Background
Tooheys Extra Dry is a well-known pale beer and they describe the beer as clean, crisp and refreshing (Tooheys 2015). Tooheys brand personality is a bit bold, it is a youthful, fun and adventurous brand. It is known for the clean, crisp and refreshing taste. It is an outgoing and energetic brand. The brand personality is a lot about the taste. Many consumers relate Tooheys Extra Dry with cold and refreshing, it also reminds of the summer.
The beer industry is mature, which means that it is important to consider aspects as strong emotional connection with consumers are more important for brands in a mature market (Koen 2012, pp. 65-66). The price position of the brand is medium and their biggest competitors are Victoria Bitter, XXXX Gold, Carlton Dry. Their advertisement is often very masculine and does not involve women. Corona Extra is also a big competitor, their advertisement is not masculine and is a lot about the summer feelings, vacation and nature. One common symbol in the beer ads are the cold and refreshing feeling.
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
During the past 30 years, Big Rock has provided beer drinkers across the country with a high-quality product line consisting of reputable brands such as Traditional and Grasshopper Ale. Moreover, due to the continuous change in craft beer drinkers, Big Rock has provided a diverse variety of flavours to compete in the craft market segment primarily in Alberta. However, as the industry becomes increasingly more competitive due to the exponential growth of microbreweries, Big Rock must continue to develop its brand and spread awareness beyond Alberta and across the country in order to address the stagnated growth that currently exists within the business.
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 competition is steep in the alcohol business, which makes advertising important to reach sales and profit goals. In fact, in 2014, Beverage Information Group rated Busch Light and Busch to be the 6th and 7th top selling beers in America, being beaten by the following (from top selling): Bud Light, Coors Light, Budweiser, Miller Light, and Natural Light. In addition, Busch recently rebranded. The design of the cans, the case, the logo, etc. has all been brought into modern aesthetics, but the rebrand will be unsuccessful if no one can recognize the product, so it is important to inform customers of what the new look
We’re told that craft beer’s share of the market rose 17.6% last year, accounting for 11% of beer volume and $19.6 billion of the beer industry’s $101.5 billion in sales. However, it’s also a market in which the sale of imported beers rose 6.9% in 2014 and where, according to Nielsen, the amount of Mexican beer alone sold in grocery stores within the last year is equal to the amount of all craft beer sold from supermarket and convenience store beer shelves. It’s also a market where, despite advances by both craft and imported beers, one of every five beers sold is a Bud Light. In fact, the 38 million barrels of Bud Light sold last year would not only make it the No. 3 brewer in the U.S. if it split off from Anheuser-Busch InBev BUD, -0.51%
New Belgium can make its branding and messaging resonate with consumers in different parts of the country through education and advertisement. Initially, the company invested in “beerstreams,” which allowed them to take beer tasting on the road (Ferrell & Hartline, 2014, p. 362). Consumers were able to learn about the beer, the company, and engage in contest that make them “a part” of the company (2014).
BBC should re-enter the light beer market by first abolishing the Boston Lightship brand. Not only is it an economical burden (fewer than 3,000 cases in sales does not meet the 5,000 cases cut off point), but also its brand image is virtually non-existent, and its product design contrasts with the values of light beer drinkers. While the weak image can be bolstered with increased marketing efforts, a flaw in the product design would be too much to fix. Therefore, a new light brand is proposed.
The age of technology has brought about many changes in today’s society. With the advent of social networking sites companies are able to get their product advertised and marketed in many more ways than in the past. Sites like Facebook and Google+ have made it possible for companies to market their products to millions of people for cheap advertising on these sights. Craft beer is becoming very popular among younger adults around the world. Over the last decade, craft beers have gained in popularity in the brewing industry, and their reputation hasn’t stopped rising. They are the hottest trend in beer today. (nyfb.org, 2010). Microbreweries have a strong presence in the social networking community. Craft brew
Despite the strong brand and strategic position that MMBC created, the company experienced a decline in revenue of 2% in 2005 (Abelli, 2007, p. 4). The decline is due to changes in beer drinking patterns, markets, and demographics in the region as well as the U.S. in general. The change in beer drinking in 2005 included a decrease in intake of beer in general. This was due to competition from wine and spirits as well as new national health recommendations to decrease alcohol consumption for improved health (Abelli, 2007, p. 4). Premium beer consumption was down 4%, but light beer use was up 4% (Abelli, 2007, p. 10). This movement of consumer purchasing practice, makes adding a light beer product attractive. Overall beer consumption was down in the U.S., and this trend was true in MMBC’s region as well. See Figure 1. This graph shows beer consumption in West Virginia, MMBC’s home state,
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 product which we have chosen for the analysis is a beer named Victoria Bitter served in 375ml stubby bottle which is a lager produced, marketed and sold by the Carlton and United Breweries which in actual is a unit of Foster’s group Melbourne. According to The Age (2014) Victoria Bitter is the second best cold beer sold in the Australian nation. The above mentioned bottle has Oz markings which contains 13.20imp fl oz along with 4.9% of the edible alcohol. Till 2012 the stubbies remained the crown lager of all the brands available in the country.
Target audience: The commercial is targeted both male and female beer drinkers with decent income (because they can afford to travel to nice beach). They have the need to chuck away worries to live the moment. The commercial is also targeted the critical, peak beer-drinking summer season.
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.
In phase1, major attributes of import beer were identified that beer drinkers considered. Broadly, these attributes were categorized into seven dimensions like taste, smoothness with low aftertaste, price, image, alcohol content, social occasions and home consumption. A comprehensive questionnaire was formulated out of these findings which provided data on importance of the attributes, perceptions of Kirin and its competitors, usage occasions, demographics, attitudinal characteristics, and media usage. A study was conducted where Kirin and more popular brands were compared based on ratings of 21 attributes.
Introduced in 1925 by Grupo Modelo, Corona Extra has become one of the most successful beers in the world positioned as the 5th best selling beer in the world and in the top 10 imported beers in US, it’s currently being sold in more than 180 countries becoming the best-selling Mexican beer in the world and is the best-selling import beer in markets such a U.S and Canada (Millaward Brown Vermeer, 2014)
Beer Company 2 is a brewer of “seasonal and year-round beers with smaller production volume and higher prices” that “outsources most of its brewing activity” (pg. 120). It is financially conservative, and has undergone a “major cost-savings initiative to counterbalance the recent surge in packaging and freight costs” (pg. 120).