Case Analysis: Mountain Man Brewing: Bringing the Brand to Light

Mountain Man Brewing company (MMBC) has enjoyed undeniable success in regard to sales and profitability throughout its operational period due to its strong brand, quality, and unique products taste (Abelli, 2007). However, in the recent, the company has begun experiencing sales decline despite its authoritative brand and heritage in the region. There are a number of factors which are accountable for this change beginning with beer consumer’s preferences change. Most individuals have been in the recent been opting for light and quality beers which have led to the sales deterioration of finest beers such as the Mountain Man Lager. To be precise over the past couple of years the general sales of light beers has increased while the general rate of beer consumption has decreased due to increased competition from wines and spirits products as well as taxation rise (Abelli, 2007). This does not end there as the increasing awareness in regard to health-based worries of beer consumption has played part in the decline.

MMBC lager brand has remained successful in the past years based on its adherence to quality which has, in turn, gained consumer’s loyalty. Although the company operates as a regional brewer, it has created a recognizable and accepted image as it is accounted for the most popular beer in West Virginia (Abelli, 2007). Also, the company holds an authoritative brand positioning in the market which favors its differentiated taste with the use of special and local ingredients. In addition, the company owns some of the most skilled sales staffs which help in getting the products directly to the consumers. To retaliate, the company’s legacy remains to be the primary differentiating characteristics from all the other competitors (Abelli, 2007). All its consumers have remained loyal to the products on the ground that they are made from natural ingredients while following a home recipe to incorporate the consumption needs in the region.

For close to 50 years, MMBC has held the highest market share in West Virginia. The company has for the longest period targeted the working class persons. In addition to its rather improved branding initiatives, MM lager pricing was very competitive as even though it is categorized as a premium brand the prices remained favorable (Abelli, 2007). However, its sales decrease has been caused by the fact that the company has not been able to change its business model for the longest time. With the increasing competition, beer consumption decline and preferences change the company is necessitated to introduce the light beer to boost is target market. MMBC’s promotional efforts include the engagement of salespersons who are well trained while using increased marketing and promotional programs that seek to create awareness and familiarity in regard to the product (Abelli, 2007). These strategies are effective as they reach the targeted market directly while addressing their quality and premium needs.

I believe that the introduction of the light beer will solve the sales decline issue. In that, this approach will seek to expand the company’s market by reaching a new target that includes younger persons thus increasing its sales. In addition, based on the current situation in the market where preferences changes and competition are norm business diversification is a reasonable approach that will seek to increase its sales in the future. Currently, the light beer drinkers are between 25 and 44 years a sum that is expected to increase by about 4 percent thus making the move feasible (Abelli, 2007). The company can take advantage of its positioning in the market which will still secure its MM lager brand.

 

 

 

Reference

Abelli, H. (2007). Case: Mountain Man Brewing: Bringing the Brand to Light. Case Briefs, Harvard Business School.