Growing sales in key markets and successful and careful introductions to newly- developed global markets show good regional brand management capabilities and potential appeal for Stella Artois as an international brand. The approach also allows for a more accurate segmentation on a global scale for the premium beer consumers who would be naturally homogenous within a single capital or major city with the highest income and spending patterns.
It also finds a U-shape relationship between degree of internationalization and operating costs to sales ratio, which according to the research should invert over time with more integration of global efforts and economies of scale.
It can also lead to a great level of long-term brand recognition if national chains headquarters in the given city choose to standardize on the beer.
Interbrew has already expanded into 23 countries on four continents with its various products and this could be used as a platform to expand one global brand as an ambassador for Interbrew.
In order to optimize the spending, Eastern Europe production percentage should increase against production in Belgium, and France for example for a cheaper labor cost.
The campaign can be localized for specific markets culture and norms to avoid negative connotation and treat certain existing perceptions for the brand. Having a globally recognized beer that is produced in this growing field would be very profitable. By shifting attention to a single brand across the world it would cut down on advertising and manufacturing costs and increase profits.
Stella Artois had been a holiday or Christmas beer in the past, often associated with social events and opportunities to get together with friends and family Beamish, Goerzen, Interbrew faces the challenge of profitably growing over time however, and must decide Global branding stella artois brewing company to invest heavily in Eastern Europe Hanon,which is projected to be a fast-growing market despite the political upheaval and uncertainty there Beamish, Goerzen, Although the international beer markets are fragmented there have been many analysts that have suggested that this is due to change so that beer companies could achieve economies of scale like tobacco, soft drink, and spirits companies have done.
In this metro region given the Spanish-speaking customers would also require a more family-0driven messaging as well, as those values are critically important to that demographic group.
This is due to the fact that the majority of higher paid workers live here. For example, a plant in Mexico could benefit from a mistake made in Belgium and thus not make the mistake twice. An Organizational Learning Perspective. More essays like this: For instance, menthol cigarettes while popular to some are frowned upon by others.
This strategy is used by many companies such as Marlboro where they market a variety of different cigarettes to different markets.
BRW, 20 38 Advertising Age, 71 50 Yet, the possibility to localize languages, news, local norms and habits and areas of interest should give Stella Artois a great channel to appear to each different target market as the friendly European local. The cons or disadvantages are the limited national and global exposure given the limited selection of media outlets, the lack of overall beer industry coverage as many media companies tracking the beverage industry are geographically dispersed globally, lack of insight into how different demographic and psychographic customer segments will react to the beer and its branding over time, and lack of overall insight into varying performance by region.
Measuring the success of Stella Artois globalization should be looked at from a strategic perspective where tangible, yet achievable numbers should be achieved in the next three years in order to sustain more profitability and global market share in the years after.
The growing accumulated sales in growth stage show the maturity of the Eastern European experiment, and a successful introduction in mature markets such as Australia and New Zealand. Since Stella Artois is a premium beer it would be beneficial to realize that the majority of premium beer drinkers are located primarily in the northern part of the city.
From an internal perspective, the existence of an intranet portal for Stella Artois employees should help the internal communication and collaboration between the brand global team.
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Labatt was introduced to France, Belgium and Italy but sales were very minimal which suggests that Labatt was not being accepted by markets outside its home market in North America.
From to Stella increased its sales volume from 3.
Ivey Business Journal, 64 4 Instead of relying on the traditional offline channels to capture these…. The consumers' quest for an increasingly sophisticated premium and specialty beer at an affordable cost allowed Interbrew to widely distribute Stella Artois across markets in four different continents.
The potential high growth markets of Central and Eastern Europe along with South America have the greatest potential for growth according to the case Beamish, Goerzen, yet are difficult to successfully create and run operations in according to investor analysis of the beer industry during this time period Marinov, Marinova, A problem that also faced a number of competitor brands in their home countries.
The paper finally highlights the role of the internet in building the global brand. Marketing Week22 22 Although the international beer markets are fragmented there have been many analysts that have suggested that this is due to change so that beer companies could achieve economies of scale like tobacco, soft drink, and spirits companies have done.Excerpt from Case Study: Global Branding of Stella Artois Interbrew's centuries of experience in brewing, beer distribution and sales are all exemplified throughout their global dominance of worldwide beer consumption as presented in the case The Global Branding of Stella Artois (Beamish, Goerzen, ).
Keywords: Interbrew, Stella Artois, Global Branding, Brand Management, Brand Internationalization, Brand Globalization, New Market Development, Internet Brand Building, Beer, Brewing, Belgium Beer, Case Analysis GLOBAL BRANDING OF STELLA ARTOIS CASE ANALYSIS 3 Global Branding of Stella Artois Case Analysis International Management.
The global Branding of Stella artois Case analysis Introduction Interbrew was the third largest brewing company which owned a lot of well-known named beers. Interbrew`s history took a place in 14th century, when Den Hoorn Brewery was founded in Leuven.
The Global Branding Of Stella Artois 1. It makes sense for Interbrew, a simple Belgium brewery to develop a global brand in order to increase volumes, to maximize sales revenues and to lessen its dependence on Belgium and Canada, its two primary markets.
Free Essay: Global Branding of Stella Artois Table of Contents Problem Statement 3 Symptoms 3 Problem Analysis 3 Boston Consulting Group Matrix 3 Porters.
The Global Branding of Stella Artois Brewing Company Essay Sample. The Global Branding of Stella ArtoisAssignment 11)The international beer market is a large and growing one with consumption levels at billion hectoliters (hls) annually.Download