USA: Miller Genuine Draft tries to brew up interest with new attitude
Premium beer sales have seen better times, but brewer SABMiller has high hopes for reviving its second-most-important brand, Miller Genuine Draft, USA Today posted May 21.
Domestic premiums such as MGD, Budweiser and Coors once were the big barrels of the beer industry. Premium beer sales have dropped 22% since 2000, however, and now represent just 16% of the brew market.
Longtime rivals, the top U.S. domestic premiums can now drown their collective sorrows over the competitive marketplace light beers have come to dominate.
"Most of the loss in premium beer has gone right over to light," analysts provide. "Light beer is almost half the market. That's the establishment."
That has helped SABMiller revitalize its top-selling brand, Miller Lite, but is making it a tougher challenge with MGD. That hasn't stopped Miller marketers from pouring more money into new ads, marketing and packaging.
MGD is going after a more sophisticated drinker than has typically been associated with the beer crowd. The message in Miller Genuine Draft ads: Beer, grown up.
"A mistake we've made historically was to follow Budweiser and not to differentiate Miller Genuine Draft," says Terry Haley, MGD brand manager. "The opportunity to grow the brand is very rich, and we're doing it by creating an offering that ties into a big social trend: mainstream sophistication."
The ads aim to put the beer in the hands of mature urbanites who might also have a taste for wines and spirits. Strong growth by expensive spirits brands such as Grey Goose and the growing popularity of wine are among factors that have dampened beer sales.
Miller Genuine Draft TV ads by The Martin Agency, Richmond, Va., show young adult males giving up beer toys such as inflatable chairs, beer helmets and red party cups.
"Miller Genuine Draft is a beer for beer drinkers looking to step up," Haley says. "And better is not necessarily defined by a price tag or unique country of origin."
In one ad, as men relinquish the toys, the announcer says, "There comes a time when you're ready to move on to something better."
In another ad, the announcer says, "There's a line we all cross in our lives. It's the line between what can I have and what do I want." As he speaks, images show men buying their first home or a big-screen TV or getting married. The announcer continues: "When the time comes, things will change for the better, right down to the beer you drink."
The ads aim to look and feel different from other beer ads.
"Beer marketing has continued to depict a category that's been sophomoric in nature and appealing to a male archetype of 10 years ago," says Haley. "We understand that our consumers are smart and that the psyches of men and women have changed."
The ads were a hit with a target beer-drinking group — consumers 25 to 29 — according to Ad Track, USA Today’s weekly survey. Of those in that age group familiar with the ads, 27% like them "a lot" vs. the overall Ad Track average of 21%. The percentage of all adults giving the ads the top rating was just 11%.
While the needle might not be moving yet on sales, Haley says the ads will continue.
"We believe in what we're doing," he says. "We're tapping into a true social trend, and we're going to stay the course."
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