pabst blue ribbon in china: brand analysis

Erika Friedmeyer & Brynn Erb

Introduction -- 蓝带啤酒O Zhaoqing Blue Ribbon Beer Co., Ltd. -- Chinese

producer in GuangdongO More than 350,000 tons of beer produced at a

25 billion yuan annual profitO Products sold in over 30 provinces,

municipalities and autonomous regionsO Considered one of China's most popular

consumer products, one of the largest-selling foreign beer brands, ranking 3rd in market share

O "Food safety first" -- promote clean production, saving energy, environmental/economic benefits, high-quality raw materials (yeast, hops, etc) chosen by US experts

O Largest American-owned breweryO 1844 – Est. by Jacob Best,

Milwaukee, WIO 1882 - Blue ribbons tied around

the necks of "Best Select" beer bottles (became part of the name in 1895, official brand name in 1899)

O 1889 - Becomes Pabst Brewing Company

O 1990 - Enters ChinaO 2003 – Top three in market

share, Quality and customer satisfaction award

O 2004 – Named one of China’s 100 most competitive brands

O 2006 – Named one of China’s 500 most trusted brands by consumers

Pabst Blue Ribbon Background

Brand Creation and Positioning

Endorsed Brand Relationship(Pabst Brewing Company)

CBBE

Identity

American, Milwaukee

beer

American, Milwaukee

beer

Meaning

One of China’s best-

selling foreign beers

Retro, trendy,

American beer

Response

Oldest American

beer

Quality product, award-winning

Relationship

Luxury, high-quality

American beer

Highest customer

satisfaction, traditional

beer

Competitive Frame of Reference

Target Segme

nt

• Blue-collar (PBR)/White-collar (PBR 1844)

PoPs • Lager, Light beer

PoDs• Retro, Artistic, Range of

products/prices, Only ale in China

Mantra • “Just let go”, “ 天长地久”

Brand Building

Brand Elements

Memorability • Logo and IdentityMeaningfulne

ss• Descriptive name: ‘Blue Ribbon’

Likeability• Logo and name imply award-winning

qualityTransferabilit

y• World-wide sales – adding new market

segment with PBR 1844

Adaptability• Has done no adapting, simply name

translationProtectability

• Legally protected (trademarks and patents)

Brand MarketingO Buzz marketing in

the US – explicit advertising in China

O PBR 1844 -- super high-class, expensive beer ($44/bottle)

O Customer participation art campaign

Secondary Brand Associations

O Army/militaryO 南风窗 respected biweekly business

magazineO In US: “Gran Torino”, “Blue Velvet”

Conclusions & Recommendations

• Youthful; classic; two completely different market segments

Strengths/Weaknesses

• Budweiser owns Harbin Beer and is expanding rapidly; beer market decreases as national income increases; hipster/retro identity

Opportunities/Threats

• Develop mid-range beer

Strategy Recommendations