Marketing Report: Introduction to Marketing - Burleigh Brewing Company

This report provides a comprehensive analysis of the marketing strategies employed by the Burleigh Brewing Company for the launch of a new refreshing beer product. The report begins with an introduction and product description, followed by an in-depth exploration of market segmentation and targeting, focusing on demographic, psychographic, and geographic segmentation within the Australian market. A detailed positioning statement and perceptual map are presented to establish the product's unique selling proposition. The report then delves into the product's layers, type, branding, packaging, and the new product development process. The place section examines channel structure, factors affecting channel choice, levels of distribution intensity, and retailing strategies. Promotion strategies are analyzed, including goals, promotional mix, integrated marketing communication, and factors affecting the promotional mix, including push and pull strategies. Finally, the report covers pricing objectives, target market perspective, competitor pricing, basis for pricing, pricing strategies, and tactics, concluding with the determination of the final price. The report aims to provide a practical guide for the successful marketing of the new beer product.

Running Head: Introduction to Marketing
Burleigh Brewing Company
Introduction to marketing

Introduction to Marketing 1
Table of Contents
1.0 Introduction...........................................................................................................................2
1.1 Identification and description of new product..................................................................2
1.2 Market segmentation and targeting...................................................................................2
1.3 Positioning Statement and Perceptual map.......................................................................2
Perceptual map.............................................................................................................................3
1.4 SMART Goals...................................................................................................................3
2.0 Product..................................................................................................................................4
2.1 Product Layers..................................................................................................................4
2.2 Type of product.................................................................................................................4
2.3 Branding strategy..............................................................................................................4
2.4 Packaging..........................................................................................................................4
2.5 New Product development process...................................................................................4
3.0 Place......................................................................................................................................5
3.1 Channel structure..............................................................................................................5
3.2 Factors affecting channel choice.......................................................................................5
3.3 Levels of distribution intensity.........................................................................................5
3.4 Retailing............................................................................................................................5
3.5 Benefits of Retailing.........................................................................................................5
4.0 Promotion.............................................................................................................................6
4.1 Goals of Promotion...........................................................................................................6
4.2 Promotional mix................................................................................................................7
Product......................................................................................................................................7
Place.............................................................................................................................................7

Introduction to Marketing 2
Promotion.................................................................................................................................7
Price..........................................................................................................................................7
4.3 Integrated marketing communication...............................................................................7
4.4 Factors affecting promotional mix....................................................................................7
4.4.1 Push and Pull strategy................................................................................................8
5.0 Price......................................................................................................................................8
5.1 Pricing Objective...............................................................................................................8
5.2 Target market perspective.................................................................................................8
5.3 Competitors pricing...........................................................................................................8
5.4 Basis for pricing................................................................................................................8
5.5 Pricing strategy and tactics...............................................................................................9
5.6 Determining final price.....................................................................................................9
6.0 References...........................................................................................................................10

Introduction to Marketing 3
1.0 Introduction
1.1 Identification and description of new product
The Burleigh Brewing Company is a brewery company situated at Gold Coast, Queensland,
Australia. Company was founded in 2006 and in a very short period of time, organization has
developed its effective image in the domestic as well as in international brewery market. It is
mainly known for producing craft beer and market of craft beer is rapidly increasing in Australia.
Thus, in order to defend the acquired position in the brewery industry, organization has planned
to launch a new product through which company’s market share could be enhanced along with
determining the opportunities for gaining competitive advantage in the target market (Burleigh
Brewing, 2018).
With the help of product development theory, organization has planned to introduce a new beer
in the market. Motive of this beer is to provide refreshing and relished experience to its
consumers and for the same, quantity of alcohol in this drink will be less in comparison with
company’s previous product offerings. New product idea has been invented due to companies
less involvement in the craft beer market and existence of large companies in craft beer market.
Primary motive of this beer will be meeting with the expectations of beer lovers in Australian
market as well as to provide them a unique refreshing and energising drink.
1.2 Market segmentation and targeting
Segmentation is the technique to segregate big market into small segments so that particular
niche market could be identified in relevance with organizational new product. In relevance with
the refreshing beer which will be soon launched in Australian market, target audience will be
segregated on the basis of age, gender and on income group basis (Steenbeke, Gevaert, Tuleasca,
Engels, Van Den Berge, Poels & De Ridder, 2015). Apart from this, major target audience
segment will be people aged 18 to 45. This is because people in this group require more
refreshment after a long tiring day. Moto of refreshing beer is also providing refreshing and
relished experience to its consumers. Potential target segments for refreshing beer will be:
 Demographic: In terms of demographic segmentation, both female and male aged
between 18 and 45 years will be targeted (Craft & Hassan, 2015).

