Budweiser – The Way Forward
Team 24
OutlineTeam 241 Recommendations4 Ideation and Execution2 Industry Analysis53 Strategy FormulationStrategy Evaluation
Recommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluationTeam 24Recommendations Leverag...
Industry AnalysisTeam 24Strengths : 146 years of rich tradition and heritage Iconic American brand, with well-establishe...
Industry AnalysisTeam 24Opportunities : Resurgence in vintage movement and popular culture Highly fragmented market with...
Team 24Industry AnalysisPorter’s 5 Forces AnalysisThreat of new entry1. Microbreweries2. High capital expense requiredto c...
Team 24Industry Analysis Opportunity to increase market shareAnheuser-BuschInBev48%MillerCoors30%Others22%Sub-premium31%P...
Industry AnalysisActivity Systems MapStrongheritageandtraditionWell-recognizedbrandIconicStrongdistributionnetworkProduced...
Strategy FormulationTeam 24> Consumer behaviors and trends drive business strategy Growing marketing trend toward vintage...
Strategy FormulationTeam 24> Consumer behaviors and trends drive business strategy Draws on Strengths Iconic, Heritage ...
Strategy FormulationTeam 24SWOTAnalysisPorter’s 5Forces AnalysisMarketevaluationConsumptionbehaviors and trendsLeverage Bu...
Team 24Ideation and ExecutionStrategy 1: Leverage Budweiser’s heritage to re-brand BudweiserVintage brand• Can Label• Tap ...
Team 24Strategy EvaluationInternal consistencyStrategy 1: Leverage Budweiser’s heritage to re-brand BudweiserCapitalize on...
Strategy FormulationTeam 24SWOTAnalysisPorter’s 5Forces AnalysisMarketevaluationConsumptionbehaviors and trendsLaunch new ...
Ideation and ExecutionStrategy 2: Introduce new “Premium-High End” product variant• New product name and recipe• Available...
Team 24Strategy EvaluationInternal consistencyStrategy 2: Introduce new product variant targeted at a hybrid “Premium-High...
Team 24Recommendations1. Leverage heritage and tradition of Budweiser to re-brand Budweiser as the beer that offers the cl...
Performance Assessment & Risk MitigationPerformance Assessment 1. To review performance of strategieson semiannual basis...
Budweiser Presentation
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Budweiser Presentation

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This was a project that my team - which I am very proud of - did for a business school case competition. I took charge of conceptualizing, designing and producing the final deck of slides for presentation to our client from AB-InBev -- all within 24 hours! We delivered a great presentation and impressed the judges enough to achieve an outstanding team score. I hope you will enjoy viewing the slides as much as I did putting them together. And, if you ever find yourself in need of help to put together a professional slide presentation, remember to reach out to me -- I'd be more than happy to lend my expertise !

p.s. Thanks for the love, everyone. I'm excited to see my slides go viral within a day! Great if you could post your comments on this wall or email to francisfoo@wustl.edu.

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  • Hi, It is a great output in this category, so it would be your kind if send me your precious presentation: amir_eshraghe@yahoo.com, kind regards
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  • Hi Francisfoo,

    Can you please email me the presentation. My email id is faizsm2004@yahoo.com
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  • I like that you like my presentation ! Thanks for your support, Shayan. I'm encouraged to upload more of my works...soon!
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  • I'm glad you like the presentation, Benoît ! Thanks : )
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Transcript of "Budweiser Presentation"

