Wednesday, August 8, 2007

I Should've Invested in Vitamin Water

The Sports "Energy" Drink market has always provided a revenue stream. For years, the competition for market share has been securely owned by Gatorade. And in fact, unbeknown to my knowledge, Gatorade is in all likelihood still the leading figure. When you take into account the proven track record, famous endorsers such as Michael Jordan (back in the day) and the recent additions of Peyton Manning, Derek Jeter, and so on...it all makes sense.

Powerade tried to become a major player in the market with the signing of LeBron James, but although backed by Coca-Cola they still just haven't risen to the heights of Gatorade. You may recall that Powerade also tried to play a sneaky marketing role in the promotions of the "Matrix" films, where a secret agent encouraged consumers to drink Powerade. Uh, didn't quite buy into that one.

The funny thing that you may not realize is that Gatorade is owned and promoted by a sector of Pepsi Co. You see, it all boils down to Coke versus Pepsi. Powerade has gone as far as pushing their own flavor for LeBron (FLAVA23). Coincidentally, LeBron is also inked with Sprite, another Coca-Cola product.

Look, we all can agree that Gatorade has the marketing team to stay on top. Those nifty commercials with Keith Jackson explaining the origins of Gatorade and the classic "Be Like Mike" and now "the Re-birth of Cool." However, Vitamin Water is pushing to become a serious player in the Sports drink market. And we all should've see it coming.

To be honest, I'll take a Vitamin Water any day of the week over a Gatorade. You have your preferences and I have mine. It's owned and branded by Glaceau, which is parented by Energy Brands Inc. Hard to believe, but it first surfaced around 1996. It's heightened popularity came about when spokesmen such as David Wright, David Ortiz, Tony Parker, Tracy McGrady, Kasey Kahne, Brian Urlacher and LT to name a few came aboard.

Not that anyone would ever let outside influence swing their decision in which drink they choose, of course not. Anyhow, in 2004 Vitamin Water went after a different avenue and snagged up rapper 50 Cent. He bought a stake in the company and now has his own brand "Formula 50."

Like I said, my preference of Vitamin Water over Gatorade developed sometime ago and it wasn't based on who was pitching the product. So, where did I go wrong by not forking up some cash to buy shares? Vitamnin Water has far surpassed Powerade in the industry and about 4 years ago would've been the ideal time to jump on the bandwagon. However, here I am left out in the cold, just watching the drink become more of a mainstay in the business.

The funny thing is, we all could have been on the ship and been sitting on a decent kickback. You see, Coca-Cola paid an estimated $4 Billion for Vitamin Water a few months back, which would've no doubt seen it's shares rise beyond expectations...or so I imagine. In essence, this is still all about a battle between Coke and Pepsi. However, it'd be far fetched to think that Vitamin Water won't continue to be a player in the market. And for that, I continue to kick myself.

So pick your poison, but just realize...we all missed out. And so with that, enjoy these various Vitamin Water bits and go snag yourself a nice cold Vitamin Water XXX, it's coated with anti-oxidants and is great for a hangover. And now, I end my lousy sales pitch...just drink Vitamin Water is all.


3 comments:

Rupert Entwistle said...

If our blog careers really take off, maybe we can get jobs writing the witty little descriptions of the various flavors. The Revive one has lassoed me in during many a hangover.

BTW, I think it's still a private company at this point.

Stan M. said...

you are probably right. I'm good w/ sports business, but I do know that Vitamin Water is better than Gatorade.

BD said...

Gatorade's still my #1 go to drink for a hangover. Not to mention, it tastes a hell of a lot better. I can get both free at work and the few VW's I've tried haven't been to good.

Long Live Gatorade!