How Hipsters are Driving Up The Price of Beer (with pricing strategy lessons)

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Hipsters are driving up the price of beer, maximizing the profit for companies like Pabst and Coors. In this deck we conducted a study on this phenomenon and included some pricing strategy implications for your business.

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Profit Maximization Price IntelligentlyTM

What Pabst Blue Ribbon & Hipsters

Can Teach You About Profit Maximization…

PUNK.

Profit Maximization Price IntelligentlyTM

A cold beer & summertime make a perfect pair.

Profit Maximization Price IntelligentlyTM

But if you enjoy the cheap stuff…

Profit Maximization Price IntelligentlyTM

Profit Maximization Price IntelligentlyTM

By as much as 6.8 %

Profit Maximization Price IntelligentlyTM

What’s thecause

Profit Maximization Price IntelligentlyTM

HIPSTERS.

Profit Maximization Price IntelligentlyTM

Data reveals they’re willing to pay as much as five bucks for a PBR

Profit Maximization Price IntelligentlyTM

While regular folks won’t shell out

much more than two.

Profit Maximization Price IntelligentlyTM

Why do hipsters love PBR so much?

Profit Maximization Price IntelligentlyTM

The answer is in

the image

Profit Maximization Price IntelligentlyTM

It’s now

“cool” to

drink botto

m shelf brew

s

Profit Maximization Price IntelligentlyTM

So what does this mean for

?

Profit Maximization Price IntelligentlyTM

Hipsters increased demand

Profit Maximization Price IntelligentlyTM

Raised the value

of the beer

Profit Maximization Price IntelligentlyTM

And became a profitable market segment.

Profit Maximization Price IntelligentlyTM

SO PABST & THE BARS

RAISED PRICES.

Profit Maximization Price IntelligentlyTM

But they could price themselves out of the hipster market

Profit Maximization Price IntelligentlyTM

The low price is part of the appeal

Profit Maximization Price IntelligentlyTM

And it bolsters the

image

Profit Maximization Price IntelligentlyTM

But as long as the kids will pay for it…

Profit Maximization Price IntelligentlyTM

Pabst and the bars

WILL BOOST THEIR PROFIT MARGINS

Profit Maximization Price IntelligentlyTM

Download our free e-book to stop guessing, and start pricing intelligently.

Profit Maximization Price IntelligentlyTM

Download our free e-book to stop guessing, and start pricing intelligently.

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