Mountain Man Case

1. What is Mountain Man Brewing Company’s positioning relative to its competitors?

• There are four main beer producer categories: major domestic (74% market share), second-tier domestic (12.5% market share), import (12% market share), and craft (1.5% market share).

• In the light beer market, Anheuser-Busch has 49% of the market, Miller has 24%, Coors has 11%, other brands have 14%, and imports have 2%.

• Many independent breweries in the East Central region have closed over the past 40 years due to the abundance of beer in the region and also competitive pressure from large national brewers.

• MMBC has survived because of the large market it serves and its strong brand (MM Lager has a brand loyalty rate of 53%, much higher than large domestic competitors).

• MMBC’s most significant competitor is Anheuser Busch. With premium beer market on the decline, MMBC is struggling to maintain market share against the large domestic brewers such as Anheuser Busch that are spending heavily to maintain sales.

• The brand (Mountain Man Lager) is well known as “West Virginia’s Beer.” Won awards in 2005 – 8th year straight of “Best Beer in WV,” and “Best Beer in Indiana” and “American’s Championship Lager”

• Held top market position among lagers in WV for almost 50 years, and had respectable market share for a regional brewery in most states where it was sold.

• Relies on history and status as an independent, family-owned brewery to appeal to blue collar, mid-low income men over 45.

• Unaided response rate of 67% from West Virginia’s adult population, best-known regional beer.

2. What factors have contributed to making MMBC a strong brand (your answer should highlight factors that contribute to brand equity).

• MMBC had held the top market position among lagers in West Virginia for almost 50 years and had respectable market share for an old school, regional brewery in most of the state where the beer was distributed.

• Taste, price, the occasion being celebrated,...