Marketing Strategy and SWOT Analysis of Bud Light
Bud Light made its debut in the United States in 1982. It was branded as Budweiser Light from 1982 to 1984 and was only available in a 14.8 fl. oz. can. On this site, we’ve written extensively on Bud Light. This blog will investigate their marketing strategy to discover the mystery of Bub Light’s success.
Mission and Vision Statements of Bud Light
Bud Light’s mission statement:
“We bring the same dedication and commitment we have for brewing great American beer to supporting the communities we call home.”
Bud Light’s mission statement is motivating because it tries to inspire employees and the workforce to give their best performance toward Bud Light’s goal attainment. Bud Light’s mission statement is also inspiring in that it instills in employees the need for growth and improvement – not just for the firm but also for themselves.
Bud Light’s vision statement:
“Barley is an ancient grain and a whole grain, largely believed to be the first farmed grain in the world.”
The vision statement for Bud Light is its strategic plan for the future – it defines what and where Bud Light Company wants to be. The vision statement for Bud Light is a document identifying the goals of Bud Light to facilitate its strategic, managerial, and general decision-making processes.
Positioning strategy of Bud Light
Football is here, tailgating is in full swing, and Bud Light is giving football fans worldwide another cause to rejoice this season. Following the brand’s 2023 NFL campaign, “Easy to Sunday,” Bud Light is now increasing its college football footprint, officially sponsoring more than 50 college teams and providing straightforward enjoyment to 21+ college football fans throughout the country throughout the weekend.
As part of the expansion, a new limited-edition collection of Bud Light College Team Cans will reach stores and stadiums with a chance to win a once-in-a-lifetime private jet gameday flyaway experience and special team gear to display their colors proudly. The beer company is also launching a collegiate edition of the Bud Light Backyard Tour, bringing gameday vibes and top DJs to college towns throughout the country ahead of some of the season’s biggest rivalry games.
“Join us for the best party and an icy cold beer to get warmed up for some of the biggest football rivalry games of the season” – Loud Luxury, a worldwide touring dance music duo.
Based on the above characteristics, we may infer that Bud Light is a brand archetype for the Everyman (Regular Guy).
What information do we need to know about this archetype?
The urge to engage in active connection with people.
The goal is to become a member of (a group).
Develop everyday solid values as well as the ability to fit in.
Level 1: desolation.
Level 2: abandoned and lonely orphans looking for a place to call home.
Level 3: the newcomer is learning to connect, fit in, accept help, and make new friends.
Level 4: the humanitarian, who believes that everyone has innate dignity regardless of skill or circumstance.
Companies can benefit from the Everyman archetype if they adhere to the following characteristics:
Whose application is relevant to all humans.
Whose products are beneficial for their customers in daily life.
A price that falls between average and below average.
Here is some more information about Archetypes…
We recommend reading “8 Steps to Complete Archetypal Branding” to learn how it might help your messaging.
After reading the book, you will get detailed answers to the following branding questions.
To begin, you will learn how to communicate a distinct and clear message to your audience by understanding your product’s and brand’s mood. What is the essence of your message’s intended expression? Using the archetypes, create all your brand pieces. What exactly do I mean? The motto, logo, packaging, and retail designs were all inspired by the archetypes’ flowing tale. The first aim is to become a hero, and the second is to get experience. We may combine these ideas and employ archetype-based communication to make the message more powerful.
SWOT Analysis of Bud Light
Strengths:
In recent years, it has effectively combined several technological businesses to simplify its operations and develop a stable supply chain.
Trustworthy suppliers: The firm has a solid base of reliable raw material suppliers, allowing it to overcome any supply chain bottlenecks.
Strong dealer community: It has established a culture among distributors and dealers in which dealers promote the company’s products and educate the sales staff to explain to the client how to get the most out of the items.
Successful training and learning programs have resulted in a highly competent workforce. Bud Light invests heavily in employee training and development, resulting in a team that is highly competent and driven to succeed.
Strong Returns on Capital Expenditure: Bud Light is generally effective at project execution and has earned strong returns on capital expenditure by developing new income sources.
Bud Light has created a strong distribution network over the years, allowing it to reach most of its potential market.
Excellent Free Cash Flow: Bud Light has exceptional free cash flows, which allow the corporation to invest in new ventures.
Product innovation requires a proven track record of developing new goods.
Weaknesses:
Investment in R&D is lower than that of the industry’s fastest-rising firms. Despite spending more than the industry average on R&D, Bud Light has been unable to compete in innovation with the market’s leading companies. It appears to be a mature company eager to release goods based on market-tested features.
Bud Light’s profitability ratio and Net Contribution% are lower than the industry average.
There are gaps in the company’s product line. This lack of options may give a new rival a foothold in the market.
Days inventory is high compared to rivals, requiring the firm to obtain additional funds to spend in the channel. It may influence Bud Light’s long-term growth.
Integration of enterprises with distinct work cultures has not been very effective. As previously said, while Bud Light has effectively combined small businesses, it has also failed to unite organizations with distinct work cultures.
More investment in innovative technology is required. Given the magnitude of expansion and diverse locations the firm plans to enter, Bud Light must invest more in technology to unify operations across the board. Currently, technology investment is not keeping pace with the company’s objectives.
Compared to its competitors, it is not particularly adept at estimating product demand, resulting in more missed chances. One of the reasons Bud Light’s days’ inventories is more extensive than its competitors is that the company is not particularly effective at estimating demand. Thus, it keeps more lists both in-house and in the channel.
Opportunities:
New environmental policies: The new opportunities will level the playing field for all industrial participants. Bud Light will have a fantastic potential to capitalize on its edge in new technologies and acquire market share in the new product category.
