Financial Positon & Value of Lagunitas Brewing Company Earlier this year, Heineken invested in a 50 percent stake in Lagunitas Brewing Company, making the financial position and value of the company very strong and powerful. Heineken, established in 1864, is one of the leading brewers and marketers of premium beer. Lagunitas is the fifth largest brewing company in the United States and Heineken is the third largest brewery in the world. This helps the future of Lagunitas tremendously because this will allow Lagunitas to export their craft beers globally. Lagunitas will continue to operate independently in the US with many of the same leadership and staff, same brewers, recipes, and same suppliers and distributors helping to drive the brand
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It was he who went to Heineken, not the other way around. Many big breweries get approached by these larger dominant beer companies and have a chance to expand but the circumstances aren’t always the same. For example, in 2011 Chicago’s very own Goose Island Brewery was purchased by Anheuser-Busch and not many people were happy with this. Maintaining customers and good quality product go hand in hand and acquisitions and partnerships tend to be looked down upon. Many fear that the quality will go down and being a “sellout” to big corporations will make changes. This isn’t always the case. As with Goose Island, most of these breweries get very little direction from their parent companies and often continue to work independently with more resources and capital. Magee intends for this to be the same case. He aims to keep Lagunitas as authentic as ever. He even defends Heineken as not being like “the other big guys”. Heineken’s success is due to the company’s ability to be young, fresh and hip, much like Lagunitas. Heineken is a master marketer and the corporate culture will work well with Tony Magee and Lagunitas. Many of Lagunitas fans are loyal to the brand because of its authenticity. From its small start in Petaluma, California to its recent expansion in Chicago, the …show more content…
It is a hard thing to capture due to the always evolving beer industry. Breweries are building every day with track records higher than ever before. We are seeing a very flooded market with beer fans with no specific loyalty to any particular brands. Nowadays everyone wants the best and wants to try the latest and greatest which is why the craft beer market is so successful. There are many opportunities to capture this demand but it is also hard to keep up with innovative ideas and recipes. Many people like to sample different beers and with constant growth in this ever changing market, it is often hard to keep up and choose because you want to try them all! As a result, many breweries have to come up new tactics to keep customers coming and engaged and this also means they have to constantly change their beers. People in the beer industry have come to view the craft beer drinker as a person who is not brand loyal. “According to a Nielsen report issued this year, 53% of beer consumers ages 21 to 34 cite local production as important in choosing what beer they buy, compared with just 45% among all drinkers over 21. Among those same 21- to 34-year-olds, 32% say locally produced beer has only become more important to them over the past few years, compared with just 22% of all 21-and-over beer drinkers who've reached the same conclusion.” Many breweries look for a beer that will grow and need this balanced
It was he who went to Heineken, not the other way around. Many big breweries get approached by these larger dominant beer companies and have a chance to expand but the circumstances aren’t always the same. For example, in 2011 Chicago’s very own Goose Island Brewery was purchased by Anheuser-Busch and not many people were happy with this. Maintaining customers and good quality product go hand in hand and acquisitions and partnerships tend to be looked down upon. Many fear that the quality will go down and being a “sellout” to big corporations will make changes. This isn’t always the case. As with Goose Island, most of these breweries get very little direction from their parent companies and often continue to work independently with more resources and capital. Magee intends for this to be the same case. He aims to keep Lagunitas as authentic as ever. He even defends Heineken as not being like “the other big guys”. Heineken’s success is due to the company’s ability to be young, fresh and hip, much like Lagunitas. Heineken is a master marketer and the corporate culture will work well with Tony Magee and Lagunitas. Many of Lagunitas fans are loyal to the brand because of its authenticity. From its small start in Petaluma, California to its recent expansion in Chicago, the …show more content…
It is a hard thing to capture due to the always evolving beer industry. Breweries are building every day with track records higher than ever before. We are seeing a very flooded market with beer fans with no specific loyalty to any particular brands. Nowadays everyone wants the best and wants to try the latest and greatest which is why the craft beer market is so successful. There are many opportunities to capture this demand but it is also hard to keep up with innovative ideas and recipes. Many people like to sample different beers and with constant growth in this ever changing market, it is often hard to keep up and choose because you want to try them all! As a result, many breweries have to come up new tactics to keep customers coming and engaged and this also means they have to constantly change their beers. People in the beer industry have come to view the craft beer drinker as a person who is not brand loyal. “According to a Nielsen report issued this year, 53% of beer consumers ages 21 to 34 cite local production as important in choosing what beer they buy, compared with just 45% among all drinkers over 21. Among those same 21- to 34-year-olds, 32% say locally produced beer has only become more important to them over the past few years, compared with just 22% of all 21-and-over beer drinkers who've reached the same conclusion.” Many breweries look for a beer that will grow and need this balanced