What is it?

1. Secondary Research“Research is to see what everybody else has seen and to think what nobody else has thought”albertszent-gyorgyi (hungarianbiochemist, 1937 nobel prize for medicine, 1893-1986)

2. What is it? • Data gleaned from 3rd party sources • Generally available through subscription products • Also: • Industry reports, trend watchers • Media patterns, habits • Surveys and statistics

3. Why do it? • Saves costs on primary research • Get the basic information on the market/category • Forms baseline information on consumer behavior/profiling • Lays the foundation for primary research • Helps formulate your hypothesis

4. How to best use it? • Bust stereotypes (Today’s mom or today’s senior) • To understand the competition • To understand influences on consumer behavior • To understand market opportunities or threats

5. Key types • Demographic • Simmons/MRI (consumption levels, media patterns by demo characteristics) • Mintel reports • Indexes

6. Key types • Surveys and reports • Yankelovich • Roper Opinion Poll • American Demographics • VALS • PRIZM • Census Bureau

7. Key types • Articles and research • Lexis/Nexis • Business Source Premier • Trade publications/Associations • Data mining

10. Over half of all adults aged 18+ are not interested in trying energy drinks/shots; free sample, low price keys to attract non-users • According to Mintel’s exclusive consumer research, some 74% of adults aged 18+ do not consume energy drinks/shots. More notably, 69% of these non-users report that they are not interested in trying energy drinks or shots. Based on these findings, it would seem that 51% of all adults aged 18+ are not likely to try energy drinks or energy shots. • The fact that seven out of 10 respondents are not active in this category and are not interested suggests the need for manufacturers to develop products aimed at a wider audience. Mintel finds that among non-energy drinks/shots users: • A free sample at stores where non-users usually shop for beverages would bring in 16% of non-users to the energy drinks category and encourage 14% of non-users to try energy shots. • Some 14% are likely to drink energy drinks if they are priced in the range of $0.75-$1.00 per can/bottle. • About 13% would like to see energy drinks made from natural ingredients (8% for energy shots), with less sugar. • Some 14% (11% for energy shots) are likely to drink energy drinks if they have natural ingredients. • Availability of energy drinks in favorite flavors can attract 11% of non-users to drink energy drinks and 8% to use energy shots.

11. Energy drinks’ high price a hurdle in expanding user base; energy shots leading growth • The energy drink/shots market is made up of three segments. The strong sales growth from energy shots spurred market gains, but is cannibalizing sales from energy drinks. Within the FDMx sales: • Energy drinks gained 5.4% to $937 million at FDMx during 2008-10. Consumer migration to less expensive sodas and to energy shots muted gains in this segment. Sales are expected to grow by 53% in current prices during 2010-15, compared to growth of 106% during 2005-10. • Energy shots are the fastest growing segment, gaining 146% to $165 million in FDMx during 2008-10. The segment has benefitted from consumers’ desire for an energy boost that is less filling and has less sugar. The segment is projected to make strong gains of 147% during 2010-15. • Energy drink mixes grew 133% to $21 million on the success of Crystal Light Energy On the Go in FDMx during 2008-10. Exciting new product innovations could mean big gains in the coming years. However, at the current rate, growth is expected to be around 242% during 2010-15 in current prices in FDMx.

28. Red Bull has hired your agency • Challenge: Introduce new Red Bull au Nautrel to under 18 target • Analyze the data • Go into Mintel (or the source of your choice) and find data that you can chart or graph for better understanding • Find a report or study and extract one unique or singular bit of information • Find some data that suggests a cause and effect or relationship connection, i.e. energy juice drinks are preferred by the youngest demographic (15-20); this demo is expected to shrink in the next 5 years which will shrink the potential market for juice drinks.