You are on page 1of 29

Table of Contents

Executive Summary

1

Situation Analysis

2

Creative Strategy

10

Media Objectives and Strategies

12

Media Integration

16

Media Selection and Flowchart

18

References

21

Appendix

22

Executive Summary
In the past 3 years Zico has gone through an identity shift. When Zico began, it focused its efforts toward the sports drinkers. Serious
athletes and the like were Zico’s main concern before CocaCola bought a majority stake in 2012.
After redefining its image and targeting a broader, less serious audience, Zico is now in a position to capture the quickly growing coconut water market. With the switch to organic food and drink choices, many consumers will jump at the chance to try Zico.
With Zico’s host of natural benefits, the brand should be exposing itself to a broader audience. Our media plan will do just that.
Sharpening Zico’s target audience and reaching them through media they consume is the first step.
By pulsing and flighting advertisements through media such as, TV, Radio, Magazine, Outdoor, and a big push for Digital, Zico will
begin to close the gap between the #2 coconut water and #1. With an advertising expenditure just above Zico’s spend last year, we
have added notable promotions, and have offered valuable rationale for each decision made with respect to geography, and seasonal
heavy-ups.
To increase Zico’s SOV in the sports drink/health drink market, a fresh creative concept that still keeps to the core values of the Zico
brand will be what it takes to elevate Zico as the number 1 sports drink.

1

Situation Analysis
Zico is a premium coconut water beverage brand founded in 2004 from a garage shop in New York. Zico is now based in Hermosa Beach, California. Founder Mark Rampolla, an athlete and advocate for healthy lifestyles, discovered his love of coconut water
while volunteering in Central America. He saw the coconut water market as not only a way to take this nutrient rich product to the
United States, but also to aid the economies of the multitude of coconut-growing nations in Central America. Zico soon became a
staple in yoga studios for its natural hydration and health benefits (Zmunda, 2009).
First investing in Zico in 2009, Coca-Cola then bought a majority stake in 2012. Originally Zico targeted athletes and yogis who
needed the rehydration benefits of the antioxidants in coconut water as fuel. During this time, Zico advertised to serious athletes,
positioning itself as a hydrating alternative to water and sports drinks. Their website was focused on endorsements, including professional athletes and articles that would interest other serious athletes. After Coca-Cola acquired the brand, they broadened their target
audience to include “try athletes” and general health and wellness advocates (Korn, 2014).
Zico premium hydrating coconut water beverages boast many health benefits such as 4 electrolytes, including potassium which
helps to prevent cramping and is needed for muscle contraction. Since sports drinks like Gatorade are usually very high in sugar, ZICO
provides a healthier alternative for athletes and anyone looking to replenish their electrolytes after a workout. Zico has positioned itself
as “Nature’s Sports Drink” in the past and has since changed its messaging to appeal to a broader audience (Zmunda, 2009).
Zico still closely associates the brand with exercise and a healthy lifestyle, which sets it apart from its largest competitor, VitaCoco. VitaCoco essentially owns the market in regard to a more fun and less serious brand image with endorsements from high profile
celebrities like Rihanna and Madonna who don’t necessarily promote a healthy lifestyle. To contrast this image, ZICO’s main celebrity
endorser, Jessica Alba, represents a more wholesome and relatable woman who the target audience can identify with (Glattor, 2012).
Zico has grown exponentially since its genesis and continues to grow today. In the beginning, Zico was doubling its sales each
year since 2004, last year ZICO raked in around $87 million and commanded around 20% of the coconut water market. As the global
market expands and the coconut water market grows, Zico is on track to continue its growth as well (Groth, 2011).
2

Competitive Analysis
Category and Industry Information
Overall category performance of carbonated and non-carbonated beverages is dominated by 3 key companies in the US:
PepsiCo, Coca-Cola, and Dr. Pepper Snapple. Global sales total $800 billion per year and the market category is expected to grow
annually at a rate of 5% (Hoovers, 2015). This category has both strong external and internal competition, which includes price fluctuations, disposable income, branding, and consumer trends. While carbonated soft drink sales have declined in the past few years
due to emerging health trends, coconut water and nutritional beverages have seen increasing popularity among consumers and have
helped boost overall category growth. Below is a breakdown of PepsiCo’s, Coca-Cola’s, and Dr Pepper Snapple’s annual sales (Mintel,
2014). This category includes sports nutritional drinks, which are predicted to see sales growth in the next four years.

