The document provides information about Becherovka, a herbal liqueur produced in Karlovy Vary, Czech Republic. It discusses Becherovka's history dating back to the early 19th century when it was created by Josef Vitus Becher using a secret recipe of over 20 herbs. The document also outlines Becherovka's product portfolio, marketing strategies, target markets, sales distribution both domestically and for export, as well as competitors and industry analysis using tools like SWOT, PESTEL, Porter's Five Forces, etc. It aims to increase Becherovka's popularity among younger generations and expand its global distribution through strategic events, press conferences, and both traditional and online media communications.

1. Becherovka
NADEZDA KISELEVA
ELVIRA
SHARAFUTDINOVA
MYKHAILO TEREBYLO
GIRI PRASAD KANDEL

2. Becherovka
Becherovka is one of the world’s oldest bitters
produced in the spa town of Karlovy Vary. The
incomparable taste of Becherovka is the result of
more than twenty carefully selected herbs and spices
from across the world coupled with a unique
maceration process.

3. Components
100% natural product without any artificial
preservatives, colouring or emulsifiers
●Karlovy Vary water
●high quality alcohol
●natural sugar
●harmonic mix of herbs and spices

4. History
●The history of Becherovka dates back to the beginning
of the 19th century
● Josef Vitus Becher
● In 1807, he finally started selling a herbal liqueur
which had an unmistakable aroma and taste

5. http://becherovka.com/
Official Website

6. Company management
●Marc Beuve-Méry -Chief Executive Officer
●Martin Pučalík-Sales Director
●Miroslava Lukáčová-HR Director
●Fabrice Bouchez-Finance Director

7. Values and corporate culture
●Conviviality and Simplicity
●Entrepreneurial Spirit
●Honesty
●Unified Culture

8. Product portfolio

9. SWOT analysis
Strengths Weaknesses
• Famous In CR and neighborhood countries
• Target market 25-56
• Good portfolio
• Distribute not only becherovka
• Production mainly for Czech market
• Demographics (We loose a large group of
people -children)
• 4 Types of Becherovka
Opportunities Threats
• Brand awareness
• Create new beverages
• Create new tastes
• Pay more attention to their product
• More strong competitors
• Less globalization
• Unexpanded portfolio

10. Marketing mix analysis
Product
Price
Place
Promotion
Process
Physical Evidence
People

11. Product
Generally it has only 4 famous products
1) Becherovka original or regional
2) Becherovka lemonade
3) Becherovka Cordial
4) Becherovka KV 14

12. Price
Pricing Policy
Pricing policy of Becherovka keeping in mind the following to sustain its Brands
•Price of 3L, 1L, 750mL, 350mL, 100mL, 50mL
• International Brands makes price competition
•This 0.75 L bottle will cost you approximately $24.

13. Place
It is produced in Karlovy Vary, Czech Republic by the Jan Becher company.
Becherovka is currently exported to nearly 40 countries. Among the strongest export markets
include Germany, Slovakia, Ukraine and Russia. In addition, also exported to distant countries -
Japan, Brazil and Australia.
Also it can be found in hypermarkets, supermarkets, grocery convenience stores, markets,
specialty shops; wholesalers or retailers.

14. Promotion
Large advertising campaign (in particular places)
Special Offers (Sales in supermarkets )

15. Process
-Expands Sales horizon in central Europe and in other countries.
-Selling in the public places.
-Helps to get drunk and “take care” about you health at the same time.
- Web-sites.

16. Physical Evidence
-Red Seal, which dominates the label "Becherovka" is probably a very old origin.
-Throughout its history of Becherovka repeatedly received numerous awards and medals at
international exhibitions in Paris, Vienna and other cities.
-Processes drink maturation in oak barrels

17. People
Conviviality and Simplicity (open, cordial and friendly)
Entrepreneurial Spirit (employees are naturally motivated to adopt a pro-active approach)
Honesty (truthfulness of the provided information)
Responsibility (respect and transparency is the norm among all of the employees)
Unified Culture (internal events )

18. PESTEL analysis
P – Political
E – Economic
S – Social
T – Technological
E – Environmental
L – Legal

19. Political Factors
●The government is campaigning strongly against drunk-
driving, which is affecting the tendency to drink becherovka in
pubs, restaurants, clubs
●The Government has the power to set measures on the
decreasing of accessibility

20. Measures on the
decreasing of
accessibility
1. To sell toys resembling to alcoholic drinks
2. To sell alcohol drinks to youths younger than 18 years of
age
3. To sell alcohol in schools, hospitals
4. To sell alcohol during sport events (only beer with low
amount of alcohol is allowed to be sold)
5. All forms of sale if the age of buyer can not be verified
(vending machines etc)

