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CHETAN PADME 10393059
PAVAN PARDESHI 10380700
BHUSHAN CHAUDHARI 10517074
1
ALEXANDER RID – FARMER &
TEACHER
FOUNDED ‘ELCHIES DISTILLARY’.
1824
CHANGED NAME TO “THE
MACALLANS”
SHIFTED FOCUS ON PRODUCING
SINGLE MALT PREMIUM WHISKEY
RATHER THAN WHISKEY FOR
BLENDING
1980
BECAME PART OF EDRINGTON
GROUP
WITH OVERALL MARKET 5% SHARE
BECAME ONE OF THE LARGEST
AND MOST FAMOUS DISTILLERY IN
SCOTLAND
1999
RECOGNIZED AS ICONIC LUXURY
BRAND WITH TRADITIONAL VALUE
RENOUNCED FOR ITS EXCEPTIONAL
QUALITY CASK WHICH PRODUCED
RICH AND ROUNDED FLAVORS
NO1 BEST SELLER IN UK
& 5TH IN THE WORLD
2019
2
1970
WHISKEY SHORTAGE
CAME TO ATTENTION
INCREASED CONSUMER
AWARENESS AND
GLOBAL HYPE
1990
COUNTERFEIT SCANDAL
LACK OF SUPPLY CHAIN
FLEXIBILITY &
PRODUCTION VOLUME
AVAILABLE
SLOW ACCEPTANCE
OF NEW NAS PRODUCT
LINE
CAPITAL TO MAINTAIN
LONG TERM STOCK
3
INTRODUCED NAS MALT TO MEET
GROWING TRAVEL RETAIL MARKET.
2009
RELEASED LIMITED EDITION OSCURO –
EXPENDED THE RANGED TRAVEL RETAIL
PRODUCT
2010
RELEASED LIMITED EDITION MASTERS
SERIES
MMXI AND MMXII
2011–2012
INVESTED 100 MILLION £ IN
CONSTRUCTION OF NEW DISTILLARY
WHICH WILL INCREASE THE PRODUCTION
CAPACITY 4 TIMES WITH EXPECTED
COMPLITION IN 2018
2012
REGIONAL MANAGEMENT HUB
IN SINGAPORE, ASIA (CHANGE
TO BUSINESS MODEL)
2015
4
ECONOMICAL
INCREASED DISPOSABLE INCOME
SOCIO CULTURE
POPULATION GROWTH,
AGE DISTRIBUTION & LIFESTYLE
ATTITUDE
LEGEL
COPYRIGHT AND PATENT LAW
TRADE REGULATIONS
5
AGED BRANDED
COMMUNICATION FOR
AUCTION AND RETAIL
NAS FOR TRAVEL AND RETAIL
IN AMERICA- AGE BRANDED
AND NAS WAS SOLD
THROUGH RETAIL, ONLINE AND
AUCTION
IN ASIA- SIMILAR STRATEGY
WAS APPLIED AS IN AMERICA
BUT AUCTION PLAYED BIGGEST
ROLE
IN EUROPE, AFRICA AND
MIDDLE EAST- NAS WAS
MAINLY SOLD IN TRAVEL RETAIL
AND RETAIL
BUT AGE LAID PRODUCTS
YOUNGER THAN 17 YEARS WAS
LESS WIDELY AVAILABLE WHERE
YOUNGER WHISKY WAS
REPLACED BY NAS
6
IN 2012, NOTING
ACCEPTANCE IN TRAVEL
RETAIL MARKET AS WELL
AS GROWING DEMAND
AND VIRTUALLY NO
SUPPLY CHAIN
FLEXIBILITY
BOLD MOVE
INTRODUCED “1824
SERIES” NAS IN
CONVENTIONAL RETAIL
MARKET SHIFT WAS
INCREMENTAL IN TOP
MARKETS (USA AND ASIA)
SURPRISED: REPLACED
TRADITIONAL AGE
BRANDED MARKETING
IN THE REST OF THE
WORLD
AFTER THE CHANGE
YOUNGER AGE
BRANDED SINGLE MALT
AVAILABLE IN EUROPE
PROVIDED TO BE AT
LEAST 18 YEARS
IN THIS ABSENCE OF
AGE INDICTOR,
COMPANY INTRODUCED
COLOR AS NEW SIGN OF
QUALITY
BRANDING OF ITS NEW
PRODUCT LIST: GOLD
AMBER SIENNA RUBY
CHALLENGE: TO
CONSUMERS
SUFFICIENTLY ABOUT
COLOR AND LINK TO
QUALITY WHICH
THAN AGE
7
THE SOCIAL CULTURE:
DIFFERENT AGE GROUP AND
PREFERENCES.