BRAND

2014-2015 SALES

Gatorade

$4,633,304,318

Powerade

$1,170,915,088

VitaminWater

$1,000,000,000

Vita Coco

$421,100,000

Propel

$146,500,000

Zico

$86,700,000

ONE Coconut Water

$40,400,000
*source: Ad$pender

SALES
PepsiCo $66,683.00M
Coca-Cola $45,998.00M
Dr.Pepper Snapple
$6,121.00M

Ad$pender media figures

Zico’s main sports nutritional drink competitors include Gatorade, Powerade, Propel, Vitamin Water, Vita coco, and ONE Coconut
Water. Gatorade, owned by PepsiCo, is the category leader, both outspending and outselling the competition. Below is a breakdown
of sales, share of voice, and annual media spend for Zico’s top competitors (Business Source Premier, 2014).
3

Gatorade was created in 1965 at the University of

Florida and is now owned and distributed by PepsiCo. With a 61%
SOV and $4 billion in annual sales, Gatorade is the category leader
in the sports drink market. Gatorade became a household name in
1985 when the New York Giant’s head coach Bill Parcells got dunked
by a bucket of Gatorade on national television after the Giant’s Super
Bowl XXI victory. Gatorade has since established itself as the ultimate
beverage for athletes with products that promote energy, hydration,
and recovery. Gatorade’s G Series targets all athletes ages 19-25
while the G Endurance line targets long distance runners and endurance athletes (Schultz, 2014).
With over $100 million dollars set aside every year for advertising, Gatorade has an extensive marketing budget. The media mix
chart above outlines the advertising mediums that Gatorade currently uses including TV, magazines, radio, and Internet. Gatorade’s advertising strategy focuses on hydration and performance messaging.
Gatorade’s goal is to turn every athlete into a winner by helping consumers to fight fatigue, stay hydrated, enhance muscle action, and
improve performance. Past campaigns included major sports sponsorships of NFL Super Bowls, summer and winter Olympic games,
the FIFA World Cup, and the US Open. Celebrity endorsers include
Michael Jordan, Serena Williams, Tiger Woods, Misty May Treanor,
Eli Manning, Peyton Manning, Derek Jeter, and more. Previous
taglines include “Gatorade. For that deep down body thirst,” “The
Thirst Quencher” and “Life’s a sport. Drink it up” (Schultz, 2014).

Propel
In 2011, PepsiCo launched Propel to compete in the growing
sports drink market. With over $146 million in annual sales and
an 11% SOV, Propel is the fourth biggest competitor in the
sports drink category. Propel’s product line includes purified
electrolyte water, flavored water, liquid enhancer, and powder
power packs. Although women are generally considered light
users of sport drinks, Propel has been able to successfully target
them with products that are low in calories and come in fruity
flavors. In addition to women, Propel targets routine exercisers
over the age of 25. This target age skews older than all other
brands in our competitive set (Mintel, 2014).
Propel is currently working with Fleishman Hillard for PR
and Fathom for advertising. Previous creative campaigns have
featured female celebrities including Cindy Crawford. Propel has
since refocused its advertising strategy to focus on “real people.” Current Propel ads depict everyday men and women at the
gym doing pull-ups, pushups, and various cardio workouts. Propel’s creative campaign also includes sponsorships and sample
giveaways at local 5k events across the country (Schultz, 2014).

4

Coconut Water Brands

Within the sports drink category, coconut water has been exponentially growing and is now estimated to be a $400 million dollar
market. Although still a relatively new product, 30% of US households now consume coconut water regularly. Vita Coco dominates this
niche coconut water market followed by Zico, and ONE (Statista, 2014).

Vita Coco

Founded in 2004, Vita Coco has seen increasing sales and revenue grossing over $400 million. Today, Vita Coco has
a $1.3 million dollar advertising budget and a 7% SOV in the sports drink category. Vita Coco targets young hipsters
and athletes, promoting its hydration and detoxification benefits. In addition to targeting adults, Vita Coco recently launched a line for kids that packages its coconut water in eco-friendly juice boxes. Under the creative agency
Saatchi & Saatchi, Vita Coco’s campaigns have focused on digital advertising, outdoor, and sampling promotions.
This brand touts its big name investors including Madonna, Matthew McConaughy, Demi Moore, and Rihanna. Its
current marketing message is “Nuts for Life” (Schultz, 2014).

Zico is the second largest coconut water brand with $87 million in sales, doubling its revenue year over year.

Under Coca-Cola’s ownership, Zico has refocused its targeting efforts to include serious athletes, “try-athletes,” and
health conscious consumers. This brand is popular with yoga practitioners and is backed by the owner and creator
of Bikram Yoga. Zico promotes its hydration benefits, low calories, and high potassium, positioning itself as “nature’s natural sports drink.” Although Vita Coco’s sales are almost 5 times that of Zico, Zico has increased its annual
advertising spend and currently has the majority share of voice out of the three leading coconut water brands. Zico’s
current advertising campaign includes print, Internet, and outdoor that features Jessica Alba as its brand ambassador. Zico’s campaign taglines include “Crack Life Open” and “Natural Oomph from Coconuts” (Zmunda, 2009).

ONE coconut water was created in Brazil in 2005 and is now owned by PepsiCo. ONE is the third largest

5

coconut water brand with a little over $40 million in sales. ONE’s 2014-2015 advertising budget was a little over $13
million dollars, and share of voice remains the lowest out of all competitors. This brand targets pregnant women
and families with heavy health and nutritional claims by promoting its antioxidants. ONE’s media mix has historically focused on local radio and Internet. Its most recent marketing message is “SomeONE will change your life”
(Bigham, 2015).

