Market Research Report:
Elysian Elixirs Distribution Strategy in Bath & Cheltenham
Executive Summary

This report summarizes the findings of the market research conducted in Bath, Somerset, and Cheltenham, Gloucestershire, for the distribution of Elysian Elixirs, a premium super-fruit juice range - super-charged energy tonic, consisting of four flavors: mangosteen, rambutan, mango, and coconut water.

 

The research focused on testing a low-risk consignment-based distribution model to assess retailer acceptance and consumer demand. Drinks were produced in Bangkok, Thailand and shipped by sea in containers. A full 20ft or 40ft container was essential to keep shipping costs under control. Glass bottles were used and in hindsight, plastic would have been better received.

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Key Findings:

• Initial retailer reluctance (most refused trial purchases - 88%).

• High success rate on consignment (93-95% of outlets sold at least some stock).

• Average sales: 5 bottles per outlet in 2 weeks (with a sales range: 3-12 bottles).

• Display compliance crucial (low sales correlated with poor visibility). (The profit economics far out-weight the printing production costs).

• Strong potential for repeat orders after initial trial, in fact, in this trial, all retailers who had sales paid and made a further order. All orders were placed with no risk to the outlet.
   

Methodology

The research involved:

1. Approach small-to-medium retail outlets (convenience stores, health food shops, cafes, some company and large school cafeterias, and so on).

2. Offer a trial purchase (typically declined).

3. Leave a consignment box (24 bottles) with display materials (counter hangers, posters, window stickers).

4. Follow-up after 2 - 3 weeks to track sales and restock.
    

Results & Analysis

1. Retailer Response

• Initial Rejection Rate: ~90% of retailers refused outright purchase.

• Consignment Acceptance: Nearly all agreed to stock on consignment when no upfront cost was involved AND it was agreed to retake stocks if requested. THIS WAS A FULL CONSIGNMENT.

• Non-Compliance (5-7% of stores): Some retailers failed to display products properly, resulting in zero sales, or close-to zero.
   

2. Consumer Sales Performance

Metric Average Range

Bottles Sold (2 weeks): 53 – 12

Best-Selling Flavor: Coconut Water, Mango close second

Worst Performer: Rambutan (Niche appeal)

• Top-selling locations: Health food stores, gym-adjacent shops, and high-footfall convenience stores.

• Weakest locations: Traditional (established for years) corner shops with older customer bases.
   

3. Display Impact

• Stores that prominently displayed wobbly hangers, window stickers and posters saw 20-50% higher sales.

• Poorly displayed stock often went unnoticed.
   

Key Takeaways & Recommendations

Success Factors:

✅ Low-risk consignment model worked—retailers were more willing to trial.
✅ Visual merchandising directly boosted sales.
✅ Coconut water & mango had broad appeal, while rambutan needing more education.

✅ Offered as both a Super Fruit drink also as an Energy drink.

✅ All drinks were concentrated, to reduce shipping costs. Customers were told to add 2 parts mineral water to each drink before consuming. This factor proved to be a highly praised selling point.

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(Interesting point - When these same products were sold in small Thai outlets, the most popular was mangosteen -  go figure!)
 

Challenges & Adjustments Needed:

▬ 5-7% of retailers did not engage—consider stricter display agreements.
▬ Rambutan and mangosteen underperformed—consider promotional sampling or flavor adjustments.

▬ Higher sales in health-conscious areas—prioritize gyms, organic stores, and cafes.
 

Next Steps:

1. Expand to similar and larger affluent towns (e.g., Bristol, Oxford).

2. Increase marketing support (in-store tastings, social media campaigns).

3. Optimize flavor mix based on regional preferences.

4. Implement stricter display checks to ensure compliance.
    

Conclusion

The market research confirmed that Elysian Elixirs Energy Drinks has strong potential in Bath and Cheltenham, particularly when using a consignment-based approach with enforced merchandising. With minor adjustments in retailer engagement and flavor positioning, the brand could scale effectively across the UK.

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Recommendation: Proceed with expansion, refine distribution strategy, and reinforce marketing.

Prepared by: Jagger Consultants (Mr. Don Jagger)
Date: August, 2020
For: Elysian Elixirs Distribution Team

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YOU CAN REQUEST COPIES OF THE ACTUAL SALES FIGURES ACHIEVED IN THE UK, AS WELL AS THOSE GAINED IN JAPAN, AND THE USA. 

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ALTHOUGH TAIWAN WAS INCLUDED IN THE 2019-2020 PROJECT, STOCKS BECAME SO LOW THAT IT WAS THOUGHT BETTER TO KEEP THE FINAL CONTAINER FOR THE UK (BIGGEST SALES).