Line Extension:Kingfisher Ultra
Group 8:Anamika Mundhra (04)Dwip Sengupta (86)Ekta Poddar (87)Hersh Kenkare (91)Saurav Mishra (112)Shiladitya Sengupta (114)
Beer Industry: IndiaMarket volume (in million litres), 2006-2011 % market share (by volume), 2011
Sales of beer by segment, % volume,2011 Key highlights of the industry
•Beer Industry grew at 12% in total volume terms in 2011 to reach 1.9 billion litres•3% decline in imported premium lager in 2011 due to domestic launch of launch of Heineken beer by UB Ltd•Average unit price of beer rose by 7 % in 2011•Imported from : Singapore, Germany, Mexico, Belgium, Netherlands•Exported to: UAE, Singapore, US, Bhutan, Malaysia•United Breweries Ltd. dominates the Indian beer market with >50% of the market share by volume
United Breweries Ltd. - KingfisherUB Group
Aviation Beverage Alcohol
Fertilizers Engineering
Spirits Wines Beer
Kingfisher UB Export Kalyani Black Label
Premium
Strong
Blue
Bohemia
ULTRA
Heineken
Flagship Product
Line Extension
Launch Date 18th September 2009
Extension Type
Line Extension into the Super Premium Segment
POD Distinctive Taste, Unique Packaging (embossed flint
bottle, with the ring pull crown and the gold metalized neck and
front label)
Competitors Carlsberg, Heineken and Budweiser
Flavor Subdued malty note balanced with a hoppy bitterness
Tag Line Touch It. Feel It. Taste It
Price MRP in India- Rs 110
Need to enter the segment
Changes in Indian consumers’ demands with increase in
disposable income- ready to pay a premium for THE BEST
Beer Market: Segmentation
92%
8%
Beer Type
Std. LagerPremium LagerSpecialityAles, Stouts & Bit-tersLow Alcohol •Charac
terized by consumer affordability
•Wide price range- many brands
PRICE Segmentation
•Divided by lager types & taste
•Dominated by premium & std. lagers
QUALITY Segmentation
United Breweries Ltd. - Kingfisher
0.000%
0.200%
0.400%
0.600%
0.800%
1.000%
1.200%
1.400%
1.600%
1.800%
2009 2010 2011
Contribution of Ultra to the Group’s Overall Market Share
Sales by Volume (Mn Litres)
• Repositioning as Aspirational Brand aids in line extension into Super Premium Segment
Other Growth Drivers: Growing economy
Reduction in stigma associated with alcohol
Low Per Capita Consumption of Alcohol(Scope of Growth)
Perception towards the Flagship Products (before Ultra) Kingfisher ULTRA
United Breweries Flagship Products Kingfisher Ultra423.6 385.1 -488.7 446.3 -567.8 520 -676.9 610.1 3.5894.1 705.3 8
1051.5 819.9 17.2
Repositioned into an aspiration
brand(2003-04)
Brand for successful, young professionalsAlways ready to take a break, chill outPromoted through popular brand ambassadors & events
2011
2006
Launch
Kingfisher Ultra showing a steady growth in revenues, from its launch in 2009 till 2011
*Ex. Store, Delhi, 2012
PRODUCT Flagship brand in
Annheuser-Busch’s India portfolio
4% beer content
PLACE Targets metros &
smaller towns in North, West & South India
2 manufacturing facilities in Hyd., Pune
PROMOTION Target market: see box Activities include• Budweiser Clubbing• Football events• Budweiser Life
PRICE Rs. 100 for 650 ml* Priced at a 30-35%
premium compared to mass market beers
Marketing Mix
Competitor: Annheuser Busch - Budweiser
TARGET SEGMENTGender: Male
Age: 21-40SEC: A & B
Brand Element
Description
Tagline“King of Beers” – best
taste, masculine nature to appeal to target segment
Logo Crown logo reinforces tagline
ColourRed colour scheme
symbolizes energy & confidence
Brand Associations
Description
Sponsorship Sporting events (Man. United official sponsor, FA
Cup)
Yet to significantly leverage on secondary associations in India (laws against alcohol
advertising)
Brand Company name 2008 2009 2010 2011
Budweiser Anheuser-Busch InBev India Pvt Ltd 5.5 16.0 12.8 20.0
Kingfisher Ultra United Breweries Ltd - 3.5 8.0 17.2
Carlsberg Carlsberg India Pvt Ltd - 8.0 11.9 14.5
Comparison of Consumer Need: KF Strong vs KF Ultra
Kingfisher Strong: Standard Segment
Kingfisher Ultra: Super Premium Segment
Quality ConsciousRelate beer to Prestige – Brand Responsive Increased westernized tasteBetter Image Refined taste
Consumption Contexte.g. at a party, commuting
Needse.g. thirsty, need to have fun
Consumer Specific Factorse.g. demographics
Product Consumption
Time specific situational factors
e.g. time of day
Beer Consumption
Provides the “touch & feel” experience through distinctive taste & superior packaging innovations
(Emperor Cans, Flint Bottles)
StrengthStyleYouthfulnessPower & Machoism
Same Taste – Extra Dum
Kingfisher Premium – The Flagship Brand Kingfisher Ultra – The Line Extension
Comparison of Brand Association: KF Premium vs KF Ultra
Positioned as Lifestyle BrandBrand Promise – King of Good TimesPromotion Strategy - Fun Platforms
Brand Associations
Sports Fashion Music OthersIPL – 5 TeamsF1 – 1 TeamNFL – 1 TeamCorporate 5’sCarting
Fashion AwardsDesignersSwimsuit CalendarFashion week
MTV AwardsTalent ShowsRocktober FestPub Rock FestSalsa Contest
TGIOFThematic pubNight BazaarsCasino Nights
Brand Associations
Larger than Life – consistent with existing imageAssurance of differentiated experienceTouch It. Feel It. Taste It
Movie – REEL Nights
Music- Soul Flip(King of DJ, Bappi Lahiri)Fashion – Fashion Weeks (across India)Special Events –Game For A Game,Lounge Parties
classy, modern, urban, confident, independent, self assured
Associated Imagery:
Fun, Youth, Refreshing, Energy, Popular, Leisure
Associated Imagery:
QUESTIONS?
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