Why Gatorade is getting into the gummies business

Gatorade is getting into the supplements industry with branded gummies. The PepsiCo-owned brand announced the product today as part of a range of revamped existing products including a smart water bottle and an app. This product line aims to “democratize sports science,” said Drew Palin, the brand’s senior director of innovation and marketing. The gummies come in two varieties, “Recovery” and “Immune Support.” The recovery gummies include 480 milligrams of tart cherry powder and vitamin D, which are intended to help with recovery after exertion. The immune system gummies contain vitamins C and D along with zinc and selenium. The brand is differentiating itself from competing gummy supplement brands with its “athletic angle,” said Palin, who noted the supplements were created in response to athlete insights and how “athletes are getting sick of pills.” Also read: 100 Thieves CEO created energy drinks made for esports Ad Age Next: CMO Get your tickets for the Dec. 7 event in New York Register here Gummies, bottles and more The gummies, which sell for $25.99 a box, are only being sold online at gatorade.com. Gatorade is currently keeping the gummies limited to direct-to-consumer sales in order to get a sense of who their core consumer is, before moving in the future to stores such as Target and Walmart, said Palin. The “Gx sweat patch”—which collects an athlete’s sweat during a workout and recommends hydration methods tailored to the individual—debuted last year and is sold online and at Dick’s Sporting Goods. Other products that Gatorade released include a new version of the Gx Bottle called the “Smart Gx Bottle,” priced at $69.99 on the brand’s website. The bottle is compatible with pods that include concentrations of electrolytes and carbohydrates to “optimize personal hydration and fueling strategies,” according to the brand. The new version of the bottle can now connect to Gatorade’s app and has a lid that lights up to act as a reminder of an athlete’s goal that day. The brand is also adding programs to its app, including marathon and agility workouts. The programs are modeled after those done by Gatorade endorsers such as Serena Williams, Jayson Tatum, DK Metcalf and Mallory Pugh. The app was designed and built by Work & Co, Gatorade's lead digital experience agency. These products fall under Gatorade's “Gx system,” which focuses on tracking each user’s individual needs such as the best way for them to rehydrate with recommendations ranging from PepsiCo products to non-branded foods and drinks, such as a banana. Gatorade is plugging the products with a new ad featuring two athletes. In the spot, a basketball player sticks on a sweat patch, checks the app on a phone and has Gatorade and the new gummies. The agency on the ad is Company A. It will run on Gatorade's social channels with paid support beginning today. The brand appears to be responding to widening consumer preferences including “a greater willingness to think outside of” the drink form, said Brett Cooper, managing partner at data insights company Consumer Edge. This innovation could be a response to competition, said Cooper. Gatorade's retail market share fell from 76.6% in 2015 to 67.7% in 2020, according to numbers from research firm Euromonitor and Crain’s Chicago Business. The brand has seen aggressive competition from rising brands such as BodyArmor, which has positioned itself as a better alternative to Gatorade. Cooper characterized the gummies and portfolio expansion as part of an “effort to try to keep the brand fresh” that has included other new products such as a lower calorie version, Gatorade Bolt. Last month, Gatorade announced it would enter the fast-growing energy drink business with a new brand called Fast Twitch that will get major marketing support, including from the NFL. Brands on the rise A look at up-and-coming brands disrupting their categories Read more here

Why Gatorade is getting into the gummies business

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