Wine Industry

Topics: Wine, Alcoholic beverage / Pages: 12 (2949 words) / Published: Jul 21st, 2009
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Wine & Spirits
Industry Analysis

Team 6
SMBA 04 • Strategic Marketing MKT 606 • November 22, 2008
Hayden Olson, Natanyi Carter, Maurice Campbell, Natasha Mohl, Tameika Dozier, Majed Soboh, Allan Topher
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Table of Contents

Executive Summary 3

External & Internal Environment 4

External Environment 4

Technological Trends 4

Consumer Trends 5

Governmental Trends 5

Economic Trends 6

Opportunities 6

Threats 7

Internal Environment 7

Strengths 7

Weaknesses 7

Market/Submarket Analysis 8

Submarkets 8

Market Trends 8

Distribution Channels 9

Customer Analysis 10

Wine 10

Spirits 10

Competitor Analysis 11

Direct & Indirect Competition 11

Top Three Competitors 11

Diageo 11

Brown-Forman 12

Constellation Brands 13

Comprehensive Strategic Assessment 14

Using Strengths to Maximize Opportunities and Mitigate Weaknesses 14

Strategic Recommendation 14

Implementation 15

Bibliography 16

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Executive Summary
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The following is a strategic industry analysis of the wine and spirits industry. The predominant themes discovered through research are the following: • Wine and spirit consumption continues to grow despite the global economic recession • The growth is primarily in two demographic segments, Millennials and Baby Boomers • There is an emerging trend for a healthier lifestyle which could lead to tremendous growth is currently in small segments such as organic/biodynamic wines

Three industry leaders were investigated to determine internal strengths, weaknesses, and overall success factors that are required to operate successfully in the industry.

• Diageo - is the world leader is alcoholic beverage production with top brands such as Crown Royal, Jose Cuervo, Smirnoff, Guinness, and others.

• Brown-Forman - is the current consumption leader for the United States, it’s portfolio of brands boasts classics such as Jack Daniels.



Bibliography: [pic] http://resources.ketchum.com/web/boomers.pdf

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