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Situation Analysis

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Gross profit was almost $5 billion in 2001. Spent $722 million on advertising in 2001 ... Advertising Budget- 'If it ain't broke, Don't fix it! ... – PowerPoint PPT presentation

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Title: Situation Analysis


1
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2
Situation Analysis
  • Market Share
  • Anheuser-Busch leads U.S. with a market share
    just shy of 50
  • Gross profit was almost 5 billion in 2001
  • Spent 722 million on advertising in 2001

3
Situation Analysis
  • Promotions
  • Promotes its brands through extensive sponsorship
    of the worlds premier events
  • NASCAR
  • 2002 World Cup and Winter Olympics
  • Memorable ad campaigns

4
Marketing Goal
  • During our planning period, we expect our total
    dollar sales to increase to 13 billion.
  • This would include selling 100 million barrels at
    130 a barrel.
  • Our profit would be 5 billion.
  • We would secure a market share of 50.

5
Marginal Goal
  • Where We Stand
  • Anheuser-Busch (Budweiser) already has an
    incredible hold on the current market.
  • Our company symbols have been noted numerous
    times for being the most recognized in the
    country.
  • Our goal is to maintain
  • the current success, not
  • to saturate the market.

6
Marketing Strategy
  • Distribution Channels
  • Currently, 600
  • wholesalers distribute
  • 62 of its U.S. volume.
  • Distribution, unlike your competitors, is done
    exclusively with only your products.
  • Use secure internet and satellite TV to
    communicate needs of wholesalers quickly.

7
Marketing Strategy
  • Advertising Budget- If it aint broke, Dont fix
    it!
  • Due to our history of strong competitive
    advertising success, we plan to continue our
    tradition of excellent advertising.
  • We will use a
  • similar advertising
  • budget as we have
  • in years past.

8
Marketing Strategy
  • Advertising Budget
  • Using Percent-of-Sales to calculate this years
    budget, we plan to spend about 5.7 of our
    projected total sales on advertising, which is
    approximately 740 million.
  • Last year we spent 722
  • million our increased spending
  • reflects the same percent-of-
  • sales ratio as last year, but we
  • expect an increase in total sales
  • this year.

9
Marketing Strategy
  • Target Market
  • Male
  • Age 22-39
  • Fully Employed
  • Estimated Size of the target market
  • 2.5 million people

10
Marketing Strategy
  • Planning Period
  • Our planning period is for one full month of
    June.
  • Beer Sales prove to be highest in the summer
    months.

11
Thank you Budweiser
  • We hope to have the opportunity in working with
    you and continuing to set the high standards that
    have kept you ahead of the pack!

12
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