Creative History

Current ZICO Slogan: “Crack Life Open”
Past Slogans: “Naturally Powered” “NATURAL OOMPH FROM COCONUTS”
ZICO’S Brand Position: Zico positions itself as a young brand focused on appealing to young people with en-

dorsements from youthful celebrities like Jessica Alba as well as many prominent athletes. ZICO differs from other coconut waters
because it originally chose to target hardcore athletes and market itself as a hydrating sports drink. When Coca-Cola took control of
Zico in 2012, they revamped the advertising strategy to accommodate a larger target demographic. Moving forward, Zico wanted to
include active people in general or “try athletes,” those who were looking to make healthy lifestyle decisions. Now their online presence features more lifestyle-oriented posts as opposed to hardcore athletics. Things such as recipe tips, photos of yoga poses and
other healthy lifestyle tips can be found on social media as well (Mintel, 2014).

Past Online

Current Online

Zico went from targeting
hardcore athletes to everyday
healthy people who exercise
called “tryathletes”h.

Social Media Hashtags: #CrackLifeOpen, #MadeWithZICO, #MotivationMonday, #TipTuesday, etc. Crack Life

Open is currently their most popular hashtag on Twitter. ZICO is unique in that it is present on almost all popular social media platforms (Bigham, 2015).

6

Target Audience
Overview
Zico differs from its coconut water competitors by positioning itself as a sport drink targeted towards athletes. However, most key
sports drinkers do not realize the performance value of coconut water; most coconut water brands are primarily popular with dieters
and health conscious individuals and are thus associated with diet/health juices. Therefore in Zico’s most recent campaign they expanded their target audience to include “try-athletes” and health enthusiasts instead of exclusively marketing to professionals and
hard-core athletes (Mintel, 2014).

Demographics
Our target will focus on men and women ages 18-34. Although men are traditionally the sole target audience for sports drinks, Zico
has had success marketing to health-conscious females and yoga enthusiasts. The creator of Bikram yoga promotes the Zico brand
and helps attract the female target (Mintel, 2014). Younger adults ages 18-34 are significantly more likely than older adults to consume sports drinks. Our syndicated research supports this with 18-34 year olds indexing at 182. Among all races, African Americans
are more likely to consume both sports drinks and juice drinks (116 index) followed by Asians (103 index) and Whites (94 index). Heavy
sports drink users are typically either currently enrolled in college (108 index, 2%) or are currently employed full time (104). Sports
drinks have appeal across all income brackets, but those with a household income of less than $25,000 are a slightly more likely than
other income groups to consume 10 or more drinks (Simmons).

Psychographics
Our target audience considers themselves to be both brave and courageous and scored above average for this psychographic statement (135 index). They enjoy takings risks (108 index) and like to pursue a life full of novelty, challenge, and change (103 index). Within Simmon’s health and wellbeing segmentation they feel that they are invincible (123). They strive to be health and image leaders
(111 index) and also fall under the image shapers segmentation (110). Our target values exercise, and is physically active every week
(103). Consumers who exercise are twice as likely to drink 5 or more performance beverages than those who report no exercise (Mintel, 2014). Since most sports drinks, including Zico, are marketed around famous athletes and sporting events these results are not
surprising. Our consumers also report that they are more likely to purchase a brand that sponsors sports teams or sports events (107)
(Simmons).
7

Geography

Sport drinkers are heavily concentrated in the Southeast (108 index), the Southwest (114 index), the South (110 index), and the
Pacific (107 index). People living in these regions are more likely to consumer 9 or more sport drinks than consumers in the Northeast
or Midwest (111). This concentration can be explained by the hot dry climates in these regions, creating a greater need for hydrating
beverages among consumers living in these areas (Simmons). Zico initially began distribution in New York where the brand began. For
the first few years of business, Zico leveraged its popularity among local New York City yoga studios. Over the next few years as profits
increased, Zico was able to expand over the tri-state area and began distributing in the Northeast (Mintel, 2014).

Using Coca-Cola’s distribution network, Zico began distributing nation-wide and has included the South in its geographic targeting. Zico has also identified the Pacific region as a market with high BDI indexes for performance drinks, especially California, and
has since targeted spot markets along the West Coast. As coconut water gains popularity among consumers, new spot markets will
provide additional opportunities for Zico to expand (Mintel, 2014).

Timing and Purchase Cycle

Since Zico promotes an active and healthy lifestyle, their sales would most likely increase during the summer months, when
people are exercising outdoors because the weather is warmer. Also during the summer, people’s spirits are higher and are more willing to try new things such as coconut water, which is still an exotic beverage to many consumers. In contrast to the summer theory, the
New Year’s Resolution theory plays a large role in Zico’s sales spikes in January.

