Corona's Strategies to Becoming World's Beer Leader

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Case 13

Since its entrance into the American beer market, Corona had built a marketing campaign around the idea of “fun in the sun.” Their ascent to stardom could be attributed to its brilliant and unique marketing campaign which was a direct result of the international strategy undertaken by Group Modelo when it expanded into the United States. While continuing to produce their beer domestically, Modelo entered into distribution contracts with companies that had local knowledge of the market and gave them autonomy to market the product fittingly, yet maintained an active involvement in the decision making. The result was the rise of Corona from a beer sold primarily in the states bordering Mexico, to the number one imported beer in America. Corona has a distinguishing feature in its marketing campaign which is that it does not focus on the classical target market for beer drinkers, which are males between the ages of 25 and 45. Corona did away with this status quo. It needed to develop an image of a beer that would attract everyone, yet position itself as a premium import. With the “fun in the sun” campaigns, it sold the idea of escape and the idea of leaving behind everyday life for one that is relaxing. Corona also has an unobtrusive or bland taste, which made them able to get the non-beer-drinking population to drink beer, specifically females. Eager to please the new market for beer drinkers, bars, and restaurants decided to sell the beer, increasing its consumer reach. And because of its availability, it became a dependable second choice for beer drinkers who were frustrated with not having their favorite beer sold at the current establishment.
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