21. Economic factors
1. Consumption of alcohol is increasing
2. Consumption of spirits(becherovka is
included) is less than consumption of beer
or wine in Czech Republic
3. Increase of GDP(from 0.4 to 0.9) affects the
ability of customers to buy more
4. Household disposable income is decreasing

22. Social Factors
14.9
10.6
43.6
17.5
Age structure in Czech Republic
0-14 15-24 25-54 65-…

23. Technological Factors
• The entire production process Becherovka is strictly
controlled and is based on traditional practices that are
subject to confidentiality.
• Twenty species of herbs according to a secret recipe from
jute bags transferred to tanks in which are embedded with
alcohol.
• There are hot macerated and then let them cool down. This
process takes about a week.
• Technology of production of Becherovka, the character
drinks and fame are still the same.

24. Environmental Factors
1. Paying continuous attention to operations to minimize
possible effect on the environment.
2. Introducing a comprehensive waste separation system at
production plant in Karlovy Vary. Annually recycling more
than 98 % of the total waste generated there.
3. Minimizing the consumption of energies which influence
the direct or indirect emission of greenhouse gases
4. Selecting materials which make recycling as simple as
possible

25. Legal Factors
The initial privatisation of Jan Becher was a highly political
affair. The winning bid was submitted by SALB, a joint venture
between a local aristocrat/politician Karl Schwarzenburg,
Patria Finance, and Pernod Ricard. The joint venture paid the
state CZK 673m for a 30% stake, together with the option to
purchase the states remaining 59% in 2001 after meeting
certain trademark protection and production criteria.

26. PORTER 5 FORCES
ANALYSIS
 COMPETITION IN THE INDUSTRY
 POTENTIAL OF NEW ENTRANTS INTO THE
INDUSTRY
 POWER OF SUPPLIERS
 POWER OF CUSTOMERS
 THREAT OF SUBSTITUTE PRODUCTS

27. Competition in the
industry
The larger the number of competitors, along with the number of equivalent
products and services they offer, dictates the power of a company.
Eg:
1. BOHEMIA SEKT sro.
2. Budějovický Budvar
3. Fernet STOCK

28. Potential of new entrants
into the industry
A company's power is also affected by the force of new entrants into
its market. The less money and time it costs for a competitor to
enter a company's market and be an effective competitor, the more
a company's position may be significantly weakened. Eg:
Karlovarská Becherovka distributes more than 40 international
alcohol brands of the Pernod Ricard Group on the Czech market.
They include for example Ballantine´s, Jameson, Havana Club,
Beefeater, Absolut, Chivas Regal, Martell, Olmeca, Malibu, Jacob´s
Creek, and other well-known premium brands.

29. Power of suppliers
This force addresses how easily suppliers can drive up the price of goods
and services
The fewer number of suppliers, and the more a company depends upon a
supplier, the more power a supplier holds. Eg:
Becherovka supply their product to different markets such as: Penny Market, Albert,
Kaufland, e-shops. Also they have different discounts on it.

30. Power of customers
This specifically deals with the ability customers have to drive prices down.
It is affected by how many buyers, or customers, a company has, how
significant each customer is and how much it would cost a customer to
switch from one company to another. Eg:
The cooperation between Karlovarská Becherovka and Epicor iScala has
been developing for over 10 years now.

31. Threat of substitute
products
Competitor substitutions that can be used in place of a company's products
or services pose a threat. For example, if customers rely on a company to
provide a tool or service that can be substituted with another tool or
service or by performing the task manually, and this substitution is fairly
easy and of low cost, a company's power can be weakened.

32. Competition analysis of
BecherovkaCompany’s abilities compare to
competitors’ abilities :
Becherovka is well anchored in central and eastern civilisations, it appears as a more
affordable version of Jagermeister.in this table, we will present you especially
Becherovka and Jager values bc we didn’t find all values for Fernet.
Percentage 38% 35% 39%
of alcohol
We this analysis, we can say that Becherovka is in a good
position compared to its competitors ; So the current target
strategy of Becheovka is good.

33. Communication mix analysis
Advertising
Billboards
(clubs, bars, trams etc.)
Social media (Facebook, Instagram,
Foresquare, Youtube)
“Get Closer” Bench Advertisment

35. Sales Promotions
1+1=1 (price for 1 bottle)
1+1=3 (3rd bottle for free)
Special packaging with 2 glasses for
shots inside)
Sales (Tesco, Kaufland, Billa)

36. Public Relations
Events in University Clubs
Jan Becher Museum (The tour
commentary can be heard not only
in the Czech, but also in English,
German and Russian.)

