Asia Pacific Breweries' anchor beer in Singapore (A) : a repositioning decision

Abstract

In August 2001, Dorit Grueber, Assistant General Manager (Marketing) and Melvyn Ng, Senior Brand Manager (Specialty Brands), were discussing Anchor's future and examining the remaining three options available to them. Asia Pacific Breweries was the largest brewery in Singapore with operations in several countries, including Malaysia, Cambodia, Thailand, Vietnam, China, and New Zealand. Anchor beer was a mainstream value label that had been in the market for more than 70 years.

The brand suffered ten years of continuous decline in the 1990s and its market share had fallen to less than 6 percent. At this time some drastic decisions were clearly needed to either reposition or retire the non-performing brand. The two marketers were charged with the responsibility to evaluate the potential of Anchor beer and to define a new strategic role if possible. Melvyn Ng believed that repositioning was the best option but must now convince Dr. Les Buckley, General Manager, who had suspended all future expenditure on Anchor, that repositioning would return the sagging brand to profitability. Period covered 1990 – 2001