June 23‚ 2014 Mountain Man Brewing Company Case Analysis Situation Analysis 1. Industry “The beer industry in the United States generates $75 Billion in annual sales.” (Abelli‚ 4) Light beer sales have increased at a compound annual rate of 4% over the previous six years. Traditional premium beer sales have also declined annually by the same percentage. The beer industry can be considered a monopoly since large national brewers maintain economies of scale in brewing‚ better distribution
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Dear Chris Prangel‚ Regarding whether Mountain Man Brewing Company should introduce Mountain Man Light beer to their product line I think it should. Mountain Man has customers who are loyal to it their original product‚ and I don’t think the addition of a new product would affect this loyalty if introduced in the right way. Marketing Mountain Man Light will be where MMBC could preserve the brand name of Mountain Man Lager. Separating the two beverages consistently in the ad campaign in ways
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Mountain Man Brewing Company Case Analysis Mountain Man Brewing Company does not want to go another year with revenue lost from Mountain Man Lager. By adding a light beer to the product line it could gain loyalty from a younger crowd and attract more then just the workingman. At the same time he does not want to lose the brand equality that has taken years to create. He is also faced with solid monopolies in the beer world that make it hard to keep up. Chris is faced with a hard decision
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| | | | | | | | | | | | | | | | | | Mountain Man Brewing Company | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Financial Projections | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | Assumptions | | | | | | | | | | | Revenues from MM beer | $50‚440‚000.00
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------------------------------------------------- Case 2: Mountain Man Brewing Company Prepared for: Marketing 181 Date: February 9‚ 2011 ------------------------------------------------- Question 1: There are many factors that have enabled MMBC to create a strong brand. These include: taste‚ perceived quality‚ image‚ tradition‚ and authenticity. Taste is achieved through a selection of rare Bavarian hops and unusual strains of barley creating a defined Mountain Man quality. In addition‚ Mountain Man Lagers’ distinctively
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Recommendation: Mountain Man Brewing should create a new market strategy and introduce a line extension of Light Beer to expand their portfolio and create new sales among non-existing customers. This line extension will target the younger drinkers and women in the East Central Region and will increase sales and create profit within 2 years. Rationale: 1. Light beer sales will be profitable within 2 years. The first year MMBC will lose $486‚374. However‚ in 2007‚ the second year‚ MMBC
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Case: Mountain Man Brewing Company Questions: 1. What has made the Mountain Man Brewing Company successful? What is distinctive about MMBC’s product‚ customers and brand equity? Product Mountain Man had high quality product. Those attributes included the smoothness‚ percentage of water content‚ and drinkability. The beer it produced was flavorful and bitter-tasting. Mountain Man had a well-known reputation as quality bee throughout the East Central region. Customer Mountain Man targeted
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1- What is Chris considering doing and what factors will he have to align to be successful? With Mountain Man Beer Company (MMBC) experiencing recent declining sales for the first time in its history representing a 2% loss in revenue the previous year and prospect of continuous decline‚ Chris is considering launching Mountain Man Light Beer as a brand extension aligned with changes in beer drinkers’ preferences‚ seeking to maximize market coverage while minimizing brand overlap and at same time
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Managerial Analysis Mountain Man Brewing Company Goes “Light” 12/13/2010 Mountain Man Brewing Company Nicole Fiamingo Company History Mountain Man Brewing Company was established in 1925‚ and since then has come to be known as “West Virginia’s Beer”. In 2005‚ despite a 2% drop in annual sales they sold approximately 520‚000 barrels and reported revenue close to $50‚000‚000. Mountain Man Brewing Company’s average consumer is male‚ above the age of 45 and typically in the middle-to-lower
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your beer extensions. Introductory marketing need not create awareness. Possible packaging and labeling efficiencies. Brand loyalty With 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 Brand Defined 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
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