Dr Pepper Snapple Group enters energy drink market with venom
The energy drink market has been growing considerably over the past five years with the success of Red Bull symbolic of the potential of the sector. However, as more competitors enter, the need for product differentiation will continue to increase but the ability to provide an option which varies noticeably from the competition appears limited.
Dr Pepper Snapple Group (DPS) has now introduced Venom, a new energy drink into the ever expanding marketplace.
DPS, the North American beverage company, was created last month following the demerger by Cadbury which separated its’ beverage unit from its’ confectionery. Having already shown strength in the carbonated soft drink sector the company has set about entering the energy drink market with three variants: ‘Black Mamba’, regular ‘Venom’ and the low carb/calorie option ‘Mojave Rattler’.
As for the differentiation? The Venom energy blend contains caffeine, l-carnitine, guarana, ginseng and taurine, the ingredients that consumers now associate with energy drinks. The primary difference to the offerings of most competitors appears to be the packaging, which is a resealable aluminium bottle – for those who look for a steady energy boost throughout the day.
“Venom will accelerate Dr Pepper Snapple’s entry into the fast growing energy drink market by delivering a jolt of energy in new killer packaging,” said Charlotte Dimery, director of marketing for Venom. “Its piercing energy that strikes back in a new re-sealable bottle delivers something new and functional in the competitive energy landscape.”
Success for DPS may be dependent upon the taste of the product as there is not a major marketable difference between their drink and other options and, like most others, the product appears targeted toward young males. The distribution network of DPS will dictate that some success is likely but even Coca-Cola has struggled to take a sizable share away from Red Bull despite the strength of their distribution network.