Much of what customers desire from their craft beer is similar to hard cider

Much of what customers desire from their craft beer

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Much of what customer’s desire from their craft beer is similar to hard cider and flavored malt beverages, customer’s still demand unique flavors and endless variety. What separates hard cider and FMB markets from craft beer is that consumers desire an alternative to beer’s strong and bold flavors, which is opening up new markets of people who want sweeter and softer tastes. This market is expanding rapidly and is cutting into the wine markets as well. "We've seen for years that Americans of legal drinking age are no longer only beer, wine, or liquor drinkers, instead they're trying a variety of alcoholic beverages. Their drinks of choice during the Super Bowl will likely be no exception, with consumers curious to try new craft beers, hard ciders, sparkling wine, and flavored liquors" (Mintel Releases Craft Beer Report, 2013). The BBC’s current and forecasted resources and capabilities have given the company the ability to implement a value-creating strategy that satisfies its very diverse customer needs. Their innovativeness, product modification and diversification give them exceptional ability to meet
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their customer’s desire for a variety of creative flavors. In circulation today there are over 60 types of Sam Adams beers, 11 types of Twisted Tea, 10 types of Angry Orchard, and 20 labels under A&S’s four brands (The Boston Beer Company, Inc. Annual Report, 2014). In addition, Boston Beer Company’s dedication to quality and value of its products enables the company to meet customer’s desire for premium drinks with better taste. The emphasis on the taste shows in their endless pursuit of having the freshest beer on the market through the “Freshest Beer Program”. The Boston Beer Company's target market segment information shows that they are implementing a broad market differentiation strategy. The company does not look to pursue cost leadership, instead they focus on a competitive pricing strategy, differentiating their products through innovation, and quality. In a recent Bloomberg interview Boston Beer Founder Jim Koch said he produces beer for the 5-10% of beer drinkers that want something special and he has no desire or plan to take on the bigger beer produce in the industry (Koch, 2014). SWOT Strength A few things that the Boston Beer Company does very well within their company that allows them to be as successful as they are is they dominate the market with their strong brand portfolio and they have the capabilities for in house production. The Boston Beer Company is the second largest craft brewer in the U.S. They have won over 440 awards and medals in various categories for many of their craft beers. Their success with many different types of beer allows them to build upon their brand name and become known for more than their larger. To go along with their strong brand portfolio, brewing their own beers in-house is a great strength for the
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Boston Beer Company. They manufacture 95% of their core products at company owned breweries (The Boston Beer Company, Inc. Annual Report, 2014).
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  • Spring '15
  • CatherinePratt
  • Business, The American, The Boston Beer Company, Boston Beer Company, Boston Beer, Boston Beer Company, Inc

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