Beer Brand Royal Expanding It's Market in Canada

The aim of this report is to discover what Royal Unibrew should do to successfully enter Canadian beer market. In order this aim to be achieving situation analysis has been done with conclusion in SWOT analysis. SWOT contains from internal and external analysis. Internal analysis consists from Value Chain analysis, organization structure’s and culture’s analysis and a description of core competencies. These analyses are giving detailed information about product development and design, production, marketing and sales, service and a company competitive advantage(es). The external analysis part consists of Porter’s Five Forces Model of Competition and PEST analysis. The external analysis shows what the current situation in the Canada’s beer market is. The target group was defined and linked with a choice for the marketing strategy – the target group is 25 until around 50 years’ old males and females, business people who are career oriented, with goals in the life, take the life not any more so easily, with serious attitude, but also open minded. This target group is active, social and communicable. The last thing which describes this exact target group is where it is distributed – the fifth biggest provinces in Canada. After the target group has been specified, the company have had position their brand “Royal” as an ice breaker. The marketing actions should focus on business, family or linked with sport events meetings. The main idea is not to make a beer like an escape from situation, but with humour and in the same time classic- connected with the target group, to show the funny side of the meetings. “Royal meetings demand Royal beer!” For marketing strategies Market segmentation was chosen. This strategy is the only one of the 3 Porter’s generic strategies which fits with “Royal” beer. It is easier to market, because the campaign can be focused on particular target group where needs and wants are similar. The market segmentation is also chosen because a potential target group for “Royal” beer is too wide. By narrowing it the advertising campaign can speak up more customers. The distribution of “Royal” beer is the same like FAXE, because of already established transportation routes. Imported directly to the province liquor distribution centres which every province have. Because of the large quantities of units, the product should be shipped by sea. This is a lot cheaper method, then by air. From the ports it should be transported by road, with transportation trucks. A logistics company should be hired for this, like DHL, UPS, FedEx. As marketing campaign is the only way how it is possible to promote a liquor product in Canada, it was defined. The campaign have included TV commercials, posters, advertisements in magazines, sales promotion, sponsorship, internet ads, social media, commercials in pubs, bars and restaurants and merchandising. When the marketing plan and the idea of how the product will be sold, which is the target and what are the strategies, budgeting have been done. The budget consisted of three parts profit, cash flow and investment budget. This part ensures that the product will be profitable. Gantt map was made for easily understanding the distribution and sales of ‘”royal” beer.