Bavaria: SWOT analysis

SWOT ANALYSIS

Strengths

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Cover a large variety of follower amongst younger drinkers (urban tribes): even with usually disparate brand loyalties consumers. Its consumers are from several types of young people: it allows to have more consumer, even all type of young consumers Techno parade followers: cailleras, skaters and techno-heads Tramp, winos and addicts

Youths in city suburbs
Non-common product:
Capacity to intoxicate after only a couple of gulps.
Fast track route to drunkenness: more efficient, more expedient Impressive alcohol content
Good fight against competition:
The company sell three can for every can sold by Heineken and Kronenburg. Low price – about £1 cheaper than the competition
The first to packages in 50 cl servings before all of the others adopted the same format. Benefits of the most low-key distribution network in all of France – generally bought in Arabian corner shops Variety of product: The company is also known for its other products like in Holland with the alcohol-free beer. Strong brand name:

The 8°6 beer have a lot of follower in the world as a beer to be savoured. “People are so keen on 8°6 that they’re keeping the entire can to themselves, even drinking it alone.” Emblematic of street culture: This beer has found its following at street level, via alternative movements, only distribute in local corner shops and service station. It has becoming the beer of choice for Night Owls and insomniacs due to the distribution across Arabian shops that are open at late at night. Cult object avers by Doc Gyneco in his song

8°6 festival: every year, people spend the 8th june striving to drink as much 8°6 as is humanly possible 8°6 style

Culturally baggage-free: the new generation claims it as its own due to the 8°6 lack of history.

Attractive packaging: dark blue with gold trimming – colours synonymous with prestige products – Its very rich aspect attracts most of young players.

Weaknesses

Tiny advertising budget: 20 times less than that of this sector’s heavyweights. Tens positioning: Bavaria’s consumers are mostly people from the street, usually people addicted. Their pool of consumers is large but the consumption of 8°6 is mostly not healthy. They are targeting “particular” consumers that could discourage wealthy or high middle class people to use the product.

Regarding the positioning, I don’t think that the company need to change it. In fact, even if it’s a strange or non-common positioning, it profitable. The company knows the risk and the critics it would have to face but it’s work and young people like this positioning of “street beer” with prestige packaging. Therefore, if the company change its positioning, it would lost a lot of young consumers.

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