During the winter, many consumers find it difficult to exercise in the colder, harsher weather resulting in weight gain and overall
seasonal depression (especially in the Northeast United States which includes New York City, a very high purchase segment). When
the New Year comes around, many Americans seek a fresh start, and most commonly resolve adopt a healthier lifestyle. Many representatives of Zico’s target audience are women interested in yoga as well as people who are looking to make healthier decisions. This
target is more likely to buy a health drink such as Zico to aid in their healthy lifestyle change (Roolant, n.d.).
8

SWOT Analysis
Strengths

Weaknesses

- Zico is unique because it is a healthier alternative to many of
its competitors, positioning itself as “nature’s sports drink.” Zico
100% pure premium coconut water is packed with 5 essential
electrolytes for hydration, contains more potassium than a banana,
and has zero fat, zero added sugar, and zero cholesterol.

- Although Zico is a healthier alternative to several sports drinks,
many mainstream athletes report low levels of brand awareness
and minimal knowledge of coconut water’s health and hydration
benefits. These key consumers are loyal to Gatorade and Powerade.

- Among the coconut water brands in the sports and nutritional
drink category, Zico has the largest SOV at 8%. Year over year
Zico has outspent its competitors with advertising dollars.

- Zico’s premium pricing is more expensive than other sports
drink brands as well as its coconut water competitors, ultimately
turning price sensitive consumers away from the brand.

- Bikram Choudhury, the creator of Bikram yoga, endorses Zico.
This has resulted in strong brand loyalty among yoga enthusiasts.

Opportunities

- Consumers are now focusing on healthy eating and adequate
exercise to maintain weight and overall wellbeing. Zico can
leverage its health benefits and position its line of products as a
supplement to a healthy lifestyle.
- Zico has the opportunity to position itself as a drink for serious
athletes by touting coconut water’s performance benefits. Zico
can emphasize its hydrating ingredients such as electrolytes and
generate greater awareness the functional aspects of coconut
water among athletes.
9

Threats

- Since 2004, Vita Coco has remained the top selling coconut
water brand. Each year Vita Coco experiences significant sales
growth and increasing popularity among consumers. Other
brands, such as Naked, are beginning to introduce coconut
water products as well. These new products also threaten Zico’s
market share.
- Gatorade, Zico’s biggest competitor in the sports nutritional
category, continues to significantly outsell and outspend Zico.
Gatorade’s strong and diversified media mix makes it difficult for
Zico to increase its SOV.

Media Mix

Zico has used a variety of different media but most prominent is outdoor, magazines, online, and social media (Ad$pender). Twitter and Facebook work very well for Zico because its young target audience is heavy users of these social platforms. Zico has been seen using billboards,
bus wraps, and other traditional techniques in areas like Brooklyn, where a large portion of the population exists within their target audience. In
a New York Times article from May 2014, Zico states that their revamped Jessica Alba campaign would be a multimillion-dollar venture. After
much research on their target audience’s feelings toward Alba, Zico proceeded to use mainly visual/ image based advertisements (Mintel, 2014).
BRAND

TOTAL
(000)

MAGAZINES
(000)

LOCAL MAGAZINES
(000)

INTERNET
(000)

OUTDOOR
(000)

ZICO

11766.2

9353.3

132.5

217.2

2063.1

Creative Strategy
Communication Objectives: To create awareness and consideration among our target.

To introduce consumers
to Zico’s tangible benefits. To position ourselves as the leading performance beverage that complements our consumer’s balanced healthy lifestyle. To elicit consideration with emotional appeals and messaging.

Positioning Statement: To women 18-44 who exercise regularly and value their health but are not serious competitive athletes, Zico is the leading performance beverage that offers the most electrolytes without added sugar. Therefore, Zico is
the healthiest and most natural drink.

Promise: Zico supplements your healthy lifestyle with guilt-free, natural benefits.
Tone: Warm, Youthful, Encouraging
Slogan: Rejuvenate Naturally
Executions: In order to achieve awareness and consideration, our executions will encompass pre-roll video ads, display
ads, outdoor, and mobile/in-app. These executions will be strategically placed alongside fitness, health, and lifestyle editorial
content.

10

Media Objectives and Strategies
Target Audience
Objective

Our primary target audience includes health conscious
women ages 18-34. These women strive to live an active and
fit lifestyle. Although they are not serious competitive athletes,
they regularly exercise at the gym and enjoy a range of fitness
activities such as yoga, Pilates, cycling, and Zumba. The target
audience goal for this campaign is to increase consumption of
Zico among women 18-34 who seek a healthier alternative to
their current sports performance beverage.

We chose to segment this target audience based upon
syndicated survey data and secondary research. Zico now has
a large appeal to women with Jessica Alba as the new face of
the brand. In addition, women between the ages of 18 - 34
over indexed within Simmons’ health and wellbeing segmentation. They are health and image leaders who value exercise
and are 5 times more likely to drink performance beverages.

