Bud Light Beer Which Is to Be Research Proposal

Bud Light beer which is to be introduced in Turkish market. The paper has covered all the important sections of the marketing research proposal including background to the research problem, product and industry profile, internal and external analysis, research approach and methodology, and technical appraisal using timeline and cost analysis for the project.

The purpose of this paper is to present a complete marketing research proposal for Anheuser-Busch that wants to introduce its top rated brand, Bud Light beer in Turkish market. The marketing research proposal starts with the definition of the problem statement and proceeds by describing the product profile, market snapshot, SWOT analysis, and competitive patterns for Bud Light beer. The second section gives a brief explanation to the research objective and possible research questions that can be answered for the purposes of this study. The "Research Approach' section presents a comprehensive description of the methodological framework including data collection methodology, measurement instruments or analytical techniques. For this particular research study, focus group and survey questionnaire have been proposed as the primary sources of data whereas authentic governmental websites have been researched to obtain the secondary data. The final section presents an activity timeline and cost analysis for the whole marketing research project.

Business Proposal Background

The Problem Statement:

Anheuser-Busch, the leading brewing company in the United States wants to introduce one of its top brands, "Bud Light Beer" in Turkey market. In order to make its country penetration strategy successful, the company has to do a comprehensive market analysis and technical appraisal.

a. The Product: Bud Light Beer

Bud Light is one of the most recognized beer brands in the world. It is manufactured by Anheuser-Busch which is also the top market leader in the U.S. Brewing industry. Anheuser-Busch has captured the largest -- more than 47% share in the total beer sales to the local and international retailers. The company has a huge supply chain and distribution network in the United States with more than 600 wholesalers and distributors. At present, Anheuser-Busch has 12 breweries all over the country along with aluminum cans manufacturing and aluminum recycling units. The most successful beer brand categories of the company include Bud Light, Budweiser, Shock Top, European beers, Beck's, Alexander Keith's, Landshark Lager, Michelob, Kirin, O'Doul's, Margaritaville, Belgian beers, Bud Ice, Tilt, Malt Liquors, etc. (Anheuser-Busch, 2013).

Bud Light beer was first introduced in 1982. It is an American style premium light lager beer with malt sweet and crisp taste. It is manufactured using premium aroma hop varieties, rice, and barley malts. Aroma hop used in the manufacturing of Bud Light beer are grown in the United States and some other countries. Anheuser-Busch uses the slogan "Here We Go" for Bud Light Beer which represents excitement, passion, and enthusiasm -- the attributes of active and keen people (Anheuser-Busch, 2013).

b. SWOT Analysis for Bud Light Beer:

A. Internal Analysis

Strengths

Weaknesses

Bud Light beer is the world's largest and best selling beer brand.

Its unique taste and low calories makes it the most liked beer among its target consumers.

Bud Light beer is also the price leader among its competitors which gives it a competitive edge over them (Anheuser-Busch, 2013).

Bud Light beer has a vast distribution network. It is distributed and marketed to a huge market segment around the Globe.

A wide array of brand extensions like Bud Light Lime, Bud Light & Clamato Chelada, Bud Light Paltinum, etc. also helps it in strengthening its presence in the beer industry (Anheuser-Busch, 2013).

One of the major weaknesses of Bud Light beer is its decreasing level of acceptability in various target markets. This decrease in acceptability and popularity is due to its "American" origin and the demand of local beer brands in those markets (Thomas & Maurice, 2011).

Bud Light beer has recently seen sales stagnate in some of its brand extensions. This is due to the customer preferences and loyalty with their favorite brands and flavors.

The consumer segment for beer industry is a little price-sensitive. Therefore, Anheuser-Busch has to set a competitive price for its top brands like Bud Light beer.

B. External Analysis

Opportunities

Threats

Anheuser-Busch can introduce more flavor variations in its Bud Light beer family in order to attract new customers and satisfy the existing customers in a more innovative way. Specifically for the Turkish market, Bud Light beer can be introduced in flavors which are more liked in the Turkish culture. It can enter into new potential markets and promote its Bud Light beer by communicating the benefits of non-alcoholic beers.It can run more effective advertising campaigns in order to keep its brand alive in the minds of its consumers (Kurtz, MacKenzie, & Snow, 2010).

