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III. Read Mr. Lopez presentation.

Good morning ladies and gentlemen; we haven't all met before so I'd better introduce myself. I'm Luis Lopez from the Development Department of Citrus Incorporated. I should say before we start that I hope you'll excuse my English, I'm a little out of practice. Anyway, I'm going to be talking this morning about a new product which we are planning to launch in two months' time; its called KOOL-OUT, that's K-O-O-L dash O-U-T, and it's a lemon-flavoured drink.

Well, I'll start with the background to the product launch; and then move on to a description of the product itself; finally, I'm going to list some of the main selling points that we should emphasize in the advertising and sales campaign. I think if you don't mind, we'll leave questions to the end.

Now firstly, as you all know, we have had a gap in our soft-drink product range for the last two years; we have been manufacturing mixed-fruit drinks and orange drinks for the last ten years, but we stopped producing lemonade two years ago; I think we all agreed that there was room on the market for a completely new lemon-flavoured drink. Secondly, the market research indicated that more and more consumers are using soft drinks as mixers with alcohol so, in other words, the market itself has expanded. This brings me to my next point which is that we have a rather new customer-profile in mind; I must emphasize that this product is aimed at the young-professional, high-income, market and not the traditional consumer of old-fashioned lemonade. At this point we must consider the importance of packaging and design, and if you look at the video in a moment, you'll see that we have completely changed the container itself as well as the label and slogan. . . Now to digress for just a moment, the more sophisticated packaging means a high unit cost, and this may be a problem in the selling area, but we'll have a chance to discuss that aspect later ... so … to go back to my earlier point, this is a totally new concept as far as Citrus Incorporated are concerned; as you see we are using both the new-size glass bottle and the miniature metal cans. Finally let's look at the major attractions of the product. In spite of the higher price it will compete well with existing brands; the design is more modern than any of the current rival products, and incidentally the flavour is more realistic and natural ... it's low calorie too.

O.K., so just before closing, I'd like to summarize my main points again,.. We have KOOL-OUT, a new design concept, aimed at a relatively new age and income group; it's designed to be consumed on its own, as a soft drink, or to be used as a mixer in alcohol-based drinks and cocktails. It comes in both bottle and can and this will mean a slightly higher selling price than we are used to; but the improved flavour and the package design should give us a real advantage in today's market ... Well, that's all I have today for the moment, thank you for listening, now if there are any questions, I'll be happy to answer them ...


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