Strategy

Over the course of this campaign, traditional media will encompass television, radio, magazines, and outdoor. TV dayparts that will be
used include sports, late night, primetime, late fringe, and nighttime.
These dayparts reflect the times when our target audience is most likely
to be at home watching TV. Radio morning drive, evening, drive and
nighttime drive were also flighted to reach our target audience on their
drive to and from work. Outdoor placements will run in the summer
months when our target is likely to be outside exercising and enjoying
the warm weather.

Advertisements placed in magazines and non-traditional media
such as social, video networks, and publisher video sites will align with
lifestyle, fitness, and health-related editorial content that is frequently
read by our target audience. In addition, we will have four promotional
events with a heavy social media focus to reach our digitally savvy consumers and support our campaign.

12

Reach & Frequency
Objective

Our goal is to achieve frequency levels of 4 and reach levels ranging from 50-70. When determining frequency levels, we referenced the Ostrow
model. Zico is a new brand with low market share and a short product purchase cycle. Our campaign will incorporate new image copy in a landscape with high ad clutter and heavy competition. These marketing, copy, and media factors all contributed to the need for a higher frequency
level.

Strategy

For this campaign we will use a combination of flight and pulse schedules to achieve maximum effectiveness in our media plan and meet our reach and
frequency goals. January will be heavy-up with a reach of 71.6 in order to have a strong campaign launch. We will accomplish this reach level with national
television spots, digital video networks, and digital publisher sites. April and May also have very high reach levels with national TV, radio, and high magazine
spend. High to moderate reach levels and frequency will be in June and July with both spot and national media. August and November have lower reach
levels; these two months were flighted to maintain continuity in our advertising and include spot and national TV, radio, magazines, digital and outdoor.
During the months when we had trouble meeting our frequency goal of 4 we supplemented our media schedule with promotional events.

Scheduling & Timing
Objective

Zico will have a combination of flight and pulse schedules beginning on January 1st 2016 and ending December 31st 2016. Advertising
spend will fluctuate during times of the year when women are more likely to exercise. Advertising will also increase during months when
sport performance and juice drink sales are the highest.

Strategy

January will be heavy-up with a high reach and frequency in order to have a strong campaign launch. January is also when many women make
New Year’s resolutions to go to the gym and get in shape. February and March have no spend but will feature a promotion to keep the brand
top of mind. April and May will also be heavy-up in order to effectively reach our target audience when they are gearing up for summer weather
and vacations. At this time women are working out more frequently to get “bikini ready.” High to moderate reach levels will be in June and July
when sport drink and juice sales are the highest. August and November have lower reach levels; these two months were flighted to maintain
continuity in our advertising. In order to achieve this scheduling pattern we will purchase higher impact media including TV and magazines in
our strong spot markets with AD GRPS. During months of low reach we will invest in cheaper media and less expensive dayparts.
13

Geography









Atlanta, GA
Miami, FL
Houston, TX
Austin, TX
Phoenix, AZ.
Los Angeles, CA
San Diego, CA
Seattle, WA.
Washington, DC
New York City, NY.

Objective

Zico will be a national campaign with regional spot emphasis. We will focus on the Northeast, specifically New York City, because this
was the first place Zico was introduced and already has an established loyal fanbase. The campaign with also focus heavily on the Southeast,
the South and the Pacific due to high CDIs and opportunity for growth. By targeting markets with the highest CDIs, Zico will be more likely to
gain a higher share of the competitive sports performance beverage market.

Strategy

According to Simmons, sport performance beverage drinkers are heavily concentrated in the Southeast (108 index), the Southwest (114
index), the South (110 index), and the Pacific (107 index). In order to meet our targeting objectives in these regions we will focus on major cities
with high populations in order to maximize reach. The cities we will target are as follows: Atlanta, GA; Miami, FL. Houston, TX; Austin, TX; Phoenix, AZ. Los Angeles, CA San Diego, CA Seattle, WA. Washington, DC and New York City, NY. By targeting these cities we will reach our goal
of having higher brand presence in regions experiencing category growth.
14

Objective

Budget

The campaign will start in January 2016 and end in December 2016. Within this year there will be a $12 million dollar budget. A total of
$11,098,100 will be spent on traditional media, with a major focus on television and magazines. The remaining $901,900 of the total budget
will be left for promotional events and contests. This budget reflects a slight increase in Zico’s 2014-2015 total spend. Increased spending is
needed to maintain share of voice in the market and keep up with competitors.

Strategy

Seven months out of the year-long campaign will have traditional media spend. The budget will be distributed heavily during the
months of January, April, and May to kick off the campaign and effectively reach women 18-34 gearing up for warm weather and seeking to
get in shape. June and July will also have heavy to moderate spend during the peak of Zico’s sale cycle. August and November will have minimal spend. All seven months have net radio morning drive and digital national advertising. Six of seven months have magazine ads starting in
April to reach our specific target who reads health and fitness editorial content. June, July, and August have spot advertising to increase awareness and keep Zico top-of-mind in our 10 targeted markets throughout the summer. June and August will also have outdoor advertising that
will reach our target exercising outside in the warm weather.