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 Psychographic: In this type of segmentation, people are segregated on the basis of their
needs, lifestyle, etc. Thus, this segment of people will be targeted as after a long tiring
day, refreshing beer will help them to feel stress-free and relaxed (Yang, Liu, Teng, Liao
& Xiong, 2016).
 Geographical: In the initial time period of product launching, the market of Australia
including Queensland, West Australia, New South Wales and Victoria will be the key
target markets of the product.
1.3 Positioning Statement and Perceptual map
Primary motive of refreshing beer is providing refreshed experience along with increasing
energy level amongst the target audience. Thus, positioning statement for this drink will be “an
energy booster” and with the help of this statement, The Burleigh Brewing Company will be able
to make an effective position of their new beer in the target market. Apart from this, refreshing
beer will be priced at premium pricing with the objective of making it unique from available
options in the market (McQuiston & Caldwell, 2016).
Positioning Bases:
 Attributes: The refreshment drink
 Price and quality: Lower price with great refreshment ability
 Benefits: Energising and refreshing
 User: The beer lovers
 Competitors: Carlton & United Breweries, Lion Nathan and others.

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Perceptual map
1.4 SMART Goals
 Specific: Effective promotional measures such as social media platforms will be used for
reaching out to the target audience.
 Measurable: The increase in the demand and the sale of the product are the measurable
criterions (Melewar & Skinner, 2018).
 Achievable: By actively promoting on the new product and the USP that this beer
provides refreshment, it would be able to achieve the target market.
 Realistic: Usage of social media will be the appropriate option in relevance with
approaching to the target audience.
 Time: Promotional and advertisement campaigns will be conducted for at least 3 months
in relevance with approaching to the target audience.

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2.0 Product
2.1 Product Layers
Amongst the three layers of a product i.e. core, actual and augmented, refreshing beer will fall
into the category of actual product as it is tangible in nature and people wold be able to purchase
the product when they feel need for that.
2.2 Type of product
The Burleigh Brewing Company produces its products in factory and the same process will be
followed for manufacturing refreshing beer, thus, it will fall under food and beverages categories
of product.
2.3 Branding strategy
Branding strategy should be creative which should include brand’s name, logo and slogan as
well. It will help the organization to develop its effective position in the market and along with
this; branding strategy will also help the The Burleigh Brewing Company to make its unique
position by promoting benefits and USPs of the refreshing beer amongst the target audience.
Organization has made its effective image in brewery industry, thus, brand loyalty could also be
utilised in order to gain positive outcomes (Eppinger & Ulrich, 2015).
2.4 Packaging
Major target market segments for this beer are youth, thus, in order to attract them, organization
should use attractive packaging design. Along with attractive design of the product, organization
could provide small bottles and cans which will be easy to carry and will look more attractive.
Design of the bottle and colour used for bottles and cans should be bright and catchy through
which refreshment could be felt just by seeing the packaging (Akar & Topçu, 2011).
2.5 New Product development process
 Idea generation: An energy drink with less alcohol and more energy and refreshing
boosters.
 Idea screening: Trending digital marketing strategies such as social media will be used
as an effective tool.

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 Concept development & testing: Concept for refreshing beer is developed reviewing
the stress and energy level amongst youth. Product testing would also be done by
introducing the product amongst the youth (Montagnaro, Balsamo & Salatino, 2016).
 Marketing strategy development: USP and positioning statement will be highlighted in
order to promote the newly launched drink in the market.
 Business analysis: Demand for beer in Australian market is high, thus, refreshing beer
will be successful in the same market within a short period of time.
 Product development: The new and innovative idea brings the scope of development.
 Test marketing: Samples will be distributed before launching in the market in order to
analyse the effectiveness of the product (Armstrong, Kotler, Harker & Brennan, 2015).
 Commercialisation: Further commercialisation of the product will be done with the help
of other promotional and marketing strategies in relevance with attainment of goals and
objectives.
3.0 Place
3.1 Channel structure
Distribution channel is the path for a product to reach to the consumers from producers. Business
to Business and Business to Consumer are two major types of distribution channels. Under B2B
type of structure, raw materials are purchased from a business organization to produce final
goods. Apart from this, there is a B2C under which products are directly sold to the consumers
(Ma, Wang, Xu & Ouyang, 2015).
In relation with refreshing beer, B2B channel will be used because The Burleigh Brewing
Company is a manufacturing company and they will supply this beer to the local shops and other
retailers. From there, consumers will be able to purchase the beer. This will fall under indirect
distribution channel structure as middle men will be involved under distribution process of
refreshing beer.
3.2 Factors affecting channel choice
 Other related products available in market
 Per unit value of a product

