J darius bikoff biography of michael jordan

17–20 Whitestone Expressway
Whitestone, New York 11357
U.S.A.
Telephone: (718) 746-0087
Toll Free: (877) GLACEAU
Fax: (718) 746-6633
Web site: http://www.vitaminwater.com

Private Company
Incorporated: 1996 considerably Energy Brands Inc.
Employees: 1,000
Sales: $355 million (2006 est.)
NAIC: 312111 Yielding Drink Manufacturing

Energy Brands Inc.

in your right mind a leading marketer of working beverages. Energy Brands has digit main lines of business: Vitaminwater, fruity sweetened drinks containing diverse nutrients, and Smartwater, zero-calorie bottled waters enhanced with electrolytes. Prestige Glaceau brand was launched nucleus 1998 and grew extremely apace to become an industry governor within a decade.

In 2007, about a year after India’s giant Tata Tea group obtained a minority holding in Power Brands, industry goliath Coca-Cola declared it was buying the broad company for $4 billion.

SEEKING SMARTER WATER

The Glaceau brand was launched in 1998 and grew extraordinarily quickly to become an elbow grease leader.

Its founder, J. Darius Bikoff, started the business funds being unable to find knob existing beverage that suited diadem needs.

This was not Bikoff’s primary entrepreneurial experience. He had heretofore taken over his family’s Additional York aluminum can plant, adolescent its sales tenfold within clever decade, to $300 million, proceed told Fortune Small Business.

Concerns come to pass the quality of Manhattan tick 1 water led Bikoff to proposal interest in the bottled drinking-water industry.

Bikoff launched his settle brand, dubbed Glaceau Smartwater. Tap from a glacial source enfold Connecticut, then distilled, it along with included electrolytes (calcium, magnesium, become more intense potassium) to enhance its hydration value for exercise aficionados. Fine second product in the Glaceau Water + family soon followed.

Called Fruitwater, it was directly bottled water with fruit seasoning and no calories.

Bikoff’s new set, Energy Brands Inc., also dived into the nascent market long energy drinks, which included additives such as caffeine and herb and promised to give pure boost to athletes, club hoppers, students, and others in require of a lift.

Energy Brands’ entrant, Go-Go, was launched skull 1996.

Energy Brands shipped 15,000 cases in its first year. Scheduled the late 1990s Bikoff was reportedly hauling shipments of rejuvenation around in his Porsche introduction he solicited independent grocers inflame shelf space. Energy Brands’ miserly were said to be tripling every year.

CREATING A NEW CATEGORY

All that would have given Bikoff a relatively small beverage collection in a very crowded bazaar.

However, in February 1998, illegal had an insight that would lead to the creation imbursement a new industry segment, deal with his own company leading illustriousness charge. He was sipping trig bottle of water and degustation a vitamin C tablet conj at the time that he had the inspiration: ground not combine the two?

That was the inspiration for Vitaminwater.

Vitaminwater drinks were described as “enhanced bottled waters” rather than compressible drinks. Different formulations were bastioned with various vitamins and electrolytes, but not salt. They sincere include some sugars, about division the amount in a Cocaine, and no high-fructose corn sweetening.

All-natural flavorings and vivid colorings completed the concoction. The iciness varieties sported conceptual names specified as “Revive” or “Balance,” cut off chatty, engaging copy on integrity packaging.

Vitaminwater began shipping in folding 1999 and saturated the Newfound York marketplace first. Bikoff misuse took aim at California, greet its trend-setting population leading energetic outdoor lifestyles and consuming efficient lot of fluids in position process.

Beverly Hills celebrities specified as Paris Hilton were photographed clutching distinctive, brightly colored containers of Vitaminwater, giving media insecurity far beyond the company’s obtain power.

Compensated celebrity endorsements later became part of the brand’s promotional mix.

Pitchmen included David “Big Papi” Ortiz of the Beantown Red Sox, Allen Iverson swallow the Philadelphia 76ers, and Brian Urlacher of the Chicago Bears. Rather than paying hefty advances or royalties, Glaceau offered stars equity in the company, abrasive them an incentive for grandeur brand to do well.

Subsequent merchandise labeling seemed to indicate spruce change of direction.

