Date post: | 10-Dec-2014 |
Category: |
Marketing |
Upload: | timothy-boylan |
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Dogfish Head Beer
Agenda
• Company Overview• Objectives• Target Market• Products• Pricing Strategy• Distribution• Promotions• Key Message• Campaigns• Recommendations
Company
• Founded in summer of 1995 by Sam Calagino to be served in the Dogfish Head brewpub
• Brought original beer, great food and local music to Rehoboth Beach area
• Began bottling in 1996 as demand grew through the Eastern US
• 400% growth between 2003 and 2006
• Production of 75,000 barrels of beer annually
• The name takes its origin from Dogfish Head, Maine
Objectives
•Initially, to bring original beer and great food to Rehoboth Beach area
•Maintain local customer loyalty
•Grow non-local interest and awareness in Dogfish Head beers
Target Market
• Initially, to bring original beer and great food to Rehoboth Beach area
• Due to increasing demand the target market has increased to over 25 states
• Target Market:
o Consumers willing to pay more for unique taste
o Pub goers with draft beers
o Non-pub goers with bottled beers
Target Market
Target Market
1997 2002 2007 2012 2017 $-
$2.00 $4.00 $6.00 $8.00
$10.00 $12.00 $14.00 $16.00 $18.00
Craft Beer Market by Dollar VolumeIn Billions
* Total Beer Market in 2012 was valued at $78 Billion
Target Market
* 84% of Beer Consumers are Millennials and Gen Xers
Mass Market– Beer drinkers
Niche – Local area beer drinkers
Group – Local Premium beer drinkers
Individual – Local Artistic individuals interested in
premium beers
Segment – “On the fence” Beer Drinkers
Core Product Line
• BEER- Year Round Beers- Occasional Rarities- Seasonal Beer- Draft Only Beer- BrewPub Exclusives- Collaborations- “On Hiatus” Beer- Tour Beer
Spirits- Rums- Vodka- Gin
Core Product Line
Year Round BeersOccasional RaritiesSeasonalDraft OnlyBrew Pub ExclusivesCollaborations"On Hiatus" BeerTour BeerJinRumVodka
31%
14%
3%
21%7%7%
9%
4%
3%
Average Product Growth Across all Product Lines was 37% for 2012
Pricing Strategy
Product Glass 6-PackSpeciality (750mL) Case
Year Round Beers$1.79 - $3.99
$8.99 - $14.99 N/A $35 - $89
Occasional Rarities
$2.89 - $7.99
$9.99 - $17.99 $11.99 - $18.99 N/A
Seasonal$2.49 - $8.99
$8.99 - $14.99 $13.99 - $21.99 $35 - $75
Draft Only$2.79 - $3.99 N/A N/A N/A
Brew Pub Exclusives
$2.79 - $3.99 N/A $23.99 - $32.99 N/A
Collaborations N/A N/A $12.99 - $17.99 N/A
"On Hiatus" Beer$2.79 - $8.99 N/A Growler N/A
Tour Beer$2.49 - $3.99 N/A Growler N/A
Pricing Strategy
$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
$60.00
$70.00
BrooklynDogfish HeadHarpoonSam AdamsSierra NevadaStone Brewing
Pricing – KPI’s
• 60 and 90 Minute IPA’s up 28% and 24% respectively.
• 52% of Dogfish Head is sold 150 miles from DE.– Top Markets: Pennsylvania, Maryland, New York Virginia,
Florida
• 750mL Specialty offerings has increase 80%• 171,000 Barrels shipped in 2012
Product – “Tangents”
• Randal the Enamel Animal• Randal the Enamel Animal Jr.• Books• Pints and Paddles• Dogfish Bocce
Distribution – 3 Tier Model
Brewers
Distributors / State Gov.
Consumers
- Beer Dinners- Beer Festivals- Beer Tastings- Promos- Events- Special Events- Beer Tours
- Bars- Restaurants- Grocery Stores- Liquor Stores- “State” Stores
Retailers / Wholesale
Promotion Strategy
“Off-centered ales for off-centered people”
Dog Fish organizes many local events to increase awareness
Beer DinersBeer FestivalsLive MusicDog Fish MoviesDogFishDash- The Dogfish Dash is annual 5k &
10k that supports the Delaware Nature Conservancy
DogFish Tour: Tours of our Milton, DE brewery include samples, a guided tour, and a chance to pick up some off-centered merchandise
Promotion Strategy
Social mediaYouTube Channel – “Quick Sip Clips”FaceBook Page – MOST RECENT: Pumpkin
Carving ContestTwitter
360° ExperienceDog Fish partnered with the Inn At Canal Square and Quest Fitness/Kayak for an experience that will invigorate all your senses
"Who would have thought the most civilized hotel bedroom in the U.S. could be called the Dogfish Brewmaster's Suite? Had I stayed more than one night, I would have been in severe danger of learning to relax." - Michael Jackson, The Beer Hunter
Key Message
Find It , Get It, enjoy It , repeat.
Campaign
URKONTINENT - The life of DogFishUrkontinent is a social collaboration of worldwide proportions.A small team from the brewery (and a few of our beer- loving tech friends) then ‐
narrowed the list to five: wattleseed from Australia, toasted amaranth from South America, rooibos tea from Africa, myrica gale from Europe and honey from the United States.
http://www.youtube.com/watch?v=RiFewPyLlQA&list=TLPUlqqSzXYuWJQg0kX3sHCU7YbYaTo9E1
Recommendations
Recommendations
Capita/ Craft Brewery Rank State Total Craft
BreweriesCapita / Craft
Brewery1 Vermont 25 25,0302 Oregon 140 27,3653 Montana 36 27,4844 Alaska 22 32,2835 Colorado 151 33,3066 Maine 37 35,9027 Wyoming 15 37,5758 Washington 158 42,5609 Idaho 29 54,055
10 Wisconsin 83 68,518
Recommendations
Key ExpansionStates
MontanaColoradoWyomingWisconsinNevada
Recommendations
• Enhanced Social-Responsibility Marketing – local green campaigns and/or recycling programs
• In-Store positioning with end caps and smaller liquor bottles
• Target partnerships with local sports teams
• Enhance artistic involvement and affinity to the brand
• Target a celebrity chef who cooks with beer / Food Network programing “Best Thing I Ever Ate.”
Q&A??