After years of recession and poor development in the industry, the economic rebound and rise in customer spending represent a chance for Bud Light to gain new customers and boost its market share.
The government’s green initiative allows state and federal contractors to purchase Bud Light goods.
Lower inflation rate: A low inflation rate increases market stability and allows Bud Light consumers to obtain loans at a lower interest rate.
Stable free cash flow allows for investments in neighboring product categories. The corporation may invest in new technologies and product sectors with more cash in the bank. It should provide Bud Light with new opportunities in other product categories.
Bud Light may use the new technologies to implement a distinct pricing approach in the new market. It will allow the company to retain its existing consumers by providing excellent service and attracting new customers through various value-added offerings.
The new taxation policy will significantly influence how businesses operate and will provide new opportunities for established companies, such as Bud Light, to boost their profitability.
Market development will dilute competitors’ advantages, allowing Bud Light to strengthen its competitiveness compared to its competitors.
Threats:
The demand for highly profitable items is seasonal, and any unexpected incident during the peak season may influence the company’s profitability in the short to medium term.
A skilled labor shortage in key worldwide regions threatens Bud Light’s ability to maintain consistent profit growth in such areas.
Rising wage levels, particularly movements such as $15 per hour, and rising costs in China may significantly strain Bud Light’s profitability.
Different nations’ liability laws differ, and Bud Light may be subject to various liability claims if regulations in those markets alter.
Rising raw material costs may jeopardize Bud Light’s profitability.
Imitating counterfeit and low-quality products is dangerous to Bud Light, particularly in emerging and low-income areas.
Given the diverse regulations and constant variations in product standards in those areas, the corporation may face litigation in numerous markets.
In some areas, growing local distributor strength is challenging since competition pays larger margins to local distributors.
What Market Category has Bud Light selected?
But first, commercial.
According to a press release, Bud Light has expanded its “Easy to Drink, Easy to Enjoy” platform with its “Biggest Summer Campaign Ever.”
Anheuser-Busch (AB) InBev is putting some real marketing power and increasing advertising expenditure behind Bud Light as the corporation attempts to recover from a scandal that knocked the brand from its throne as America’s best-selling beer — a position it has held for more than two decades.
According to a press release, Bud Light has expanded its “Easy to Drink, Easy to Enjoy” platform with its “Biggest Summer Campaign Ever.”
Anheuser-Busch (AB) InBev is putting some real marketing power and increasing advertising expenditure behind Bud Light as the corporation attempts to recover from a scandal that knocked the brand from its throne as America’s best-selling beer — a position it has held for more than two decades.
The “Easy to Summer” commercial makes Bud Light relive the “good times” of the famous disco tune that acts as its music. The 60-second commercial features classic summer imagery such as coolers on blacktops, fridges full of Bud Light and limes, uncomfortable tan lines, and many funny party fouls.
In addition, the company will continue prior music-focused initiatives by supporting the Bud Light Backyard Tour, a summer concert tour including performers Tyler Braden, Seaforth, and others.
Bud Light is also looking ahead to the next NFL season, which is generally a focus of its marketing efforts. NFL talents Travis Kelce, George Kittle, and Dak Prescott appear in new advertising that will debut ahead of the season, and fans can win signed memorabilia from the players.
Only at this stage does it become clear that Bud Light has chosen to target Hedonists.
What information do we have about this segment?
Values and way of life:
Nobody understands how brief life is. As a result, each day must be as full of experience and joy as possible.
Hedonists are known to undertake ridiculous things for the sake of enjoyment. Assume you went to a concert with a Hedonist.
They could go on stage and do weird things to spice up the experience. This portion is quite welcoming. Their interface does alter. One minute, you may see them at a shopping mall, while the other minute, you may see them in a pub.
Hedonists will occasionally invite a couple of their friends over to their home. They must, once again, engage themselves in some way.
So, for the occasion, they may watch a football game and enjoy a beer or two with crispy chips.
Hedonists don’t mind obstacles. They will make rash decisions if they are bored, even somewhat. Those can include changing schools, jobs, companions, and romantic partners. That’s why connections in this segment are frequently short-lived.
They may have a limited budget, but you may need assistance determining this. Hedonists are highly concerned about their looks. It is one of the most essential perspectives in their life.
They must keep up with the most recent trends, which gives them a distinctive, one-of-a-kind, and eye-catching appearance. Looking well may be an indication of happiness, which Hedonists value. If Hedonists thin down to lose weight, it is for their appearance rather than their health.
Cash is the most motivating aspect of the job for Hedonists. For Hedonists, everything at work must be under control.
This portion certainly fits the stereotypical ‘ macho’ mentality. “If you’re going to drink, you should get drunk.” “If you’re a lady, you should stay at home.” “If you’re a man, you shouldn’t cry.”
The family is at the bottom of the Hedonists’ need list in this frenetic manner of life. In any event, Hedonists may occasionally have a meal with relatives.
Shopping perspective:
Hedonists, for the most part, choose well-known brands. Traditional brands, in their opinion, enhance the person’s image. Hedonists will occasionally purchase genuine products. However, they do it to brag once again.
They must express admiration for various things to stand out from the crowd. Putting quantity over quality is not a prohibited buying practice for Hedonists.
Hedonists are risky consumers. They are not the type of people who plan their shopping trips. Hedonists will occasionally employ well-known brands.
In any event, that is only true when such products are popular. This demographic enjoys browsing small shops, yet they will still take their time to pick the most significant items.
The Bud Light Marketing Strategy and SWOT Analysis ended there. We hope you enjoyed yourself. We are sure that these blogs will be both appealing and informative. It’s always interesting to learn about something new. As a result, for more postings, please visit our main website!
