South African Breweries is a proudly South African beer brand that has been in existence since 1895. SAB, as it is commonly known in the domestic market, is a direct subsidiary of Anheuser-Busch InBev (AB InBev) (www.Anheuser-Busch.co.za).
What is the definition of positioning in
brand terms?
According to Riezebos and Van der Grinten (2012:5) positioning is the prime method to counter the effects of the product, organisation and media explosions. By choosing a differentiating positioning that is relevant to the target group, a product brand or corporate brand can stand out amidst the huge offering of other brands and the overkill of media and advertising campaigns.
What
is the definition of differentiation in brand terms?
Differentiation is when a firm or brand outperforms rival brands in the provision of a feature(s) such that it faces reduced sensitivity for other features (Dirisu, Iyiola & Ibidunni 2013:1). Kotler (2013:282) concurs with the aforementioned statement by stating that differentiation is making consumers believe the firms offer is differenent (i.e. better) than those of the competitors.
SAB Positioning
SAB has done very exceptionally well both from an international operations perspective as well as on a domestic scale. The domestic market, in particular, has responded to SAB positively over the years as SAB continues to consolidate its position as a market leader in beer brands that caters for various markets, gender, geographic region and demographics. The diverse nature of South Africa has given SAB the impetus to experiment with different brands in order to capture a substantial share of wallet, increased share of visible inventory in stores, sufficient branding and marketing collateral inside and outside the store and other trade marketing initiatives geared towards retaining and acquiring new customers. Therefore, the aforesaid elements are some of the key ingredients that has propelled SAB to be a leading organisation in the beer industry.
SAB has positioned itself as a beer maker that is proudly South African, for South Africans. Despite its expansion to other territories in the African continent and overseas market, the company's relevance in the South African market has not declined. Instead, it has increased exponentially due to the fact that in many sporting adverts, in particular to Football and Rugby, they are found to be the major sponsors of those two sporting codes. This collaboration with these sporting codes is significant because these sporting codes command a large following from the South African public and are sporting codes that South Africans are passionate about.
Furthermore, SAB has also managed to position itself as beer beverage for all occasions. Whether you are at wedding ceremony, graduation party, local tavern, sports bar or traditional ceremony, one is guaranteed to find a SAB brand in a form of a Castle Milk Stout, Carling Black Label, Hansa Pilsner and a South African favourite, Castle Lager among many other brands in the SAB product line. The positioning of a beer for every occasion helps the brand to reach far and wide places, places that even South Africans would not be too familiar with. This reach is further augmented by the fact that SAB brands are incredibly accessible due to the fact that there are so many sports bars, traditional taverns and other channels that would serve beers and other beverages.
Furthermore, SAB has also managed to position itself as beer beverage for all occasions. Whether you are at wedding ceremony, graduation party, local tavern, sports bar or traditional ceremony, one is guaranteed to find a SAB brand in a form of a Castle Milk Stout, Carling Black Label, Hansa Pilsner and a South African favourite, Castle Lager among many other brands in the SAB product line. The positioning of a beer for every occasion helps the brand to reach far and wide places, places that even South Africans would not be too familiar with. This reach is further augmented by the fact that SAB brands are incredibly accessible due to the fact that there are so many sports bars, traditional taverns and other channels that would serve beers and other beverages.
Why is SAB so different from other beer makers?
SAB's zeal for excellence is deep rooted in their culture of delivering quality, variety and ensuring that the quality control of their beer brands is the same, where ever you may be either in South Africa or abroad. The standard that has been set by the organisation has ensured that they remain the market leader in producing beer brands from small to big occasions.
However, what SAB possesses that no other competitor does is the infrastructure capacity in terms of depots in many strategic geographic areas, a very precise Route to Market strategy that allows the company to easily navigate and target customers effectively and the many partnerships the company has forged over its many years of existence. Over and above the aforementioned points, the philosophy and culture of the company has carried them through the turbulent times in the company's history.
