LOGO New Belgium Brewing Group Two Group Two Members Khuong M997z212 Thao M997z216 Huong M997z226 Jarinthon M997z225 Rattaya M997z230 Son M997z209 Company Logo Contents 1. Introduction 2. Customer Behaviors 3. Promotion Strategy 4. SWOT Analysis 5. Key Sussess Factors and Environmental Responsibility 6. Conclusion Company Logo INTRODUCTION Company Logo Introduction New Belgium Brewing started its business in 1991 as a tiny basement operation of a couple Jeff Lebesch and Kim Jordan in Fort Collins-Colorado- USA. In 2006, it produced approximately 436,000 barrel of its various labels. In 2008 their beers were distributed to 19 different states. Company Logo PRODUCTS Company Logo Company Logo DISTRIBUTION Company Logo Before 2006, New Belgium distributed in only 15 states, Washington, Oregon, Idaho, Montana, Nevada, California, Arizona, New Mexico, North Carolina, Wyoming, Nebreska, Kansas, Texas, Arkansas, Missouri, Colorado). In spring 2006, the brewery began to distribute some of their beers in other markets. Bottles of Fat Tire distributed in Chicago claim "Chicago Inaugural: The 1st Fat Tire Ale served (legally) in the second city." In June 2007 Fat Tire, Skinny Dip, 1554 and Mothership Wit became available in Illinois. Company Logo CUSTOMER BEHAVIORS Company Logo Beer is a special product, so customer is also special. Beer consumption is overwhelmingly maledominated, with men accounting for more than 80% of the volume consumed. Of all the beer types, light beer is the most favorite product women like. They are more attractive by micro-brewed beers than big brand because of their greater variety. Company Logo People who live in the countries with cold weather like to drink beer, such as Russia, Europe, America. Beer make them feel warm and mild. They often drink beer when they have harvest festival, especially in German, Belgium or France. Company Logo Friends group usually go to pub or restaurant to drink beer for fun. Colleagues or staff go to drink for work or special party. Partner go for drink to discuss about company’s contract or cooperation. Family spend most of their leisure time at home, so they want to enjoy a drink at home without the worry about driving. The person whose age is from 18 to 60+ can drink beer. Much of men use this product more than women In some countries (such as Asian area), unemployed people usually spend time drinking. Company Logo PROMOTION STRATEGY Company Logo For many years, the brewer, best known for Fat Tire Amber Ale, thrived on word-of-mouth communication to sell the brand. NBB’s marketing consisted of traveling to beer festivals and handing out free samples. In 1996, NBB became more focused and proactive on marketing efforts. Introduced such signature NBB events as the multicity philanthropic bike festival, Tour de Fat. Developed engaging contests like “What’s Your Folly?” which invites consumers to pitch their Beerdream to win immoral fame on an NBB postcoater. Company Logo All events, sponsorships, and interactive games have been bolstered by strategic purchase of print media advertising. Developed a series of storyboards for the commercials featuring the “Tinkerer”. They carried out NBB’ first television-based advertising campaign named “Follow Your Folly”. After working with the manifesto, NBB selected television as one of the main advertising campaigns to attract customer. Company Logo SWOT ANALYSIS Company Logo Strength Cleaver marketing concept: “Follow Your Folly…Ours is Beer”. The message not only promotes the product but it relates to a lifestyle. Well treated employees who enjoy their job. Environmentally, socially, and ethnically responsible company. Comprehensive product lines of different beers. Strong brand name among customers. Company Logo Weakness Marketing does not use traditional marketing to advertise their beer. They may not focus on the core business of making beer. Higher costs since they cannot utilize economies of scale. Company Logo Opportunities Building a strong brand culture. “Tour de Fat”, which sponsored by NBB, give its brand name to everyone all over the world. Beer and brewery industry has been developing in many countries globally. Develop small scale business and emerging enterprises to get a higher market share. Company Logo Threats Competitors have better products with high quality than NBB, such as Anheuser-Bush, Coors and Miller. The “Big Three” brewers have long dominated mainstream televised beer advertising in the United States. Compete with the messages: - Boston Brewing : interesting case study. - Sam Adams : a beer of highest quality. Customer demand, needs and wants is increasing, i.e. how beer should taste, premium products had to be placed in stores… The message from NBB could be misunderstood. Company Logo KEY SUCCESS FACTORS and ENVIRONMENTAL RESPONSIBILITY Company Logo Key Success Factors Awards from Business Ethics magazine and Better Business Bureau’s Torch Award for their socially responsible business. Commitment to the environment, society and personal relationship with consumers. Consumers believe in and feel good about this product. Loyal beer drinking consumers. Company Logo Their core values and beliefs are to be environmentally concerned and socially responsible brewers. The employee loyalty programs are unmatched by any other craft/microbreweries. Their commitment to the environment and social concerns. Company Logo Environmental Responsibility The company stated core values and beliefs about its role as an environmentally concerned and socially responsible brewer: - Environmental stewardship: minimizing resource consumption, maximizing energy, efficiency, and recycling. - Kindling social, environmental, and cultural change as a business role model. - Balancing the myriads needs of the company, staff and their families. Company Logo Environmental Concerns New Belgium Brewing Co. in Ft. Collins, Colo., winning the Environmental Excellence Award from the Business Ethics Awards, US at 2003. NBB is the first fully wind powered brewery in US. Using “sun tubes" which provide natural daytime lighting throughout the brew house all year long. Encourage its employees to reduce air pollution by using alternative transportation. Given its employees “cruiser bikes” after one year of employment and encourages them to ride to work. Reduce, Reuse, Recycle-the three ’R’s of being an environmental steward. Company Logo Social Concerns Philanthropy (Also known as Brew-lanthrophy): For every barrels of beer sold, the company donates $1 to philanthropic causes within their distribution territory. Looks for non-profit organizations that demonstrate creativity, diversity, and an innovative approach to their mission and objectives. Event Sponsorship: Became sponsor a number of events, with a special focus on those that involve "human-powered” sports that cause minimal damage to the natural environment. Through “Tour de Fat” NBB support various environment, social, and cycling nonprofit organizations. Company Logo CONCLUSION Company Logo Conclusion NBB’s success to attract customer by using television advertising campaign. Relationship Marketing should be one of the core activity for niche marketing. NBB take care more on environment issue. NBB chose to redefine a category where ads are acceptable and the rare good ones can still be groundbreaking, thoughtful, and effective. Company Logo Company Logo