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 Perishability of a product
 Technical nature
 Nature of the buyers
 Demand of the product
3.3 Levels of distribution intensity
Level of distribution is of three types and it is selected on the basis of certain factors such as
demand of the product, production capacity, promotional activities, size of the market, etc. These
three types are intensive distribution, selective and exclusive. In relevance with refreshing beer,
intensive and selective distribution technique will be used in order to make the product available
for the target audience at their nearby stores.
3.4 Retailing
Refreshing drink will be available in all grocery stores, retail outlets, supermarkets, as well as in
the hypermarkets. Major supermarkets in Australia are Woolworths Limited, Wal-Mart, etc. and
the beer will be available in almost all these stores with the objective of increasing the demand.
3.5 Benefits of Retailing
Retailers offer various benefits to the suppliers as well as to the customers. The major benefit for
a consumer through purchasing retail store is availability of various products under one roof.
Apart from this, consumers could buy minimum of one quantity and maximum depends upon the
availability of a particular product. Major benefits through retailing are:
 Access to consumers: In relation with suppliers, major benefit is origination of various
opportunities to expand market share as well as in relevance with increase the demand of
the product. Organization could use retail promotion for promoting the product as well as
for approaching the target audience.
 Awareness: The Burleigh Brewing Company will be able to spread awareness amongst
the target audience in relation with the new product. Board hoardings, posters, etc.
mediums could be used by The Burleigh Brewing Company for spreading awareness in
relation with refreshing beer.
 Access to product: With the help of retail stores, consumers could easily approach
towards the product. Thus, it is necessary for the organization to supply its new drink to

Introduction to Marketing 9
the retail stores in adequate quantity so that consumers could be able to get those easily
and effectively.
 Creates competitive business environment: Retail market leads to create competitive
business environment and due to this, every retail store is required to adopt advance
techniques so that available products could be showcased in order to attract consumers. In
competitive business environment, there is no switching cost for consumers, thus, in
order to retain potential customers, retailers are required to provide offers and schemes to
them (Luan & Sudhir, 2010).
Apart from these benefits, there are various other benefits linked with retailing such as it helps
the organization to boost up sales as well as profitability and it also act as an effective
promotional tool.
4.0 Promotion
4.1 Goals of Promotion
In relevance with the promotion of a new product, primary goal for an organization will be
spreading awareness amongst the target audience so that curiosity could be builds up so that
when product will be introduced in the market, appropriate demand of the product could be
attained. The Burleigh Brewing Company has planned to launch refreshing beer in the Australian
market and their goals linked with promotional activities are:
 Specific: Targeting beer lovers in Australian market with the help of trending digital
marketing strategies
 Measurable: Increase in demand of the product, increase in sale through the product and
increase profitability (Podolyakina & Popova, 2014).
 Achievable: Attainment of desired goals and objective through continuous promotion
and advertisement of the product
 Relevant: Target audience for The Burleigh Brewing Company is youth in relation with
new product, thus, social media platforms adopted by the organization is relevant enough
to promote the new product.

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 Timetabled: Desired gals will be attained within three months from the date of
launching of the product.
4.2 Promotional mix
Product
Refreshing beer is a brand new product which will be soon launched in the target market. In this
product, refreshing elements are added along with a certain level of alcohol. Major target market
segment for this product is youth. USP of this beer is its refreshing nature which will provide
relished experience to its users (Kitchen & Burgmann, 2010).
Place
With the help of retail stores, supermarkets, hypermarkets, etc., refreshing beer will be made
available to the target audience across Australia including Queensland, West Australia, New
South Wales and Victoria (Schlissel, 2015).
Promotion
Primary tool for promoting refreshing beer in the target market will be trending digital marketing
strategies. Amongst them, social media platform such as Facebook, Twitter, Instagram, etc. will
be used in terms of promoting the refreshing beer amongst the target audience (Fine, 2017).
Price
Premium pricing method will be used for setting the price of the refreshing beer. Premium
pricing method is used with the motive of encouraging the favourable perceptions among the
buyers and solely based over price (Li, Hou, Chen & Li, 2016).
4.3 Integrated marketing communication
Integrated marketing communication tool will be used for promoting the USPs of the refreshing
beer amongst the target market. Major attractions of the product will be energy and refreshing
and there is no existing product available in the target market with these two attributes, thus, The
Burleigh Brewing Company will be able to promote its new product in the target market along
with gaining positive outcomes (LIU & GU, 2016).

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4.4 Factors affecting promotional mix
 Type and usage of product
 Purchase frequency or the quantity of the product
 Type and size of the market
 Stages of product life cycle
 Complexity of product
4.4.1 Push and Pull strategy
Push strategy is used by organization to spread awareness amongst the target audience with the
help of various promotional mediums. “Pushing product to the consumers” is the main moto of
this strategy.
Pull strategy is used to generate demand amongst the target audience with the help of mass
media promotion, CRM techniques, advertising, etc. “Generating demand of the product
amongst the consumers” is the main moto for pull strategy. In relevance with the refreshing beer,
pull strategy will be used as it is a unique drink with refreshing and energy boosters (Dawson &
Henley, 2012).
5.0 Price
5.1 Pricing Objective
 Specific: Targeting beer lovers in Australia for trying a new product they shall be paying
the premium amount for the beer.
 Measurable: Increase in sales and profitability
 Achievable: Continuous promotion to spread awareness amongst the target audience.
Apart from this, mouth to mouth promotional technique will also help the organization to
attain its desired goals.
 Relevant: The unique idea behind the product development could be liked by the beer
lovers and the sales will increase
 Timetabled: A 3 months’ duration would be helpful to attain pricing objectives.