Case Study: Carbonated Soft Drinks
Proposed Product
A chilled, ready to drink coffee flavoured health drink, that is fortified with additional vitamins and minerals with a lower caffeine content to capture the increasing health conscious market.
Market Overview
Over the past number of years the sale of soft drinks, particularly carbonated soft drinks has declined in the Republic of Ireland, carbonated soft drinks have reduced in value by 5.7% from 2010 to 2015 (Mintel, 2015). Consumers have become more health conscious and there is an increasing awareness of the harmful effects of a high sugar diet which has contributed negatively to the sales of soft drinks in the Republic of Ireland. The Irish government is expected to introduce a sugar tax within the next few years which
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Due to this we feel a vitamin infused cold coffee drink would be successful in the market. Research shows RoI consumers typically are more concerned with their health compared to NI consumers (Mintel, 2015). Therefore, an initial product launch into the RoI market is more viable than preemptively launching in the NI and UK market. Launching in those markets prematurely could lead to a slower growth rate. Irish consumers show a desire for more sugar-free options for non-carbonated types of drinks. 34% of RoI consumers would be interested in trying more carbonated drinks containing natural sweeteners such as honey instead of sugar (Mintel, 2015). Taking the research results from the carbonated drinks, we can infer that consumers have an overall distaste to sugar and thus apply this research to our non-carbonated coffee drink. The two age cohorts that should be targeted are 35-44 year olds and 16-24 year olds as these are the largest consumers of caffeinated products (Mintel, 2013). The Irish population is also aging with the middle aged and older segment doubling by 2046, therefore we can position our product in a market that has significant potential for growth (Passport, 2016). 37% of Irish consumers want a faster coffee-buying process (Mintel, 2015) and 26% of the population drinking coffee two or more times daily there is an existing demand for bottled coffee (Mintel,
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