Kingfisher Beer


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Kingfisher Beer

  1. 1. The king of good times Presented By Gagan JANGALE 584 Linley REBELLO 602 Amrinder SINGH 575 Presentation on K.L.S INSTITUTE OF MANAGEMENT EDUCATION & RESEARCH. BELGAUM
  2. 2. Lets Say Cheers to ... Beer ...
  3. 3. “ Drinking beer will not reduce your sorrow neither drinking milk so lets ‘cheers’ to beer”
  4. 4. 1857 - Mr. Thomas Leishman formed United Breweries Ltd. 1947 - Mr. Vittal Mallya became the first Chairman of Indian Origin. 1974 - International beer exports began to Aden and Middle East. 1983 - Dr. Vijay Mallya became the Chairman of the UB group. Introduction “ Beer is proof that God loves us and wants us to be happy.”
  5. 5. M I S S I O N T o be the recognized leader in our target markets. T o be the preferred employer wherever we operate. T o recognize the value of our human assets. T o be the partner of choice for customers, suppliers, and other creators of innovative concepts “ Alcohol may be man's worst enemy, but the bible says love your enemy.”
  6. 6. P O R T F O L I O B everage A lcohol P harmaceuticals A viation F ertilizers I nternational T rading M edia C onstruction F ashion Clothing
  7. 7. <ul><li>U B Group </li></ul><ul><li>T he UB Group, is the market leader </li></ul><ul><li>T he Group has a huge turnover </li></ul><ul><li>S wimsuit Calendar. </li></ul><ul><li>W on more than 6 International Awards </li></ul>A bout t he c ompany
  8. 8. <ul><li>B eer </li></ul><ul><li>50% market share nationally. </li></ul><ul><li>Sold in over 52 countries and also on international flights. </li></ul><ul><li>Every third beer sold in India is Kingfisher. </li></ul><ul><li>India’s 1st global consumer brand – Kingfisher. </li></ul><ul><li>S pirits </li></ul><ul><li>54% market share in the domestic market. </li></ul><ul><li>2 nd largest player in the world. </li></ul>A bout t he c ompany
  9. 9. As A Brand
  10. 10. B eer A irlines F ashion C ollection S ports S wimsuit C alendar
  11. 11. Classifications <ul><li>Lager: It is stored for a specified period before being bottled or canned. </li></ul><ul><li>Pilsner: A type of lager beer, it is light with 3.0 - 3.8% alcohol and has a medium hp flavor. </li></ul><ul><li>Ale: Top fermented, this kind of beer has distinct hop aroma. The alcohol content is around 4 - 5%. </li></ul><ul><li>Stout: Dark with burnt flavor and strong malt aroma; it is heavily hopped and contains 5 - 6.5% alcohol. </li></ul><ul><li>Porter: This is less dark than stout, even less hopped and is somewhat sweet. Alcohol content is around 5%. </li></ul><ul><li>Creamy Ale : A highly carbonated beer that is produced by a combination of Ale and lager. </li></ul><ul><li>Malt: A strong flavored, high alcohol content beer that ranges in flavor and colors. </li></ul>
  12. 12. M arket S hare & G rowth
  16. 16. M aking A M ark strategies….
  17. 17. M ark o f a b rand n ame K ingfisher <ul><li>T ying up with large department stores like Food world for retailing </li></ul><ul><li>its Beers. </li></ul><ul><li>I n association with number of Very Classy, Up market & Stylish </li></ul><ul><li>bars & lounges. </li></ul><ul><li>A ggressive Advertising at Outlets & Pubs. </li></ul><ul><li>B etter Retailing outlets to be opened under Kingfisher Brand. </li></ul><ul><li>V enturing into other Business with same Brand name, hence </li></ul><ul><li>increasing Brand Name & Publicity. </li></ul>
  18. 18. competitors
  19. 19. F ighting C ompetitions <ul><li>P resently d istributing b rands of Beer in India . </li></ul><ul><li>S AB Miller : H aywards, R oyal Challenge, K nock Out, F oster </li></ul><ul><li>A nheuser-Busch : B udweiser </li></ul><ul><li>C arlsberg (South Asian Breweries) </li></ul><ul><li>H eineken (Asia Pacific Breweries) </li></ul><ul><li>C astle Lager </li></ul><ul><li>C obra </li></ul>
  20. 20. 3 P’s O f M arketing
  21. 21. P roduct <ul><li>N o.1 selling product in its segment. </li></ul><ul><li>G ood quality raw material is used to maintain the quality standards. </li></ul><ul><li>C onsistency of product quality is high. </li></ul><ul><li>A lways tastes fresh due to good quality and well developed distribution network. </li></ul>
  22. 22. P rice <ul><li>I n both mild and strong beer segments kingfisher uses competitive pricing strategy. </li></ul>650ml 330ml <ul><li>Rs.65 </li></ul><ul><li>Rs.35 </li></ul>
  23. 23. <ul><li>I t is available throughout India, and is dominant particularly in south and west India. </li></ul><ul><li>U B has 16 company owned breweries apart from 9 contract breweries in 20 different location across the country. </li></ul><ul><li>K ingfisher also has a presence in 60 countries. </li></ul><ul><li>I t has some sixteen hundred shops apart from pubs and bars. Better retailing outlets are also to be opened under the Kingfisher Brand. </li></ul>P lace
  24. 24. A nalysis kingfisher beer….
