|
|
 |
|
Viewing report
|
|
|
|
Bronco Wine Company Case Study: Making Wine Accessible by Succeeding in the Discount Segment
Datamonitor, April 2008, Pages: 8
OUR VIEW 1
CATALYST 1
SUMMARY 1
ANALYSIS 2
Bronco Wine is the fourth largest US wine company, benefiting from efficient bulk wine operations 2
Bronco sells over 20m cases a year from its 35,000 acre site 2
The companys 'industrial' production methods facilitate high profitability despite low margins 2
But its California rivals accuse the company of devaluing the wine making region 2
Bronco was fined in the past for passing off cheaper varieties as more expensive wine and lost a lawsuit preventing it from selling Napa branded wine 3
Bronco defends its philosophy by insisting that it is fulfilling mass market consumer needs by providing everyday wine 3
Bronco has achieved substantial success with its highly accessible 'Two Buck Chuck' brand 4
The company emphasizes its branding rather than the wine location, bucking wine conventions 4
Despite this, Bronco does not advertise and has no website, relying instead on word of mouth recommendations to galvanize sales 5
Bronco wine is sold in premium looking bottles to help provide a credible on-shelf presence 5
Charles Shaw brand is dubbed 'Two Buck Chuck' due to its US$2 price tag 5
This is because even for value purchases consumer expectations have increased 5
The brand does well in wine competitions, helping boost its profile 6
APPENDIX 7
Case study series 7
Methodology 7
Secondary sources 7
Further reading 7
Ask the analyst 7
Our consulting 8
Disclaimer 8
List of Figures
Figure 1: The Charles Shaw brand is marketed as an everyday table wine 6
|
|
|
|
