MKTG203
Consumer Behaviour
Perceptual Maps and Beer Executive summary
This report illustrates the relationship of beer brands within the perceptual map in regards to alcohol content and price as well as implications for consumer behaviour. The perceptual map indicates that there are market segments in premium beers with high alcohol content. There is also a market segment for low cost beers with high alcohol content. The perceptual map also shows that there are potential business opportunities for premium beers with low alcohol content.
The report also provides a high level summary of how beer companies can incorporate perceptual maps when devising their marketing strategy and implications that a perceptual map has for
…show more content…
This campaign is followed up by the tag ‘some drink it to be responsible others just love the taste’ giving a satirical indication to its quality, further distinguishing it from its other competitors. The campaign was creative, risk-taking and appealing to its target audience—male light-beer drinkers who had felt less masculine and dull for drinking light beer. The ads empowered them to drink light beer with a masculine confidence and a sense of cultural belonging having the brand be associated with Australian stereotypes.
Heineken
Another brand of beer that has successfully penetrated the market is Heineken. Heineken is available in almost every country on the planet and is the world’s most valuable international premium beer brand. They currently stand as a premium and full strength beer on the perceptual map above which suggests that social status and the occasion for beer determines the choice of Heineken. Perceptual maps can be incorporated in developing or altering marketing strategies by plotting the points gained by surveys onto this map which allows the vast majority of consumer’s views seen in comparison to competitors, also sighting possible market segments as opportunities its direct competitors are Asahi Dry, Budweiser, Guiness, Carlsberg and Corona. In order to move away from increased competition and sluggish sales,
• There is a change in consumers’ preferences in terms of drinking beer in stead of drinking wine, i.e. in Latin America.
Anheuser-Busch “is among the global company’s largest and most technologically capable breweries” (About, n.d.). On Anheuser-busch.com, you can find a lot of information about the company and their products. The headquarters of Anheuser Busch is located at One Busch Place St. Louis, MO 63118 (About, n.d.). The most known beer families that they produce are the Budweiser and bud light Family. There are numerous brands that Anheuser-Busch produces aside from Budweiser and Bud light. Initial searching for Bud Light Company because most of my family is enthralled by this beer, and upon further researching the beer brand, it was surprising to find that it was actually owned and manufactured by another company, Anheuser-Busch, that also manufactured
Brand plays a key role in the beer-purchasing process, along with taste, price, special occasion,
Using clever and borderline juvenile material Bud Light has seen much success in their targeted consumers in American males of the ages 18-49. With great success we believe Bud Light has the potential to increase its reach and share by advancing marketing opportunities to females and exploiting their other product lines. In doing so Bud Light must take a different approach from its perceived masculinity to an all-around and more suitable approach to our female audience.
In this paper I will be talking about the U.S. beer industry and in short an overview of the brewing industry worldwide. I will talk about the barriers to entry, economies of scale, government intervention, pricing, current market trends, product differentiation, and imports. The focus being mainly on the U.S. brewing industry oligopoly. The U.S. brewing industry has three major players: Anheuser-Busch, SAB Miller, and Coors/Molson. Anheuser-Busch is currently the largest brewer in the world, producing over 100 million barrels a year. Anheuser-Busch currently owns over 50% of the market in the United States, with Miller trailing behind at 20% and Coors at about 11% with the rest of the market occupied by imports and craft breweries. When analyzing any industry, how easy it is for newcomers to enter the market is a great importance. If there are high barriers to entry
In a world where large, corporate breweries rule the market, craft beer is created to please an audience that applauds the styles, techniques and flavors. Though craft beer can be purchased through several different outlets, the best place to thoroughly enjoy the entire experience of the specially made beer is in the brewery where it was made. The article titled, “In Lean Times, a Stout Dream” in The Wall Street Journal1 states that, despite the hard economic times and consequent consumer cutbacks, sales of craft beer, the industry 's fastest-growing segment, rose
Boston Beer Company (BBC) has enjoyed much success with their craft beers with Samuel Adams as their main focus. Being the leader of this segment, overtopping five of their competitors combined (Exhibit 1), the company now must decide how to take advantage of the light beer market. Boston Lightship, their current light beer, had been a small contributor in BBC’s product line. Currently, it is facing dwindling sales with product volumes down from 12 000 cases per month to 3000 cases per month.
