Situational Analysis: Five by Five Tonics Industry: The tonic water industry is one that is somewhat difficult to dive into based on the large companies that dominate it such as Canada Dry, Seagrams, and Schweppes to name a few. These larger brands are able to produce the tonic water at a much cheaper price due to the distribution and bottling these companies can reach. This presents a problem for Five by Five in getting the brand out there and into the larger retail market. But with Five by Five taking tonic water back to the ingredients and making a product that could be labeled organic really sets Five by Five apart from these larger companies. The fact that it is made with all natural ingredients and does not use high fructose corn …show more content…
This group tends to have more of a disposable income, thus being able to afford five by five bitters since they are a bit pricier than the competitors. Within this specific age range they are looking for people who consider themselves so called foodies, and mixologists. These are the people who really enjoy the art of a hand crafted specialty products. The target market that Five by Five currently has is appropriate because the market tends to have a slightly higher income thus being able to afford the higher level of quality. Reaching a broader age range increases the customer base allowing for higher potential earnings. These customers may be interested in craft/natural products which can lead to trial and then brand loyalty down the road. Based on our opinion we think that Five by Five Tonics should focus their target market on a narrower age range of 35 and up. This seems to be the industry wide applicable market. They should continue to communicate to those who value local and craft products as well as people who enjoy mixing their own drinks. Five by five should continue with targeting businesses including high class bars, restaurants and specialty grocery