When a sweat-glazed cyclist pauses from miles of exaustion, what drink will replenish the thirst? Rather than Gatorade, Hermosa Beach-based Zico LLC hopes coconut water made in Brazil would hit the spot.

"There are millions of health-conscious athletes who understand the importance of food and replenishment (for) whom Gatorade and other sports drinks don't fit with them," says company founder, Mark Rampolla. Zico hopes hardcore athletes and weekend warriors turn to Zico coconut water as their sports drink of choice and avoiding the replenishers containing a high degree of sugar and preservatives . An entertaining transfer took place in April as Zico moved its corporate headquarters to Hermosa Beach from Oradell, N.J., in order to better target potential customers living in the health-conscious culture of Southern California.

"Long term, we think Southern California is a awesome market for Zico," Rampolla said. "So we wanted to make our world headquarters here." In addition, the area's "fun, hip" beach atmosphere "gives us a nice mood that attracts talent," says Rampolla. The third reason was personal for Rampolla, wife and two young daughters. "My family and I have always loved and wanted to live in the Southern California area," he said. "We visited Southern California and the South Bay many times and plans to move to Redondo Beach in August", while winding down the old New Jersy office. Zico employs 24 people, including six in Hermosa Beach.

Other employees work from the company's two large warehouses in Cerritos and New Jersey while others work as field salespeople in various parts of the country. Rampolla said he expects his company to sell approximatley 10million Zico cartons this year, an increase of 250 to 300 percent over last year. New York City is the biggest market considering food, beverage and entertainment, however , Los Angeles he feels likely to become Zico's top sales area within a year. "We have a market-based, disciplined approach," he said.

"The goal is to build this into a billion-dollar brand." Coconut water as a sports drink is still a relatively new concept, said John Sicher, editor and publisher of Beverage Digest, following the global nonalcoholic beverage industry. "Ive seen coconut water and coconut milk drinks for quite a while, but I think this is a new way of moving them," Sicher said of the product's entry in the sports drink market. "I don't follow it closely. Ive seen some increase it's presence in some food and beverage places, but I think it's way too early to call it a trend". "Zico was launched in 2004 after years working in Central America in the beverage packaging industry".

Rampolla said. He started Zico in New Jersey to be close to New York City. "For business reasons, I thought it would be better to start in New York City," Rampolla said. He started by selling the drinks through New York Bikram Yoga studios, where practitioners meditate in rooms heated to 105 degrees with high humidity. Today, Zico drinks are sold in about 250 Bikram studios worldwide.

"Our first consumers and clients were Bikram yoga studios, and they continue to be an important core of our business and strategy as approaching new markets," Rampolla said. Zicois also sold at Whole Foods, various health food stores and gyms. The Brazilian coconut water retails for $1.99 for a single 11-ounce carton. It's flavors are available in: mango, orange peel and passion fruit flavors.

Zico marketers have been passing out free samples at various entertainment venues from beach events to the Los Angeles Marathon. The big challenge is the introduction to people that coconut water can actually be a daily sports drink, said Maile Buker, Zico's vice president of marketing. "We're constructing a category as well as a brand," Buker said. "That's not a gimme."

Business profile Company Name:

Zico LLC Products: Coconut water

Year founded: 2004

Key executive: Mark Rampolla, founder and CEO

Location: 643 Cypress Ave., Hermosa Beach

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