...Mountain Man INDIAN INSTITUTE OF MANAGEMENT INDORE Marketing Management–II Case Analysis Mountain Man Brewing Company: Bringing the brand to Light Section C - Group 01 Introduction The case focuses on the concept of Line Extension in the context of Mountain Main Brewing Company. The background emphasizes on the dilemma of the protagonist as to whether or not to introduce a new product line by en-cashing on the existing brand value. Case Facts: Existing Product: Mountain Man Lager Product Features : * Strong bear with a bitter taste due to high alcohol content. * Strong local brand association and high brand loyalty from middle aged men * Popular among low middle class men and blue collar males * Perceived image of a tough rugged drink and popularly known as “working man’s beer’ Problem Incurred * Company is facing declining sales at the rate of 2% annually since its inception * Restricted target market of 45+men Problem Statement analysis: Some of the possible reasons are : Environmental Factors | * Stringent federal excise tax rules * Changing demography into a much younger group | Competition | * Heavy competition from wine and other spirit based drinks * Competition from existing beer market | Consumer | * Increasing health concern * Newly developing personal responsibility | Changing drinking patterns | * With increasing youngsters into the demography...
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...Keurig 2.0 On a whim, shopping at Kohl’s , I purchased the Keurig 2.0 350k. Our old Keurig could brew our own coffee as well as the coffee K-cup packs and other non-branded k-cups that flood the market. Excited, I purchased the coffee filter that reads, “Solofill Filter Cup for Keurig 2.0,” in order to brew our own specialty coffee. When I returned home, I tried it out, but, the Solofill filter did not work. Consumers assume a new version of the old product is the same with improvements and when it is not the same the product, it is not a good buy and therefore, consumers lose trust and the company loses business. The Keurig 2.0 350k added a water filter and in addition, to making coffee by the cup, it also made coffee by the pot. These are excellent additions that appeal to the Keurig consumers and thoughtful marketing came into action from Green Mountain, the makers of the Keurig 2.0. Except, what they took away from the famous coffee maker disabled trust in the Keurig product, not only for the consumers, but also companies that produce other k-cup compatible coffees....
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...Mountain Man Brewing Company:Bringing the Brand to Light Market definition: American Beer Industry Market size: $75 billion industry Industry trends: y Over the previous six years, light beer sales in the United States had been growing at a compound annual rate of 4%, while traditional premium beer sales had declined annually by the same percentage. y U.S. per capita beer consumption had declined by 2.3%, largely due to competition from wine and spirits-based drinks, an increase in the federal excise tax, initiatives encouraging moderation and personal responsibility, and increasing health concerns. y Economies of scale of large national brewers. y Key consumer segment was younger drinkers (13%) who preferred light beer and accounted for 27% consumption. SWOT analysis Strengths Evidence Implications Market leader and established It had held the top market Strong brand awareness brand name. position among lagers in West motivates consumers to Virginia for almost 50 years. purchase Lager. Ability to leverage awards as ³American Champion Lager´. Strong brand equity Mountain Man Lager¶s distinctively bitter flavour and slightly higher thanaverage alcohol content that uniquely contributed to the company¶s brand equity Estimated cost of $10 million to $20 million in TV advertising. Mountain Man is able to leverage its brand equity and reputation to new products Weaknesses New brand extension will spread already thin resources of the company. Company does not have the budget to...
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...Green Mountain Coffee Roasters, Inc. (GMCR) Prepared For Gary L. Payne, MBA Sam Houston State University Prepared By Eric Robinson Fall Semester 2013 Part I History The coffee and tea manufacturing industry has become a $70 billion annual global sales commodity (First Research, Industry Overview). Business continues to boom and coffee manufacturers are able to broaden their revenues by reaching new segments and geographic areas through creative marketing initiatives. According to First Research (8/12/2013), the US US coffee and tea manufacturing industry includes about 300 companies with an annual combined revenue of almost $12 billion. That equates to less than one third of the global annual sales. With Starbucks corralling the majority of the upscale retail coffee consumers; Dunkin’ Donuts, the blue-collar, no-frills brand coffee drinker; Green Mountain Coffee Roasters (GMCR) went looking for a way to capture the self-serve specialty coffee consumer in North America and Canada. This customer tends to be a gourmet beverage drinker who doesn’t compromise on taste but likes quickness and convenience. The GMCR state of the art eCommerce portal allows customers to create the ultimate coffee experience in the home, in the office, and in food service environments. GMCR is so committed to the outstanding coffee experience that they purchase some of the highest quality Arabica beans available from the world’s coffee producing regions and match it with the appropriate...
