berryboost team9

Jennifer Holm Kasperi Putkonen Adaobi KanuChristine Lee

Talked to 5 Wholesalers

Talked to 90 End-Users

Talked to 10 Retailers

Talked to 2 Beverage

Consultants

Conducted 40 Surveys

HERE’S WHAT WE THOUGHT DAY 1

• We thought we’re going to produce high-end water and stylish juices to cool, young people

• We thought it needs to be organic, CO2 neutral and available in private jets..

• But that idea didn’t survive the first customer contact

Key Partners

BUSINESS MODEL CANVASDAY 2

Key Activities Value Proposition

Customer Relationships

Customer Segments

ChannelsKey Resources

Revenue StreamsCost Structure

Suppliers of Berries

Partnerships for Brand Creation:

MaterialsDesignPackagingMarketing

Retail Partners:Bars & NightclubsHotelsRestaurants"Off site" consumptionGrocery stores e.g. Dean & Deluca"On site" consumption

Sourcing of water

Sourcing of berries

Bottling and logistics

Making juiceQuality Control

The factory / bottling siteIntellectual resources: Brand

Human resources for:

Quality control

Product R&DSales / Customer relations

Provide the world's best water and natural berry juiceDesign: fashionableStatus: High quality high quality packaging

New flavors such as cloudberry, lingonberryand seabuckthorneNatural, hand picked, CO2 neutral

Provide the water and the juice separately, let the

customer mix them=> customization

On the go: Small juice & bottles portability

Online communities forco-creation of mixes, recipes etc.

Awareness and Evalu:Website and social media

After Sales:website and social media

Key account managers

Mass Market productpremium/luxury

Urban consumers Fashion savvy-/ Green

Target Segments:Urban males and females 15-49, high end restaurant / clubs / hotels73% f, 27% m.

Consumers1. Heavy Water Drinker2. People who Juice

Retailers1. Mass Market 2. Specialty food stores

Asset sales model

Predefined prices

Sales to wholesaler

On-line direct sales

Sourcing of berries (economies of scale)

Quality control

Marketing

Premium/luxury value proposition

Creating partnerships

MARKET OVERVIEW

Non Alcoholic Bev

$258B

Fruit-Drink Mixes$1B

Fruit Juice$5B

Berry Boost$10M

(1% of Market)

Fruit-Drink Mixes: $1B

Growth in concentrates

Mio 12.28% Market

Fresh Juices:Projected 4%-8%

growth 2011: Sales of bottled fruit and veggie juices $2.2B

up 58%

National movement, toward healthier

eating and organic

Bottled Water: $22B

WHAT WE LEARNEDDAY 2Would you

purchase a shot of fresh berry puree to mix with water for both nutrition

boosting and flavor-enhancing

purposes?

–70% yes, - 30% no

- –Yes: ”Great way to

flavor water without adding

calories/sugar/artifcial sweeteners”

Needs not currently met by existing products,

top three

1. Too much sugar (65%)

2. Prefer more health benefits

(55%)

3. Prefer more natural ingredients

(45%)

Customers value

Mixing on-the-go

Portable Packaging

to be carried in purse/pocket

Price Per Serving WTP

$1.00 - 2.00

$2.00 - $3.00

Key Partners




Customer Segments



Suppliers of Berries


MaterialsDesignPackagingMarketing

Distribution Partners:Beverage Wholesalers


Sourcing of water

Sourcing of berries


Making juiceQuality ControlMaintaining Distributor Relationships Customer Relationships



Quality control


Provide the world's best water and natural berry juiceDesign: fashionableStatus: High quality high quality packaging

New flavors such as cloudberry, lingonberryand seabuckthorneNatural, hand picked, CO2 neutral




Dedicated assistance to wholesale distributors


Samplings to get consumer reactions

Awareness and Evalu:Website and social mediaPurchase and Delivery:

Wholesale Partners

After Sales:website and social media




Target Segments:Urban males and females 15-49, high end restaurant / clubs / hotels73% f, 27% m.25-50+Consumers1. Heavy Water Drinker2. People who Juice

Non- Sweet Drinkers


Asset sales model

Predefined prices

Sales to wholesaler



Quality control

Marketing



Donna: The Water Lover

CUSTOMER SEGMENTS

Jim: The Juicer

Big Geyser: The Bev

Wholesaler

Looking to have a

diversified beverage

portfolio to offer their

retail partners

• Prefers water• Active lifestyle• Health Conscious• Values Portability

The MiddlemanThe End-User

• Makes Juice at Home

• Willing to $pend• Trendy

• Wants to try new Superfruits!