A total of $870,000 of the $901,900 surplus will be used to execute four promotions. This leaves $31,900 of the total budget unspent.
This money will be put into a reserve and will be used if the actual media buys are more expensive than what MPF data reports. This reserve
money may also be used for any emergency communication.

15

Media Integration
Promotion #1: Fabletics Trunk Shows
Sponsored by Zico

Promotion #2: Zico Internet Radio Playlists

Objective

The objective for our Internet radio play lists is to keep Zico
top-of-mind and increase brand engagement. Brand engagement will
be accomplished through Zico workout playlists and soundtracks on
Spotify and Pandora. These internet radio platforms are popular among
millennials and will effectively reach our target audience of women
18-34. Engagement will be measured by click-through-rates and action
rates.

The objective of this promotion is to increase brand awareness
by partnering with Fabletics, a women’s gym and fitness clothing line
designed by Kate Hudson. Fabletics clothing is comfortable, trendy,
and very popular among women 18-34. By having a co-sponsored
fashion trunk show we will build Zico’s brand perception as the health
and fitness beverage leader for young women.

Strategy

The sponsored trunk shows will take place on the first weekend in January at select retail stores in all 10 spot markets. This timing
will help boost the launch of our yearlong campaign. It will also reach
women shopping for workout clothes after making a New Year’s resolution to get in better shape.

The trunk show will feature the newest line of Fabletics gym
and yoga apparel at 25% off. Zico brand ambassadors will be at all
the trunk shows wearing Fabletics clothing and handing out free
gym bag totes customized with the Zico logo and slogan. The brand
ambassadors will talk with customers about how Zico can help them
achieve their health and fitness goals. Customers can then receive
an additional 10% off their entire purchase by sharing their personal
fitness goal on twitter using #TheZicoLife.

This partnered event will help create awareness for Zico’s
sports performance benefits and increase its brand perception by associating itself with Fabletics. The estimated cost, including payment
for the brand ambassadors, free bottles of Zico, and sponsorship
terms will be $10,000 per trunk show. This will total $120,000 for all
10 trunk shows in each spot market.

Objective

Strategy

There will be 20 different Zico workout playlists created for Spotify and Pandora. 10 of the playlists will feature upbeat motivating music
for the gym, Zumba class, and cycling. The other 10 playlists will have
relaxing and calming music for yoga practitioners. Before the music
begins there will be a short commercial for Zico saying, “this playlist
was created especially for you by Zico. Rejuvenate your routine with 5
hydrating electrolytes, leaving you replenished and ready to take on the
day.”

This promotion will run in February and March to keep Zico top
of mind when there is no advertising spend. By having a Zico play list
that consumers use during exercise, we are making Zico part of our target audience’s fitness routine and reinforcing Zico’s role as their healthy
lifestyle partner. Engagement will be defined by clicking “play” and
will be measured using a click-through-rate. Additional engagement
includes liking the play list, book marking it, or sharing it with a friend.
Each of these behaviors will be measured with an action rate. The total
cost of this promotion is estimated to be $200,000.

16

Promotion #3: Rejuvenate Naturally
Photo Contest

Promotion #4: Yoga In The Park
Objective

Objective

The objective for this Instagram contest is to engage users
and build loyalty among Zico’s fan base as our campaign comes to
a conclusion. Secondary objectives include expanding Zico’s social
media community and increasing Instagram followers. Instagram
is one of the most heavily used social media platforms among our
target audience and is likely to generate high engagement levels.

Strategy

This national Instagram contest will begin in August to boost
low reach and frequency levels. The contest will continue through
September and October when there is no advertising spend and will
conclude with the announcement of a winner in November. In order
to increase engagement and brand loyalty, users will be prompted
to share how they “rejuvenate naturally with Zico” by uploading a
picture to Instagram and using Zico’s hashtag #TheZicoLife. These
pictures will depict how Zico is an integral part of consumers’ healthy
and fit lifestyles and will be judged both on creativity and how well
the user captured the Zico brand. The winner of this contest will
receive a weeklong, all-inclusive vacation to Fiji to relax and rejuvenate with a friend. This exotic location is home to the coconuts used
in Zico’s premium coconut water and is the ideal vacation destination for users to relax, rejuvenate, and rehydrate with Zico. By using
the hashtag #TheZicoLife, fans can search for other user’s posts and
expand the Zico community on Instagram. The estimated cost for
this promotion is $15,000 and includes airfare, a hotel, meals, spa
access, and entertainment for the winner and one friend.
17

To increase consideration and encourage trial among light users by
hosting free yoga in urban parks with branded Zico giveaways. Yoga is
one of the most popular fitness activities among our target audience
and current Zico drinkers, which will increase the likelihood of participation. Consideration and trial will be measured by attendance and
number of products handed out to the attendees. Our goal is to have
8,000 participants and give away 16,000 branded items.

