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Marketing Management I

Case Analysis:
Mountain Man Brewing Company

Nagesh Savukar 2010124


Nisarg Ostwal 2010137
Nishith Agrawal 2010139
Pankaj Shidurkar 2010145
Pawan Janiani 2010146
Pawan Tahiliani 2010147
Case Background
Mountain man brewing company was setup in
1925 is a family run business and it has its roots
firmly set in West Virginia

‘Mountain Man Lager’ is its core product which


pushed and sustained the growth of company for
8 decades

In the past 4 years, there is a constant shift from


lager or premium beer to the light beer
Problems
How to stop the revenues from freefalling
continuously?

How to introduce a light beer without affecting the


brand image and the sentiments of the current
consumer.

How to compensate for the possible loss in shelf


space with retailers?

How to revamp sales of its core brand, Mountain


Man Lager
Analysis
• Existing mountain man customers do not want a
change while young generation wouldn’t mind a
lighter version

• Fall in revenue even after being a successful


company

• Shrinkage of premium beer segment


Solutions
The company should introduce the light beer as
“Mountain Man Light”.
• Light beer category accounted for 50.4% of
volume sales in 2005 compared with 29.8% in
2001.
• Light beer sales in the U.S. had been growing at
a compounded annual rate of 4%, while
traditional premium beer sales had declined
annually same percentage.
Solutions
• Company should go for brand extension for its
growth

• Target segment: 21-27 i.e. younger generation


which is 27% of the overall beer consuming
population.

• Light beer appealed to younger drinkers overall


and to female, it accounts for 42%.
Solutions

• Brand image of Mountain Man will help for the


sales of light beer.

• Consumer study revealed Mountain Man rated


high in terms of awareness with the younger
generation.

• Introduction of Light beer at restaurants and


bars
Solutions

• Launching light beer would not harm Lager


image because it target segment is completely
different.

• In the short term it doesn’t require major capital


expenditures and equipments.

• First it should start promoting it in West Virginia.


Conclusion

”Mountain Man Light” should be introduced into the


market at the earliest possible opportunity with
majority of sales to be done, at bars and
restaurants rather than on off-premise
locations.
Thank You….

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