Case Study

Mountain Man Brewing company

 History
▪ MMBC founded by Guntar Prangel in 1925
▪ Family-owned brewery business, producing
bitter taste and slightly high alcohol content
beer.
▪ Popular throughout the East central Region by
1960s, awarded as the Best Beer in West
Virginia for straight 8years
▪ Top market position in premium segment in East
Central Region for 50 years
▪ Popular among blue collar worker and old school
people
▪ Sold 70% of its beer for off-promise.
 Reasons for MMBC’s Success and
features that makes it unique :
▪ Independent status, family-owned brewery; sole
decision makers

▪ Authenticity : They never lost sight of their core values

and customers

▪ Brand : They had a strong brand name in the central

eastern region.

▪ Recipe : Beer has a flavourful, bitter-taste and higher

than normal alcohol content

▪ Bottle design : Brown bottle to compliment dark

colour of beer and coal miners crew label on top
 Should MMBC introduce a light beer?
Points Considered for final decision
1. Whole Market: Consumption of light beer is
constituted the largest portion of the consumption
as evident from figure.
2. Domestic market: represents 88% of total
consumption in 2005 which is further bifurcated in
79.6% (domestic packed) and 8.4%(domestic
draught)
3. Prospects: CAGR out light beer +4 Percent for last 6
Refer Excel 2/ and 3/ for detailed view of the market, years and popular and premium beer CAGR is
major players and their current market share negative thereby it makes sense to enter the growing
segment.
Beer CAGR
Light Beer 4%
Premium Beer -4% Considering all these point MMBC definitely introduce
Popular -5% light bear to cater needs of light beer segment which is
the most dominant sector of the market.
Imported Premium 6%

Superpremium
(craft and high-end
domestics) 9%
 SWOT ANALYSIS

STRENGTH WEAKNESS OPPURTUNITY THREAT

• Has sufficient • Possibility of • Huge unexplored • Changing

resources to losing existing young market demographic
venture into new customer base. segment preferences.
product • Failure of new • Positive growth • Rising
• Experience in beer product may rate of beverage competition in
industry damage the industry and the light beer
• Established brand established core customer base segment
image. brand image. • Rising demand for national players.
• Well established • Increase in sales of light beer among
distribution light beer may eat customers.
network into core product
revenue
 What if Mountain Man Light fails?
Focus on Lager
Low volume launch of Light
01 As the launch of light would be with lower
production capacity, easier to pull back.

02 Change packaging for Lager

Like change in the shape of bottles, no
changes in the taste.

03 Introducing Beer Can

500ml beer cans can be introduced in the market as it is
1.easier to carry
2. no worries about cracking glass bottles
3. more appealing to eyes
And a wider range of product sizes according to the needs of
the customers