VITAMIN WATER
[EIRI/EDPR/ 0956] J.C.: 9586
HISTORY
J. Darius Bikoff, a self-proclaimed health nut born on September 21, 1961, first conceived of the idea of vitamin enhanced water in 1996. According to him, he was feeling "run down" and concerned he was catching a cold, so he took some Vitamin C and drank some mineral water. As he consumed the items, he started thinking about the idea of having them together instead of having to take them separately. He founded Energy Brands in May 1996 using his personal savings and contracting with an aquifer in Connecticut for the base water used. The individual products carried the Glacéau name, with the company's first product being Glacéau Smartwater.
Reflecting on the company's early history, Bikoff notes that it was "very tough" as he struggled with founding the company having no actual experience in beverage manufacturing, beyond working in an aluminum fabrication factory. While launching his company, he was also having to deal with personal struggles including a divorce and having to file for bankruptcy. He started by personally introducing Smartwater to smaller independent natural food stores around New York, moving to a statewide launch when the product became successful. He used this same basic method, adding in "mom-and-pop stores", for the launches of Fruitwater and Vitaminwater in 1998 and 2000, respectively. By 2001, the company's drinks were sold in over 4,000 retail stores in the New York area. According to Bikoff, this enabled his products to go unnoticed by the large beverage makers until the product was firmly established when he could then cultivate relationships with various independent distributors opening the way for nationwide distribution.
Bikoff eventually allowed LVMH to buy a 30% equity share in the company. LVMH later sold the stake to another investor, who in turn sold it again. The shares ended up in the hands of India-based Tata Group in August 2006, which paid $677 million for the 30% equity, seeking to expand its American business interests. The following year, on May 25, 2007, Bikoff agreed to sell the company to The Coca-Cola Company for $4.1 billion. $1.2 billion of the sales went to the Tata Group for its 30% minority ownership, which Tata agreed to sell not wishing to be a subsidiary of Coca-Cola. Under the purchase agreement, Energy Brands remains nearly autonomous as a subsidiary of Coca-Cola, with Coca-Cola primarily operating with a hands off method, leaving Bikoff and Energy Brands principal operating officers in charge. In discussing the role of Coca-Cola, Bikoff states: "We run independently, we have our own offices. If Coca-Cola don't call me, I don't call them."
In 2008, Energy Brands began launching its products in the United Kingdom with France following in 2009. The company eventually plans to expand to Australia, Canada, and Mexico.
COST ESTIMATION
Plant Capacity 5000 Ltr./Day
Land & Building (20,000 sq.mt.) Rs. 6.85 Cr
Plant & Machinery Rs. 13.20 Cr
Working Capital for 3 Months Rs. 59.77 Lac
Total Capital Investment Rs. 20.95 Cr
Rate of Return 18%
Break Even Point 61%
CONTENTS
HISTORY
LEGAL DISPUTES
BUSINESS MODEL
EARLY COMPANY
FINANCIALS
PRODUCTS
VITAMIN WATER
