
Age 35 - 44
Farming, Fishing & Forestry Occupations
Age 25 - 34
Married Families with Children
13%
12%
22%
35%
29%
26%
32%
1%
25%
34%
Source: Homescan Product Library 2013 Sep (Spectra)
150
100
50
0
Black
Hispanic
Asian
Other
Source: Homescan Product Library 2013 Sep (Spectra)
FIG 8
Household Income-Total Consumption Index
200
100
0
Under $10,000
$10,000 - $19,999
$20,000 - $29,999
$30,000 - $39,999
$40,000 - $49,999
$50,000 - $74,999
$75,000 - $99,999
$100,000 - $149,999
$150,000 or More
Source: Homescan Product Library 2013 Sep (Spectra)
FIG 9
349
285
196
186
184
181
180
177
169
167
FIG 7
Race of Head of Household-Total Consumption Index
White
Index

11. B. RED BULL
The following four charts are 2013 consumer demographic from spectra. The charts show index
numbers and total volume among the heaviest RED BULL consumers. Charts include data on
race of head of household, household structure, household demographics, occupation of head of
household and average household income.
FIG 10
Demographic Skews
Presence of Both Children Under 6 and 6 - 17
Male Head Only with Children
Other Races
Precision Production, Craft & Repair Occupations
Age 25 - 34
Transportation & Material Moving Occupations
5+ Person Households
Oldest Child 6 - 11
Hispanics
Oldest Child Under 6
Total
Consumption
18%
6%
5%
23%
32%
8%
23%
18%
24%
14%
Index
269
259
231
215
212
205
203
195
192
192 FIG 11

12. Race of Head of Household-Total Consumption Index
250
200
150
100
50
0
White
Black
Hispanic
Asian
Other
Source: Homescan Product Library 2013 Sep (Spectra)
FIG 12
Household Income-Total Consumption Index
200
100
0
Under $10,000
$10,000 - $19,999
$20,000 - $29,999
$30,000 - $39,999
$40,000 - $49,999
$50,000 - $74,999
$75,000 - $99,999
$100,000 - $149,999
$150,000 or More
Source: Homescan Product Library 2013 Sep (Spectra)
FIG 13

13. C.
MONSTER
The following four charts are 2013 consumer demographic from spectra. The charts show index
numbers and total volume among the heaviest Monster Energy Drink consumers . Charts
include data on race of head of household, household structure, household demographics,
occupation of head of household and average household income.
LifeStyle
BehaviorStage
Start-Up Families
HHs with Young Children Only < 6
Small Scale Families
Small HHs with Older Children 6+
Younger Bustling Families
Large HHs with Children (6+), HOH <40
Older Bustling Families
Large HHs with Children (6+), HOH 40+
Young Transitionals
Any size HHs, No Children, < 35
Independent Singles
1 person HHs, No Children, 35-64
Senior Singles
1 person HHs, No Children, 65+
Established Couples
2+ person HHs, No Children, 35-54
Empty Nest Couples
2+ person HHs, No Children, 55-64
Senior Couples
2+ person HHs, No Children, 65+
Total
Cosmopolitan
Centers
Affluent
Suburban
Spreads
Comfortable
Country
Struggling
Urban Cores
Modest
Working
Towns
Plain Rural
Living
Total
269
174
99
153
125
122
154
140
107
166
141
339
115
169
242
150
108
107
243
195
173
216
126
125
103
122
117
132
107
159
88
74
140
58
104
105
23
50
73
47
33
55
4
35
19
28
28
11
20
226
277
99
86
163
85
154
86
86
101
44
93
51
79
30
42
21
51
33
33
33
132
115
84
84
119
72
100
FIG 14

14. Total
Consumption
Demographic Skews
Male Head Only with Children
Female Head Only with Children
Transportation & Material Moving Occupations
Oldest Child 12 - 17
Striving Small City Living
Presence of Only Children 6 - 17
Presence of Only Children Under 6
Oldest Child Under 6
Administrative Support Occupations
4 Person Households
4%
14%
7%
27%
6%
32%
13%
13%
11%
22%
Index
198
195
186
172
171
170
169
167
166
165 FIG
15
Race of Head of Household-Total Consumption Index
200
150
100
50
0
White
Black
Hispanic
Asian
Other
FIG 16
Household Income-Total Consumption Index
200
100
0
Under $10,000
$10,000 - $19,999
$20,000 - $29,999
$30,000 - $39,999
$40,000 - $49,999
$50,000 - $74,999
$75,000 - $99,999
$100,000 - $149,999
$150,000 or More
FIG 17

