Activate ™ Drinks:

A case study on effective grassroots marketing

A new line of functional beverages with a twist

Activate's ingredients are stored separate inside the cap and released into the water at the time of consumption (www.activatedrinks.com). The brand's positioning, established by advertising agency, LeeReedy LA, is based on the research we conducted that proved vitamins and other healthful ingredients deteriorate sitting in water. That's why Activate stores their vitamins inside the cap, until the moment you need them — for maximum potency. After the positioning, brand development, packaging and messaging strategy were completed, developing the marketing strategy ensued.

Marketing this new "drink" was challenging for two main reasons. 1. We were entering an extremely cluttered, albeit "hot" category, and 2. The product was launching in Los Angeles, which offered geographic challenges as well as media–related challenges. Because the cap was something new people had never seen before, the most important piece of promoting Activate was to get the product into consumers' hands, demonstrate the cap and ultimately help them understand WHY the ingredients were kept inside the cap.

A grassroots effort was the only answer

With a limited marketing budget usually associated with start–ups, placing large media orders was out of the question. And, even if the money were there, it wouldn't have made sense to use mass media because the idea for the product was new and required personal demonstration. Each customer had to be engaged one at a time. Evangelists needed to be created to help spread the word. We knew we had a viral product. Once people tried it, they had to buy more to show their friends.

We examined the potential audiences we could hit

Vitamins deteriorate sitting in water. That was our key advantage. So, who would that message resonate with? People who care about taking vitamins as a part of their healthy, active lifestyle. This became the foundation for Activate's distribution strategy as well as its grassroots marketing effort. We looked at the LA landscape and devised a slow, methodical rollout strategy in partnership with Activate. Our target demo was mostly female and affluent (simply put). They were also active — meaning they either spend time exercising outdoors or at the gym. We targeted gyms, hiking trails, running paths and the like. We started in upscale areas. First, in Hollywood and Beverly Hills. Then, to the beaches as it warmed up and people were out being active. The launch began in February, which provided a perfect timeline to move slowly, get the kinks out and be ready for summer and a wider scale of distribution.

Sample. Sample. Sample.

From a distribution standpoint, Activate had a leg up. Due to the interest in the product, Activate attracted the largest distributor in Southern California — which put us in stores. Now, we had to get the product to sell. We had to sample. We had to get the product in people's hands at the point of purchase. Additionally, we supported each store with guerilla teams who hit people on the running trails or at the beach. Through it all, nothing has been more meaningful than engaging the customer at the point of sale with a real live person.

The effects of the strategy have been amazing. Activate has had a record number of re–orders, sell through and expansion in the Los Angeles area. Since February 2008, Activate has gone from shy of 50 retail locations to over 500 as of the end of the summer. It started slow, with a good base and a great product —engaging and educating along the way. The Activate launch is a perfect example of how to make marketing dollars work their hardest for you on a grassroots level to build brand awareness and affinity — the ultimate marketing ROI.

For more detailed info on Activate or other grassroots marketing we've done at LeeReedy, please contact me kreedy@leereedy.com.