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...Mountain Man Brewing Company | To: | Chris Prangel | From: | 001706975 | CC: | David Nasser | Date: | 3/4/2013 | Re: | Bringing the Brand to Light | Comments: | For the first time in the company’s history, Mountain Man Brewing Company is experiencing declining sales in response to changes in beer drinkers’ preferences. Mr. Prangel’s response to this problem is introducing a “light beer” form of the popular Lager. In the past six years, the “light beer” industry as increased at an annual rate of 4% while sales of traditional beer has been declining annually by 4%. Although this seems like a probable solution, there are two major problems Mr. Prangel is facing: 1.) Mountain Man’s current target market will not approve of this new beer, and 2.) bringing in a light version of the Mountain Man Lager could ruin the brand image and ultimately destroy the company. Mountain Man’s biggest target market currently, and pretty much since it started in 1925, is males ages 45-54. Most of these males are blue-collar, hardworking males. It has been known as “West Virginia’s Beer” known for its authenticity, quality and its toughness. To the younger beer drinkers, the market the light beer appeals to, view Mountain Man beer as too strong and a “working man’s” beer. Not only do the younger beer drinkers have their negative thoughts about Mountain Man developed, but the blue-collar customers account for a huge percentage of sales. The brand loyalty rate for Mountain Man Lager is 53% which...
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...Mountain Man Brewing Company’s Positioning in the East Central Market According to Alvin J. Silk, a positioning statement is designed to define who are a company’s customers, what set of needs does the product fulfill, and why is the product the best one to fill those needs (2006, p. 90). I found this question challenging because a positioning statement should define “the place the firm wishes to occupy in its’ target customers’ minds” (Silk, 2006, p. 90). In the case of MMBC, the definition of the target customer was under discussion. For purposes of the first question, I developed the following positioning statement based on what I believe was the historical perspective of MMBC. Mountain Man Brewing Company produces Mountain Man Lager; the most authentic regional beer for working class East Central Americans, among all premium domestic beers, because of its distinctive quality, bitter flavor, slightly higher than average alcohol content and competitive price (Abelli, 2007, pp. 2-3). This positioning statement would help MMBC to target its product toward the blue collar worker in the East Central region. While not specifically stated in the case, I believe Mountain Man Lager met the following needs of this target audience: a need to feel toughness, pride in an East Central quality product, and an affordable price. MMBC’s strategic focus on this target audience helped it to be successful in the highly competitive market for premium beers, even when other local brewers...
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...Breweries in Arizona http://arizonabeercompass.com/list-of-breweries-2/ 60 Current Breweries Different Brews: A Arizona Wilderness Brewing Co:12 B BJ’s: 22 Bad Water Brewing Company: 3 Barley Bros: 6 Barrio Brewing Co.: 9 Beast Brewing Co.: 4 Beaver Street Brewery: 8 Black Bridge Brewing: 5 Black Hole Beer Co.: 12 Borderlands Brewing Co.: 6 C Catalina Brewing Co.: 9 College Street Brewhouse & Pub: 8 D Desert Eagle Brewing Co.: 7 Devious Brewing Co.: 3 Dragoon Brewing Co.: 12 Dubina Brewing Co.: 6 E F Fate Brewing Co.: 6 Flagstaff Brewing Co.: 8 Four Peaks Brewing Co.: 8 Freak'N Brewing Co.: 9 G Gordon Biersch Brewery Restaurant: 5 Grand Canyon Brewing Co.: 14 Granite Mountain Brewing: 3 H Historic Brewing Company: 23 Huss Brewing Co.: 4 I Iron John's Brewing Company: 3 J K L Lumberyard Brewing Co.: 4 M Mother Brunch Brewing: 20 Mother Road Brewing Co.: 9 Mudshark Brewery: 10 N Nimbus Brewing Co.: 6 North Mountain Brewing Co.: 8 O O.H.S.O Eatery + nanoBrewery: 4 Oak Creek Brewery at Tlaquepaque: 9 Oak Creek Brewing Co.: 8 Old Bisbee Brewing Co.: 7 Old World Brewery: 8 Owl's Orchard Brewery: 6 P Papago Brewing Co.: 4 Peoria Artisan Brewery: 14 Phoenix Ale Brewery: 6 Pinetop Brewing Company: 5 Prescott Brewing Co.: 9 Prison Hill Brewing Co: 5 Pueblo Vida Brewing Co: 9 Q R Rock Bottom Brewery & Restaurant: 6 S SanTan Brewing Co.: 21 Sentinel Peak Brewing Co.: 8 Sleepy Dog Saloon & Brewery: 9 Sonoran Brewing Co.: 2 Sun Up Brewing Co.: 8 T Ten Fifty-Five Brewing Co.:...
