Essay New Belgium Brewing Marketing Strategy to Expand

2400 Words Jul 30th, 2011 10 Pages
BA 580

June 28, 2011

New Belgium Brewing
Case Study Analysis

New Belgium brewery has increasingly grew throughout the years since their development in 1991. Despite the dominance of the “Big Three” (Budweiser, Miller, and Coors), NBB needs to be aggressive and strive to invest in the attractive beer industry in able to grow more. If positioned correctly, NBB and its main brand, Fat Tire, can continually grow. An evaluation of the industry, the business itself, its brands, and the customers and competitors is needed in order to be continuously successful. The brewing industry can be characterized by Porter’s Five Forces framework. New entries to brewing have a relative ease in creating home micro-breweries, which is aided by
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Because the culture and values are already entrenched in the Colorado brewery, the New Belgium culture would be more easily maintained there without the founders being present. Then the founders could personally oversee the implementation of the culture in the new branch. The market positioning of a product is characterized by its pricing, quality, service, distribution, and packaging. For the Fat Tire Ale is the flagship beer of the New Belgium Brewery. It is priced competitively with other specialty beers in the industry, with a bottled 12-pack sold for $13.99. This makes it less expensive than imported beers, but more expensive than mass-produced products of the Big Three. New Belgium considers it “one of the most affordable luxuries around”. This also implies that the quality of Fat Tire is superior to its competition. New Belgium assures the quality of its beers by using suppliers who meet their expectation according to the criteria of quality, sustainable practices of the company, supplier support and price. Having these expectations ensure that the highest quality materials are used to go into their brands, Fat Tire included. Service-wise, they do not ship beers to individual vendors, but only to distributors and retailers of beers. The sustainability practice of New Belgium illustrates how they serve their community and the environment, which then appeals to community-conscious

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