The Estrella Damm Beer Case: Brand Strategic Repositioning Establishing a Territory and Mobilizing Social Networks

Abstract

In the last decade, the Spanish beer market has undergone significant changes. Within this market, the traditional brand Estrella Damm produced in the Catalonian region had to simultaneously combat adverse commercial and social trends. Following an in-depth marketing and strategy reflection, the brand achieved a new and improved positioning while retaining and enhancing its geographical origins. Simultaneously, the brand made the leap to social network communication, generating a considerable volume of downloads and conversations while drastically reducing its investment in conventional media. It also made product consumption highly seasonal linking it to the summer period and launched highly visible and creative communication actions aimed at young audiences. Estrella Damm is therefore an outstanding example of strategic planning and social networks communication techniques application where the creation of a «brand's own territory» related, in this case, to a geographical demarcation with strong cultural and social roots is very evident. For the purpose of this study, this research applies case study techniques, content analysis of selected representative pieces and online actions monitoring. The paper also analyses the market, the brand evolution and the economic situation of the company through the use of existing scientific and professional literature.