Pricing (Beer Brands)
Principles of Marketing
Assignment 3 – Pricing
Due Date: 24th December, 2012 Dep. of IBS
In this Assignment I want to compare several beer brands and their pricing. I will try to find out which pricing strategy is used for each beer brand. Pricing is one oft he 4 major elements of the marketing mix and pricing is an important stratejic issue because it is related to the positioning. Also it affects other marketing mix elements such as product features, channel decision and promotion.
I decided to choose the most popular beer brands, which are selled mostly in Turkey.
First I want to start with „Efes Pilsen“. Efes is a turkish product and a 50cl bottle ha a price of 4.25 TL. It tastes softly. „Tuborg“ has the same price for the same mass.
It is known to use 100% malt. Thats why customers like Tuborg a lot in the last time. „Bomonti Beer“ which gets more populer over time has the same price and „Carlsberg“ a german product has also the same price. We see that the prices are the same.
When I went tot he supermarket and searched for beer, I realized that all the beers are in the same place. Most oft he beers had the same price.
So Efes Pilsen is very popular in Turkey, it has a „name“. Customers trust Efes and stay loyal to this brand. Efes use Price Discounts like Quantity Discounts, that means discounts are offered to customers who buy in large amounts. For example on big Events like New Year or a summerparty ,if a customer pays 20 TL he can drink as much as he want.(only as an example) He can do that because he want to add more and more customer and want his brand seen everywhere. He has the opportunity to do that and enough capital. But Tuborg on the other side does not offer such price discounts. It has not as much capital like Efes and uses the Cost-plus pricing method- he sets the price at the production cost plus a certain profit margin. Maybe it uses the target return pricing- that means setting the price to achieve a target
Assignment 3 – Pricing
Due Date: 24th December, 2012 Dep. of IBS
In this Assignment I want to compare several beer brands and their pricing. I will try to find out which pricing strategy is used for each beer brand. Pricing is one oft he 4 major elements of the marketing mix and pricing is an important stratejic issue because it is related to the positioning. Also it affects other marketing mix elements such as product features, channel decision and promotion.
I decided to choose the most popular beer brands, which are selled mostly in Turkey.
First I want to start with „Efes Pilsen“. Efes is a turkish product and a 50cl bottle ha a price of 4.25 TL. It tastes softly. „Tuborg“ has the same price for the same mass.
It is known to use 100% malt. Thats why customers like Tuborg a lot in the last time. „Bomonti Beer“ which gets more populer over time has the same price and „Carlsberg“ a german product has also the same price. We see that the prices are the same.
When I went tot he supermarket and searched for beer, I realized that all the beers are in the same place. Most oft he beers had the same price.
So Efes Pilsen is very popular in Turkey, it has a „name“. Customers trust Efes and stay loyal to this brand. Efes use Price Discounts like Quantity Discounts, that means discounts are offered to customers who buy in large amounts. For example on big Events like New Year or a summerparty ,if a customer pays 20 TL he can drink as much as he want.(only as an example) He can do that because he want to add more and more customer and want his brand seen everywhere. He has the opportunity to do that and enough capital. But Tuborg on the other side does not offer such price discounts. It has not as much capital like Efes and uses the Cost-plus pricing method- he sets the price at the production cost plus a certain profit margin. Maybe it uses the target return pricing- that means setting the price to achieve a target