Essay New Belgium Brewing Marketing Strategy to Expand

2392 Words10 Pages
BA 580

June 28, 2011

New Belgium Brewing
Case Study Analysis

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. The brewing industry can be characterized by Porter’s Five Forces framework. New entries to brewing have a relative ease in creating home micro-breweries, which is aided by
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These connections give them a huge opportunity to communicate directly with consumers. In order to maximize this opportunity, they should promote their existing events like the Tour de Fat bike race and beer festivals across the country. New Belgium should also open a second brewery in the eastern half of the United States to accommodate more growth into uncharted territories. Putting the new brewery in an already established eastern market like Indiana would allow New Belgium to solidify their hold on current markets while giving them the potential to grow into neighboring territories. Introduction to the Northeast is critically important because as of now they are ceding the whole region to rival competitors like Samuel Adams. The pluses to this second brewery include additional capacity for production of beers, wider reach of distribution, and ultimately higher sales due the territorial growth. The minuses include a possible loss of company culture at the new brewery due to its distance from Fort Collins. Another minus would be the loyalty current consumers have for regional craft beers already in the market. However these minuses can be addressed by implementing a couple different measures. First, in order to acquaint New Belgium products into new markets, the company should employ a specialized sales team that will go into local bars and pubs and buy New Belgium products for locals. This will begin the grassroots campaign which New Belgium

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