A Mexican soda chain has a new strategy for capturing US market share.
Jarritos–a Mexican soft drink company–has unveiled a new advertising campaign directed at the trend-setting, 18-24 year old non-Hispanic males residing in Los Angeles. The campaign consists of several strategies, including a new web-page and three murals painted by Austin-based street artist, Federico Archuleta, promoting–amongst other things–the product as a granulated sugar-based alternative to mass-market soft drinks using high-fructose corn syrup.
Though maybe not a household name, the consulting company Beverage Marketing estimates that Jarritos is already sold at half of U.S. grocery stores with annual retail sales of $200 million, up from $150 million last year. Compare those 2010 figures with the $14.4 billion earned by Coca-Cola, $7.1 billion by Pepsi and the scale that Jarritos is operating against becomes clear.
Larry Finkel, director of food and beverage research for Marketresearch.com, praised the decision to pursue appealing to young men, who he said were “less loyal to brand identity, and change brands more often for the sake of variety.”
According to David Flynn, marketing director for Novamex:
Three years ago, we decided to broaden our reach. We saw opportunities elsewhere. We had pretty good awareness in non-Hispanic Los Angeles, the market is very integrated. It only makes sense that we talk to a wider audience particularly in a market like Los Angeles, where people know the brand.
To reach them, the El-Paso-based company Novamex has implemented a number of additional, small-market strategies intended to draw attention to the product and build awareness of the brand. According to the New York Times:
Novamex is also handing out samples of the soda in select neighborhoods in the Los Angeles area. The samples are transported by large tricycles driven by luchadores, or masked wrestlers, and a food truck. Painted with a Jarritos bottle and flames, the truck also carries a wooden sign with a wrestler’s mask design that has a functioning bottle-opener in the wrestler’s mouth.
Jarritos’s new Web site features 10 playful videos aimed at young men. One shows a Jarritos taste test with a boomerang-carrying Australian aborigine. In another, a young female artist summons an eagle to pry the cap off her Jarritos bottle.
Jarritos also is advertising on Federated Media’s network of independent Web sites; and Revision 3, a special-interest Internet video network.