Preview

Heineken Executive Summary

Good Essays
Open Document
Open Document
631 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Heineken Executive Summary
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 should not be limited to traditional media markets, but should include sponsorship of various public events including sporting events and concerts. Heineken must inspire international confidence while maintaining local appeal. Project Mosa and Project Comet are not inconsistent. Project Mosa indentifies taste, premiumness, tradition, winning spirit, and friendship as the brand’s core brand values. Project Comet confirms that these are values that consumers hold and informs the company of how consumers define these preferences (Ex. 8-10) . Although Heineken has identified different regional conceptions of “friendship expression” and consumers have outlined different definitions for standard and premium beers, consumers agree that beer drinkers can always count on Heineken (Ex. 5,7,9). This favors a marketing strategy revolving around the idea that Heineken can be the perfect premium beer for all occasions. This strategy will be effective because Heineken can develop local advertising molding the Heineken image into the regional image of beer for any given location.
Most surveyed markets agree that packaging is an indication of beer taste (Ex. 6). Heineken should keep packaging and branding consistent while varying advertising. This consistent reminder of the Heineken brand will remind consumers of Heineken’s universal appeal, while acting as the official stamp of a quality beer. Heineken’s research shows that the global beer market is in different stages of

You May Also Find These Documents Helpful

  • Good Essays

    Keebler is one of the few packaged food brands that generates over $1 billion in annual sales. Brand recognition is key and essential for Keebler. Their product is consumed in some way in 75% of households within the United States. Additionally, over 96% of the households in the United States recognizes the Keebler name. Keebler’ execution strategy is to continue to invest in advertising and promoting the Keebler brand in order to take advantage of Product Segmentation and Keebler Brand Strength Across Product Segments. Keebler’s strength of its brand is its consumer identity across a wide variety of product segments. Keebler's strategy is to target product segments where it already has a strong position or that are not already dominated by a strong branded product (Keebler,…

    • 546 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Miller v. Bud

    • 458 Words
    • 2 Pages

    The sales for Lite were impressive but it found that majority of its consumers were moderate drinking, 25-44 year old, upscale professionals. However, Lite was successful because its value proposition of the beer being ‘light’ appealed to this older, upscale demographic than their intended target because they interpreted the message as an opportunity to drink without getting slowed down mentally or physically. Also, their choice of media, i.e., advertising during sports shows, reached this segment equally well.…

    • 458 Words
    • 2 Pages
    Good Essays
  • Best Essays

    Upon entering into the alcoholic beverage industry in South Africa, Heineken encountered several key issues including legal concerns regarding a contract with SAB Miller, a struggling subsidiary, outdated infrastructure, fragmented retail landscape, ever-changing government laws and regulations, and limited access to a skilled work pool. Since Brandhouse, Heineken’s subsidiary, has been able to establish a local production facility, it has been able to grasp 12.8% of the South African beer market. Strategies and business practices attributing to their success are strategic joint ventures (most notably the DHN JV) with industry giants, re-evaluation and realignment of business practices and organizational goals, innovation, rapid response, and strong CSR practices. Heineken’s entry into South African through the Brandhouse joint venture provides a successful entrance example for adult beverage companies to consider when planning to access to the market. It is highly advised that entry is not done alone. The market is established and highly competitive, leaving little chance of new companies succeeding. Pooling resources is the best strategy in this situation.…

    • 3447 Words
    • 11 Pages
    Best Essays
  • Good Essays

    A recent study determined that there are four very different psychographic categories of craft beer drinkers: Novice, Enthusiast, Explorers, and Loyalists (Lane, 2013). Enthusiasts strive to educate themselves about everything craft beer, Explorer are interested in trying as many styles and flavors as possible, Loyalist prefer a certain style or brand, and Novices are just beginning to get into craft beer (Lane, 2013). The Enthusiasts and the Explorers are highly marketed, while the Loyalist and the Novice tend to be minimalized. For this reason, Harlequin and Brine will target Loyalist and Novice craft beer…

