Beer Company Segmentation

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IV. Market Strategies of Selected Brands

Anheuser Busch Companies

From the market analysis portion of the paper we already established that internationally, Anheuser is expanding both into the Asian and Latin American markets. But typically what segment of the market do they target specifically? Well currently, the company is making an attempt to target the female population. Michelob Ultra is being marketed in women's magazines like cosmopolitan and other AB brands are placed on woman-focused channels such as Oxygen and Lifetime. Women however aren't the only focus. With the recent focus being on FMB's, the most consistent and continuous market has been the 21-27-age bracket, mostly college students. It's Bacardi line of flavored malt beverages and the latest additions, Tilt and B-to-the-E agree with the lifestyle of the contemporary adult looking for innovative drinks that is suitable for a variety of occasions and is an alternative to beer. For the more traditional and patriotic consumer, Anheuser markets towards its US customers by boasting on the fact that it is the only American made beer.

Currently, Anheuser is a global enterprise with distribution centers in the U.K, Japan, Canada, and Spain. It holds a 50% market share in the U.S beer market and a 50% market share in Grupo Modelo, Mexico's leading brewer. Anheuser Busch owns 27% stake in China's number one brewer Tsingato and is pursuing Harbin brewery Group in China.

The trend today is for people to lead healthier lifestyles and be more conscientious in the activities and interests that they partake in. This is ever so visible in the diet plans and low-carb phase that has emerged and has become dominant. To capitalize off of this Anheuser promotes its low-calorie beer to these individuals. Anheuser also places more emphasis on it flavored malt beers to appeal to its wine and spirit consumers and to compete in a changing environment where people lead highly social lifestyles by going to bars/clubs, shows, sporting events, etc. Sponsorships of the 2006 Fifa world cup, MLB and its 26 domestic teams and the Mexican national soccer team are an attempt to capture this segment of the market.

"18-34 year old Hispanics are consuming Spanish and English broadcast media at nearly equal rates with Spanish-language television and radio outpacing English-language television and radio; * A greater percentage of young Hispanics shop at more store types than do young non-Hispanic adults; * Young Hispanics are more likely to be impulsive shoppers. They like to keep up with styles and will spend what they have to look younger -- more so than non-Hispanics young adults; * Young Hispanic adults are heavy readers of magazines with lifestyle, entertainment, automotive and sports-focused titles taking the lead; * 18-34 year old Hispanic consumers are more persuaded by advertising in Spanish and are more loyal to companies with ads in Spanish." (Hispanic business) The trend is for Hispanics to be trendsetters and innovators instead of followers/laggards so the pattern has been to market on a personal portfolio basis instead of brand-loyalty aspect. The younger generations tend not to be brand loyal but adoptive of the newest and trendiest innovations. The behavior marketing of Anheuser Busch is tailored to the Hispanic with events, in magazines, television stations and sporting events. It sponsors the 2006 Fifa World Cup, MLB and its 26 domestic teams and the Mexican national soccer team. Not only is the behavior of Hispanics evaluated but all of diverse nations. Anheuser promotes diversity in the workforce at distribution centers across the world to be familiar with the consumer behavior of all groups.

Positioning strategies:
Beer is always associated with negative stereotypes of death, drunken behavior, a male activity and many other bad connotations. The fun image of Anheuser Busch (more...
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