Nội dung text Marketing Strategy Competition among Beer Companies before Liquor Liberalization.pdf
The liquidity in laying of market policy and cooperation with alliance, (4) Having an increased amount of products to serve the demand for Singha Draft beer with a mild taste to attract customers who like the smooth taste. TABLE 1 PRODUCT LINE OF BOON RAWD BREWERY COMPANY Brand Type Fighting Brand Date of Distribution Singha Gold Premium Kloster 1985 Leo Standard Chang 24 June 1998 Super Leo Standard Change 4 April 1999 23 December 1999 (no ceased producing) Mittweida Super Premium Brew Max 28 October 1999 Super Lion Standard Chang 2000 Product Development Strategy After successfully completing the business analysis stage, product planning moves to development and testing (Cravens 1994, p. 373). In 1998, the company received the certificate of universal standard quality or ISO 9002 from S.G.S. (Thailand). In December 1985, the company began to wade into the market by developing a new beer named “Singha Gold” which was a kind of beer that had low alcoholic content of 3.5%, similar to a light beer. It was thus, a kind of beer though its taste was lighter than that of both Singha’s and Kloster’s. Singha Gold was positioned as a beer for the new generation. On October 31, 1993, a modern technology called Stay on Tap (SOT) was brought in to produce beer cans for both Singha and Singha Gold beer. The reasons were: (1) The technology in SOT production would help in conservation of the environment and it was used widely in foreign countries, (2) It was expected that the tendency for growth in the canning market would be increasingly expanded. The proportion of the canning beer market was in the level close to the size of a small bottle. In the matter of raw material development, the company was a centre of malt production in Chiang Mai. Its area was additionally enlarged to be able to dispatch raw materials to the Khon Kaen factory as well. The company’s branch in Chiang Rai brought raw materials (malt) used for beer production from farms in Chiang Rai and Loei province, about 10,000 rais (production capacity was about 180-300 tons per rai). In addition to product development strategy, the packaging of Super Leo beer during April 2000 was modified due to the fact that sales volume did not meet with the target because of customers’ confusion related to “Leo.” A new label was put in place and the word “Super” was emphasized (with bigger letters) while the word “Leo” (with smaller letters) was used for advertising which included marketing activities of Super Leo being separated decisively from Leo. Block Channel Strategy After an approval from the Ministry of Industry and the Ministry of Finance, two new beer production factories were established in 1989, namely, Carlsberg Brewery (Thailand) Company and Thai Asia Pacific (Thailand) Company. In 1990, the government sector allowed famous beer producers from abroad to increasingly enter into Thailand for investment bringing in more rigorous competition. The policy for combating in two simultaneous ways was prepared by the company as follows: (1) Creating a foundation by establishing about 11 agent syndicates countrywide from 360 agents (it had already been prepared in advance more than three years ago, (2) Establishing a high barrier to prevent competitors from gaining ground by rushing on advertisements and promotion with a budget of 100 million baht a year. 68 Journal of Marketing Development and Competitiveness vol. 5(6) 2011