37. Personal selling
Presentation of the product in different
supermarkets

38. Direct Marketing
Flyers
http://www.followbubble.com/case-study/17-get-unplugged

39. Online and social media marketing
Facebook websites
Instagram websites

40. Events experiences

42. Ukraine

43. Targeting (25-44) 309%
Optimized content structure, more segmented
targeting (+309%)

44. Target groups on Instagram – 121% subscribers (664)
November 29th – 163 % (1052)
Target groups marketing (May)(+121%)

46. Becherovka holds
the 12th position in
the Ukrainian
alcohol segment on
Facebook.
Jagermeister – 17th.

47. Community growth
Competitors make emphasis mainly on new
people involvement and therefore grow faster.

48. Communication Message

49. Goals
Make Becherovka more popular among young generation ( expand the target group)
Spread Becherovka all over the world
Collaboration with the well-know company (Sprite)

50. Communication tools
Event
Press conferences
Press relase
Online media
Traditional media

51. Event
Openair
Ticket price 100-200 czk (free drinks)

52. Press conferences
Russia
Spain
France
Germany
USA

53. Press relase
New Package
New Taste (Becherovka and Sprite)
Merchandising

54. New Package
Christmas package!

55. Becherovka and Sprite
“That product will save your money”

56. Merchandising
We don`t want to sell our merchandising stuffs.
It will be absolutely for FREE.
It`s just enough to buy Becherovka and you will get it like a gift.

57. Online media
Advertisement of Event
Facebook
Instagram
Youtube

58. Traditional media
Billboards
Flyers

59. Schedule 2017
January
• Press
Release
February
• Press
Conference
March
• New Taste
(Becherovka
+ Sprite)

60. Schedule 2017February-April
• Online and
Traditional
Advertisement
of New Taste
April-July
• Advertisement
of
“Becherovka
Party”
July
• Event
“Becherovka
Party”

61. Schedule 2017August-October
• Traditional
Advertisement
of Becherovka
November-December
• Advertisement
of New
Christmas
Package
November
• Release of
Christmas
Package

62. Budget
Name Price Quantity Total
Event Open air 20000 1 20000
Press conference Discussion and expanding
the product
2000 5 10000
Press release New package
New sort of the product
Merchandising
500 3 1500
Online media Facebook
Instagram
Youtube
2000
2000
2000
3
3
3
6000
6000
6000
Traditional media Banners 3000 3 9000
TOTAL: 58500

63. Evaluation Through Awards
Becherovka Wins Sole Gold Medal at NYISC(New York
International Spirits Competition)
Pernod Ricard USA is proud to announce that Becherovka was
awarded the only Gold Medal in the liqueur category at the New
York International Spirits Competition.
was held on October 16th in New York City.
Over 30 countries submitted more than 300 of the world's best-
selling spirit brands to be tasted, evaluated and judged by a
hand-selected panel of A-list and key trade only judges.
The distinguished panel of judges includes buyers, retail
storeowners, restaurant/bar proprietors, distributors and
importers—those that have the unique ability to make a direct
impact on sales.
As a analysis of market we can evaluate that Becherovka has
Bright future. So just ‘’Keep kalm and drink becherovka’’

64. How is it made????
Take a look video :
https://www.youtube.com/watch?v=zJpG6J2Xfvc

65. References
1. http://www.pernod-ricard.cz/en/our-company/values-and-corporate-culture/
2. http://www.pernod-ricard.cz/en/our-company/company-management/
3. http://www.pernod-ricard.cz/en/our-company/about-us-history/
4. http://is.muni.cz/th/251817/esf_b/BP_Sinoglova.pdf
5. http://www.becherovka.cz/o-becherovce/vyroba-becherovky
6. http://ec.europa.eu/health/ph_determinants/life_style/alcohol/Forum/docs/ev_20081013_co04_en.pdf
7. https://data.oecd.org/hha/household-disposable-income.htm
8. http://www.indexmundi.com/czech_republic/age_structure.html
9. http://www.karlovy-vary.cz/en/about-karlovy-vary/jan-becher-museum
10. http://www.toxel.com/inspiration/2008/12/04/clever-and-creative-bench-advertisements/
11. http://bartenders.by/bbc-interview
12. https://www.behance.net/gallery/1540279/Portfolio