    • 1227 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    The author chooses t0 write the report about Anheuser-Busch’s Bud Light because it is the best-selling beer in the world. In this report the author has outlined in detail the current status by using the SWOT and PESTLE analysis of the company Anheuser-Busch which is the producer of Bud Light. The Legal issues have been shorted because the discovered fact does not fit in the US market area. The following section shows briefly about the unique selling proposition and segmentation targeting. A short illustration of Bud Light segmentation is demonstrated in the appendix. With the limit of words, the author excludes a detailed illustration of the product life cycle and the Boston Consulting Group analysis. A critique is mentioned in the USP section.…

    • 3673 Words
    • 15 Pages
    Powerful Essays
  • Powerful Essays

    cherns sourcing

    • 5075 Words
    • 21 Pages

    The Brewery is a brand all about lifestyle, and we know how important it is to promote the brand in a way that screams hip, vibrant, and now. The target market at The Brewery is people between the ages of 21 and 35. The Brewery is a company, concerned with the upper level and post college market, with the intent of attracting a following of people who will be committed to the brand throughout their…

    • 5075 Words
    • 21 Pages
    Powerful Essays
  • Powerful Essays

    Mountain Man

    • 2754 Words
    • 7 Pages

    With recent declining sales for Mountain Man Beer Company (MMBC), Chris Prangel is considering launching Mountain Man Light as a brand extension aligned with changes in beer drinkers’ preferences. He is seeking to maximize market coverage while minimizing brand overlap, and at the same time avoiding any brand equity damage, as MMBC’s core consumer segment is significantly different from the new targeted segment. Chris expects to negate declining sales of Mountain Man Lager and capture market share in the fast-growing light beer category, which accounted for 50.4% of all beer sales by volume in 2005 in the East Central Region (Exhibit 1). More specifically, Chris wants to capitalize on Mountain Man’s brand recognition in the region and capture a meaningful share of the local light beer market, a market in which MMBC currently has no presence. In addition, he is hoping a successful launch of Mountain Man Light in the local on-premise locations will boost the lagging sales of Mountain Man Lager.…

    • 2754 Words
    • 7 Pages
    Powerful Essays
  • Better Essays

    Anheuser-Busch Inc. is a dominating global leader in the beer industry, specifically in the United States. Its roots can be traced all the way back to 1852 from the Bavarian Brewery in St. Louis MO when Adolphus Busch traveled from Germany to join his father-in-law. In 1876 Budweiser was founded and rooted its brand in values, ethics, and quality. These core staples of the company evolved all the way to 1982 when Bud Light was introduced. Today Bud Light is the best selling beer in the U.S. and the #1 beer sold by volume in the world. Let’s take a look into the marketing mix that makes this product so successful.…

    • 953 Words
    • 4 Pages
    Better Essays
  • Good Essays

    Mountain Man Brewing Co.

    • 1368 Words
    • 6 Pages

    Mountain Man Brewing Company is able to distinguish its beer apart from its competitors mainly through its high-perceived quality and brand image strongly appealing to West Virginia population where Mountain Man Lager is also known as “West Virginia Beer.” In addition, MMBC has a high brand loyalty rate of 53% in comparison to their competitors who have a lower brand loyalty rate (i.e. Bud Light 36%, Budweiser 42%). Thus, the Mountain Man Lager has the brand loyalty advantage over its competitors. MMBC is also able to distinguish itself from competitors by Mountain Man Lager being produced and distributed by an in-house small marketing team in West Virginia. Consumers in the region have close brand ties in comparison to larger breweries that do not have distributers acting as direct promoters of brand.…

    • 1368 Words
    • 6 Pages
    Good Essays
  • Better Essays

    Budweiser originates from the United State s and is owned by Anheuser–Busch Traditionally Budweiser has used humorous ad campaigns, always featuring a male(s) in party atmospheres and always including several gorgeous women. Budweiser Ad’s cover numerous different Budweiser’s main demographic is males between the ages of 25-34; while there second largest is 18-24. The difference between the minimum and maximum ages listed is not that large, however the maturity level and life stages between those ages are. For this reason I feel that Budweiser has developed several products; Budweiser, Bud Light, Bud shots, and campaigns them in various ways to sell their product and it’s dream to their targeted audience. In order to advertise to their targeted…

