GROWTH STRATEGY
- Create appealing brands with aggressive pricing policies.
- Acquire emerging New Age Brands.
- Acquire a network of distributors in key US regional markets.
- Create
strategic alliances with third party brands that recognize that
Innovative Beverage Group’s distribution network can enable them to
grow at an accelerated pace.
The
quest remains to be first on the shelves to fulfill and predict these
concerns with a new, winning concept. The soft drink companies
have not shown the ability to develop successful value-added
brands. They have adopted a predatory strategy of acquiring New
Age enterprises and brands; thus, making the drink a subcategory of the
larger brand concept. Only by utilizing the key elements of
Innovative Beverage Group distribution and marketing will we ensure our
market viability.
Market Evaluation. Continuous
and complete review of the beverage industry in general, including a
review of existing beverage categories and segments, and the product
life cycle stages of such categories and segments. This knowledge
is vital in determination of the trends and the targeting the needs of
consumers. We additionally review the fashion industry and the
consumer products industry to determine trends within that industry for
our product extension lines. Based on these findings, we are able
to determine the marketing direction our company will pursue for future
product and fashion trends. Finally, evaluation of the strengths
and weaknesses of certain categories and segments of the beverage
industry enhance our ability to pinpoint potential opportunities and
dismiss those that will not be projected profitable within our company.
Distributor Evaluation. Analysis
of existing and potential distribution channels. This analysis
addresses, among other things, which companies will distribute
particular beverage brands and products, where such companies may
distribute such brands. Thus, producing marketable environments
and correct conclusions as to product placements and market target
areas. Motivation of the distributors to distribute such brands
and products is accomplished by profitability and knowledge of the
market.
Production Evaluation. Reviewing
all aspects of production in the beverage industry, including current
contract packing capacity, strategic production locations, and quality
control, gives Innovative Beverage Group a cost analysis of the various
considerations that is critical to producing and pricing our unique
brands and products. The considerations of natural ingredient
sources and flavors are paramount to ensuring a quality finalized
formula.
Image and Design. Using
market, distributor and production evaluations, we create and develop
the concept for a beverage brand or product extension. Controlling all
aspects of the creation of each brand or product extension, we employ
outside creative artists to help design our graphics for
labeling. We only use artist, or groups of artists, whose
portfolio of work best suits us with respect to the creation of a
particular new brand or product extension. Our technical services
department then works with various flavor concentrate houses to test,
choose and develop product flavors for the brand.
The
explosion within the New Age beverage industry has created numerous
small beverage distributors. Hundreds of these independent
distributors are under-capitalized, entrepreneurial operations lacking
core brad business and sales infrastructure. By selectively
consolidating these operations, Innovative Beverage can extend its
distribution network for its proprietary products while attracting high
potential third party brands.
Innovative Beverage Group
intends to acquire additional beverage distributors in order to obtain
new products and distribution channels. The Company’s strategic
focus is on distributors with $2,000,000-$5,000,000 in revenue.
Additionally, the acquisitions will allow Innovative Beverage Group to
generate margins above the industry norms by selling the proprietary
New Age brands and leveraging third party New Age brands that are
dependent upon the Company’s multi-market distribution network. Innovative Beverage Group will maintain responsibility for the product launch, branding and creating market awareness as well as distribution. |
