“All of a sudden, when you have these products that do million units a year and now you want to do something that’s five to 10,000 units, it’s not as simple.” “It is more difficult… for these larger brands,” said Schneidman. While a startup like Aura Bora can produce a smaller run of products relatively quickly, a CPG conglomerate like Lays or Coca-Cola would have to fit in a limited-time offer into a workflow of hundreds of brands, thousands of product types and millions of units. Moreover, the model can prove challenging to scale. Schneidman added that the smaller scale of production inherent to limited-time offers is also more expensive, leading to worse margins and higher upfront cash flow needs. While Aura Bora has done limited time offers with as little as five weeks lead time in the past, last week the brand had to lock in the ingredients and flavors for their June offer four months in advance. However, the production of limited-time offers can be challenging, particularly amid a supply chain crisis. “Yes, other stores have Aura Bora but the only store that has our formerly online flavor.” The limits of limited time offers “That’s the retailer’s way of getting incremental value over their competitors,” said Voge. This April, for example, Aura Bora is expanding to a national distribution with grocery store Sprouts and is giving the retailer 90-day-exclusivity with its elderflower grapefruit flavor. Though Aura Bora debuts its limited-time offers on its brand site, successful flavors are brought back - and used to cement retailer relationships. The strategy also helps with retailers partnerships. On top of this, added Schneidman, limited time offers give brands “news” to share with their customers beyond basic brand messaging and drive incremental purchases and larger basket sizes both in-store and at retailer partners. “A finite offering, both in time and volume makes consumers much more proactive.” “Limited time offers create this notion of scarcity and really incentivize the consumer to purchase immediately or risk the opportunity of never experiencing the products,” said Schneidman. Great, in 60 days, we’re getting this flavor.'”ĭavid Schneidman, the Director of Alvarez & Marsal Consumer Retail Group said the model also encourages quick consumer purchases. “We have this amazing ability now to be like ‘Okay, 40 different people filled out a survey and wrote hibiscus. ![]() “Most companies, they can’t really take those suggestions and actualize them in less than three years,” said Voge. The idea for one limited-time offer flavor - elderflower grapefruit - came directly from a customer. ![]() Limited time offers, explained Voge, are a way for Aura Bora to quickly respond to customer feedback. The brand manufactures about four to six weeks of inventory, though many flavors have lasted only a few weeks on-site before selling out. This year, Aura Bora will release six new flavors - one every two months - with the idea of selling out “as quickly as possible,” said Voge. Thus far, the limited-time flavors drove 50% of the brand’s sales on its DTC site in the months they were offered. “We needed to come out with some limited time offer flavors, some seasonal flavors, to keep our own hardcore fans interested in and add incremental value.”Īura Bora released three new limited-time offer flavors for the first time last year: ginger meyer lemon, chai cranberry and elderflower grapefruit. “We realized… if the whole premise of our business is that we have a more natural, more interesting or creative sparkling water that - after some amount of time - those things wear down if you’re drinking them all the time,” said Voge. ![]() But a year and a half into its existence, Voge decided it was time to focus on expanding the brand’s flavors. When Aura Bora first launched, the company didn’t rely on limited edition products.
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