    • 2704 Words
    • 11 Pages
    Better Essays
  • Powerful Essays

    The Boston Beer Company

    • 1513 Words
    • 7 Pages

    The Boston Beer Company, Inc., founded in 1984, is a leading brewer in United States, offering wide variety of high quality full-flavored, handcraftedbeers. It is distinctive due to the time-honored recipe of brewing and authentic, consistent quality of alcoholic beverages. Samuel Adams Boston Lager is the pride of BBC, regular handcrafted beer “stands for quality, inner self-worth, authenticity, and unique New England or Yankee toughness” ( Martin Roper, Chief Operating Officer). Unfortunately, the company experienced the failure of conquering light beer segment in 1998 as the beer market is a highly competitive industry, which requires not only the great product but also high brand awareness. Right now there is an attractive opportunity for BBC to enter the field of light beer once again. Should Boston Beer Company capture this chance or let it slip?…

    • 1513 Words
    • 7 Pages
    Powerful Essays
  • Satisfactory Essays

    Mountain Man

    • 1019 Words
    • 4 Pages

    Mountain Man Brewing Company was a family-owned business which owned a quality beer called Mountain Man Lager. As shown in Exhibit 1, the Mountain Man Lager was well known as working man’s beer. Its quality taste with bitter flavor and high alcohol content were the value propositions for the products. And the key resources for these features were the special recipe and a meticulous selection of barley. Also the main customer segment for the Lager was blue collar most of whom were low or mid-income working-class man. In customer relationships, this beer had strong brand image among mid-age blue collars that showed strong loyalty to it. However, according to a study, the results showed that young drinkers had low purchasing preference even though they all well knew the product. What’s more, the company only had one product which makes the revenue stream very thin.…

    • 1019 Words
    • 4 Pages
    Satisfactory Essays
  • Satisfactory Essays

    heineken case

    • 665 Words
    • 2 Pages

    Heineken uses an international strategy that involves using cross-border deals to increase their distribution of over 250 beer brands in over 175 countries. The company has also acquired many different small brewers all over the world to add to their portfolio and increase access to new markets. Due to this strategy, Heineken currently operates over 125 breweries in over 70 countries and holds 10% of the global beer market. The company’s main entry mode into foreign markets involves foreign direct investment through acquisitions that give Heineken a great degree of ownership and control. They gain control of the whole brewery, so they expand by way of wholly owned subsidiaries. Heineken’s international acquisition strategy allows the company to increase market share and presence in their industry across the world, and do not have to worry about the added costs associated with creating new brands. It is difficult to pinpoint exactly what strategy for globalization Heineken has used, since they acquire these brands with already developed and successful products and allow them to stay as their own brands. I would describe Heineken’s strategy to be most similar to a transnational strategy. A transnational strategy is based on firms optimizing the trade-offs that go along with efficiency, local adaptation, and learning, where the pressures for local adaptation and lowering costs are high. A company using this strategy, seeks efficiency but as a means to achieve global competitiveness, as does Heineken.…

    • 665 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Grolsch Global Strategy

    • 1520 Words
    • 7 Pages

    Grolsch, a company with a strong history and a highly rated product, has just been purchased by SABMiller. The company is evaluating its global strategy in light of the acquisition and determining how to position and sell its beer going forward. Grolsch has positioned itself well to compete internationally and has leveraged several tools (e.g. the MABA framework, strategic analysis) to effectively expand abroad. However, they must assess whether or not the MABA framework is still useful, what type of international strategy they should pursue (i.e. developed vs. developing markets), and if their adaptation strategies will continue to be an asset in their business development. The initial conclusion, detailed below, is that Grolsch should expand the MABA framework while also leveraging and recognizing the value of SABMiller’s distribution network. They need to maintain focus on international markets, looking at both developed and developing markets to diversify growth opportunities. Success for Grolsch depends on how well they can identify markets where their high-end, premium product will be desirable. But, it will also depend on their ability to adapt the brand image and marketing approach based on the cultural differences of the foreign markets they enter. The subsequent presentation contains exhibits and analysis that support and further develop these conclusions.…

    • 1520 Words
    • 7 Pages
    Good Essays
  • Good Essays

    Nowadays, an explosion of smaller brewers has entered the market during the past decade that making the industry much more competitive. Heineken is one of the largest brewers in the world and they have to share market with other brewer. The barrier in the beer market is low. Therefore, the threat of potential new entrants for Heineken is high. This will make Heineken considering to create innovation or uniqueness into their product that can sustain competitive advantages in the beer market.…

    • 1062 Words
    • 4 Pages
    Good Essays