Well-known brand and experienceReputation; known as a quality beer.Enable to meet the needs of the consumers. Reduce take-up risk by customers
Easy to convince retailers to stock your beer extensions.
Introductory marketing need not create awareness.
Possible packaging and labeling efficiencies.
Brand loyaltyWith a rate of 53% in the East Central region.Mountain Man brand loyalty rate is higher than that of competitors (42% Budweiser and 36% for Bud light) Strong associations to Mountain Man Lager BrandDefined as for working-class, tough, down-to-earth and not ‘corporate’ but local, authentic brand with strong heritage.
The young would not like to be associated with a “tough” and “old brand, while the old would not like to be associated with the young drinking “tasteless” beer. Weaknesses
Limited economic resources
Limited geographic coverage
Strategy is not updated to the current market needs to reach out to potential customers.Grass-root marketing in building brand awareness.Mountain Man had always relied on grass roots marketing to spread its beer quality message by word of mouth. Opportunities
New product (light beer)Overall shift of market to light beer due to changes in beer drinkers’ preferences. Light Beer grows with 4% CAGR.
Light beer could re-invigorate lager.
Light beer could dilute lager equity.
Potential for cannibalizations of brand.
Light beer could potentially attract the younger drinkers.
Increase market segmentYounger drinkers (ages 21-21) account for more than 27% of total beer consumption. This age group reportedly spent twice as much per capita on alcoholic beverages than consumers over 35 years of age.This market segment provides a profitable opportunity for Mountain Man to expand into market segments, such as female market and younger beer drinkers. Threats
Premium Beer contracts with -4% CAGRThe decline in U.S beer sales is largely due to consumers’...