  25. 25. P orters 5 F orce M odel A pplied t o B eer I ndustry
  26. 26. P orters 5 f orce m odel Overall industry rating: high Moderate low Threat of new entrants. X Bargaining power of buyers. X Threat of substitutes. X Bargaining power of suppliers. X Intensity of rivalry among competitors. X
  27. 27. T hreat o f N ew E ntrants <ul><li>T hreat of new entrants is towards lower side. </li></ul><ul><li>E conomies of scale in manufacturing, distributing, and marketing create high barriers to the national and global markets. </li></ul><ul><li>T he capital needed to build beer manufacturing facilities and the costs associated with operating business on a national scale are extensive. </li></ul><ul><li>T he costs associated with this highly controversial industry seek high levels of sales, thus making the industry more and more prohibitive for newcomers. </li></ul><ul><li>G overnment regulations are largest factor in this force. </li></ul>
  28. 28. B argaining p ower o f b uyers <ul><li>B arraging power of buyers is high. </li></ul><ul><li>T he quantity of alcoholic beverages that a nation consumes tends to be unaffected through recession and prosperity while the quality of the products purchased is directly related to the disposable income. </li></ul><ul><li>A decline in disposable income shifts consumer preferences away from premium-priced brand-name products in favor of lower-priced brands i.e switching cost is low. </li></ul>“ The worse you are at thinking, the better you are at drinking”.
  29. 29. T hreat o f s ubstitutes <ul><li>T hreat of substitutes is low. </li></ul><ul><li>C ustomer loyalty through brand awareness. </li></ul><ul><li>T he advertising restrictions placed on alcoholic beverage industry in recent years make it harder to achieve brand loyalty. </li></ul>“ It takes only one drink to get me drunk. The trouble is, I can't remember if it's the thirteenth or the fourteenth.”
  30. 30. B argaining p ower o f s uppliers <ul><li>S upplier Power is low </li></ul><ul><li>P roducts used to brew beer are inexpensive and suppliers are numerous. </li></ul>
  31. 31. <ul><li>M oderate. </li></ul><ul><li>R ise in legal and regulatory burdens, leads many manufacturers to merge in order to lower competition. Acting as oligopolies, they ensure high profit margins, cash flows, and investment returns. </li></ul><ul><li>T hough the competition is tough, The Kingfisher brand is the one of the largest supplier of beer, & the third largest producer of distilled spirits, </li></ul>I ntensity o f r ivalry a mong c ompetitors “ Drinking is a way of ending the day”
  32. 32. STP f or K ingfishers B eer
  33. 33. S egmentation <ul><li>G eographic segmentation: It is available through out India and is dominant in particularly in south and west India. </li></ul><ul><li>D emographic Segmentation- Age basis </li></ul><ul><li>Youth: 16 to 25yrs. (kingfisher mild) </li></ul><ul><li>Adults: 25yrs & above (kingfisher strong) </li></ul><ul><li>S egmentation based on Situation: </li></ul><ul><li>Birthdays, Anniversary, New year parties etc. </li></ul>“ Alcohol is the cause and the solution to many of life's problems.”
  34. 34. T argeting <ul><li>K ingfisher has 2 different products for different market segments. </li></ul>“ Friends don't let friends drink Light Beer”
  35. 35. P ositioning <ul><li>K ingfisher positioned itself as a brand for successful & professional individuals who are always ready to take a break, party or just chill out. </li></ul><ul><li>I t has positioned itself as “The King of good times”. </li></ul>Repositioning
  36. 36. K ingfishers SWOT A nalysis
  37. 37. S W <ul><li>Worldwide known Brand </li></ul><ul><li>Oldest & Largest Player In India </li></ul><ul><li>Huge Finances backing from UB Group </li></ul><ul><li>Strongest Worldwide Distribution System. </li></ul><ul><li>Different Brands under Same Company </li></ul><ul><li>High Concentration on Strong Beer Market </li></ul>
  38. 38. O T <ul><li>Beer consumption is increasing </li></ul><ul><li>Reduction in Taxes </li></ul><ul><li>Brand Extension Benefits </li></ul><ul><li>High Taxes & Regulations </li></ul><ul><li>Prohibition on Advertising </li></ul><ul><li>Indian Culture is a Major Hindrance </li></ul><ul><li>Many International Player Entering In India </li></ul>
  39. 39. S ource o f i nformation <ul><li>I nternet </li></ul><ul><li>w </li></ul><ul><li>w </li></ul>
  40. 40. ! Thank You !
  41. 41. Statutory warning: Consuming alcoholic drinks is injurious to health.