Thursday, March 21, 2019
Brown-Forman Corporation Marketing Study :: essays research papers
Brown-Forman Corporation Marketing Study desktopBrown-Forman Corporation is one of the largest American companies in the wind and liven industry, Fetzer Vineyards is their largest wine-colouredmaker. tax revenue and gross profit for the beverage segment of Brown-Forman were up 11% and 14%, respectively, in fiscal 2004. However, the growth was driven by the premium spirits brands, and the gross profit from the companys wine brands declined due to a drop in volume for both Fetzer and Bolla wines. There are umpteen symptoms for why this decline has occurred. Health consciousness is a rising manner among Americans of all ages and the latest crazes are the low-carbohydrate diets. Recently, Fetzer has introduced into the market two invigorated low-carbohydrate wines, a chardonnay and a merlot. Their premium spirits brands have not been affected by the new diets because bourbon, whiskey, rum, gin, and vodka all contain no carbohydrates. However, most mixers employ to accompany the se spirits usually contain a significant tot up of carbohydrates. Introducing these new wines could offer a new choice, but not a substitute, for many dieters and at the same time give Brown-Forman the lead in this new market.In 2003, Brown-Forman announced that they were going to begin using organically grown grapes to make their wine. Fetzer Vineyards plans to have nearly all the grapes used in its four major labels grown organically by the end of 2010. jibe to Marc Jonna, buyer for the Whole Foods Market, demand for organic wine is small, but a move by a major player like Fetzer could transplant that. Women already perceive wine as a healthier secondary to other alcoholic beverages. This health conscious image will drop by the wayside Brown-Forman to direct their marketing efforts in response to this cultural trend and punch the market by providing information through advertising about their new wine ingredients. Another symptom of the decrease in wine sales is due to the l ack of awareness among consumers about the types of wine available. In a restaurant setting consumers often shy away from ordering wine because they may feel uneducated about the types of wine offered or changeful about which wine would best compliment their entre. Restaurants have attempted to compensate this problem by educating their servers and providing progressive wine lists, but if a someone doesnt understand the difference between a blush wine and a full-bodied wine or if they feel it is a vex to ask questions the end result is the same, no wine has been sold.