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...Marketing Final Project Team 1 Ryan Marshall, Manuela Antonova, and Joshua Booth Mr. Coffee Smart Optimal Brew WeMo Enabled Marketing Plan Executive Summary A recent primary research survey has found that 70% of occasional coffee drinkers view the Mr. Coffee brand as an inferior or budget coffee brewing device that does not make a superior cup of coffee (Appendix, Opinion survey). Brands such as Keurig, Cuisinart, and DeLonghi inspire more thoughts of quality coffee than Mr. Coffee. Other consumers are opting to spend several dollars per cup of coffee at coffee houses such as Starbucks, Caribou Coffee, Dunkin Donuts, and even McDonalds (Appendix, Opinion survey). Mr. Coffee is a part of American iconography appearing in movies, books, and other arenas of pop culture. It appeared in loosely translated interpretations in the Back to the Future movie trilogy of the as 1980’s as “Mr. Fusion”, it was referenced in the TV show Seinfield, and in the title of the short story by Raymond Carver, “Mr. Coffee and Mr. Fixit.” According to a recently conducted survey Mr. Coffee was the most identifiable home coffee brewer. Brand recognition is not a problem in the current marketing environment. Mr. Coffee has many entries into the home coffee making market. Most of the devices are on the lower end of the price scale and easily obtained at every local big box store. These devices are sold alongside similar devices presented by direct competitors with very little differentiation. Recent...
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...Background Information Company History Keurig Inc. was originated in 1992 by Peter Gragone and John Sylvan. The company was constructed on the concept of coffee brewing systems, and their focus was to serve high quality, fresh coffee. Keurig's groundbreaking single cup brewing system, presented in 1998, allows people to brew the perfect cup of gourmet coffee in less than a minute, without having to grind beans, measure coffee, handle filters or clean up (The Keurig Story, 2013). In 2002, Green Mountain Coffee Roaster Inc., a Vermont company, paid $14.4 million for 41 percent of Keurig. Four years later, it purchased the remainder of Keurig, selling the brewers at a sensible price and creating money on the K-Cups, which only worked with Keurig machines (Purpose, Mission & Values, 2013) Green Mountain’s vales, which can be found on their website, are; We Partner for Mutual Success, We Innovate with Passion, We Play to Win and We Brew a Better World. In 2008, Keurig made it to the Forbes ‘200 Best Small Companies’ list, but 2011 was the pioneer year. From January to September, sales rose over three hundred percent. This was due to their K-cup agreements with Starbucks and Dunkin Donuts (Badenhausen & Settimi, 2011). Today, the corporation is a leader in specialty coffee and coffee makers, and is known for its award-winning coffees, innovative Keurig Single Cup brewing technology, and publicly respectable business practices. Green Mountain supports local and global communities...
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...Keurig in the Netherlands Table of Contents Review of the Netherland Market ……………………………………………………………2 Chart of Long and Short Distributions ………………………………………………………2 Introducing Keurig to the Netherlands ………………………………………………………3 Picture of Contrasting Keurig’s ……………………………………………………………...3 Bringing Keurig into the Netherlands …………………...................................................4 Conclusion …………………………………………………………………………………….5 Works Cited …………………………………………………………………………………...6 Review of the Netherland Market The Netherlands have an advanced free market economy and it is one of the top ten richest countries in the world. Currently the Netherlands hold an 849 billion gross domestic product that is currently growing at about two percent. The continued growth is mainly due to the increase in international trade, the largest engine of the Dutch economy (CIA). These figures make the Netherland’s market an optimal place to enter a business. Marketing and distributing in the Netherlands is much like marketing and distributing in the United States. I will use marketing techniques such as using my logo, products, and brand name to market my products on the internet, television, and through retail. To distribute my products, I will contact big box stores such as HEMA or Giant, which are department and grocery stores, to make deals with them to get my products on their shelves (Big). Local coffee shops that are in the Netherlands will be other sources I will contact...
