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 Bud Light brand is second to none when it comes to light beer and a good time. Although, first considered a flop in the United States after its introduction in 1982, Bud Light surged up the charts after a rebranding effort in 1986. The “Gimme a Light” campaign by the D’Arcy McManus & Mansius agency altered the brands path forever. Since then, Bud Light has drastically increased its market share while still maintaining its success in the global light beer and beverage market.
The American company Anheuser-Bush (AB) cannot market its beer using their trademark name Budweiser in every country around the world. This is due to the fact that there is an European brewing company that uses the same trademark.
Demand for a good/product as Sherman et al. (2008) note "is the quantity of that good buyers would be willing and able to purchase during a given period, at various price levels"¦" Currently, the entity has "a 48.3 percent share of U.S. beer sales to retailers" (Anheuser Busch 2011). In this case, using the percentage of beer sales the firm makes to retailers as an indicator of demand, one can easily conclude that the demand for Anheuser Busch's products is quite high. The high demand in this case can be attributed to aggressive marketing and advertising as well as a recovering economy.
The next project was bottling Gordon Biersch signature beer and retailing it. This had three biggest challenges: this project was entirely Gordon’s baby and demanded time and attention; secondly the freshness of the bottled beer versus the freshly brewed was an issue for which they decided the beer would have a shelf life no longer than three months. Thirdly and the most exciting challenge was the head-to-head competition with other microbreweries and premium beers. Despite the tough competitive environment, Gordon Biersch aimed to achieve 11% of the market in three years (by 1996). This retail venture required huge investment, thus they decided to start small to prove to the investors that they could pull it off.
The Boston Beer Company, Inc., founded in 1984, is a leading brewer in United States, offering wide variety of high quality full-flavored, handcraftedbeers. It is distinctive due to the time-honored recipe of brewing and authentic, consistent quality of alcoholic beverages. Samuel Adams Boston Lager is the pride of BBC, regular handcrafted beer “stands for quality, inner self-worth, authenticity, and unique New England or Yankee toughness” ( Martin Roper, Chief Operating Officer). Unfortunately, the company experienced the failure of conquering light beer segment
The author chooses t0 write the report about Anheuser-Busch’s Bud Light because it is the best-selling beer in the world. In this report the author has outlined in detail the current status by using the SWOT and PESTLE analysis of the company Anheuser-Busch
A documentary film made in 2009, Beer wars features and describes the American beer industry distinguishing between the large and small breweries. The large breweries feature some main corporate companies like Coors Brewing Company, Anheuser-Busch, and Miller Brewing Company whereas the small breweries include craft beer producers like Moonshot 69, Stone Brewing Company, Dogfish Head Brewery, Yuengling, and others. The documentary shows how the beer market is controlled through advertising and lobbying, which is harmful for the competition in the market. There is a reason why the small companies are falling behind and the large corporates are controlling the market, which in turn makes it essentially oligopoly economy.
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
Budweiser and Bud Light are the No.1 and No. 2 best-selling beers in the world. Miller, their closest rival maintains 22.1% of the market share. The following chart illustrates market share in 1999 for the nation’s leading breweries.
Adolph Coors company is a brewery with a long history. It was founded in 1873 and managed to make it through Prohibition by diversifying into near beer, malted milk, cement, and porcelain. Starting in 1958 the company brewed only one beer “Coors Banquet”. In 1978 when it introduced Coors Light, it only took 7 years for this light beer to become 40% of the company’s revenue building brand and to become the second best-selling light beer on the market.
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).