Strategy

Free yoga days with Zico will be hosted in the 10 largest parks
in each of our spot markets. Examples include Central Park, Greynolds
Park, and Zilker Metropolitan Park. This event will take place every
other weekend during June and July in order to encourage trial when
sports drink sales are the highest. Our strategy for this promotion is
to capitalize on Zico’s heavy following of yoga enthusiasts. When Zico
was first established in New York, free bottles were handed out at local
yoga studios as a guerrilla marketing tactic that helped grow a fanbase
in the Northeast region.

In order to encourage trial among light users across the rest of
the country, Zico will be hosting free yoga in the park for yoga enthusiasts in 10 spot markets. This free yoga day will be led by celebrity
yoga instructors including Bikram Choudhury, founder of Bikram yoga
and one of Zico’s product endorsers. At each park there will be a
Zico tent with free bottles of Zico to encourage trial and keep participants hydrated during their yoga session. These free yoga days will
be announced and promoted across all Zico social media channels.
Sports and fitness bloggers will be contacted by Zico and encouraged
to attend the events and write about their experience. The estimated
cost of this promotion is $535,000 to cover all branded giveaways and
pay the yoga instructors.

Media Selection and Flowchart
Television
Dayparts:
Network Early Morning, Network Late News, Network TV Sports, Network Cable Early Fringe, Network Cable Prime, Network Cable Late
Fringe, Spot TV Prime
Estimated Cost: $4,800,400
Recommended shows to align with: E! News, Say Yes To The Dress, Girls, Portlandia, The Walking Dead, Ellen, 30 Minute Meals, Keeping Up
With The Kardashians, and American Horror Story
Rationale
- TV functions as a reach driver, and will help build awareness for Zico both nationally and within our spot markets.
- The dayparts selected for this media mix reach our target audience of women 18-34 before work, during lunch breaks, after work, and
late at night. Network TV Sports will appeal to our active and physically fit target.
- TVhas the opportunity to engage viewers with both sound and visuals.
- The recommended shows above all indexed over 130 against our target with high ratings among women 18-34.

Magazine
National Women’s Magazines: Full Page Color & Half Page Color
Recommended Alignments: Women’s Health, Shape, Self, Real Simple, Glamour, Health, and Fitness
Estimated Cost: $2,602,900
Rationale:
- Zico has historically advertised with success in women’s magazines. Additional spend is needed to maintain share of voice.
- The recommended health, fitness, and lifestyle alignments all reach women 18-34 who seek to live an active and healthy lifestyle. Each
title indexed over 200 in Simmons. Women’s Health (289), Shape (405), Self (334), Real Simple (210), Glamour (379), Health (226) and Fitness (485).
- Magazines have ability to deliver advertisements with stunning visuals and strong body copy among relevant editorial content.
18

Media Selection and Flowchart
Digital
National & Spot
Video Networks, Publisher Video Sites, Ad Networks, Social, and Mobile.
Estimated Cost: $191,400
Rationale
- High ability to effectively reach women ages 18-34 who frequently interact will digital media and live in the digital space.
- Video networks and publisher video sites have the ability to drive reach and awareness among our target watching their favorite Netflix
show, Youtube channel, or browsing their favorite website.
- Mobile will reach our busy target on the go. Mobile ads, coupons, and offers can target women 18-34 at shopping at grocery stores
through location-based marketing. Paid social media ads will reach these women who check their social networks multiple times per day.

Outdoor
25 Show
Estimated Cost: $1,369,000
Rationale:
- Outdoor advertising during the summer months will effectively reach our healthy and fit target audience working out outside
-Outdoor placements will also reach busy women 18-34 commuting to and from work, and traveling on the weekends
- Provides large eye-catching visuals in a relatively uncluttered environment. Outdoor can also be strategically located near grocery
stores or other vendor locations where Zico is sold.

19

Media Selection and Flowchart
ZICO Flowchart
Medium
Net TV-E Morning
$(000)
Net TV-L Nite/L News
$(000)
Net TV-Sports
$(000)
Net Cable-E Fringe
$(000)
Net Cable-Prime
$(000)
Net Cable-L Fringe
$(000)
Net Radio-Morning Drive
$(000)
Net Radio-Evening Drive
$(000)
Net Radio-Nightime
$(000)
Magazines-Womens
$(000)
Digital National
- Ad Networks - Run Of Network
- Ad Networks - Demo Targeted
- Video Networks
- Publisher Video Sites
- Social
- Mobile
$(000)
Spot TV-Prime
$(000)
Outdoor
$(000)
Digital Spot
- Ad Networks - Run Of Network
- Ad Networks - Demo Targeted
- Video Networks
- Publisher Video Sites
- Social
- Mobile
$(000)
National Only Area
GRPS
$(000)
Reach
Avg. Freq.
Spot Only Area
GRPS
$(000)
Reach
Avg. Freq.
Spot + National
GRPS
$(000)
Reach
Avg. Freq.

