Craft Beer Market Analysis
Factors like growing demand for beer, the penchant for newer flavors and varieties, and the emergence of newer microbreweries have been significantly boosting the growth of the craft beer market. Usage of premium raw materials and advanced brewing techniques are attracting the beer enthusiasts towards the craft beer market. The market is accounting for a major chunk of the total sales volume when compared to traditional beer because of the increased market penetration of local and international brewers. However, the seemingly steady growth of the craft beer market is suffering roadblocks owing to several factors.
- Limited fund: Scaling the heights in this fiercely competitive market is difficult if you lack a source of assured investments. With the surge of new microbreweries, several players in the craft beer market are finding it difficult to maintain a steady profit margin, which is consequently limiting the fund required for their market growth.
- Finding place in the distributor’s space: Leading players in the craft beer market are facing a tough time in securing a place for their products in the pubs and among the retailers. Pub owners and the distributors must be convinced with a very saleable product promotion with an evident shelf appeal. This becomes difficult at a time when connoisseurs of beer are spoilt with choices in the craft beer market.
- Marketing efficiency: An efficient marketing strategy plays a major contributing role in promoting the market growth, penetration, and success of aspiring players in the craft beer market. Digital marketing platforms such as social media channels play an important role in spreading the word on a product and is readily accessed and responded by the consumers. The craft beer market is yet to fully leverage the potential of the digital marketing campaigns for its brand promotion.
Category Management Process in Procurement
A category management process helps in the in-depth analysis and assessment of the supply market. It helps in evaluating sourcing destinations, monitor supplier performance, and facilitates an overall effective category planning cycle. A strategic category management process is characterized by steps to organize procurement resources, which helps to focus on certain specific aspects of spend. Application of the category management process in procurement helps the companies in reducing as well as tackling potential risks in the supply chain, and minimize the cost of procuring goods. An efficient category management process will facilitate better business relationships with the suppliers. It helps in establishing a single point of contact throughout the business structure, which fosters a streamlined communication and coordination. Another important aspect of the category management process in procurement is that it offers a clear overview of the overall category spend. It lays focus on specific areas of expenditure and offers key insights to the companies to readjust their procurement model as well as select suppliers who befit their procurement budget.