15. D. ROCK STAR
The following four charts are 2013 consumer demographic from spectra. The charts show index
numbers and total volume among the heaviest Rock Star Energy Drink consumers. Charts
include data on race of head of household, household structure, household demographics,
occupation of head of household and average household income.
LifeStyle
BehaviorStage
Start-Up Families
HHs with Young Children Only < 6
Small Scale Families
Small HHs with Older Children 6+
Younger Bustling Families
Large HHs with Children (6+), HOH <40
Older Bustling Families
Large HHs with Children (6+), HOH 40+
Young Transitionals
Any size HHs, No Children, < 35
Independent Singles
1 person HHs, No Children, 35-64
Senior Singles
1 person HHs, No Children, 65+
Established Couples
2+ person HHs, No Children, 35-54
Empty Nest Couples
2+ person HHs, No Children, 55-64
Senior Couples
2+ person HHs, No Children, 65+
Total
Cosmopolitan
Centers
Affluent
Suburban
Spreads
Comfortable
Country
Struggling
Urban Cores
Modest
Working
Towns
Plain Rural
Living
Total
131
242
158
349
109
139
185
132
164
95
155
82
82
116
273
688
316
203
120
103
267
65
124
129
63
166
153
121
42
48
78
61
78
64
61
30
26
53
39
264
31
83
12
13
68
13
67
18
34
49
118
135
152
80
134
112
107
25
36
98
84
111
72
52
21
69
111
19
35
45
72
124
103
112
109
80
100
Very High: 150+
High: 120-150
FIG 18

16. Total
Consumption
Demographic Skews
Male Head Only with Children
Female Head Only with Children
Transportation & Material Moving Occupations
Oldest Child 12 - 17
Striving Small City Living
Presence of Only Children 6 - 17
Presence of Only Children Under 6
Oldest Child Under 6
Administrative Support Occupations
4 Person Households
4%
14%
7%
27%
6%
32%
13%
13%
11%
22%
Index
198
195
186
172
171
170
169
167
166
165 FIG 19
Race of Head of Household-Total Consumption Index
200
150
100
50
0
White
Black
Hispanic
Asian
Other
FIG 20
Household Income-Total Consumption Index
200
100
0
Under $10,000
$10,000 - $19,999
$20,000 - $29,999
$30,000 - $39,999
$40,000 - $49,999
$50,000 - $74,999
$75,000 - $99,999
$100,000 - $149,999
$150,000 or More
FIG 21

17. COMPETITIVE ANALYSIS/ DEMOGRAPHICS
SUMMARY
BASED ON 2013 SPECTRA CONSUMER REPORTS
Across the board, Amp Energy and its main competitors have similar heavy
consumers.: **FIG. 2, 6, 10, 14, and 18**
Start up families
Younger bustling families
Older bustling Families
Rock Star was the ONLY competitor with a high index number among the
Independent Singles category. **FIG 18**
The majority of consumers are Families or couples ** FIG 3,7,11,15 and 19**
All consumers with high index numbers had children (most times, more than one
child) ** FIG 6,10,14,and 18 **
The Head of Household occupations with the highest index numbers are **FIG 7,
11, 15, and 19**
o
o
Careers in Precision, production, craft & repair
Transportation and material moving
The majority of consumers with the highest index numbers **FIG 7,11,15, and 19*
o Owned more than one vehicle
o Were not married, but had children
o Lived in a 3-5 person household
o Were single parents
Household income among heavy consumers ranged from
o $10,000-$70,000 FIG **5,9,13,17 and 21**
Majority of consumers purchased energy drinks from grocery stores (based on
channel summary) ** FIG 22-25
Majority of consumers are Hispanic or Mixed races.

18. III. Channel Summary
AMP FIG 22
Channel Summary
Grocery
Mass Merchandise
All Other
Drug
Total Volume
per 100 HHs
% Volume
59%
19%
17%
5%
7.21
2.27
2.04
0.64
RED BULL FIG 23
Channel Summary
Grocery
All Other
Mass Merchandise
Drug
Source: Homescan Product Library 2013 Sep (Spectra)
% Volume
41%
34%
17%
7%
Total Volume
per 100 HHs
17.15
14.23
6.94
3.02