The company exemplifies the typical branding success story. Since its inception, Red Bull’s successful market strategy and ways of penetrating the lucrative energy drink market has demonstrated the company’s ability to think outside the competitive box through its innovative branding and sales and distribution strategy. Since the targeted’ age range is quite young, Red Bull employed unique methods to attract its customers. Amongst these non-conventional advertising routes, Red Bull used marketing « below the line », « buzz marketing », and « tribal marketing » (Brocooli, April 2012).
We must verify whether this focused strategy will highlight shared values of the middle-aged, blue-collar persona and the younger, point of entry target without alienating our current consumers. Since there is a dominant social element to our father-son scenario, we can conduct primary, qualitative research in the form of focus groups to verify that men and their sons can enjoy our product in the pub setting, and can develop an emotional bond amongst one another to Roaring Fork Beer. Our two strategies focus on Psychographic, Geographic and Demographic segmentation. Based on the association to blue-collar (psychographic), middle-aged males (demographic) in the Colorado area
The strategy that Heineken uses is that of differentiation. This strategy gains market share and competitive advantage by distinguishing their products from their competitors through excellent design. A U.S. wholesaler recently asked a group of marketing students to identify a group of beer bottles that had been stripped of their labels. The stubby green Heineken bottle was the only one among the group that showed an instant recognition. This strategy also focuses on high awareness, easy accessibility, and new products. Heineken spent a lot of money on the launch of Premium Light; the first time that brewer had created an extension of its flagship
One of the weaknesses to distributing Coors beer in the two counties is the competition of other domestic and microbrew beers. Although the consumer and retailer willingness to buy Coors beer is high, will they actually purchase Coors beer when it becomes available to them? The questionnaires have strong feedback for Coors beer in the Delaware counties but people may become biased by their customer loyalty to other beer brand. There is a big enough marker share for Coors to be implemented, but will Brownlow be able to succeed in this competitive industry.
Political –Governments tend to exercise significant control over beer as it contains alcohol which has caused many problems in society and has addicted people. This attention from the government will affect Heineken in sale volume in the market. Many governments have imposed heavy taxes on liquor and beer imports, and with globalisation many brewers are looking for new markets where they can gain maximal profits. This proves to be a threat for Heineken. Heineken must conduct thorough research on countries policies on alcohol such as drinking in public, alcohol contents in drinks, legal drinking ages and must strategically plan their integration into these markets based on the research.
New Belgium brewery has increasingly grew throughout the years since their development in 1991. Despite the dominance of the “Big Three” (Budweiser, Miller, and Coors), NBB needs to be aggressive and strive to invest in the attractive beer industry in able to grow more. If positioned correctly, NBB and its main brand, Fat Tire, can continually grow. An evaluation of the industry, the business itself, its brands, and the customers and competitors is needed in order to be continuously successful.
Products or services need to be bought. Without marketing, this is generally not going to happen. Marketing is a planned set of phases, either simple or complex, or in between. Marketing plans include an overview, mission statement, SWOT analysis, marketing objectives and strategies, and, lastly, implementation, evaluation, and control. This is the exploration of such a marketing plan for a new product line of a non-alcoholic craft beer, “Mountain Brew Review” (MBR), created under the umbrella of parent company, Molson Coors (MC).
Meanwhile, since Grolsch used other brewers for distribution while importing beer into foreign countries, the ongoing industry consolidation often led to a need for changing distributors. In several of their markets Grolsch was already on its third or fourth distributor in the span of 15 years. Besides the political, economic, and logistical issues Grolsch had to adapt to, they also were adapting to cultural differences. Their marketing campaigns would vary significantly from market-to-market. While their ability to be nimble, change strategies, and adapt where necessary has been a benefit, it has also been limiting in that Grolsch has struggled to build a consistent brand image and market position in several of its key markets. For example, even though the UK accounted for 25% of Grolsch’s volume, they still only held 1.5% of the UK market. Further, operations have been impacted by the consistent turnover of distributors in several important markets. Grolsch’s adaptation strategy has kept them nimble but has prevented any large scale and stability in certain countries outside the Netherlands.