The trend of beer over the last five years had a combined annual growth rate (CAGR) of 4.8% worldwide. (www.encyclopedia.com/doc/1G2-2843300064.html.). Within Central America and South America, the CAGR increased to 6.3%. Africa also showed growth by having CAGR that got up to 6.4%. A key note about the growth of beer was shown in Asia. (www.encyclopedia.com/doc/1G2-2843300064.html). The trends of beer for the last five years have being tilting toward consumers wanting expensive beers. Due to that, expensive beers or premium beers accumulated 17% of the beer sales globally. The premium beer market of North America as well as Western Europe sales…
Anheuser-Busch is America’s most popular brewery. At Anheuser-Busch we only accept excellence in the products we make and excellence in the people that help make them. With 46.4% market share in the U.S., we pride ourselves on the ability to take only the finest ingredients and produce world-class beer. Anheuser-Busch has strong brand awareness and loyal consumers. With that said, we face the challenge of potential loss in market share due to an increase in craft breweries and changes in our consumers taste.…
The sales for Lite were impressive but it found that majority of its consumers were moderate drinking, 25-44 year old, upscale professionals. However, Lite was successful because its value proposition of the beer being ‘light’ appealed to this older, upscale demographic than their intended target because they interpreted the message as an opportunity to drink without getting slowed down mentally or physically. Also, their choice of media, i.e., advertising during sports shows, reached this segment equally well.…
With recent declining sales for Mountain Man Beer Company (MMBC), Chris Prangel is considering launching Mountain Man Light as a brand extension aligned with changes in beer drinkers’ preferences. He is seeking to maximize market coverage while minimizing brand overlap, and at the same time avoiding any brand equity damage, as MMBC’s core consumer segment is significantly different from the new targeted segment. Chris expects to negate declining sales of Mountain Man Lager and capture market share in the fast-growing light beer category, which accounted for 50.4% of all beer sales by volume in 2005 in the East Central Region (Exhibit 1). More specifically, Chris wants to capitalize on Mountain Man’s brand recognition in the region and capture a meaningful share of the local light beer market, a market in which MMBC currently has no presence. In addition, he is hoping a successful launch of Mountain Man Light in the local on-premise locations will boost the lagging sales of Mountain Man Lager.…
Anheuser-Busch is the nation’s leading brewer of light, premium, and super-premium beers. Expensive European hops and beechwood-chip aging in eleven breweries across the country distinguish Anheuser-Busch beers such as Budweiser, Michelob, and Busch from much of their competition. Although principally a brewer, Anheuser-Busch has diversified, via…
Using the Consumer Questionnaire Results, 62.1% of consumers surveyed has consumed Coors in the past; also 48.8% liked or strongly liked Coors. We also learned in this questionnaire that 65.2% bought their beer from supermarkets. From this consumer analysis, Larry could invest in Coors and make his main availability of product at supermarkets. According to the Retailer Questionnaire Results, Coors has the same taste as Miller and Miller Lite, but it is more expensive than the other brands of beer sold.…
Mountain Man Brewing Company was a family-owned business which owned a quality beer called Mountain Man Lager. As shown in Exhibit 1, the Mountain Man Lager was well known as working man’s beer. Its quality taste with bitter flavor and high alcohol content were the value propositions for the products. And the key resources for these features were the special recipe and a meticulous selection of barley. Also the main customer segment for the Lager was blue collar most of whom were low or mid-income working-class man. In customer relationships, this beer had strong brand image among mid-age blue collars that showed strong loyalty to it. However, according to a study, the results showed that young drinkers had low purchasing preference even though they all well knew the product. What’s more, the company only had one product which makes the revenue stream very thin.…
Many factors influence the choice of a company’s product line up over a competitor’s. Whether it is the association (use) of a product, the lifestyle it perceives, or the catchy commercials, companies invest heavily into the market to establish brand…
One may state that upon the passing of the new beer law, some sales in the existing liquor stores may decline. Despite this possibility, this can present a major expanding opportunity for all the craft beer creators in the area. As a convenience store advocate, I support the passage of House Bill 1192, which would allow grocery and convenience stores to sell full strength beer. While there are arguments on both sides for and against this Bill, one must recognize that convenience stores sales were already affected by the recent changes to the law allowing Sunday sales of liquor, malt beverages and wine. We have seen a decrease of 16 % in sales of 3.2 beers during the 1st quarter following…
The Adolph Coors Company is in need to transform their relationship with the media because the lack of communication has lead the company to gain an undesirable reputation due to negative publicity over the years. The Bible says “a good name is more desirable than great riches; to be esteemed is better than silver or gold” (Proverb 22:1, New International Version). A person that consider itself a Christian knows that have a major responsibility to raise God’s name. A Christian with a disagreeable reputation would fail to influence other due to a lack of credibility and integrity. In the…
The purpose of this report is to review how psychological theories have been used in beer commercials and how effective they have been in garnering our attention.…
The Coors vision statement claims that the company must, “…become even more effective by aligning and uniting the human, financial, and physical aspects of our company.” To focus on these aspects even further, top management broke these aspects down into four main fundamental activities that Coors must constantly engage to achieve success.…
With alcohol advertisements filled with half naked women selling sex, their target market is limited to testosterone driven men looking for a good time. With this limited market beer companies are stained with a lackluster name. With men being the target for most advertising, appealing to women is a challenge, one that most beer companies tried to answer with light beers. Along with not appealing to women, most light beers have been given the reputation of being cheap and lacking quality. Budweiser came up with a beer that not only tackles the weight issue, but was given a superior standing among light beers. Budweiser opened many doors to different markets with the creation of Budweiser Select, a low calorie premium beer, along with creating a new lifestyle to beer drinkers.…
This paper will first review what factors have contributed to the change in consumers’ demand to more alternatives beverages. Next, it will explore what types of alternative beverages appear to be most appropriate for the company to focus on and why. Finally it will evaluate what role the federal government has played in the shift to alternative beverages.…
Finn, T.A., & Strickland, D.E. (1982). A content analysis of beverage alcohol advertising. Journal of Studies on Alcohol, 43, 965- 989.…