In addition, SAB has set up many entrepreneurial programmes that are geared towards to creating over 10 000 sustainable jobs for people who are currently unemployed. An organisation such as SAB understands that in a country such as South Africa, with an increasing unemployment rate and a substantial increase in youth unemployment, creating sustainable employment for people is paramount to contributing towards a growing and inclusive economy. Such initiatives from the organisation create concrete relationships between the organisation and community.
Lastly, SAB have forged relationships from a wide spectrum of key role players that are in the sporting, broadcasting and commercial perspective. SAB has partnered with the likes of the South African National Team, Bafana Bafana as well as the recently crowned World Rugby Champions, The Springboks. Moreover, the airing on above the line platforms such as television on the South African Broadcasting Corporation ensures that the brand reaches its audience during peak and prime times of the day. In addition, the availability of SAB brands in commercial entities such as the South African Airways and other prominent South African airlines ensures that the brand stays top of mind in the customers' beer preferences.
However, what SAB possesses that no other competitor does is the infrastructure capacity in terms of depots in many strategic geographic areas, a very precise Route to Market strategy that allows the company to easily navigate and target customers effectively and the many partnerships the company has forged over its many years of existence. Over and above the aforementioned points, the philosophy and culture of the company has carried them through the turbulent times in the company's history.
In addition, SAB has set up many entrepreneurial programmes that are geared towards to creating over 10 000 sustainable jobs for people who are currently unemployed. An organisation such as SAB understands that in a country such as South Africa, with an increasing unemployment rate and a substantial increase in youth unemployment, creating sustainable employment for people is paramount to contributing towards a growing and inclusive economy. Such initiatives from the organisation create concrete relationships between the organisation and community.
Lastly, SAB have forged relationships from a wide spectrum of key role players that are in the sporting, broadcasting and commercial perspective. SAB has partnered with the likes of the South African National Team, Bafana Bafana as well as the recently crowned World Rugby Champions, The Springboks. Moreover, the airing on above the line platforms such as television on the South African Broadcasting Corporation ensures that the brand reaches its audience during peak and prime times of the day. In addition, the availability of SAB brands in commercial entities such as the South African Airways and other prominent South African airlines ensures that the brand stays top of mind in the customers' beer preferences.
How does SAB gain competitive advantage through positioning & differentiation
SAB have used positioning to great effect by ensuring that the SAB brands are found in almost all beer outlets that people will normally make us of. Moreover, the slogan of "beer for every occasion' create a sense that everybody can enjoy the beer brands belonging to SAB. This message has a potential to transcend across many channels and borders that unites people under a specific brand.
As far as differentiation is concerned, the SAB brand has unique logo that has been in existence for well over a century. The longevity of the company has ensured that the there is credibility and prestige attached to the brand name that makes it easier for people to relate to the brand. In addition, strategic partnerships forged with various stakeholders, precise distribution centres, infrastructure capacity and the culture of excellence has solidified SAB brand as one of the most recognisable and distinct brands ever witnessed in South Africa and abroad.
Below is a video that demonstrates how SAB is different from any other beer producer in the continent.
Enjoy!
or alternatively, if you are unable to access the video above, you are more than welcome to click on the below link to access the video;
https://www.youtube.com/watch?v=6fFK6y7VQUw
SAB have used positioning to great effect by ensuring that the SAB brands are found in almost all beer outlets that people will normally make us of. Moreover, the slogan of "beer for every occasion' create a sense that everybody can enjoy the beer brands belonging to SAB. This message has a potential to transcend across many channels and borders that unites people under a specific brand.
As far as differentiation is concerned, the SAB brand has unique logo that has been in existence for well over a century. The longevity of the company has ensured that the there is credibility and prestige attached to the brand name that makes it easier for people to relate to the brand. In addition, strategic partnerships forged with various stakeholders, precise distribution centres, infrastructure capacity and the culture of excellence has solidified SAB brand as one of the most recognisable and distinct brands ever witnessed in South Africa and abroad.
Below is a video that demonstrates how SAB is different from any other beer producer in the continent.
Enjoy!
or alternatively, if you are unable to access the video above, you are more than welcome to click on the below link to access the video;
https://www.youtube.com/watch?v=6fFK6y7VQUw