Competitors have always been the biggest threat for Bud Light Beer. These competitors are producing equally competitive and substitute beer brands for the same target consumers. Therefore, they are posing a direct negative impact on the sales and profitability of Bud Light beer

Being an American brand, Bud Light beer faces boycotts and low acceptability in various markets of the world.

There are strict Governmental regulations and policies against drinking. The beer manufacturers have to comply with these regulations in order to operate in a lawful and legal way.

c. Market Situation:

Turkey is a potential market for beer manufacturers due to the ever-increasing demand for high quality beers and beverages by the local consumers. A large volume of branded beers are imported to Turkish cities every year which shows that Anheuser-Busch can find a large number of potential consumers for its Bud Light beer (Heritage, 2013). However, the tax rates for beer manufacturers have been continuously showing an increasing trend with almost triple digit increase every year. This increase is about 2.5% greater than the average tax rate increase in the European Union. The rising tax rates, inflation, and strict governmental regulations will put a direct negative impact on the company's profitability. It will be 15% more expensive for Anheuser-Busch to manufacture and sell its Bud Light beer in the Turkish market as compared to the United States (Economist, 2005).

d. The Customers (Target Market):

The target market for Bud Light beer consists of both male and female consumers above 21 years of age. Since beer industry is strictly prohibited to target younger customers, Bud Light beer cannot be advertised and promoted to the consumers who are below the minimum maturity age (Anheuser-Busch, 2013). Anheuser-Busch has not set a high price for its Bud Light beer brand; therefore, it can target all the income groups of the society who want highest quality light beer at very affordable price (Cadle, Paul, & Turner, 2010). The most potential target market for Bud Light beer constitutes professionals, students, and beer connoisseurs at large. Moreover, the Bud Light family consists of various flavor variations which are manufactured by keeping in view the different tastes and occasional requirements of the target consumers. Although Bud Light beer is sold throughout the year, the company observes a faster growth during special events, festivals, fairs, occasions, and seasonal celebrations.

e. Competitor Analysis:

The strongest competitors for Bud Light beer are the multinational beer brands which are offering the same highest quality beers at very competitive prices. The top industry rivals of Bud Light beer in the Global market include Coors Light, Tsingtao, Snow, Becks, Carlsberg, Guinness, Foster Lager, Heineken, Snow, etc. In addition to these direct competitors, Bud Light beer also faces an indirect competition from Anheuser-Busch's own brands like Corona, Brahma, Skol, Harbin, Antarctica, Busch, etc. In its business expansion strategy for the Turkish Market, Anheuser-Busch will have to analyze the local beer brands in addition to these Global brands. The top Turkish beer brands which can pose direct competition for Bud Light beer include Efes Pilsen, Becks, Miller, Gusta, Marmara Gold, Tuborg, Mariachi, Ritmix, Warstiener, and Fosters. These top beer brands have largely captured the Turkish beer industry; therefore, Bud Light beer will have to face a very strong competition in the course of establishing its presence in Turkish market (Mu-hlbacher, Dahringer, & Leihs, 2006).

Objectives

Management Objective: Anheuser-Busch aims to introduce its Bud Light beer brand in the Turkish market.

The possible research questions which can be answered and analyzed to achieve the aforementioned objective include:

1. Is the introduction of Bud Light Beer in Turkey market a potential opportunity for the company to expand its business network, strengthen its International presence, and become a more competitive brand?

2. What is the most potential consumer segment which Anheuser-Busch can target for its Bud Light beer?

3. What are the consumer preferences, life styles and cultural values which can affect the company's strategy to target Turkey market?

4. Is there any need for brand extension? Or the existing flavors will suffice for an effective country penetration?

5. What would be the most effective promotional and advertising medium in Turkey for Bud Light beer?

In the light of aforementioned research questions, the company will conduct market analysis to find.....