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).
Overview Beer has a long history. In 2000 B.C.E., Sumerians had prepared eight different beer types, ranging from “strong,” “red brown,” and “good dark” (Mauk, 2013). Breweries have created their own recipes, brewed their own beers—some with alcohol, some without. Over the past few years, craft beer gained steady market share away from the national and international breweries (Murray & O 'Neill, 2012). Separating one beer from the next is the product itself, and what the product has to offer. Competition is ferocious due to more informed, sophisticated consumers, as well as globalization and the spread of technology (Murray & O 'Neill, 2012). Within the craft beer market, consumers have many products to chose. A product is anything offered within a market that which fulfills a want or need (Armstrong & Kotler, 2015). In 2012, over 1,750 breweries operated in the United States (U.S.), with over 1,920 the following year (Brewers,
The problems in the market is that sales and market share has declined slightly over the past years and in the past 12 months the competition has increased, new brands has entranced the market. However on the beer market the big and well-known brands are controlling the market, and consumer often tend to choose a brand they recognize. Therefore it is important that the brand is identifiable to the public (Marketline 2015, p. 21). This
According to the Miller marketing division, it has a few main areas of focus for its advertising, before any advertising is done they need to see who is drinking what, after that, sales are looked at and reports are made to see where and what buyers are buying. They then research the actual buyers. Finally,
Beer has been around longer than a few countries today. It has a lot more history to it than one might believe, for example, Raley states that “Historians speculate that prehistoric nomads may have made beer from grain & water before learning to make bread.” (Raley 1998) Despite that speculation no person can deny the time and effort has been put to perfecting a fine brew. Brewing beer can be very rewarding however it does requires time, the right ingredients, and most importantly the complex steps to create the perfect beer.
These are established during the creation of the marketing plan and provide benchmarks, including market budget and market share, to assess how well the plan has accomplished its goals (Grunert, n.d.). Marketing controls measure and evaluate the results of the marketing strategy, and take the corrective action to ensure that the objects are achieved (Armstrong & Kotler, 2015). Controls can take many forms, as previously mentioned marketing budget and prospected market share. In addition to those two forms, controls can also include customer feedback and target market sales (Root, n.d.). Essentially, MBR will learns from the evaluations of each brew, and take appropriate actions that is required to ensure that MBR's objectives are achieved in reaching the five percent market share and remaining within budget. Customer feedback from the brewery tours is welcomed and will be logged. Moreover, the discussion boards as discussed earlier can be monitored for any feedback concerning MBR. Also, the first year sales of each individual brew will be set as benchmarks for future years. This will play into sustainable marketing. This marketing calls for a socially and environmentally responsible actions that meet both the immediate and future needs of customers and the company (Armstrong & Kotler, 2015). Non-alcoholic beer is, in itself, socially responsible insofar that it contains very little alcohol by volume, if any. The product speaks about taste rather than inebriation. Bottles are made of recyclable glass, and it will be encouraged to recycle the bottles—particularly at the
Consumers are turning away from beer consumption. Over the past decade, the U.S. beer indus-try lost a 10 percent market share to wine and liquor drinks; and focus by some established indus-try leaders has leaned toward “hard sodas” (Taylor, 2016). Small Town Brewery’s “Not Your Father’s Root Beer” dominated the market, owning 79+ percent of the 2015 market sales (Passy, 2016); to complete with this, Anheuser-Busch InBev (AB InBev) launched the “Best Damn Root Beer” brand in 2015 and MillerCoors (MC) offered “Henry’s Hard Soda” in 2016 (Taylor, 2016).
Craft brewing is the most rapidly growing segment of the brewing industry, averaging 12% annualized growth over the past 10 years [1]. At present there are more than 4,000 craft breweries in the USA. The Brewer Association defines a craft brewer as small, independent and traditional. Small means that annual production is of 6 million barrels of beer or less. Independent means that an alcohol industry company, that is not itself a craft brewer, has limited economic interest. Traditional means that the majority of the beers flavor is derived from traditional or innovative brewing ingredients.