  1. 1. Budweiser – The Way Forward
  2. 2. Team 24
  3. 3. OutlineTeam 241 Recommendations4 Ideation and Execution2 Industry Analysis53 Strategy FormulationStrategy Evaluation
  4. 4. Recommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluationTeam 24Recommendations Leverage heritage and tradition of Budweiser tore-brand Budweiser as the beer that offers theclassic American drinking experience Introduce new product variant targeted at ahybrid “Premium-High end” segment
  5. 5. Industry AnalysisTeam 24Strengths : 146 years of rich tradition and heritage Iconic American brand, with well-established reputation Strong brand equity Produced and marketed by AB InBev A globally known brand Higher perceived quality than Sub-premium & Premium Light; more comparable to high-endWeakness : Weak brand loyalty Lacks appeal to the millennial generation Sticky brand image Diluted image due to foreign ownershipRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  6. 6. Industry AnalysisTeam 24Opportunities : Resurgence in vintage movement and popular culture Highly fragmented market with numerous small players Huge untapped overseas market, where Budweiser enjoys a strong brand reputation Dynamic demographical shiftsThreats : Consumer preference for light and craft beers Threat from wine and hard liquor Relatively lower perceived quality with mass productionRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  7. 7. Team 24Industry AnalysisPorter’s 5 Forces AnalysisThreat of new entry1. Microbreweries2. High capital expense requiredto compete effectively on anational scale.Rivalry among existing competitors1. Highly fragmented market withcompetition from small players2. Stiff competition across categoriesfrom premium light to high-end beerThreat of substitutes1. Many substitutes includingwine, home brewing andhard liqueur.Bargaining power of suppliers1. Easy to switch betweensuppliersBargaining power ofcustomers1. Wide variety of beerto choose from2. Consumers eager totry new varieties ofbeerLow threatModerate threatHigh threatRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  8. 8. Team 24Industry Analysis Opportunity to increase market shareAnheuser-BuschInBev48%MillerCoors30%Others22%Sub-premium31%PremiumLight37%High End17%PremiumRegular15%Budweiser ~ 7.6% shareU.S Beer Market Segmentation by categoryRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  9. 9. Industry AnalysisActivity Systems MapStrongheritageandtraditionWell-recognizedbrandIconicStrongdistributionnetworkProduced byAB InBevGlobalPresenceAdvertisingcampaignsProfessionalmarketingteamEstablishedmanufacturingprocessStrong brandbuilding toolsTop globalbreweryRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  10. 10. Strategy FormulationTeam 24> Consumer behaviors and trends drive business strategy Growing marketing trend toward vintage (Wall Street Journal) Authentic, Time-tested, OriginalObservations:Precedence: Many companies have successfully gone vintage with their flagship brands Pepsico - Pepsi, Hostess - Twinkies, General Mills – Cheerios Lessons from PepsiRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  11. 11. Strategy FormulationTeam 24> Consumer behaviors and trends drive business strategy Draws on Strengths Iconic, Heritage Engages Millenial Generation without compromising their loyal customer base Fosters consumer-generated marketing supportWhy this strategy works for Budweiser:“Classic American Drinking Experience”Recommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  12. 12. Strategy FormulationTeam 24SWOTAnalysisPorter’s 5Forces AnalysisMarketevaluationConsumptionbehaviors and trendsLeverage Budweiser’s heritage to re-brandBudweiser to reach out to non AB InBev“Sub-Premium” and Premium (19%)consumers1Recommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  13. 13. Team 24Ideation and ExecutionStrategy 1: Leverage Budweiser’s heritage to re-brand BudweiserVintage brand• Can Label• Tap DesignSell beer in cans at targeted bars• Local establishments• Metropolitan citiesNon-traditional, understated advertising• All-American Beer Paraphernalia• Traditional print ads• Sponsor targeted eventsProductPricingPromotionPlacementPrice to remain unchanged Signal to current Premium consumers that product has notchangedRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  14. 14. Team 24Strategy EvaluationInternal consistencyStrategy 1: Leverage Budweiser’s heritage to re-brand BudweiserCapitalize on popular vintage trend without alienating currentdrinkersDynamic consistencyLeverage brand association with tradition, heritage, andauthenticityExternal consistencyUnrivaled credibility due to number of years in businessRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  15. 15. Strategy FormulationTeam 24SWOTAnalysisPorter’s 5Forces AnalysisMarketevaluationConsumptionbehaviors and trendsLaunch new hybrid “Premium-High End”product variant targeted at consumers in“Premium-High End” (15.8%) categories2Recommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  16. 16. Ideation and ExecutionStrategy 2: Introduce new “Premium-High End” product variant• New product name and recipe• Available at select high-end pubs and bars for onsiteconsumption only• Market to high-end bars and pubs• Celebrity association in a non-intrusive, subtle way• Targeted print advertising for niche consumer segments• Community engagementProductPricingPromotionPlacement• Price at 130 of indexTeam 24Recommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  17. 17. Team 24Strategy EvaluationInternal consistencyStrategy 2: Introduce new product variant targeted at a hybrid “Premium-High End” segmentCaters to needs of consumers with unique tastes and apreference for a beer that matches their societal statusDynamic consistencyLeverages AB InBev’s brand building and managementexperience while reinforcing market leadership positionExternal consistencyGrowing demand for high-end beer in a highly fragmentedcategory and an increasing sophistication of consumersRecommendations Industry AnalysisStrategyFormulationIdeation andExecutionStrategyEvaluation
  18. 18. Team 24Recommendations1. Leverage heritage and tradition of Budweiser to re-brand Budweiser as the beer that offers the classicAmerican drinking experience1. Introduce new product variant targeted at a hybrid“Premium-High End” segment
  19. 19. Performance Assessment & Risk MitigationPerformance Assessment 1. To review performance of strategieson semiannual basis 2. Conduct brand audit to monitorperformanceGoals of Strategies Stabilize performance of Budweiser Contribute to AB InBev’s growthRecommendations Industry AnalysisStrategyFormulationand EvaluationIdeation andExecutionPerformanceAssessment & RiskMitigationRisk Mitigation Potential cannibalization to be expected May need to alter promotion strategies inresponse to consumer reaction Ensure strategies are well integrated Harness power of social media judiciously

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