The battle for market share in the beer category has been fierce for many years. The latest move in this category may be the boldest yet: Miller and Coors are forming a joint venture in the U.S. The aim of the venture, known as Miller Coors, is to combine resources to better position their brands to compete with category giant Anheuser-Busch. Savings will be realized and efficiencies created in marketing and distribution. It is expected that the joint venture will also be beneficial in terms of strengthening relationships with retail partners for all brands involved.
This move couldn't come at a better time for Miller and Coors. A-B's market dominance makes it a never-ending uphill battle to take away market share. Also, the beer category has seen its share of total alcohol consumed slip as consumer tastes have shifted toward wines and distilled spirits. Today, all beer marketers are challenged with remaining relevant with consumers. Miller and Coors stand a better chance of success as a result of their joint venture. Link
Labels: Marketing Strategy