The discovery of beer is associate with the growth of the first “civilization” in the event that cereal grains were discovered to store food for consumption months or even years later. The history of beer begins with the development of cereal grains, farming, early migrations, and the development of river valley societies in Egypt and Mesopotamia. Beer is a discovery rather than an invention, and once beer was discovered its quality was improved through trial and error. It was first used alternately as a social drink, a form of edible money, and as a religious offering. Alcoholic beverages were used for pleasure, nutrition, medicine, ritual. As water became contaminated, beer also became a safer drink, being that drinking alcohol killed you
Humans have been trying to get a buzz for centuries. Molecular archeologist Patrick McGovern believes fermentation of yeast was discovered nearly 9,000 years ago after he uncovered chemical traces of a fermented beverage found seeped into the porous clay of ancient pottery. It is safe to say that the brewing industry is as old as civilization itself and over time humans have been able to be creative with the process and produce variations of beer recipes. Drinking a beer can be defined as an experience involving the presentation of its storage along with the beverage itself. Consumers can appreciate both the artist of the individualized concoction of the beer and the artist of its container or vessel. These two components of the
Not only has craft beer captured many beer enthusiasts’ interest, it has also led to beer brewing equipment’s readily availability as well as innovation in
Beer, a very well-known and consumed beverage, used to be very different from what it is today. Many drink it without knowing its intricate history, ingredients, benefits, disadvantages, and statistics.
The origins of beer and it’s history have been dated back to around 7000 BC in China where the Chinese would produce fermented drinks that were made of rice and fruit. Additionally, research has found that at around 3500-3100 BC, fermented drinks that could closely resemble beer were brewed in Western Iran. Through it’s thousands of years of production and utilization within societies, beer has been playing an important role in many different cultures throughout history. In fact, according to CBS news, “The brewing of alcohol seems to have been a very early development linked with initial domestication, seen during Neolithic times in China, the Sudan, the first pottery in Greece and possibly with the first use of maize.” (CBS NEWS) Thus, it would be safe to argue that beer played a notable part in the development of early civilizations around the globe. Continuing on with it’s vast history, at around 3000 BC, beer and the practices of it’s brewing and production began to spread out from the Middle East to European civilizations through tribes of Germanic and Celtic origins. Jumping forward to the years of the industrial revolution in the 19th century, beer was finally ridded of it’s domestically-produced roots and moved on to be a widely popular, income-drawing business through means of industrial production. As of today, the production and distribution of beer has bloomed far
Around the late 1800’s the birth of modern beer took place in response to commercial refrigeration, pasteurization, automatic bottling and railroad transportation. Before the “Modern Era” the average person only had access to beer through taverns because it would have been too costly to individually bottle. They were stored in large barrels for the tavern and had a finite shelf life. Transportation was also an issue before railroads because the large barrels were burdensome to transport. Due to the hassle and cost of transportation, it was rare to see beer outside town limits. In the modern era, beer could be bottled cheaper and pasteurized so it could survive a longer rail journey in less than ideal temperatures. Beer was
The U.S. beer industry is a highly concentrated industry since two large firms (Anheuser-Busch InBev and MillerCoors) occupy a significant market share. As the craft beer industry experiences an explosive growth, the competition becomes fierce. As the largest craft brewery and the seventh largest brewery in the United States, the Boston Beer Company is facing growing competitive threats from larger breweries and premium imported beer companies, including Anheuser-Busch InBev, MillerCoors, Heineken, Sierra Nevada, New Belgium Brewing, and Crown Imports. More than that, it has to face the competitive challenges from the small breweries, which are growing rapidly and want to surpass the Boston Beer Company. Samuel Adams produced by the Boston Beer Company is one of the most popular craft beer because it has won more awards in the beer tasting competitions than any other brewery in the world since 2000 (Dess et al. C129). As the competition within the craft beer industry, the Boston Beer Company has to figure out a way to maintain growth, increase customer awareness, and continue to brew flavorful beers that customers enjoy.
Anheuser, Miller, and Coors all increase their annual marketing share with on-premise marketing. It is something that each of these companies take very seriously and profit likewise.
The brewing business is extremely competitive. As lager has advanced into fully grown category, the industry has encountered an escalation in mergers and acquisitions, product differentiation and global strategy. Overall 650 beers compete across the nations in this category, the top 10 defraying over $22M annually (Taylor 2004). The market is dominated by the giant 10 brands that form up 77% of the market. The top 20 occupy 87% which leaves Tiger and its 0.1% SOV to battle against the remaining 620 premium beers for 13% of the market. Included in this last 13% are power house global brands like Heineken Export, Corona, Stella Artois and Becks (Taylor 2004).