MISLEADING ADVERTISING
FLAVORS
HOW ORDINARY WATER BECAME EXTRAORDINARY
B BIOTIN (ALSO KNOWN AS B7)
B3 NIACINAMIDE
B5 CALCIUM PANTOTHENATE
B6 PYRIDOXINE HYDROCHLORIDE
B9 FOLIC ACID
B12 CYANOCOBALAMIN
WHY VITAMIN WATER IS PRESENTLY ONE VERY POPULAR PRODUCT ON THE MARKET
HOW VITAMIN WATER USES ITS INGREDIENT LIST TO MARKET HEALTH
SPECIFICATIONS
MARKET SURVEY
BEVERAGES CONTAINING WATER-SOLUBLE VITAMIN E
DESCRIPTIONS
EXAMPLES
EXAMPLE 1
EXAMPLE 2
EXAMPLE 3
PREPARATION OF A SPORTS BEVERAGE CONTAINING EASTMAN VITAMIN E TPGS™
EXAMPLE 4
PREPARATION OF A DIETETIC BEVERAGE CONTAINING EASTMAN VITAMIN E TPGS™
EXAMPLE 5
PREPARATION OF A CLEAR NATURAL FRUIT JUICE CONTAINING EASTMAN VITAMIN E TPGS™
EXAMPLE 6
PREPARATION OF VITAMIN-FORTIFIED DAIRY PRODUCT CONTAINING EASTMAN VITAMIN E TPGS™
EXAMPLE 7
PREPARATION OF AN ALCOHOL-CONTAINING BEVERAGE USING EASTMAN VITAMIN E TPGS™
CONCENTRATED WATER-DISPERSIBLE VITAMIN COMPOSITIONS
EXAMPLE 1
EXAMPLE 2
EXAMPLE 3
EXAMPLE 4
EXAMPLE 5
EXAMPLE 6
EXAMPLE 7
LIQUID VITAMIN FORMULATIONS CONTAINING VITAMIN D ESTERS
DESCRIPTIONS
EXAMPLE 1
EXAMPLE 2
VITAMIN D PALMITATE PREPARATION
EXAMPLE 3
VITAMIN D ANALYSES
EXAMPLE 4
STABILITY STUDIES
LIQUID VITAMIN COMPOSITION
EXAMPLE 1
THREE COMPONENT COMPOSITION
1.1. PREPARATION OF THE LIQUID VITAMIN FORMULATIONS
1.1.2: SECOND LIQUID VITAMIN FORMULATION
1.1.3: THIRD LIQUID VITAMIN FORMULATION
1.2: STABILITY MEASUREMENTS
EXAMPLE 2
FOUR COMPONENT COMPOSITION
2.1: PREPARATION OF THE LIQUID FORMULATIONS
2.1.1: FIRST LIQUID FORMULATION
2.1.2: SECOND LIQUID FORMULATION
2.1.3: THIRD LIQUID FORMULATION
2.1.4: FOURTH LIQUID FORMULATION
2.2 STABILITY MEASUREMENTS
EXAMPLE 3
STABILITY OF THE LIQUID VITAMIN COMPOSITION IN A POULTRY FEED
EXAMPLE 4
STABILITY OF THE LIQUID VITAMIN COMPOSITION IN A POULTRY FEED
FRUIT DRINK WITH VITAMINS
METHODS
FRUIT JUICE CONCENTRATION
HIGH POTENCY VITAMIN WATER DISPERSIBLE FORMULATIONS
DESCRIPTIONS
EXAMPLE I
EXAMPLE II
EXAMPLE III
EXAMPLE IV
EXAMPLE V
EXAMPLE VI
EXAMPLE VII
EXAMPLE VIII
EXAMPLE IX
EXAMPLE X
WATER DISPERSIBLE VITAMIN E COMPOSITION
DESCRIPTIONS
EXAMPLES
EXAMPLE 1
EXAMPLE 2
EXAMPLE 3
EXAMPLE 4
EXAMPLE 5
EXAMPLE 6
EXAMPLE 7
EXAMPLE 8
AQUEOUS SOLUTION CONTAINING FAT-SOLUBLE VITAMIN K
METHODS
EXAMPLE
EXAMPLE 1
EXAMPLE 2
EXAMPLE 3
EXAMPLE 4
EXAMPLE 5
EXAMPLE 6
EFFECTS OF THE METHOD
TEST EXAMPLE 1
TABLE 1 SHOWS THE RESULTS.
TEST EXAMPLE 2
TABLE 2 SHOWS THE RESULTS.
STABILIZED VITAMIN A ADDITIVE
DESCRIPTIONS
THE ALCOHOL
THE VITAMINS
THE EMULSIFIER SYSTEM
ANTI-OXIDANTS
THE COMPLETE ADDITIVE
EXAMPLES
EXAMPLE I
EXAMPLE II
EXAMPLE III
EXAMPLE IV
EXAMPLE V
MULTI-VITAMIN AND MINERAL SUPPLEMENT
METHODS
DESCRIPTIONS
BEVERAGES CONTAINING STABILIZED VITAMIN C
EXAMPLE 1
EXAMPLE 5
EXAMPLE 6
EXAMPLE 7
EXAMPLE 8
EXAMPLE 10
FLAVORED WATER
AMERICAN MARKET
BRANDS
FLAVORS AND CALORIES OF WATER
INGREDIENTS
SUPERCITRIMAX
CHROMEMATE
EPIGALLOCATECHIN GALLATE
POTASSIUM
VITAMIN C
VITAMIN B6
VITAMIN B12
DIFFERENT TYPES OF VITAMIN WATER
FLAVORED WATER AND ENHANCED WATER
ENERGY VITAMIN WATER
ESSENTIAL VITAMIN WATER
REVIVE VITAMIN WATER
ENDURANCE - VITAMIN WATER
FOCUS VITAMIN WATER
MULTI-V VITAMIN WATER
POWER C VITAMIN WATER
RESCUE VITAMIN WATER
REVIVE VITAMIN WATER
STRESS B VITAMIN WATER
WHY VITAMIN B6 IS IMPORTANT?
