Mountain Man Brewing

Mountain Man Brewing Case Write-Up

Problem Statement: The Mountain Man Brewing Company doesn't have a light beer. If they incorporate and sell a new light beer product, they would risk cannibalization as well as their reputation for the original core lager and brand.

Alternative 1: Bring out a light beer in a different area other than West Virginia.

* Pros: Marketing this new product in other regions would allow their core product "Mountain Man Lager" to remain the top product in the region where it's currently excelling. Marketing the light beer will get Mountain Man Brewing a foot in the door with the attracting potential younger customers.

* Cons: Launching this product in a new area would be very expensive since there wouldn't be any brand recognition. The young might not necessarily want to be associated with a "tough" and old brand while the older consumers may not want to be associated with the younger consumers who drink "tasteless" beer.

Alternative 2: Bring out the light beer using a different name other than Mountain Man Light.

* Pros: Calling the product something other than Mountain Man Light would protect the products original name. The different name would imply a completely different product, which would mean that it wouldn't compete with the original product in the eyes of the consumer.

* Cons: If the product doesn't have any ties to the original Mountain Man lager, customers may not find the product to be of value to them. They are already able to take advantage of word of mouth marketing since they made a name for themselves with "Mountain Man" and by changing the name, they won't be able to use that advantage in their new product.

Recommendations: I chose Alternative 1 due to the ever-changing demographics of the industry. Mountain Man Lager's original core drinker has a strong association with blue collar, middle to lower income men over age 35. They are loyal to the lager due to many reasons like taste, toughness and availability. This target market is aging, declining by 4% every year due to reduction of the population over 35 and countering the overall industry trends in the alcohol industry despite it being a good brand. This Industry is going for Lager to Light as demand shifts as the strong beer consumers are vanishing with time whereas the young generation segment is increasing and their choice is Light. The young consumers my not want to be associated with a tough and old beer while the older loyal consumers may not want to be associated with the younger consumers drinking tasteless beer. Although the company is worried about tarnishing their brand equity by going for the growing beer sector, which is Light, they will be able to market the