Milwaukee – Proclaiming Miller Genuine Draft “Beer. Grown Up,” Miller Brewing is repositioning the brand to woo sophisticated 20-somethings – a segment that’s straying from domestic brews in favor of light beer, imports, spirits and wine.
From helping launch a fashion designer on the Sundance Channel to partnering with GQ magazine, Miller’s second-largest premium brand is being targeted to drinkers in their middle to late 20s who have grown out of the party scene, might be making more money and now want the better things in life.
With beer sales falling flat across the industry, brewers are diversifying their reach, especially those in the domestic premium market. Light beer now takes about 49 percent of the market and is considered the standard beer, according to the trade newsletter Beer Marketer’s Insights.
So domestic premium brands such as Miller Genuine Draft, Budweiser and Coors Banquet are trying to grow their roughly 16 percent stake in a stagnant market, according to a study in a recent issue of the newsletter.
Coors Brewing Co. is also changing the way it talks to consumers about its premium beer, Coors Banquet, said Kabira Hatland, a spokeswoman for the Golden-based brewer, a unit of Molson Coors. New ads will focus on how the beer differs from others in the category, highlighting its use of water from the Rocky Mountains, she said. The last ad campaign centered on men going out on the town, she said.
“What we are finding in a category like domestic premium beer is it’s important to differentiate yourself from the other beers so that when a consumer sits down at a bar, he or she understands why he wants to order your beer compared to other ones,” Hatland said.
Domestic premium sales have dropped 22 percent since 2000 and 7 percent from 2004 to last year, said Benj Steinman, publisher of Beer Marketer’s Insights. Imports have a 12 percent share, and craft beer is at 3.5 percent, so domestic premium is still larger than those. But it has been losing ground, he said.
The key this year will be whether light beer continues to grow or domestic brewers step up to regain lost drinkers, he said, though it’s not clear how much success Miller will have with its new branding effort.
Miller, a unit of SAB Miller PLC, has launched its “mainstream sophistication” campaign to make Miller Genuine Draft appeal to a wider audience. This summer, the company is sponsoring events with GQ magazine and a show on the Sundance Channel about British fashion designer Ozwald Boat- eng’s introduction to America.
Gone are the days of chugging beer and sitting in inflatable chairs, at least for Miller Genuine Draft drinkers, said Terry Haley of Miller Genuine Draft.