WATER-SOLUBLE VITAMINS
QUICK FACTS
VITAMIN B-COMPLEX
TABLE 1: WATER-SOLUBLE VITAMINS AND THEIR CHARACTERISTICS
TABLE 2: MAJOR FOOD SOURCES OF WATER-SOLUBLE VITAMINS
TABLE 3: DIETARY REFERENCE INTAKES (DRI). SELECTED RECOMMENDED LEVELS FOR INDIVIDUAL INTAKES
VITAMIN C
DEFINITIONS
VITAMIN C
EXPERIMENT SETUP
THIS GLASS WILL CONTAIN 20 MG OF VITAMIN C.
SOME VITAMIN C SCIENCE PROJECTS AND EXPERIMENTS YOU CAN DO USING THIS METHOD:
HOW TO MAKE KIWI STRAWBERRY VITAMIN WATER
INGREDIENTS
MAKE YOUR OWN VITAMIN WATER
PROJECT DETAILS
MARKET POTENTIAL
BASIS AND PRESUMPTIONS
PROJECT CAPACITY
ADVANTAGEOUS LOCATION OF THE PROJECT
IMPLEMENTATION SCHEDULE
TECHNICAL ASPECTS
PROCESSING AND BOTTLING
QUALITY CONTROL AND STANDARDS
POLLUTION CONTROL
ENERGY CONSERVATION
DESCRIPTION OF PRODUCTION PROCESS
PRODUCTION PROCESS AS FOLLOWS:
DESCRIPTIONS AND SPECIFICATIONS OF EQUIPMENTS
EQUIPMENT MAKEUP
AIR CONVEYOR
RXGFD14-12-5 RINSING-FILLING-CAPPING MONOBLOCK
AUTOMATIC CAP ELEVATOR
TILTING CONVEYOR
4. SHOWERING & COOLING TUNNEL
AIR BLOW DRYER
INK JET PRINTER
AUTOMATIC PE FILM SHRINK WRAPPER
CARTON ROLLER CONVEYOR
ADDRESSES OF PLANT AND MACHINERY SUPPLIERS
WATER PUMP
MANUFACTURERS OF PVC PIPES
HIGH PRESSURE PUMP
PRESSURE VESSELS
ELECTRIC CONTROL PANEL
OZONE GENERATOR
STORAGE TANKS
STRETCH BLOWING MACHINES
REFRIGERATION UNIT (CHILLER)
AIR COMPRESSOR
TITTING CONVEYOR
AIR BLOW DRYER
INK JET PRINTER
SUPPLIERS OF RAW MATERIALS
BOTTLE CAPS
BOTTLE LABELS
MANUFACTURERS OF PET/PVC BOTTLES
CORRUGATED BOXES
APPENDIX – A:
01. PLANT ECONOMICS
02. LAND & BUILDING
03. PLANT AND MACHINERY
04. OTHER FIXED ASSESTS
05. FIXED CAPITAL
06. RAW MATERIAL
07. SALARY AND WAGES
08. UTILITIES AND OVERHEADS
09. TOTAL WORKING CAPITAL
10. TOTAL CAPITAL INVESTMENT
11. COST OF PRODUCTION
12. TURN OVER/ANNUM
13. BREAK EVEN POINT
14. RESOURCES FOR FINANCE
15. INSTALMENT PAYABLE IN 5 YEARS
16. DEPRECIATION CHART FOR 5 YEARS
17. PROFIT ANALYSIS FOR 5 YEARS
18. PROJECTED BALANCE SHEET FOR (5 YEARS)