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Marketing Plan

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  • 1. MARKETING PLAN Nymburk brewery© CEDUK - 2011
  • 2. A marketing plan is very important part of any company business plan. Our MKT plan wecompiled as a well-written document containing specific and absolutely concrete strategy andactions. We reduced theoretical excess and concentrated only in practical detail oriented way howto penetrate German beer market. Postřižiny brewery in Nymburk1. Basic information of the company Name: Nymburk Brewery, Limited Liability Company Address: Pražská 581 288 25 Nymburk Czech Republic Company owner&director: Pavel Benák (100%) Articles: - goods purchase in order to its sale and goods sale - beer and malt production - molasses, non-alcoholic and special beverages production - pasturage and pasturage mixture production Nymburk Brewery, LLC, is a local brewery of middle size with a long history. It was found in 1785. People in the Czech Republic became aware of the brewery thanks to the close connection with the famous writer Bohumil Hrabal, who lived here from 1919 to 1947 and who wrote a book “Postriziny” based on the stay here. The book was cinematized by the famous director Jiri Menzl. -2-
  • 3. 1.1 Mission„Our Postřižinské beer, a drink for everyone” Main objective: To sell the maximum number of bottles on the German market, that means by the end of year the 2012, increase export to Germany to 30 thousand hl. Exports will include Gold Bohemia Beer - 330 ml, Nymburk Can - 0.5 liter, Gold Bohemia Beer - 330 ml (6 pack). Customers are median incomes and low incomes. Brewery Postřižiny is located in the southern part of the town of Nymburk, 40 km from Prague. It is medium-sized brewery. The brewery was founded by Imperial and Royal decree at the 29 April 1895, brewing in the city has a long tradition. Postřižinský brewery is linked to the writer Bohumil Hrabal, and is immortalized in the film by Jiri Menzel Postřižiny based on Hrabal‟s novel. There is own beer shop in the brewery building The brewery regularly organizes various events (Den otevřených dveří, Postřižinský Express, Hrabalovo Kersko,...) -3-
  • 4. 2. Situation at our markets The brewery was successful to maintenance positions and to increase sale in the local area. The beer was supplied into Norma chain. The main exportable country was Germany (74.6% of the whole export), Sweden (11.4% of the whole export) and France (9.7% of the whole export). Other exportable countries were Denmark, Romania and newly Finland and Russia. In 2009 the company was successful to maintenance positions in chain supermarkets such as Penny Market, COOP Centrum, Ahold, Plus Discount, Norma, Billa and Kaufland.2.1 Our customers Prevailing customers are: local people (in particular men between 30 and 60), who buy the the beer in the company shop, other small shops, fairs and other events chain supermarkets foreign customers 4
  • 5. 2.2 SWOT analysis [S] Strengts [W] Weakness - long tradition (116 years) - Seasonal annual production of beer (since - expori experience 1990 without a significant increase) - long partnership with Czech multiple - a small percenatge interest on the Czech chain stores market - broad beer portfolio (8 sort) - Net profit in the year 2009 only 401 - longlasting volume production thousand. CZK (500% decrease - literally famous brewery compared to 2007) - innovated production technology - 1 revolving loan and 1 medium-term loan - non foreign capital, 100% domestic - weak promotional activities capital - insufficient monitoring of current trends - well-content and motivated staff and responsing on them - 37 beer awards and evaluations in the last - absence of non-alcoholic beer 10 years - strong know-how - open and friendly to customers, partners and very good Public Relation [O] Opportunities [T] Threats - slowdown of competitive business - price cuts by competitors - depreceation of primary commodities - change in legislation - consumer increase of beer per year - reduce the consumption of beer - modern production technology - new competitors on market2.3 Competition Competition for Nymburk Brewery are big supra-national breweries more than local ones which produce special beer. That´s why Nymburk Brewery focuses on the local consumers, tries to put its products through big supermarket chains in the surroundings and seeks new consumers abroad. Nymburk Brewery introduces now unusual beer flavours for its consumers by implementing new technologies (pasteurized, non-pasteurized beer, lager, dark beer), adding different new flavours made of exotic substances. The brewery leadership constantly follows and evaluates competitors´assortment and price politics. The biggest competitors are big Czech breweries (Pilsen and Budweiser) and international firms producing beer of good quality. 5
  • 6. 2.4 Marketing research results – outcome The annual beer consumption is 106 liters per person, total 93 mio hl. In Germany, drink beer almost 70% of the population. 54% of Germans drink beer at least several times a week and prefer bottled beer. However, three quarters prefer only one brand and the same number of Germans prefer domestic brands. Imported beer must take, such as traditional manufacturing, labeling, etc.3. German beer market There are about 60 domestic beers brands in Germany. Direct competitors are imported beers, from czech Budvar, Breznak and Pilsner Urquell, from foreign are especially Guinness and Carlsberg. Indirect competitors are domestic beer production in the low/medium price range. 6
