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The low-cost competition strategy refers to a strategy for enterprises to gain a competitive advantage by reducing costs and having more profit space with competitors in the same situation. Beverage price sensitivity is high, price is the main factor that consumers decide to buy, realize low price basis is low cost. Cost advantage can be obtained through raw material price below competitors, higher production efficiency, lower labor cost in the area, or advantages of distribution cost.
Energy beverage companies can reduce the cost of activities on the value chain by integrating organizational resources to achieve a low cost competitive advantage. Making the new product business of an enterprise to share resources with existing businesses, for example, production equipment, distribution channels, convertible brands, etc., will greatly reduce costs. In addition, through "(production can also obtain cost advantage. On the one hand, the enterprise through "professional" business with its power scale Consumers see energy drinks as a blue-collar workers engaged in heavy manual labor provide energy drinks, and many parts of the world is regarded as a suitable for some meetings, entertainment, or activity occasion of drinks (often mixed with wine to drink); As a result, the product is repositioned to expand the drinking population. Eurmonitor International found that consumers have to diversify foreign energy drinks, office clerk, often refreshing, such drinks to ease tensions in the work, need to keep a clear long-distance truck drivers, struggle for a long and continuous term of the students, and participating in activities such as skiing, cycling, skating, climbing movement. In 2005, Japanese makers of energy drinks locked consumers into teenage children, especially in exam season. "Key" and "Guts Cha rg e" adopt the packaging that suits the children to attract their consumption, "Pow erful Sassou Vitamin" adopts fruity flavor to cater to the tastes of teenagers. Thai energy drink market is one of the leading brand of "the M - 150" market positioning has gradually from the manual workers energy drinks to "life without limits" as the motto of teenage "cool children" love a cool drink ". In addition, the drink also faces pressure from consumers to choose other healthier drinks. Consumers are increasingly concerned about their blood sugar levels and have to give up high-sugar energy drinks and choose other drinks. Thus, reducing the amount of sugar added is also one of the ways to expand the drinking population.
The real core of the brand lies in the inherent brand spirit. Consumers buy brand products, forming high brand loyalty. At present, the biggest problem of energy beverage enterprise brand building is that it is easy to be imitated or replaced by new products appearing in the market. In fact, enterprises should not launch different products in different market segments at the same time in the initial stage of development, which is not only costly, but also has a large market risk. Heart good kind of products, using it to build the brand culture, convey the enterprise idea, and then reuse has strong product, so it will get twice the result with half the effort effect.
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