Carlsberg's China strategy
As Carlsberg's helm,Joergen Buhl Rasmussen faced a problem: since invested billions of dollars to establish a dominant position in Russia, nearly half of Carlsberg's profit comes from the area. However, it is beneath good fortune that calamity crouches. First quarter of fiscal 2010, Russia beer sales in market subdued because the Russia Government to increase alcohol taxes twice times, It is a blow for Carlsberg, which for Russia as the main source of profits.
Therefore, early 2011, Rasmussen said, "as for 2011, we predict that the marke twill have some degree of promotion, and this promotion is not limited to Russia, which lead the Eastern European market. "After a series of actions, Carlsbergis aiming the new growth engine in Asia in order to reduce Russia's reliance on market. Asian regions such as China, Viet Nam and India's beer market is rapidly expanding, but, if you want to grasp market opportunities in Asia, there are a lot of things to do.
At present, China's premium beer market volumes accountfor the market's overallcapacity by about 15%. High-end is one of the Carlsberg’s important strategies in China.
For Carlsberg, to occupy the "crown" position is the Carlsberg brand in all its brands. Therefore, before Carlsberg entered an important market, have to go to the local market and make a Carlsberg brand marketing planning.
"Such as India and China, we will first introduce the Carlsberg brand, after good performances at local markets, then on the basis of sales structure and market insight, gradually brought in a similar manner by which other brands on the market. It is good for our business growth. "Carlsberg's China CEO Stephen Maher said.
At present, under the influence of Carlsberg brand, Carlsberg is progressively introducing its brand in China., such Le Fort brand ,is Carlsberg's fastest-growing high-end market in China,. " Le Fort will be the Carlsberg brand portfolio strategy in China and top-end of an important deployment. "Ma Ruchao said.
Carlsberg's understanding of western China beer market is similar to "Europe" rather than the "China market". By sparsely populated western China, the difference is huge, there are significant differences in living habits and the regional consumption habits, considering the mistake strategic when entered the Chinese market for the first time, their strategy of regional brand is "reservation, innovation and nurture strong", through innovation to avoid local brand aging continuously, enhance brand image and brand profitability.
"We have high-end international brands in China, some Western brands are realizing the high-end products. According to local needs, our product quality, design and brand positioning has been increasing. "Ma Ruchao believes that in terms of consumer recognition, there is a big difference between Western cities and first-tier cities, but it is undeniable, Western also some relatively strong consumer spending power of people. "Like young people, both East and West or North and South, young people's consumption level and consumption habits are very close,such as a love of music, culture and love of the lifestyle, even with the young people of Europe is similar. Therefore,for Le Fort brand, we use global music and culture platform to communicate with young consumers. "
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