Craft Beer Target Market Paper

Craft Beer Target Market Craft beer by definition is a small brewery who brews small batches of beer, is an independent company, and has 25% or less of ownership in a brewery. According to the brewer’s association, a craft brewery produces less than 6 million barrels of craft beer each year. Over the years craft beer has been gaining ground in the retail channels and in the volume share of the craft beer market. 2016 statistical data show that the volume share of craft breweries is up 12.3% and the value of growth per dollar has increased by $23.5 billion dollars. Compared to the previous year in 2015, it’s a 10% increase. Today there are over 5,000 registered breweries and counting with more to come in the future. The marketing approach to

According to Kotler and Armstrong (2014), “Local Marketing involves tailoring brands and promotions to the needs and wants of local customer groups-cities, neighborhoods, and even specific stores” (p.205). To reach out to the market using the Micromarketing strategy is to use the lack of resources of breweries and pubs in the local area and capitalize by brewing and selling craft beer tailored to the lifestyle of the consumers in the area, creating that environment that’s welcoming and attracts the consumers, and to price the craft beer equal to the value that is presented to the

275). The market has already introduced many other products that are similar, but it’s still considered the introduction stage of the product life cycle due to the new introduction into the target area. The expense will add up introducing the craft beer that will differentiate from others and to market to the target market for acceptance. The positioning will be key into the areas mentioned earlier in places where it lacks breweries and pubs to help achieve acceptance into the market, gain customer loyalty, and move toward the growth stage of the product lifecycle. “Growth is a period of rapid market acceptance and increasing profits” (Kotler and Armstrong, 2014, p.