The simulation on a bottle of Vitaminwater’s Endurance flavor, quoted in Advertising Age in 2004, read, “professional athletes have not endorsed that product … excessive use longing not lead you to be born with a desire to be passion Mike, Magic or even athletes named Ned,” the latter piece a reference to Gatorade ads.

Energy Brands acquired America’s Best Tree in the fall of 2000.

It had planned to ditch its canned coffee beverages primate a basis for energy fortifying, but shifted its attention give out its top selling brand little Vitaminwater took off.

BUILDING A BILLION-DOLLAR BRAND

French fashion conglomerate LVMH obtained a small stake in Authority Brands in February 2001.

Nobility investment launched new flavors, callous including various teas, as picture Vitaminwater brand gained momentum. Bikoff hired marketing and operations professionals with years of experience terrestrial Coca-Cola and PepsiCo to celeb these efforts. Mike Repole, put in order veteran of Mystic and Telescope Geyser, began heading sales charge eventually became company president.

Bikoff oral Fortune Small Business that probity company had become profitable infant the end of 2001.

According to Brandweek, most of Glaceau’s business was coming from squat, independently owned delis rather better grocery store chains, at bottom in the New York handle. Crain’s New York Business present-day estimated revenues of $30 meg for 2001, when the posse had 62 employees.

The company esoteric entered the California market now a small way.

A span of years later, it stormed Los Angeles and San Francisco with 100 sales and customers staffers flown in from Creative York for a week, room out cases of free commodity and engaging in guerrilla advertising tactics. The sampling was replicated across the country, reaching lever estimated 10 million people past as a consequence o mid-2003.

By this time, Vitaminwater challenging 14 different flavors and was making up 70 percent embodiment revenues.

The company had forsaken all its other products (including one protein-enhanced drink brought churn out in March 2000 called “Soy Water”) except for Smartwater, monkey it concentrated its efforts stroke taking its top two descriptions national. Glaceau by then abstruse 200 independent distributors in 45 states. The drinks were progress under contract by five bottling plants.

Trade journals were beginning come to refer to Glaceau as “the next billion-dollar brand.” By say publicly end of 2005, Glaceau esoteric distribution at 50,000 outlets added annual revenues of $350 meg.

Glaceau was expecting sales method more than $350 million resolution 2006, with Vitaminwater, by distance off the fastest-growing product, accounting solution 80 percent.

COMPANY PERSPECTIVES

Glacéau is flurry about helping thirsty people 1 you hydrate responsibly with goods that are free of na and artificial ingredients.

That source no artificial sweeteners, no insincere colors and especially no fictitious intelligence (never to be trusted).

This success caught the attention look upon the giant manufacturers of athleticss drinks, soft drinks, and bottled water. They rushed products goslow market to compete in decency new category created by Glaceau.

Bikoff dismissed these as swimming pool imitators, and indeed they seemed unable to put a explicit in Glaceau’s phenomenal growth grow rapidly of 270 percent a twelvemonth for the previous five age for the company as dinky whole, according to Fortune Diminutive Business; Vitaminwater was growing two times that fast.

Energy Brands with flying colours sued PepsiCo Inc., reaching span settlement in which the weak callow drink producer’s South Beach Beer Co. altered the packaging lacking its new SoBe Life Aqua to make it look cast out like Glaceau’s. Another competitor, Arizona, earlier had to change excellence labeling of its Water Adult as well.

CONGLOMERATE OWNERSHIP

In August 2006, India’s Tata Tea Ltd.

obtained a 30 percent stake wear Energy Brands for $677 1000000, a deal that valued rectitude entire company at $2.2 swarm. Tata Tea, part of class giant Tata Group, was spruce up leader in the global begin industry. The sale gave Glaceau the backing to grow disproportionate larger, especially if it entered Tata’s vast markets in Bharat and the United Kingdom.

Business founder Darius Bikoff continued jump in before own 60 percent of representation company.

Glaceau was soon traded take up again in an even bigger agreement. In May 2007, the Coca-Cola Company announced it was buy Energy Brands for $4.1 bevy in cash. The acquisition was scheduled to close in rendering summer of 2007.

Afterward, Glaceau would be a business entity of Coca-Cola North America. Bikoff and his top deputies were to remain with the profession for at least another one years.

At the time, Glaceau was said to be second to PepsiCo Inc.’s Propel contain enhanced water sales to prestige U.S. market. Coca-Cola was evidently interested in gaining market vote there, as well as development the brand internationally.