  • 7. 4. Marketing mix4.1 ProductThe company brews 6 kinds of lager, 2 kinds of dark beer and special kinds of beer: Types of beer Doktorova 8° Postřižinské výčepní Pepinova desítka Tmavý ležák Postřižinské pivo 11% Francinův ležák Něžný Barbar Bogan Gold Bohemia Beer Nymburk Lager Beer It is sold under the name “Postrizinske pivo” in the domestic market and under the registered marks “Gold Bohemia Beer” and “Nymburk Lager Beer” for export. Beer is tapped into 30 and 50 l barrels, 0.33 and 0.5 l bottles and into tanks. The beer has got durability from 30 days up to 1 year according to the way of manufacturing and final preparation. For 116 years Misters Brewers have been evolving and tasting delicious, sweet-bitter balanced beer . Gustatory sense is harmonious, gently sparkling, honey-gold colour with rich and creamy foam. The biggest volume on business takes Bohemia Goldbeer, that is the product we mostly concentrate our Marketing Plan. So we suggest to enter German market exactly with this beer. There is a well supplied market in Germany that is going to be penetrated by our Bohemia Gold Beer 330 ml and interesting economical pack „six pack“. 7
  • 8. Wrapping beer production 2009 in hl (bottle, barrel, tin) 114 043120000100000 80000 60000 40000 22 563 12 000 20000 0 bottle cask can Sort variety production (draught beer, lager, light, special) 96 013100000 90000 80000 70000 60000 50000 39 273 40000 30000 20000 12 815 10000 505 0 normal lager light special 8
  • 9. 4.2 Distribution We made an analysis and decided that most suitable for distribution will be Gold Bohemia Beer, and Nymburk CAN. We are aware of a wide range of chain stores (Penny Market, COOP, Ahold, Norma, Aldi, Metro, Lidl), The most important question are listing fees – it means extra fees of inclusion product to the offer At the place where the product will be sold (in a particular trade chain) will be located sales support items (leaflets, POS and POP materials). Before selling we will provide training to chain store managers, promotional materials, tasting, samples, support and service. Direct distribution channels (dealers, own beer shop, restaurants) Indirect distribution channels (Penny Market, COOP, Ahold, Norma, Aldi, Metro, Lidl) Beer which is going to be exported is treated by special technologies to longer its shelf life. So the final price is increased. 9
  • 10. 4.3 Economic indicators and priceThe table of selected economic indicators: (in thousands €)Indicator year 2007 2008 2009Turnover 4 709 4 203 4 722Own capital 572 168 604Sales of products 4 438 4 055 4 522Value 1 113 1104 4 522Profit for the period 82 16 16Wages costs 710 684 711Bank loans 400 620 566Number of employees 90 88 87Average wage 671 654 667 From the foregoing, there we can see, the company has long-term profits, is able to meet its obligations, and has a highly liquid asset. Data for 2010 are not yet available, because czech economic year closes to 31th of March or 30th of June the following year.4.3.1 Price Estimated price of 0,33 l Bohemia Gold Beer is about 0,45 – 0,50 € Estimated price of 6 pack 0,33 l Bohemia Gold Beer is about 2,5 – 3 €4.3.2 Financial status The brewery is financed from its own sources and bank credits. The brewery carries out financial analyses with the help of ratio index and in the bases of it the board decides how to handle the sources 10
  • 11. 4.3.3 Analysis of profitability 18 16 14 12 10 8 a) Return of sales 6 b) Return of costs 4 c) ROA - Return on Assets 2 d) ROE - Return on Eqity 0 e) ROI - Return on Investment 2006 2007 20084.3.4 Profit analysis 6000 5000 EAT - earnings after taxis 4000 3000 EBIT - earning before interest and taxis 2000 EBITDA - earning before 1000 interest, taxis and depreciation 0 2006 2007 2008 11
  • 12. 4.4 Promotion and communication How is the selling of the product arranged? Personal selling (dealers) Customer contacts (marketing data – e-mail, mobile phone) Retail Wholesaler4.4.1 Advertising Radio spots Billboards Internet (Homepage, banners, PPC, Facebook, twitter, PR, viral movies) Use of well-known writer„s name (Bohumil Hrabal) and his masterpiece (Postriziny) which was cinematized for promoting beer on the labels and promotion materials4.4.2 Promotion and sales Fairs and exhibitions home and abroad Taking part in quality food product competition Beer days (tasting beer, contests, samples) Mats, tablecloths, umbrellas, mugs with logo Tastings are always made to the public free of charge and are designed primarily to get new products into the public consciousness, people familiar with the national or regional specialties and of course the mapping of the response of recipients to that product. Tastings are a popular and very effective part of advertising campaigns. 12
  • 13. 4.4.3 How to promote Postřižiny beer in German market – summary Homepage link on retail web pages (lidl.de, norma.de etc.) Leaflets Radio in store – trailer, for example: „neues Tschechisches Beer aus Nymburk“ Trailers at the place, where the products are sold – drinks and beer department (POS, POP materials) Boot actions and repetitiv actions for example: Christmas, Valentines Day, Easter, 2+1, 3+1competition for a weekend in the Czech republic once a year PR article with the introduction of a product and company in the German gourmet magazine (Apetit, Gourmet, etc) Press conference (invite the target group of professional journalists and ifluential people 13

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