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...Rochester Institute of Technology | Mountain Man Brewing Company: Bringing the Brand to Light | Advanced Corporate Financial Planning | Professor Testa 1/23/2012 | | | Shaun Levine Ranjan Maitra William Weintraub Taylor Wold Objective Complete a NPV analysis to see if Mountain Man Brewing Company should implement Mountain Man Light to its existing product lines: * SWOT Analysis on Mountain Man Lager * NPV analysis for Mountain Man Lager * NPV analysis for Mountain Man Light * NPV analysis on whole company * Strategic Options Background Guntar Prangel founded the Mountain Man Beer Company (MMBC) in 1925. Mr. Prangel had reformulated an old family brew recipe using a meticulous selection of rare, Bavarian hops and unusual strains of barley, resulting in flavorful, bitter-tasting beer which the Prangel family launched as Mountain Man Lager. By the 1960s, Mountain Man Lager’s reputation as a quality beer was well entrenched throughout the East Coast region of the United States. It was February 20, 2006, in the New River coal region of West Virginia. Chris Prangel, a recent MBA graduate, had returned home a year earlier to manage the marketing operations of the Mountain Man Beer Company, a family owned business he stood to inherit in five years, when...
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...Environmental Responsibility1 Although most of the companies frequently cited as examples of ethical and socially responsible firms are large corporations, it is the social responsibility initiatives of small businesses that often have the greatest impact on local communities and neighborhoods. These businesses create jobs and provide goods and services for customers in smaller markets that larger corporations often are not interested in serving. Moreover, they also contribute money, resources, and volunteer time to local causes. Their owners often serve as community and neighborhood leaders, and many choose to apply their skills and some of the fruits of their success to tackling local problems and issues that benefit everyone in the community. Managers and employees become role models for ethical and socially responsible actions. One such small business is the New Belgium Brewing Company, Inc., based in Fort Collins, Colorado. History of the New Belgium Brewing Company The idea for the New Belgium Brewing Company began with a bicycling trip through Belgium. Belgium is arguably the home of some of the world’s finest ales, some of which have been brewed for centuries in that country’s monasteries. As Jeff Lebesch, an American electrical engineer, cruised around that country on his fat-tired mountain bike, he wondered if he could produce such high-quality beers back home in Colorado. After acquiring the special strain of yeast used to brew Belgian-style ales, Lebesch returned home and...
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...Mountain Man Brewing Company (MMBC) is a single product brewing and local distribution company based in West Virginia. It was founded by Guntar Prangel who reformulated an old family brew recipe, resulting in a flavorful bitter tasting beer that was launched as Mountain Man Lager or West Virginia Beer. This signature product went on to claim a reputable market share for an independent family owned brewery, in the East Central region of United State by 1960s.The company developed a brand image and reputation among its core drinkers; the blue collars and middle to low income men over 45, while upholding the unique and authentic family business model based on quality. In 2005, MMBC was generating revenues of over $50 million and selling over 520,000...
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...Raw Materials Water The water used at Ninkasi Brewing Company comes directly from the local water source, which is the McKenzie River. The McKenzie River is considered one of the purest water sources in the world, which is why Ninkasi decided to place the brewery in Eugene. The McKenzie River comes from the runoff of the Cascade Mountains, and in the process experiences a natural volcanic filtration before arriving to Eugene. Because the McKenzie River is naturally filtered, the water that arrives in Eugene is low in certain minerals such as gypsum, limestone, magnesium, and salt. Most of the compounds that are filtered out make water less attractive for brewing, but since the water is low in these concentrations it is ideal for the brewing...
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...Problem: Mountain Man Brewing Company (MMBC) was founded in 1925 by Chris Prangel’s father with one flagship brew, Mountain Man Lager. For the first time in its history, the brewery is facing declining sales. In light of this decline, Chris Prangel, a second generation brewer, is considering launching Mountain Man Light beer. The light beer market has experienced a 4% annual growth over the past six years and represents an opportunity to boost sales by entering a previously untapped market. Background: MMBC relies on its core image of being a family owned, independent brewery. MMBC’s beer formula is associated with quality. The specialty hops and barley in Mr. Prangel’s recipe have added to MMBC’s reputation of superior quality in the East Central region. In particular, the hops used in this recipe create a “bitter” flavor, which differentiates it from their competition among other mass-produced beers. MMBC’s bottles take differentiation one step further; the lager is bottled in a dark brown glass with original images of 1925 of coal miners printed on the front label. Launch: If Prangel were to launch a new light beer under the MMBC brand name, the brewery would be able to capitalize on the Mountain Man Brewing label and reputation. MMBC’s core demographic—males between the ages of 45-64 years old—is shrinking. The growing consumer segment for beer consumption is younger drinkers between the ages of 21-27 years old, which accounts for over 27% of the total...
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