19. MONSTER FIG 24
Channel Summary
% Volume
Grocery
Club
Mass Merchandise
All Other
Convenience
Drug
Total Volume
per 100 HHs
40%
33%
14%
6%
5%
2%
29.46
24.14
9.88
4.74
3.60
1.31
ROCK STAR FIG 25
Channel Summary
All Other
Grocery
Source: Homescan Product Library 2013 Sep (Spectra)
% Volume
53%
47%
Total Volume
per 100 HHs
7.77
6.82

20. IV. GAP ANALYSIS – Products and Services
AREAS OF CONCERN HIGHLIGHTED IN RED
AMP
RED BULL
Products
Products
7 products
3 categories: BOOST, ACTIVE, & FOCUS
SPORTS:
Sponsors 6 athletes including Dale
EarnHardt Jr.
Company:
Majority of Amp Energy promotions are
through social media: Face book & Twitter
Product Divisions: Sugar Free, Total
Zero, and Editions (Blue, Red, and
Silver).
COMPANY
Red Bull TV
Sponsors over 100 athletes in biking,
surfing, snowboarding, and
motorsports.
Red Bull Music Academy
100% recyclable products
Wings team/ Student Brand Managers
Red Bull Graduate School
SPORTS DIVISIONS
Red Bull Racing
Red Bull Crashed Ice
Red Bull X Fighters
Red Bull BC OWE
MONSTER
ROCKSTAR
PRODUCTS:
34 different products
6 different categories (Monster Energy, Java
monster, DuB, Rehab, Extra Strength, Muscle
Monster).
PRODUCTS
SPORTS DIVISIONS
Sponsors athletes in 21 motor sports
Sponsors athletes in 9 action sports
Roster of over 30 athletes
COMPANY
Monster Girls
Monster TV
Sponsors bands and tours : MONSTER
OUTBREAK TOUR
OVER 20 different flavors
SPORTS DIVISIONS
Sponsors athletes in 11 action
sports (BMX, skating, Skiing,
snowboarding.)
Sponsors athletes in 5 different
motorsport divisions
COMPANY
Represents models
Represents music artists
PRODUCTS AVAILABLE ONLINE

21. V.
PEST ANALYSIS
Political Factor:
Regulation about content of energy drinks from US Food and Drug
Administration (FDA)
Economic Factor:
According to Spectra Product Reports , the vast majority of energy drink
consumers are in families of 3-5 and may be price sensitive when shopping
for beverages.
Social Factor:
Consumers are now becoming more health conscious, and may lean toward
healthier choices such as:
o Vitamin water
o Coffee
o Low calorie energy shots
o Energy bars
o Protein shakes
Online Shopping is becoming very popular. Majority of energy drinks do not
offer their products online/via their website.
Technological Factor:
Social Media Era:
o In order to keep up with the competition, the majority of products have
to have social media pages to promote their product.
 Facebook
 Twitter
 Instagram
 Pintrest
 Tumblr
o
Online Shopping is becoming very common among grocery store
shoppers

22. VI. SWOT ANALYSIS
STRENGTHS:
A. AMP is a division of a well known company, PepSiCo.
.
B. The Law of Contraction: “A Brand Becomes Stronger When You
Narrow Its Focus.” Amp has eliminated all 15 products and created
a small line of 3 products with 7 flavors.
C.
Amp’s new target consumer is the consumer with a practical need for
energy. This matches the primary energy drink consumer:
Families
Those with transportation & moving careers.
Single parents
Early risers & Late nighters
WEAKNESS: Competitive Situation
Amp’s competitors (Red Bull, Monster, and Rock Star) offer WAY more than
Amp does. Amp has to now focus on rebuilding its fan base in order to compete
with well known competitors. Each competitor:
 Has a TV station to promote its athletes and events
Uses models to represent the brand: Wings Team Girls (Red Bull), Monster
Girls, Rock Star Models.
Sponsors at least 20 athletes.
Represents music artists or sponsors tours

23. OPPORTUNITIES:
Amp has the opportunity to build its brand presence
through the media.
Since Amp’s target and brand is different than the
majority of energy drinks, they have an opportunity to
gain market leadership among other beverage categories.
Very few energy drink and/or beverage companies sell
their products online. This can be a new opportunity for
AMP.
THREATS:
Revamping the brand turns indirect competition into direct
competition. Amp is now all about a consuming energy drinks for
practical reasons. A healthier choice for a healthier lifestyle. This
means Amp is now competing with:




Vitamin Water
Low calorie energy shots
Protein shakes
Energy bars

24. VII. CRITICAL ISSUES
“Things changed. We're not just playing hard, we're working hard, too. So we need energy for
different reasons: To get a hop in our step, fuel our passions, or to get in the "zone". That's why
AMP Energy is rethinking energy. Our full lineup of innovative products provides a kick of
energy to match anything the day brings. So tell Monday Morning to bring it on, Friday Night to
wait up for you, and everything in-between to be ready. You're on your way.” – The AMP
Energy Team
Amp Energy has completely revamped its brand. Although this decision has its advantages, it
may put Amp on thinner ice.
Amp is now competing with two different sets of competitors since they revamped their brand:
Energy Drinks: Red Bull, Monster, Rock Star, etc
Healthy Energy Choices : Vitamin water, protein shakes, etc
Amp’s brand does not offer as many elements as its competitors. Amp sponsors less than half of
the athletes that its leading competitors sponsor. Red Bull, Monster, and Rock Star all have brand
models (Monster Girls, Wings Team Girls, and Rock Star Models), Amp does not.
Amp Energy eliminated 15 products and moved to a line of 3 functional drinks. They eliminated
several consumer favorites, which means they will have to go the extra mile to regain consumers
that they lost.

25. VIII. Marketing Strategy and Programs
A. The Central Idea
 AMP Energy has completely revamped its brand. Consumers and the energy drink
market should be fully aware of PepsiCo’s efforts to reposition AMP. This new
positioning strategy needs to be enforced through social media, and all advertising
mediums.
B. Mission
“ Things changed. We're not just playing hard, we're working hard, too. So we need energy for
different reasons: To get a hop in our step, fuel our passions, or to get in the "zone". That's why
AMP Energy is rethinking energy.” – The AMP ENERGY TEAM
C. Positioning Strategy
“Be smart about managing your energy.
Introducing the new line-up of AMP Energy drinks
to help fuel life, career, family, and everything else
that matters to you. So saddle up partner. Let's get it done.” – AMP Energy
AMP’s new full lineup of innovative products provides a kick of energy to match anything the
day brings. Unlike its competitors, AMP focuses on the smart way to manage your energy, and
provides unique products that cater to the everyday needs of its consumers.
The new positioning strategy focuses on two target markets : Families & Young Professionals. .
According to spectra demographic reports, families represent 54% of AMP’s total volume
segment.
Target Audience #1
o
o
o
o
o
o
o
Age 25-44
Parents
Grocery Store Shoppers
Career parents & stay at home parents
Early Risers and Late Nighters
Single and/or married
Health conscious shoppers

26. o Households with 3-5+ persons
Target Audience #2
o
o
o
o
o
Age 18-24
Early Risers & Late Nighters
Athletes
College Students
Recent Graduates
Total
Consumption
Demographic Skews
Transportation & Material Moving Occupations
Age 18 - 24
5+ Person Households
Presence of Only Children 6 - 17
Oldest Child 12 - 17
Multi-Person Households without Children
Age 35 - 44
Farming, Fishing & Forestry Occupations
Age 25 - 34
Married Families with Children
Index
13%
12%
22%
35%
29%
26%
32%
1%
25%
34%
349
285
196
186
184
181
180
177
169
167
Source: Homescan Product Library 2013 Sep (Spectra)
LifeStyle
BehaviorStage
Start-Up Families
HHs with Young Children Only < 6
Small Scale Families
Small HHs with Older Children 6+
Younger Bustling Families
Large HHs with Children (6+), HOH <40
Older Bustling Families
Large HHs with Children (6+), HOH 40+
Young Transitionals
Any size HHs, No Children, < 35
Independent Singles
1 person HHs, No Children, 35-64
Senior Singles
1 person HHs, No Children, 65+
Established Couples
2+ person HHs, No Children, 35-54
Empty Nest Couples
2+ person HHs, No Children, 55-64
Senior Couples
2+ person HHs, No Children, 65+
Total
Cosmopolitan
Centers
Affluent
Suburban
Spreads
Comfortable
Country
Struggling
Urban Cores
Modest
Working
Towns
Plain Rural
Living
Total
1.0%
0.7%
2.5%
1.4%
2.6%
4.0%
12.2%
3.2%
0.9%
2.1%
1.2%
1.3%
3.6%
12.4%
1.3%
0.8%
1.5%
2.2%
2.1%
5.8%
13.6%
2.2%
4.6%
2.7%
0.7%
2.2%
3.4%
15.9%
3.4%
1.2%
1.5%
3.3%
2.4%
1.0%
12.8%
0.9%
1.0%
0.3%
1.4%
0.8%
1.4%
5.8%
0.2%
0.5%
0.2%
0.3%
0.2%
0.4%
1.7%
5.7%
0.7%
4.9%
1.2%
1.2%
2.0%
15.7%
0.8%
1.1%
1.4%
0.8%
0.8%
0.9%
5.9%
0.6%
0.3%
0.4%
0.5%
1.8%
0.5%
4.0%
19.3%
11.7%
17.5%
13.0%
15.5%
23.0%
100.0%