Jan

10
216.0
30
218.5
25
266.5
30
126.1
50
162.5
50
132.3
20
70.8

4
19.4

Feb

Mar

Apr

40
392.2
10
216.0
27
196.7

May

Jun

Jul

Aug

40
387.3

25
182.1

40
185.7
25
94.5
25
88.5
75
600.8

50
232.2
55
207.9

3
12.0

7
50.0

90
720.9

20
432.0
20
145.7

50
182.1
70
294.3
50
232.2

50
210.2
50
232.2

35
147.1
70
227.5

58
288.0

130
645.6

50
248.3

7
40.0

5
22.0

1,220
456.3

1,220
456.3

20
294.5
1,220
456.3

Sep

Oct

Target Demo: All Women ages 18-34
Nov
Dec
Total Across
GRPS:
40
COST:
387.3
GRPS:
40
COST:
392.2
25
GRPS:
65
540.0
COST:
1403.9
GRPS:
152
COST:
925.1
GRPS:
25
COST:
266.5
84
GRPS:
269
353.1
COST:
1130.9
50
GRPS:
360
162.5
COST:
1434.7
40
GRPS:
170
105.8
COST:
540.5
GRPS:
45
COST:
159.2
20
GRPS:
423
99.3
COST:
2602.9

3
14.0

43
34.0
218
1212
71.6
3.1

218
1212
71.6
3.1

244
1786.3
79.5
3.1

244
1786.3
79.5
3.1

266
1780.4
79.4
3.4

266
1780.4
79.4
3.4

227
996.6
71.4
3.2

237
1127.9
77
3.1

200
1222.6
71
2.8

682
784.9
87
7.8

619
456.3
81.6
7.6

619
456.3
81.6
7.6

910
1781.4
93.2
9.8

856
1584.3
92.6
9.3

819
1678.9
91.8
8.9

221
1274.7
69
3.2

221
1274.7
69
3.2

GRPS:
COST:
GRPS:
COST:
GRPS:
COST:

28
157.4
20
294.5
3659
1369.0

GRPS:
COST:

42
34.0

GRPS:
Cost:

1617
9400.5

GRPS:
Cost:

1922
1697.5

GRPS:
Cost:

3539
11098

20

References
Schultz, E.J (2014, December 25).“Gatorade Celebrates 50 Years in One Ad.” Advertising Age Agency News RSS. Crain Communications. Retrieved October 19, 2015.
Zmuda, N. (2009, November 16). “Zico: America’s Hottest Brands Case Study.” Advertising Age. Crain Communications. Retrieved 19
Oct. 2015
Schultz, E.J. (2014, September 24).”Vita Coco Hires Saatchi, Preps New Campaign.” Advertising Age Agency News RSS. Crain Communications. Retrieved 18 Oct. 2015. http://adage.com/article/agency-news/vita-coco-hires-saatchi-preps-campaign/295111
(2015, August 13).”Vitamin Water Has Been Coca-Cola’s Best Purchase.” Investopedia. Investopedia LLC. Retrieved 18 Oct. 2015. http://
www.investopedia.com/articles/markets/081315/vitaminwater-has-been-cocacolas-best-purchase.asp
Roolant, L. (n.d.). “Why coconut water is now a $1 billion industry” TransferWise. Retrieved October 19, 2015, from https://transferwise.
com/blog/2014-05/why-coconut-water-is-now-a-1-billion-industry
Segal, D. (2014, July 26). “For Coconut Waters, a Street Fight for Shelf Space.” The New York Times. Retrieved October 19, 2015, from
http://www.nytimes.com/2014/07/27/business/for-coconut-waters-a-street-fight-for-shelf-space.html?_r=0
Bigham, R. (2015, March 12). “Coconut Water Sales Expand Robustly.” Beverage Industry, BPN Media. Retrieved October 19, 2015, from
http://www.bevindustry.com/articles/88249-coconut-water-sales-expanding-robustly?v=preview
Zico. (n.d.). Retrieved October 19, 2015, from http://zico.com/
Groth, E. (2011, September 22). “The Amazing Story Of How Coconut Water Took Over The Beverage Industry.” Business Insider. Retrieved October 10, 2015, from http://www.businessinsider.com/coconut-water-brands-2011-9
Glattor, R. (2012, August 31). “The Truth Behind Coconut Water.” Forbes Magazine. Retrieved October 19, 2015, from http://www.forbes.
com/sites/robertglatter/2012/08/31/the-truth-behind-the-coconut-water-craze/
“U.S. coconut water sales by brand, 2013” (2013). Statista. Retrieved October 19, 2015, from http://www.statista.com/statistics/325169/
us-coconut-water-sales-by-brand/

21
19

Korn, M. (2014, July 16). “How coconut water became the ‘it’ drink.” Yahoo! Finance. Retrieved October 6, 2015, from http://finance.
yahoo.com/news/how-coconut-water-became-the--it--drink-183501335.html

Appendix

22