• University of Balamand

• BUSINESS marketing

Course: Principles of marketing

Final project: Beirut beer marketing plan

1

Product: Beirut Beer

‘Beirut Beer’ is a popular brand in Lebanon. It is a 100% premium Lebanese beer launched in

2014 by the food and beverages manufacturer Kassatly Chtaura, Beqaa Valley. It is owned

and made in Lebanon by and for the Lebanese. Beirut beer sales and profit where high and its

market share too. But, recently the economic crisis situation in addition to the corona virus in

Lebanon affected negatively on the product’s life cycle stage by causing a decline in the sales

and profits. Here is a full and detailed marketing plan for Beirut beer followed by marketing

recommendations that may enhance the product in the market.

Market Analysis:

The market size for beer consumption in Lebanon is estimated at 29 million liters annually.

The local beers in the market are: Almaza / 961 / Colonel in addition to foreign imported

beers: Budweiser / Heineken / Corona / Efes.

Beirut beer competitors:

Ø Direct brand competitors:

Since Beirut beer is a local brand, its direct competitors in the market are local beers.

1. ALMAZA: The market beer in Lebanon is dominated by almaza. It is considered as

the biggest and strongest competitor to Beirut beer since it is the first beer in Lebanon

launched in 1933 and it produces 23 million liters annually which is a considerable

amount of the market share. Price:2000 L.L

2. 961: It was launched in 2006. It has a total of 15% of market share. It has a great

distribution and it is exported to 12 countries other than Lebanon. Price:2750 L.L

3. COLONEL: It was launched in 2014. It is a strong competitor since its beer quality is

high, available in different and strong flavours and it is positioned in the market

differently by serving the beer in an eco-friendly restaurant near colonel brewery.

Price: 2000 L.L

Ø Indirect brand competitors:

Imported beers: Corona from Mexico / Efes from turkey / Heineken from Netherlands /

Budweiser from Germany.

Other drinks (energy drinks / juices) are considered as substitutes to Beirut beer since

purchasing them can satisfy thirst with a great taste at low prices too.

2

Environmental Analysis:

Ø The Micro-environment:

Company: Beirut beer was launched by food and beverages manufacturer kassatly chtaura.

The factory in Chtaura targets the local market, as well as Syria, Jordan, and African

countries after its success in Lebanon. The aim of the company is to increase beer

consumption to ten liters per capita within five years. Kassatly’s objectives and plans includes

dominating the beer market by creating a competitive environment and gaining 20 percent of

the market share during the first year.

Suppliers: In Kassatly Chtaura, there are international professional consultants employed

with the proper skills to achieve the company’s wanted goal. Their machines, brewing

process, and know-how were brought from Germany. The resources (water, malted, barley

and hops) used to produce the beer aren’t imported but local.

Marketing Intermediaries: The company provides insightful knowledge about its beverage

and also promotes their product through the media on their website – beirutbeer.com – which

also helps people who are looking for its factors before purchasing the product. Beirut beer

also promotes its products through billboards, ads, banners at supermarket which are an

effective marketing support to reach the target. Beirut beer distributes its products to mostly

all local markets, Syria, Jordan, and African countries (indirect channel distribution).

Competitors: Beirut Beer differentiates and creates a competitive environment in the beer

selling industry due to its innovative methods and brand value. Such as its variation of sizes

and shapes giving consumers multiple options to choose from. Also, it is particularly cheaper

compared to its competitors. Even though its price is lower than other local beers but its

quality is high and positioned in consumer’s mind since the company employed the finest

lager specialists and producers to work on its product. In addition to the manufacturer

‘kassatly Chtaura’ that is known with expertise. Beirut beer is a consumer need and it satisfies

its customers’ needs by using only the best resources. It also contains a competitive advantage

in the matter that it is a 100% Lebanese beer with a differentiated taste than its competitors.

Publics: Beirut beer’s public is mainly local, since it is a locally produced product, therefore,

the local public makes up a major part of its customers. It is also composed of a media public

3

since the company is so heavily involved in promoting and advertising its products through

social media. Beirut beer is also offered to other countries like Africa, Jordan and Syria.

Customers: Beirut beer is a consumer market as it manufactures its product to be a

consumer’s good that targets customers’ needs in order to make individuals purchase it. Its

customers are reseller markets too since the firm distribute the beer to resellers.

Ø The Macro-environment:

Demographic environment: Beirut beer is a product designed to target young and fresh

consumers, also known as millenials. The older generation has already created a sense of

customer loyalty to other brands of beer, and most of beirut beer’s commercial targets a

young audience.

Economic environment: Beirut beer is one of the most affordable product in their

environment to purchase as one 330ml bottle of Beirut beer is sold for 1,350 LBP. Since the

product is produced in Lebanon and the country is currently dealing with a serious economic

crisis that might affect buyers on spending money on products they do not necessarily need to

survive, therefore, the company might suffer some economic crisis but would still have some

advantage over its competitors for being the most affordable option.

Cultural environment: Simply for the fact of being 100% Lebanese beer, Beirut beer provides

the Lebanese public with a sense of familiarity in certain ways. Lebanese people are very

fond of their culture and Beirut beer uses that to their advantage, such as by using Lebanese

slangs in their commercials like “y3eshouwa” also known as let’s live it. Beirut beer is not

purchased by people whom religion forbids alcoholic drinks since it contradicts their core

beliefs. The wine culture in Lebanon may affect on the beer consumption, since it is more

favourable and demanded.

Technological environment: Beirut beer’s factory has a capacity of 200,000 hectolitres per year. All

items are imported from Europe and a German team of beer professionals spent a year to build one of

the finest breweries in Lebanon. Beirut beer is brewed by new and advanced machines.

Political environment: Beirut beer has shown to be a very competitive brand and does what it

can to remain ahead of its competitors. Although comparative advertising is banned in