The Value of Brands White Paper White Paper: The Value of Brands: Evaluating Heineken’s Global Branding Strategy Tim Glowa July 31‚ 2002 Tim Glowa is President of North Country Research Inc.‚ (www.ncResearch.com) a Calgary based strategic marketing science company. He can be reached via email at Tim@Glowa.ca © 2002 Tim Glowa July 31‚ 2002 © 2002 Tim Glowa -1- The Value of Brands White Paper Table of Contents Abstract ............................................
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The company Heineken is a Dutch beer brewery company‚ which was founded in 1863‚ when Gerard Adriaan Heineken bought a small brewery in Amsterdam called “The Haystack”. In 1900 the company came up with it nowadays famous five-point star. In 1914 the company began expanding‚ starting with the production of their own bottled beers. By 1914 the company was one of the most loved import beers in the United States. From around 1948 Heineken began promoting their beer on a large scale. With slogans as
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Strategic Analysis: Heineken NV David Ouahba Richard Disrude Patrick Biggs Table of Contents Executive Summary: Company Background: Industry Description Porter Five Forces Analysis of Industry Company Resources‚ Activities‚ and Capabilities S.W.O.T. Analysis Company Strategies Recommendations Bibliography Executive Summary: Company Background: Industry Description Porter Five Forces Analysis of Industry Bargaining Power of Suppliers Heineken’s suppliers of raw material are mainly
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American market by acquiring the beer businesses of FEMSA in Mexico and Brazil. The FEMSA‚ Fomento Economico Mexicano is the largest Mexican and Latin American beverage company.1 Reasons for entering this continent is to achieve their goals‚ also mentioned as objectives in Heineken’s annual report. Two of these goals include Grow the Heineken brand and Capture the opportunities in emerging markets. Entering the Latin American market‚ would enlarge the brand awareness of Heineken. By aiming on expanding
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Problem Statement Heineken needs to remain a global competitor that caters to different generation groups worldwide; create new products that complement consumer culture differences in the global market; build partnerships‚ mergers and acquisitions with new brewers/distributers in other countries to expand their consumer base and global footprint. SWOT Analysis Internal Strengths • Continual steady increases in total revenue per year. (Exhibit 1) In January 2009 the company expected to announce
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HEINEKEN CASE STUDY 1. What strategy does Heineken follow in the global beer market? The strategy that Heineken uses is that of differentiation. This strategy gains market share and competitive advantage by distinguishing their products from their competitors through excellent design. A U.S. wholesaler recently asked a group of marketing students to identify a group of beer bottles that had been stripped of their labels. The stubby green Heineken bottle was the only one among the group that
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Success Story Heineken Extends Brand Equity with First “Experience Store” Background Heineken is one of the world’s most recognized brewers‚ with 170 beer brands that generated revenue of US$13 billion in 2008. The 146-yearold Dutch company is famous for its pioneering advertising and innovative marketing‚ which go beyond beer by associating the Heineken brand with socializing and having fun. In the face of changing beverage consumption‚ advertising restrictions‚ and a blurring of its positioning
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Heineken environment analysis External analysis of the company Porter’s five forces model The bargaining power of suppliers The suppliers of raw materials to Heineken Company are mainly farmers. Therefore‚ the threat for power of supplier is high. The bottle supplier for Heineken is provided by Heye Glas Nederland which is fully supplied the green bottle for the worldwide distribution of Heineken beer. In the past‚ Heineken kept only 33% its stake in Heye Glas in order to secure the
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Factors 1. Demographics In the beer industry‚ 40% of the US population consumes beer regularly (at least once a week). Amongst that‚ 30% of drinkers are frequent beer shoppers. However‚ the beer drinker profile is skewed towards younger males between the ages of 21-30 years old with only a moderate education and modest household incomes. It has also been determined‚ that consumers drink less beer as they age because of health and wellness concerns. For Heineken‚ in the mid 1990’s‚ the average
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Consumer tastes for beer vary across the globe in markets that have strong brand preferences and are in diverse stages of development. Heineken must adapt its marketing strategy to meet the diverse array of preferences on a global scale while maintaining brand identity and building brand loyalty. Heineken must maintain a consistent branding strategy with central control from headquarters and build brand equity by utilizing market research to design advertising specific to local markets. Advertising
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