27. Target Market Demographic Information
-
Which locations are we focusing our marketing efforts?
Local Market Behaviors- What are common shopping behaviors of our target
market within these locations?
LOCATION
For this Marketing Plan, we will market towards Amp Energy’s consumers with the highest total
volume sales, Families & Young professionals. Families & Young professionals make up 54% of
Amp’s total sales. We will target these groups within 5 Midwestern metropolitan areas.
Chicago (CHI)
Cleveland (CVL)
Detroit (DET) (
Grand Rapids/Kalamazoo/Battle Creek (GPD)
Minneapolis/St Paul (MSM)
Families and Young Professionals within these locations are the exact market that AMP Energy
is targeting. The early risers, the late nighters, those with a busy schedule and a practical use for
every day energy.
LOCAL MARKET BEHAVIORS
According to 2013 Spectra Reports, Local Market Behaviors for Chicago, Cleveland, Detroit,
Grand Rapids, and Minneapolis include high indexes & sales volume in:
(CHI)
-
Spending $100-$499 on children’s clothing within 12 months
Buying cosmetics, perfume and hair products
Eating at fast food restaurants frequently
Own a used vehicle
(CVL)
-
Are Saturday & Sunday newspaper readers
Watch morning news repeatedly
Household owns Ipod, MP3, Digital Recorder or Gaming system
Own smart phones

28. (DET)
-
Shop at Hardware stores frequently
Shop at Mass Merchandise stores frequently
Social Media users (Facebook, Twitter, Instagram)
Household owns video game system
(GPD)
-
Health conscious eaters
Eco Friendly activities done on a regular basis
Online Shoppers
Typically watch late night programs

29. D. Financial Objectives
AMP Energy’s sales dropped from 300 million to 239 million in 2013. AMP Energy went from
being the 4th most popular energy drink, to the 5th most popular.
Our sales goal is to increase sales by 5% in each quarter of 2014. Our profitability goal is to
increase profits by 5%.
Sales Goals 2014
Q1 - $250,950,000
Q2- $263,497,500
Q3-$276,672,375
Q4- $290,505,993
E. Marketing Objectives
OBJECTIVE #1: Increase Market Awareness by 18% in 12 months
STRATEGY: MEDIA AWARENESS:
o Rapid Penetration- low price/high promotion
o AMP Energy could benefit from a national advertising campaign titled
“Rethinking Energy”. Consumers and the energy drink market should be fully
aware of PepsiCo’s decision to rebrand AMP. AMP’s new positioning strategy is
clear through their website, but nowhere else. Not many consumers are aware of
AMP’s new lineup of drinks, or their new strategy. The new AMP needs to be
advertised via television, radio, and magazine.
-
PROGRAMS : Media Mix
 TV:
Early News ($7,700 CPP)
Late Fringe ($20,000 CPP)
Primetime ($25,300 CPP)
 Radio
Network Radio ($8,500 CPP)
 Outdoor Ads
Downtown Coverage/Parking lot displays -$60,000 x 30% increase
due to National campaign.

30. 
-
Wrapped Train -$30,589 x 30% increase due to national campaign
Taxi tops - $120,000 x 30% increase due to national campaign
Internet ads
Banner ads
Social Media Websites
Youtube
Budget Plan
 $10,000,000 National Campaign
 35% on TV – $3,500,000
Early Morning News (parents, professionals, and college students
tend to be awake and getting ready, needing energy.)
Late Fridge (Settling down to watch tv, late night “studyers”,
procrastinators)

30% on Outdoor advertising $3,000,000
Outdoors in common city areas
Downtown on taxis and in parking lots
On public transportation
 20% on Radio $2,000,000
Pandora Radio
Early morning radio
 15% on internet ads $1,500,000
Facebook banner ads
TV websites where the commercials aired
YouTube
STRATEGY: SOCIAL MEDIA
AMP Energy should also run sweepstakes and contests through their various social media
handles:

CONTESTS
FACEBOOK: Show us how you “Rethink Energy”
Similar to Red Bull’s “Gives You Wings” campaign.
Facebook users can upload photos demonstrating how they
consume Amp Energy for every day needs.
The first user to reach 1,000 likes is rewarded