SUPPLY CHAIN MANAGEMENT:
AVAILABLITY OF PRODUCTS
MARKET REACH: MARKETING
STRATEGY
PORTFOLIO OF COMPANY:
QUALITY AND DYNAMIC
PRODUCTS
8
STRENGTH WEAKNESS
SUITABLE PRODUCTION ENVIRONMENT &
CAPABILITIES,
CULTURAL HERRITAGE(RICH COLOR AND
TASTE)
MARKET REACH.
SHORTAGE OF AGE BRANDED PRODUCTS,
TIMELY RESPONSE ISSUES IS
SIGNIFICANTLY LARGE.
OPPORTUNITY THREAT
TECHOLOGICAL CHANGE,
NEW PRODUCT LINES,
SUPPLYCHAIN IMPROVMENTS.
COUNTERFEIT PRODUCTS,
CULTURAL CHANGE,
NEW ENTRANTS LIKE BOURBON WHISKEY.
9
10
IMPROVED PRODUCT
PORTFOLIO
NEW DISTILLERY AND
WEARHOUSE
ISSUE DUE TO
PRODUCTION CYCLE
CONSUMPTION CYCLE
INCREASED PRODUCT
PRICES, REVENUES AND
HENCE PROFIT
11
LOW – Threat of New Entrants
HIGH - Rivalry among existing
HIGH - Threat of Substitute Products
HIGH – Bargaining Power of Suppliers
LOW – Bargaining Power of BUYER.
IMPROVEMENT IN MARKET SHARE AGGRESSIVE MARKETING
12
ANOTHER LIMITED EDITION TO KEEP THINGS
INTERESTING
ENTIRE DIFFERENT PRODUCT LINE TO ADD VALUE
PORTFOLIO
STRATEGIES WHICH ARE SUCCESSFUL IN OTHER
MARKETS LIKE REGIONAL MANAGEMENT HUB
MARKETING VIA ASSOCIATIONS AND THROUGH
DIGITAL MEDIUM
13
14

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The macallan business strategy

  • 1. CHETAN PADME 10393059 PAVAN PARDESHI 10380700 BHUSHAN CHAUDHARI 10517074 1
  • 2. ALEXANDER RID – FARMER & TEACHER FOUNDED ‘ELCHIES DISTILLARY’. 1824 CHANGED NAME TO “THE MACALLANS” SHIFTED FOCUS ON PRODUCING SINGLE MALT PREMIUM WHISKEY RATHER THAN WHISKEY FOR BLENDING 1980 BECAME PART OF EDRINGTON GROUP WITH OVERALL MARKET 5% SHARE BECAME ONE OF THE LARGEST AND MOST FAMOUS DISTILLERY IN SCOTLAND 1999 RECOGNIZED AS ICONIC LUXURY BRAND WITH TRADITIONAL VALUE RENOUNCED FOR ITS EXCEPTIONAL QUALITY CASK WHICH PRODUCED RICH AND ROUNDED FLAVORS NO1 BEST SELLER IN UK & 5TH IN THE WORLD 2019 2
  • 3. 1970 WHISKEY SHORTAGE CAME TO ATTENTION INCREASED CONSUMER AWARENESS AND GLOBAL HYPE 1990 COUNTERFEIT SCANDAL LACK OF SUPPLY CHAIN FLEXIBILITY & PRODUCTION VOLUME AVAILABLE SLOW ACCEPTANCE OF NEW NAS PRODUCT LINE CAPITAL TO MAINTAIN LONG TERM STOCK 3
  • 4. INTRODUCED NAS MALT TO MEET GROWING TRAVEL RETAIL MARKET. 2009 RELEASED LIMITED EDITION OSCURO – EXPENDED THE RANGED TRAVEL RETAIL PRODUCT 2010 RELEASED LIMITED EDITION MASTERS SERIES MMXI AND MMXII 2011–2012 INVESTED 100 MILLION £ IN CONSTRUCTION OF NEW DISTILLARY WHICH WILL INCREASE THE PRODUCTION CAPACITY 4 TIMES WITH EXPECTED COMPLITION IN 2018 2012 REGIONAL MANAGEMENT HUB IN SINGAPORE, ASIA (CHANGE TO BUSINESS MODEL) 2015 4
  • 5. ECONOMICAL INCREASED DISPOSABLE INCOME SOCIO CULTURE POPULATION GROWTH, AGE DISTRIBUTION & LIFESTYLE ATTITUDE LEGEL COPYRIGHT AND PATENT LAW TRADE REGULATIONS 5
