Carlsberg in Malaysia
Due to the heavy increases in excise duties Carlsberg losing share to their competitor GAB because they have no choice to increase price. Since Carlsberg’s customers are price sensitive, in near future they will switch to other cheap new local brands, which have more price flexibility due to subsidy given by government. In other scene, consumers now experience low price difference between two brands, so they tend to move more high-end beers such as Heineken, or switching to other alcohol drinks such as wine. So now most challenge Carlsberg is facing is whether concentrate on newly introduced high-end offerings such as Tuborg, Skol Super, and Carlsberg Gold and compete directly with GAB’s high-end beer market, or pursue the cost-innovation and maintain the position to defend market share from new local producers. Latter choice is extremely difficult, because the only ingredient that made up more than 85% of beer is water, and price of other raw materials are increasing. So I think Carlsberg need to make an effort to steal share from GAB in the high-end premium beer brand market, because after some time passed from tax increase customers will tend to adapt new prices by time. Since they need to compete with GAB with no price war, Carlsberg need to promote their new brands in consumers mind using premiums and other kinds of promotions such as sweepstakes and contests and of course other creative means of non-traditional advertising. Go Google
There are lot of benefits other than economic benefits, and simplicity of message. One most important is it can reach busy people, who are working a lot not having much free time to watch TV or spend time on internet, in such way that make them see the ads on the way home. I think Google taken the right approach in today’s intensive advertising exposure, because traditional advertisements becoming less effective and their billboards are simple words in a white board that make it so different from...
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