PRODUCT COMPETITIVE REVIEW

Amazing Fruit Shots™a ready-to-drink fruit and vegetable shot made with 100% fruits and vegetables (from concentrate with other natural ingredients).

ADVANTAGE.

Amazing Fruit Shots™, a unique product enhanced from an original fruit and vegetable medically used beverage. AFS is now making the formula available to the consumer commercial markets. The Edge; a delicious way to get five full servings of fruits and vegetables in a ready-to-drink bottle weighing less than three fluid ounces, with naturally formed amino acid as its Energy Booster. With Amazing Fruit Shots™ the body gets the safe boost sought by consumers who buy energy drinks. (See SWOT).

PRESENT MARKET LEADER.

In America, with the consumption of 5-Hour Energy and Red Bull, there are nearly 20,000 consumers who are hospitalized or seek emergency treatment each year because of ingesting the chemically laden synthetic ingredients. Even in the face of national government bans and health professionals scrutiny, they remain the most marketed and therefore most popular on the shelves. 5-Hour Energy (which is our specific focus) with over $1B in annual U.S. sales, which overshadows the closest competitor at $17M. We are absolutely clear that the market is ready for a targeted disruptive change in the #2 position.

Amazing Fruit Shots™- Formulation

Currently, in its basic use, the formula is being used by patients with special dietary needs, nutritional therapy recommended when high-density nutrition, low allergen content, high bioavailability, or excellent palatability is a critical requirement. AFS medical version is provided to those with special dietary requirements who have difficulty consuming fruits and vegetables because they cannot either tolerate the taste or volume. Our versatile formulation can also be mixed with other foods, beverages (any temperature), or supplements. AFS comes in a distinguished bottle that was specifically designed for the brand.


Global Nutraceuticals Market - Growth, Trends, and Forecasts (2016-2021). by Mordor Intelligence 2016. The current consumer trend is to be preventive rather than react to the health issues, which involve huge healthcare costs in developed countries. There is a shift in the consumer preference from synthetic ingredients to natural and organic ingredients and foods which are obtained from non-GMO (Genetically modified organism) extracts. Consumers prefer the nutraceutical foods to pharmaceutical drugs. Additionally, 5-Hour Energy is banned in several countries because of its synthetic ingredients.

Currently, AFS is gaining clearance from officials in the Peoples Republic of China (world's 2nd largest consumer market) to garner national distribution, an area that has restrictions on 5-hour sales.

Accordingly, Amazing Fruit Shots™ keys to success;


(1) Natural, Fruit and Vegetable based, • 100% Natural • Preservative Free • Cholesterol Free and low in sodium • Lactose-Free • Fat-Free (no saturated or Trans fats) • Aspartame Free • Non-GMO and Egg Free • Yeast, Wheat and Gluten Free


(2) Safety of consumption, legacy of the historic use of the base brand (currently used by medical facilities and is deemed safe by Doctors),


(3) Highly rated Manufacturing facility, Certified Organic- Certified Kosher- Certified Halal- Certified HACCP- Certified cGMP "meets and or exceeds all Good Manufacturing Practices. Our products are produced under conditions that meet or exceed federal regulations governing the manufacture of nutraceuticals and food products.


(4) Demographics; energy drinks are favored by males; about one in eight men in the U.S., or 15.5 million, drink energy drinks, while about one in 12 women, or 15.5 million, imbibe energy drinks, according to BMC’s report. 21% or 6.6 million, of consumers between the ages of 18- to 24-years-of-age are nearly twice as likely to drink energy drinks compared with the national average, it notes. The second highest index was found in the 25- to 34-year-old age range, which comprises roughly 30 to 35 percent of energy drink consumers. Hispanics are the most likely ethnic group to imbibe energy drinks followed by Black, Asian and White consumers, it adds.


