Gatorade distribution channels

While increasing the number of ways a consumer can find a good can increase sales, it can also create a complex system that sometimes makes distribution management difficult. In addition, the longer the distribution channel, the less profit a manufacturer might get from a sale because each intermediary charges for its service. Three Types of Distribution Channels While a distribution channel can sometimes seem endless, there are three main types of channels, all of which include a combination of a producer, wholesaler, retailer and end consumer. The first channel is the longest because it includes all four:

Gatorade distribution channels

Marketing Channel Analysis This essay Gatorade: Marketing Channel Analysis is available for you on Essays Gatorade is owned and produced by PepsiCo and is positioned to be sold at supermarkets and convenience stores. The thirst quenching drink is sold as a high performance sports beverage in 80 countries world wide, with over 50 flavors.

Gatorade can be found anywhere that Pepsi products are sold.

Gatorade distribution channels

PepsiCo manufactures a flavor concentrate that it ships to independent bottling facilities. The bottling facilities then mix the final product, bottle it in packaging supplied by an independent supplier, and distribute it to the various retailers.

PepsiCo keeps very close control over the pricing of its products, ensuring that every channel member makes a profit. Product promotion for Gatorade is focused in three areas, media advertising, event sponsorship, and contests.

Currently Gatorade seems to have the upper hand because it is experiencing sales growth while POWERade is not expecting any growth in the next year.

Gatorade keeps its competitive edge through product innovation.

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Introduction Gatorade was the first widely used sports drink in the United States. It was developed in for the Florida Gators football team by a group of four university physicians The History of Gatorade, The Gatorade formula was proven to be effective when the Florida Gators started winning against heavily favored teams by outlasting their opponents in the heat.

From there orders for Gatorade started coming in from other college football teams and now Gatorade is one of the most widely used sports drinks in the world.

Gatorade is owned by PepsiCo and is produced in the same facility as the many other beverages sold by Pepsi. Gatorade uses endorsements by stars in many sports from soccer to race car driving to promote their product. Image Positioning a product is a manufactures attempt to have consumers perceive their product in a particular way, relative to competitive products Rosenbloom, B, The most important factors in positioning products are where and how they are going to be sold.

Gatorade products are positioned to be sold at supermarkets and convenience stores and are either stocked on the shelf with a large amount of variation of Gatorade flavors, or in a trendy eye-catching point-of-purchase display.

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PepsiCo would like Gatorade to have a perceived image as a healthy alternative to carbonated soft drinks and as well as a thirst quenching drink to accompany any physical endurance activity. Looking further down the distribution channel however, we find that supermarkets and convenience stores that carry Gatorade will fully refund a consumer of their Gatorade purchase if something is wrong with the bottle or the drink itself, as long as it is accompanied with a receipt.

If a purchased Gatorade is returned and a refund has been issued to a consumer, the retailer will then send the product back to PepsiCo in order for them to receive a refund as well.

Gatorade distribution channels

In order to have an image that is appropriate with all cultures and in all countries around the world, PepsiCo benefits from having a diverse workforce and diverse supplier force which allows them to meet a variety of consumer needs.PepsiCo needs to tell its delivery people that customers have the priority over deliveries.

Small businesses checking in customers and deliveries at the same time need to give the customer first priority- especially when you never know when the vendor delivery will show up/5(34).

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Please let us know how we can contact you. Please type your comments below. We want to know what you think! PepsiCo has developed and monitored various distribution channels in order to serve customer needs. These channels include direct store delivery (DSD), warehouse distribution, vending, and food service systems (Pepsico, ).4/4(1).

In , distribution of Gatorade in an additional 10 countries prompted an % growth in annual sales. In , the multinational food and beverage company PepsiCo acquired Gatorade's parent company, the Quaker Oats Company, for $13 billion in order to add Gatorade to its portfolio of brands.

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Distribution Channel