• Low sugar• Active lifestyle• Health conscious• Values portability• Wants vitamins• Fresh Ingredients

• 25-50+

Natasha: The All-Naturalist

• Likes sugar• Drinks soda

• Doesn't look at labels

• Young

Tommy: The Sweet Tooth

WHAT WE LEARNEDDAY 3

Location: 96th St &

Broadway

Consumers Sampled: 70

Orders Placed: 5

Consumer Feedback:

Berry Boost: “More Berry flavor”

“More Natural”

Mio... “I would rather hump a dry cactus than drink

that garbage”

“Artificial – Too Sweet”

Funny after taste

Key Partners




Customer Segments



Suppliers of Juice


MarketingDesignPackagingMaterials

Distribution Partners:Beverage Wholesalers


Sourcing of water

Sourcing of berries


Making juiceMarketingMaintaining Distributor Relationships Customer Relationships



Quality control


Provide the world's best water and berry juiceDesign: fashionableStatus: High quality

The Story!!

New flavors such as cloudberry, lingonberryand seabuckthornehand picked, CO2 neutral

Organic




Dedicated assistance to wholesale distributors


Samplings & consumer education

E-Commerce

Website


Wholesale Partners

Direct at Events

Retailers



Target Segments:Urban males and females 15-49, high end restaurant / clubs / hotels73% f, 27% m.25-50+Consumers1. Heavy Water Drinker2. People who Juice

Non- Sweet Drinkers


Asset sales model

Predefined prices

Sales to wholesaler



Quality control

Marketing



CHANNELS

WHOLESALE

E-COMMERCE

DIRECT TO CONSUMERS

RETAIL

X X

X X X

XX

Fairway Market:Organic Specialty

GET STRATEGY

• In-Store Samplings

• Consumer Coupons

• Staff Trainings• Deals• Retailer Incentives

Natasha: The All-Naturalist

Big Geyser: The Bev

Wholesaler• Lots of samples• Retailer Support• Sales Support• High Margins• Sales Incentives• Exclusivity

• Entertainment

Besides attracting consumers with a product/story, we need to be ready to spend $$$ on wholesalers and on free samples for customer access. 80% of a product’s success comes from

distribution/marketing!!

• Consumer POS Items

• Event Sponsorships• Website

• Marketing Materials• Giveaways• Coupons

REVENUE

COGS

Target Gross Margin (40% of wholesale)

Distributor Margin (30% of trade)

Retailer Margin (50% of Retail

Price)

WHAT WE LEARNEDDAY 4

Talked to 5 Wholesalers

Talked to 90 End-Users

Talked to 10 Retailers

Talked to 2 Beverage

Consultants

Access to distribution crucial but costly;

Start with local growth

Outsource manufacturing at the

beginning So what’s important

?

Create a story, find

your niche. Then focus on getting

your products to customers.

Find relevant/niche distribution partners; Look into partnering with bottled water

firms

Marketing & Distribution = 80%

of the game

Conducted 40 Surveys

NEXT STEPS

• Finding the niche: New hypothesis• Hone in on the customer need• Make sure we have the right

segment and the right value proposition

• Create the story• Focus on channels and partnerships• Throw the book from the ceiling of

Warren Hall when we have first 5000 clients waiting for the beverages to ship

berryboost team9

Education

b fruit juice

juice quality control

high end water

customer contact

sales of bottled fruit

b growth

organic bottled water

natural berry juice