AB-InBev 10 pt analysis

Topics: Brand, Anheuser-Busch, Brand management Pages: 9 (1960 words) Published: October 1, 2014
ANHEUSER-BUSCH INBEV

10 Point Analysis
Comprehensive Market Planning

EXECUTIVE SUMMARY

Anheuser Busch InBev is a Fortune 1000, publicly traded Multi-national Corporation headquartered in Belgium. Seven business segments have helped them become one of the world leaders in beer sales by volume. Sales and revenues increase yearly, showing the strength of the company. Their innovative style that keeps them ahead of market trends has helped and will continue to help them gain access to new market segments, knowing what their customers and future customers want. Their brand strength will help solidify their future. Anheuser Busch InBev will have some hurdles to overcome in the coming years, but there are ways these can be overcome and still remain profitable. With consumers becoming more health conscious, alcohol sales could see a decrease, however this can give them the chance to diversify into more non-alcoholic beverage products and revenue. Anheuser Bush InBev knows how to use its distinctive competencies to its advantage and using its overall strong brand portfolio, they will be able to weather any storm and retain, if not expand their market share.

1 - MISSION –WHAT DOES IT STATE
“Consumers come first at Anheuser-Busch InBev. Our promise is to create enduring

bonds with consumers so that they enjoy our brands time and again. One way we will realize this

is through our strong brand portfolio. Out of well over 200 brands, we prioritize a small group of

Focus Brands - the brands we believe will most effectively build deep connections with

consumers.

This is the moment when consumers ultimately choose to purchase or consume our

brands. By utilizing capabilities in sales, merchandising and distribution we will win over the

consumer at the point of connection. This entails building sales and merchandising capabilities,

achieving preferred supplier partnerships with customers, and consistently building the equity of

our brands.” (Anheuser Busch InBev corporate web site –

http://www.ab-inbev.com/go/investors/overview/mission_and_strategy.cfm)

2 - DISTINCTIVE COMPETENCIES

InBev increases their global consumer brand recognition with the use of an extensive

brand portfolio. The portfolio consisting of more than 200 brands includes three global leading

brands; Beck’s, Stella Artois and Budweiser. In 2013, of the top ten global beer brands, six

belonged to InBev. InBev rounds out the portfolio with multi-country brands, including

Hoegaarden, and many local brands, including the popular US brands Michelob, Bud Light, and

Corona. The premium beer category in China is even led by the company’s Budweiser brand.

Their brand recognition and recall of their popular brands has helped increase growth and sales.

By spreading across multiple geographic markets, InBev’s use of balanced exposure and

diversification helps them lessen business risk. Using Latin America South and North, Asia

Pacific, Western Europe, Eastern and Central Europe, and North America, the six geographic

zones help provide global diversity and exposure to developing markets as well as those markets

already developed. This diversity gave InBev nearly 70% of Brazil’s market share, over 75% in

Argentina, and over 40% of Canada and the US market shares in 2012. Purchasing brewing

companies in China and Mexico helped expand global presence and market share for InBev,

further diversifying their business risk.

3 - TRENDS AND CONDITIONS IN THE EXTERNAL MARKET

Today’s health conscious society has created, and will continue to be, a challenge for

InBev. Consumers are looking for healthier alternatives. Beer has a general perception of being

high in cholesterol and a contributor to body fat, also known as ‘a beer gut’. Conversely, wine is

viewed a healthier alcoholic choice. With an expanding...

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Mintel. (2011, November). Impact of Race and Hispanic Origin. Retrieved from Mintel Oxygen database.
Mintel. (2011, November). Beer: The Consumer. Retrieved from Mintel Oxygen database.
Standard and Poor 's. (2013, November). Alcoholic beverages & Tobacco. Standard & Poor 's Industry Surveys. Retrieved from S&P NetAdvantage database.
"Most Valuable European Companies, 2012." Business Rankings Annual. Ed. Deborah J. Draper. 2014 ed. Detroit: Gale, 2014. Retrieved from Business Insights: Essentials.
OneSource. (2014). Anheuser-Busch InBev [company profile]. Retrieved from OneSource database.
Anheuser Busch InBev SA. (2012, December 31). 10-Q. Retrieved from OneSource database.
MarketlineAdvantage. (2014). Anheuser-Busch InBev [company profile]. Retrieved from MarketlineAdvantage database
Anheuser Busch InBev SA, URL: http://www.ab-inbev.com:
http://www.ab-inbev.com/go/investors/overview/mission_and_strategy.cfm
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