DISRUPTIVE MARKETING; To attract the attention of this category's core group, AFS is in the final stages of licensing the use of YouTube's most viewed 18-35 demo music video of the summer. In addition to licensing the song for our social targeting campaign, the title track "All The Way Up" is synonymous with the launch theme of the product. Go "All The Way Up" with Amazing Fruit Shots, Nature's Energy Boost.


SWOT- Strength/Weaknesses/Opportunities & Threats


STRENGTH; Health Demand, Desirable Product (no adverse side effects), Packaging Differentiation, #2 Motive, Positioning, Innovative, Variety of Flavors, International Sales in the process.

WEAKNESSES; Marketing management (not budgeted at the outset to do a national college campus promotional campaign), No Paid Commercial Advertising, Finding the right Product Position.

OPPORTUNITIES; Demographic adapts well to the latest fades/concepts, Good value pricing, Social Media focused targeting, Healthy Market Concept, Market Implementation,

THREATS; Economic downturn, Natural Disaster during launch, Existing Brand Loyalty, Cognitive dissonance



Recent Industry News

Steady upward trajectory for energy drinks market -- August 10, 2016

Beverage Industry Magazine. Writer-Barbara Harfmann states,

"Natural ingredients, flavor innovations fueling new product development The energy drinks market might be the new essence of the life as the category — in connection with an uptick in energy shots’ sales — now is the No. 2 performer, second only to bottled water, in convenience stores, according to market research analysts."

The market is being driven by a number of factors, including the popularity of energy shots, which have a higher price per unit,”

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New York-based Beverage Marketing Corporation’s (BMC) report titled “U.S. Energy Drinks through 2019” highlights the growth of this category across all channels. 

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According to IRI data, the energy shots category notched nearly $1.2 billion for the 52 weeks ending June 12 in U.S. supermarkets, drug stores, mass merchandisers, gas and convenience stores, military commissaries, and select club and dollar retail chains; however, it only captured a slight 1 percent increase, the data notes. 

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Product Transparency Creates Trust- Monday, Sept. 5, 2016 (Center for Media Research)

According to Label Insight's 2016 Transparency ROI Study, consumer demand for product transparency is on the rise, and brands that fulfill this demand by providing comprehensive product information are poised to grow market share and revenue. Nearly 90% of consumers say transparency is important to them across every food product category, and 40% say they would switch to a new brand if it offered full product transparency.

Patrick Moorhead, CMO of Label Insight, says "… this study reveals what matters most to consumers… draws a clear correlation between transparency and improved consumer trust, enhanced brand loyalty, and overall long term value in repeat purchase… "The report provides guidelines for brands on how to develop trust among consumers. Key findings:

  • 81% of consumers say they would consider a brand's entire portfolio of products if they switched to that brand as a result of increased transparency

  • 56% report that additional product information about how food is produced, handled or sourced would make them trust that brand more

  • 73% say they would be willing to pay more for a product that offers complete transparency in all attributes

  • 94% of respondents say they are likely to be loyal to a brand that offers complete transparency

  • 86% of 18 to 34-year-old women with children say they would pay more for food products with completely transparent information


*Governments now applying pressure to the current ingredients in competitive products/ U.S. Senate Hearing on Energy Drinks- https://www.gpo.gov/fdsys/pkg/CHRG-113shrg88760/html/CHRG-113shrg88760.htm

SUMMARY: (646) 358-5257 Confidentiality Statement: The information, data, and drawings embodied in this plan for American Artesian Water Company LLC are strictly confidential and are supplied to the recipient with the understanding that it will be held in the strictest confidence. It is not to be utilized or summarized for any other purpose than informing the recipient. It is not to be disclosed to any third party without the prior written consent of Maurice Singleton III or the Board of AMERICAN ARTESIAN WATER COMPANY. The concepts, ideas, services, and products are Service Marked (sm), Trademarked (™), Copyrighted (©) or Registered (®) by MS3. By receiving this information, the recipient agrees to hold all the data, concepts and ideas contained within this document confidential and also agrees not to duplicate or use this document or part thereof without the expressed written consent of AAWC. Maurice E. Singleton III, Founder