  • 6. AGED BRANDED COMMUNICATION FOR AUCTION AND RETAIL NAS FOR TRAVEL AND RETAIL IN AMERICA- AGE BRANDED AND NAS WAS SOLD THROUGH RETAIL, ONLINE AND AUCTION IN ASIA- SIMILAR STRATEGY WAS APPLIED AS IN AMERICA BUT AUCTION PLAYED BIGGEST ROLE IN EUROPE, AFRICA AND MIDDLE EAST- NAS WAS MAINLY SOLD IN TRAVEL RETAIL AND RETAIL BUT AGE LAID PRODUCTS YOUNGER THAN 17 YEARS WAS LESS WIDELY AVAILABLE WHERE YOUNGER WHISKY WAS REPLACED BY NAS 6
  • 7. IN 2012, NOTING ACCEPTANCE IN TRAVEL RETAIL MARKET AS WELL AS GROWING DEMAND AND VIRTUALLY NO SUPPLY CHAIN FLEXIBILITY BOLD MOVE INTRODUCED “1824 SERIES” NAS IN CONVENTIONAL RETAIL MARKET SHIFT WAS INCREMENTAL IN TOP MARKETS (USA AND ASIA) SURPRISED: REPLACED TRADITIONAL AGE BRANDED MARKETING IN THE REST OF THE WORLD AFTER THE CHANGE YOUNGER AGE BRANDED SINGLE MALT AVAILABLE IN EUROPE PROVIDED TO BE AT LEAST 18 YEARS IN THIS ABSENCE OF AGE INDICTOR, COMPANY INTRODUCED COLOR AS NEW SIGN OF QUALITY BRANDING OF ITS NEW PRODUCT LIST: GOLD AMBER SIENNA RUBY CHALLENGE: TO CONSUMERS SUFFICIENTLY ABOUT COLOR AND LINK TO QUALITY WHICH THAN AGE 7
  • 8. THE SOCIAL CULTURE: DIFFERENT AGE GROUP AND PREFERENCES. SUPPLY CHAIN MANAGEMENT: AVAILABLITY OF PRODUCTS MARKET REACH: MARKETING STRATEGY PORTFOLIO OF COMPANY: QUALITY AND DYNAMIC PRODUCTS 8
  • 9. STRENGTH WEAKNESS SUITABLE PRODUCTION ENVIRONMENT & CAPABILITIES, CULTURAL HERRITAGE(RICH COLOR AND TASTE) MARKET REACH. SHORTAGE OF AGE BRANDED PRODUCTS, TIMELY RESPONSE ISSUES IS SIGNIFICANTLY LARGE. OPPORTUNITY THREAT TECHOLOGICAL CHANGE, NEW PRODUCT LINES, SUPPLYCHAIN IMPROVMENTS. COUNTERFEIT PRODUCTS, CULTURAL CHANGE, NEW ENTRANTS LIKE BOURBON WHISKEY. 9
  • 10. 10 IMPROVED PRODUCT PORTFOLIO NEW DISTILLERY AND WEARHOUSE ISSUE DUE TO PRODUCTION CYCLE CONSUMPTION CYCLE INCREASED PRODUCT PRICES, REVENUES AND HENCE PROFIT
  • 11. 11 LOW – Threat of New Entrants HIGH - Rivalry among existing HIGH - Threat of Substitute Products HIGH – Bargaining Power of Suppliers LOW – Bargaining Power of BUYER.
  • 12. IMPROVEMENT IN MARKET SHARE AGGRESSIVE MARKETING 12
  • 13. ANOTHER LIMITED EDITION TO KEEP THINGS INTERESTING ENTIRE DIFFERENT PRODUCT LINE TO ADD VALUE PORTFOLIO STRATEGIES WHICH ARE SUCCESSFUL IN OTHER MARKETS LIKE REGIONAL MANAGEMENT HUB MARKETING VIA ASSOCIATIONS AND THROUGH DIGITAL MEDIUM 13
  • 14. 14

Editor's Notes

  1. ISSUE AND CAUSE CAN BE SEPERATE Problem- whisky needs years to aged before released in market, structural challenges immerged for companies that thought to managed their stocks to cope with rapid increase in demand, challenge was limited to age branded products