31. 
CROSS PROMOTION THROUGH SOCIAL MEDIA
AMP should use social media pages as a cross promotion tool. Following
brands on twitter and retweeting their posts, and well as “liking” their face
book pages. (Vitamin Water, Energy Bars, Sports Magazines, Special
Olympics etc)
OBJECTIVE #2: CHANGE BRAND PERCEPTION FROM
EXTREME to EVERYDAY
ATHLETES/ SPONSORSHIP / ADVERTISEMENTS
o AMP has repositioned its brand to cater to the everyday needs of everyday consumers. To
avoid brand confusion, AMP Energy should look into new sponsors and endorsees
outside of extreme sports athletics. The new faces of AMP should reflect AMP’s new
brand, and match their new line of innovative products.
o PepsiCo eliminated all 15 of Amps categories and created a product line of 3 with all new
formulations and designs: AMP BOOST, AMP ACTIVE, and AMP FOCUS. AMP has
now reentered the introductory stage of the product lifecycle.
o AMP FOCUS:
 A college student during an exam
 A young professional prepping for an interview
o AMP ACTIVE
 An NBA/NFL/MLB Player
 An Olympic gymnast
 A college athlete
o AMP BOOST
 A stay at home mom or dad
 A college student pulling an all night study session

32. IX. BUDGET & CALENDAR
2014 Marketing Plan Calendar
- January through April
o Launch National Media Campaign in select cities
 Topic: Initial Campaign launch “Rethinking Energy”
 CHI, DET, GPD, CLV, and MSM
o Winter Promotions
 Face book and Twitter contests and giveaways
- May through July
o National Media Campaign in select cities
 Topic: Summer Break/ Vacation
Cool off with AMP
o Spring Promotions
 Bikini Body! Stay in shape for the summer!
Partnering with fitness clubs and protein bars
- August through October
o National Media Campaign in select cities
 Topic: Back to School
 Busy moms, working dads, college students, etc
o Fall promotions
 Partnering with back pack giveaways and educational charities
- October through December
o National Media Campaign in select cities
 Topic: Holidays!
Black Friday Shopping
Thanksgiving Dinner Frenzy
Santa needs Amp to fly across the world…duh!

33. Marketing Budget for 2014: Total $15,000,000
- Media plan: $10,000,000 National Campaign


35% on TV – $3,500,000
Early Morning News (parents, professionals, and college students
tend to be awake and getting ready, needing energy.)
Late Fridge (Settling down to watch tv, late night “studyers”,
procrastinators)
30% on Outdoor advertising $3,000,000
Outdoors in common city areas
Downtown on taxis and in parking lots
On public transportation
 20% on Radio $2,000,000
Pandora Radio
Early morning radio
 15% on internet ads $1,500,000
Facebook banner ads
TV websites where the commercials aired
YouTube
- Promotions : $5,000,000
o Cross promotions with various brands
 Vitamin Water
 Energy Bars
 Granola Bars
o Contests and sweepstakes
 Social Media contests
o Product Launch events
 Major cities where national campaign airs
 CHI, DET, GPD, CLV, MSM
o Endorsements and Sponsorships

34. BIBLIOGRAPHY
"The Top 15 Energy Drink Brands." The Top 15 Energy Drink Brands. N.p., n.d. Web. 14 Nov.
2013.
"Energy Drinks in C-stores: Strong Summer for Red Bull, Monster, NOS, Full Throttle, Weaker
Performance from AMP, Rockstar." FoodNavigator-USA.com. N.p., n.d. Web. 14 Nov. 2013.
"Sales of Energy Drinks Surge, along with Controversy over Health Effects | The Salt Lake Tribune." The
Salt Lake Tribune. N.p., n.d. Web. 14 Nov. 2013.
"America’s Most Popular Energy Drinks." 247wallst.com. N.p., n.d. Web. 14 Nov. 2013.
"Top Selling Energy Drinks." Statistic Brain RSS. N.p., n.d. Web. 14 Nov. 2013.
"Energy Drinks: An Assessment of Their Market Size, Consumer Demographics, Ingredient Profile,
Functionality, and Regulations in the United States." - Heckman. N.p., n.d. Web. 14 Nov. 2013.
"Global Sports and Fitness Nutrition Foods and Drinks Industry." MarketWatch. N.p., n.d. Web.
14 Nov. 2013.
www.spectrainfinet.com