Amanda Elsen & Jenna Lueken

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History of Power Bar

Founded by Brian Maxwell, a Canadian athlete and entrepreneur. Him, his friend and his girlfriend used $55,000 cash to launch the company in 1986 in California.

It was the first energy bar made for endurance athletes.

Bought out by Nestle in 2000 for $375 million Maker of sports bars, protein bars, nutrition

bars, energy fruit chews, energy gel and other products targeted towards distance athletes.

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Preview

Levels of Competition Segmentation Situation Analysis SWOT Analysis Objectives BIG idea Strategies Tactics New Product Development Budget Implementation Plan

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Levels of Competition PB

Segmentation PB

Adult Individual fitness

Young Individual fitness

Price sensitive

Weight room buffs

DietersOutdoor experiential

Young athletes Team sport athletes

Nutritional eaters

Training athletes Natural eaters Organic consumers

Active parents Active students

Situation Analysis

5 C’s Company

Power Bar▪ Empowering student athletes to work hard▪ #PowerUp – brand strength▪ Product line made up of sports bars, protein

bars, nutrition bars, energy fruit chews, energy gel, power trail mix, energy fruit drink▪ Increased advertising & brand name

awareness

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5’s C

Collaborators Larger distribution of products Better location in grocery stores Also distribute to college convenient

stores

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5 C’s

Context College tuition is increasing therefore

students budgets for groceries causing decrease in demand for power bar.

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5 C’s

Customers High school & college student athletes▪ Steady size of segment

Elastic▪ Price Sensitive

Customers want:▪ Tasty▪ Energy▪ Low price

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5 C’s

Competitors Nutrition Bar▪ Cliff Bar▪ Myoplex Bar

Snack Bar▪ Nutri-Grain Bar▪ Slim Fast▪ Fiber One

Competitor’s strengths▪ More organic▪ Cost advantage▪ Customer base advantage

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SWOT Analysis Strengths:

They are nationwide and that could work as an advantage.

Many well developed products, brand extensions and line extensions

Social media presence Good shelf space and variety in the Duhawk

Market Well-developed website

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SWOT Analysis Weaknesses:

Power bars name is not well known Their product doesn’t taste good, really tastes

like protein Not much shelf space at retailers Looks like a candy bar Don’t have many promotions- if so they are not

well known Higher price Changed their slogan many times Have gained a negative connotation with the

power bar name

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SWOT Analysis

Opportunities: Availability to sponsor events such as the

Tough Mudder/ Warrier Dash/ Nascar for publicity

There is a trend for creating new protein products

Many markets that have specific needs that don’t have a product developed

Many different protein products available for purchase

Use new technology- by creating apps for anything about anything

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SWOT Analysis Threats:

Cliff Bars have much of the market for the same target audience Power Bar has.

Many competitors in the protein bar area Protein products are seen as a single target

market product, people who work out frequently

People do not just eat protein bars like granola bars (as a mid-morning snack, or a filler for lunch)

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Objectives

Sales/Revenue of Nestle Nutrition: $7 billion in 2013 Our modifications will add another $3

billion in revenue. Add another $1.5 billion in net

contribution.

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BIG idea

Major redirection of the target market.

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Targeting Strategy

Target young athletes who are looking to better their skills & themselves in sports.

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Positioning Statement

Student athletes who work hard to get where they want to be

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Positioning Strategy

Empowering student athletes to work hard

“Power Up to a Better You!” #PowerUp Healthy Tasty Affordable

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Slogan

Power up to a better you

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Tactics

4 P’s

Products Improve product taste Narrow product line▪ Find a product target market likes then

expand New product development▪ Experiment with line extensions

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Tactics

Price Single$1.79 Pack $17.88

More affordable ▪ single $1.25 Pack $12.50▪ 6 bars to a pack

Compete with product competitors ▪ Chewy granola bar pack $13.08▪ 8 bars to a pack

▪ Smaller bars

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Tactics

Place Present in college campus

convenient stores Present in college

concession stands Front of the grocery stores

by the check out Closer to the grocery

products▪ Walmart- Placed in the diet

supplement area

Tactics

Promotion YouTube more commercial and

advertising Social media like and share contests School voting contests for sponsorship

from power bar

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Social Media

Facebook Status: Out with the old in with the new! Power Bar has

made some changes and we need your help to make it a success. Check out the changes and leave comments at www.powerbar.com/#powerup

Status: How does Power Bar help you #powerup? Submit your photos and be featured on the Power Bar website.

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Social Media Twitter

RT this for a chance to win a Power Bar gift pack with new the new products #powerup

#Powerup before and after every workout with the new improved Power Bar products

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New Product Development Ideas

Protein Trail Mix Power Mix▪ Including: Nuts, Raisins,

Yogurt Clusters, Protein Clusters, Dark Chocolate Chunks ▪ Packaging: easy resalable

bag, easy to grab and go.

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New Product Development Ideas

Fruit Energy Drink Power Juice▪ Including: Whole servings of

real fruit juice▪ Unique resalable bottle

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POWER JUICE

Mango Passion

Packaging Ideas

Add New logo Keep Candy/Granola bar look Keep all products with a uniform look

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Distribution

Partner with schools College bookstores College convenient stores High school vending machines Concession stands

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Budget

Nestle gave us 3 million dollars to create a new BIG idea to turn around Power Bar

$1 million on new distribution areas $500,000 on new packaging with small

alterations $1 million on the new advertisements with

the new slogan and logo $450,000 for new product development $50,000 for promotional contests

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Implementation Plan

Eliminating the products we don’t want to sell any more

Alter packaging for existing products Create more affordable prices Placement and Distribution put in to place Advertise the new product lines Implement Social media tactics #Powerup Create contests to attract more of our

target market Develop the Power Bar position

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