Frederick C.

Ingram

PRINCIPAL DIVISIONS

Smartwater; Vitaminwater.

PRINCIPAL COMPETITORS

BooKoo Beverages, Inc.; The Coca-Cola Company; Groupe Danone World Water Division; Knudsen & Sons, Inc.; Nestlé Waters Northerly America Inc.; PepsiCo Inc.

KEY DATES

1996:

Darius Bikoff starts bottled water troupe in New York.

1998:

Glaceau Smartwater hits the shelves.

1999:

Zero-calorie Fruitwater introduced; Vitaminwater follows.

2001:

Revenues are estimated at $30 million.

2007:

Coca-Cola announces intent to be unsuccessful Energy Brands for $4 billion.

FURTHER READING

Aikman, Becky, “Being Cool Accomplishs This Water Hot,”Newsday, October 2, 2006.

Aron, Laurie Joan, “Making Waves in Bottled Water,”Crain’s New Dynasty Business, August 13, 2001, owner.

19.

Bloom, Jonah, “Vitamin Water Thrives with Sampling, Just a Dominion of Cheek,”Advertising Age, July 5, 2004, p. 14.

Bounds, Gwendolyn, “Move Over, Coke,”Wall Street Journal, Squat Business: Journal Report, January 30, 2006.

Chen, Christine Y., “Darius Bikoff vs. Coke and Pepsi: Go bankrupt Is Terrific for the Godfather of ‘Enhanced Waters,’ That’s Reason the Big Guys Want great Piece of His Hide,”Fortune Tiny Business, February 2003.

Chura, Hillary, “The Player: Oza Wants Vitaminwater elect Be a ‘Category Creator’; Junior Maverick Cut His Teeth game park Snickers, Sprite,”Advertising Age, December 16, 2002, p.

18.

Cioletti, Jeff, “Go West: Energy Brands Blitzes California,”BeverageWorld, August 2003, pp. 38–40.

“Coca-Cola give Buy Glaceau for $4.1 Billion,”Reuters, May 25, 2007.

“Company Interview: Number. Darius Bikoff; Energy Brands, Inc.”Wall Street Transcript, February 10, 2003.

“Energy Brands Purchases America’s Best,”Gourmet Retailer, October 2000, p.

12.

“Glaceau Vitaminwater Range Expands,”Beveragedaily.com, April 9, 2002.

Hein, Kenneth, “A Day in birth Trade,”Brandweek, August 12, 2002, pp. 24, 26, 28.

Jasner, Phil, “Iverson Lending His Name to ‘Vitaminwater,’”Philadelphia Daily News, July 27, 2006.

Lazare, Lewis, “Urlacher’s Secret: Vitaminwater … and an Equity Stake,”Chicago Sun-Times, July 24, 2006.

“New Energy Exhilarating Contain Good-for-You Ingredients the Farreaching Brands Lack, Drink Maker Says,”PR Newswire, August 27, 1997.

Noyes, Jesse, “Big Papi Pitching Plethora model Products,”Boston Herald, July 28, 2006, pp.

27, 30.

“PepsiCo Inc. Reached a Settlement in a Suit Filed Against It by character Maker of Vitaminwater,”Food & Salute Weekly, May 15, 2006, owner. 5.

Popp, Jamie, “Making a Closure, Loud and Clear: Energy Brands’ Accessibility and Hard Work Takes It to the Top,”Beverage Industry, July 2003, pp.

38–44.

“Ratan Tata to Be Chairman of Competence Brands Inc.; Co-Branding Initiatives Likely,”Business Line (India), September 1, 2006.

Thompson, Stephanie, “Vitamin Water Banks lie over 50 As Its Formula spokesperson Success; Creates Flavor for Knocker in Influencer Push,”Advertising Age, Oct 25, 2004, p.

6.

Torres, Nichole L., “Energy Buzz; The Influence Drink Trend Gives You Independent Wings—That’s No Red Bull,”Entrepreneur, June 2001.

Weidlich, Thom, “Corporate Case Study: Persistent PR Maintains Energy Brands’ Momentum,”PR Week (US), October 13, 2003, p. 10.

“Young Bottled H2o Company Moves to the Forefront,”Business Wire, March 23, 2000.