Santorini Brewing Company: The Home of The Donkeys
- celiabistit
- Oct 12, 2022
- 15 min read
This project calls for an effective public relations plan, in order to introduce a product of Greek origin in a foreign market. This will be done through analyzing the product, as well as the selected market of choice and tailoring the campaign accordingly. Santorini Brewing Company has managed to elevate its products during the ten years in which they the operate. “Lazy Ass” by Santorini Brewing Company is a unique, fruity and fun beer, and it was chosen to be introduced in Lisbon, Portugal. The Portuguese express sentiment and appreciation towards moments dedicated to leisure and entertainment, which formulates the ideal leeway for the introduction of a new beer; a drink that conveys social interaction and entertainment with friends.
This project will present an effective communication strategy for the chosen product, done so in a way that addresses the needs and preferences of the Portuguese consumers. The campaign will begin starting from June of 2021. Since Portugal is a small-scale country, similar to Greece, this campaign will work as a tester. After one year, it will be evaluated whether the campaign faced enough success in order to expand the product in Spain as well.
Santorini Brewing Company is a business of Greek descent. It is located in Santorini, more specifically in Mesa Gonia. Santorini is one amongst the hype-induced islands of Greece; therefore, recognition is mass. It was founded by four individuals interconnected by a friendship bond, in 2011, and it has been operating since then. Four people, each acquainted with different abilities, came together to create the brewing operation; a Serbian brewer named Boban Krunic, a multi-talented American named Majda Anderson, Yannis Paraskevopoulos who is a Greek winemaker and Steve Daniel, an English brewer (Santorini Brewing Company, 2021). The company is relatively new, celebrating its one-decade anniversary just this year.
The company’s logo is a donkey, and each of their beers are named after one. Donkey-riding in Santorini was a popular tradition, as “the local people were using these animals in order to transfer goods or as a mean of transportation around the island,” (Vrana, n.d.). This was a prevailing action at a time where asphalt was yet to be laid on the roads and the only way people could transport from one place to another was through donkeys. Certainly, this action has been brought to a halt. Nonetheless, the donkey is a representative animal of Santorini to this day.
The beers that are produced are each named after a donkey, giving them an entertaining twist and each a set of personality traits. For instance, the product chosen for this campaign is called Lazy Ass. It is a lager, with a refreshing combination of fruity and spicy elements, based on Mandarina Bavaria hops (Santorini Brewing Company, 2021). This beer is produced through a collaboration between the Santorini Brewing Company and Flecks Microbrewery in Austria; the brand came up with the recipe, whilst the brewery in Austria produced it. It is a refreshing unfiltered drink, without preservatives and it is a feel-good product.
The mission of the company focuses on changing the boring outlook on beer, by producing products which have exciting flavors that give them a personality. When the company was established, they stated, “hoping to add something new and different to the admirably boring -until then- beer scene of colorless and odorless lagers,” (Santorini Brewing Company, 2021).
The company wishes to maintain the process of their brewing. The steps they carefully follow result in exceptional tasting beer. “Unfiltered, to capture every particle of flavor, our extraordinary "lagered ales" are alive with personality,” (Santorini Brewing Company, 2021).
· Dedication to quality
· Commitment to service
· Environmentally friendly
The objectives of a company are implemented goals that are placed within realistic and doable boundaries, in order for it to successfully overcome them. The Santorini Brewing Company began their initiation with the main goal to produce a beer unlike any other. Their unique brewing processes make this possible, as they produce beers with flavorful elements. In addition, the four individuals that founded the company desired to give their beers personality traits that give them character in correlation with the flavors. Their objective is to differentiate their products amongst the competition in the beer market and communicate this uniqueness to those who seek for something different.
The stakeholders of a company are basically people and organizations that have an interest in the company, whether that is financial or anything else. Santorini Brewing Company has a few external stakeholders. Primarily, the Austrian brewing company, with which Santorini Brewing Company collaborated to create the Lazy Ass lagered beer, is one of them. They are called Fleck’s Brauhaus Technik, located in Austria.
Beer is a fun beverage. The target audience usually embodies males between the ages of 20-40, with an independently financial lifestyle. They usually enjoy and engage in social outings, pairing them with a bottle of beer. According to a survey conducted by FHE Health 69.13% of millennial males consume beer (Meghan, 2020). Moreover, beer, unlike other alcoholic beverages, can adapt to many social situations like a night-out, a day on the beach, or an after-work relaxation beverage.
Specifically, the Donkeys target the Experimenters. This consumer profile describes the people who “are looking for unique taste profiles and variety,” (Restaurant Business, 2015). The majority of millennials opt for more experimentational lifestyles, they are keen on trying innovative food and drink options that mirror their more active lifestyle that strays away from traditional values. They are also concerned for the environment; and Santorini Brewing Company goes by their value that they are environmentally friendly.
Strengths
· Unique brewing company
· Unique products with innovative takes on taste
· Crazy Donkey exported to the United States in 2013 (Press Release, 2013)
· Exports to 37 states in the US (SWOT analysis of founders Brewing Company, n.d.)
· Substantial range of beer types and flavors
· Support for the locals
· Environmentally friendly
Weaknesses
· Exports only to the US and within the US only in 37 states (SWOT analysis of founders Brewing Company, n.d.)
· Calories range from 147-379, which is more than other beers (SWOT analysis of founders Brewing Company, n.d.)
· Brand smaller compared to its competitors
· Products pricier than competitor brands
Opportunities
· Ranked 17th largest craft brewery in the US (SWOT analysis of founders Brewing Company, n.d.)
· Small enough brand to be experimental with new beers (SWOT analysis of founders Brewing Company, n.d.)
· The brewery in Santorini could attract the tourists visiting the island
Threats
· Small brand which means competitors have a stronger position in the market
· Larger companies with more leniency on budgets can compose counter marketing plans (SWOT analysis of founders Brewing Company, n.d.)
· More unique tastes make it harder for the brand to engross in the mainstream market
The company has great online presence. Certainly, since they are not as big as competitor brands in the market, the engagement is not as rich, but that does not mean that it is not effective. A hashtag under the name #thesantorinibrewingcompany circulates on Instagram, under which people post brand-related pictures. The hashtag has more than 1000 posts, and it is followed by many. This opens channels of communication and engagement between the consumers.
In addition, they have blog section on their main website. This displays fun stories and pictures regarding the products. They also have a recipe for their “The Lazy Lovers” Cocktail, which incorporates the beer that this PR campaign will be about. This certainly increases reputation.
Despite the brand’s satisfactory variety of the types of beer they brew, their main issue is that they do not export enough products compared to other brands. Even though they have successfully managed to export a few of their beers, lager Yellow Donkey and lager Red Donkey, to the United States, exports are still running on low numbers. This PR plan will be an initiative campaign, to export and promote the brand’s products in Lisbon, Portugal, in an attempt to expand their recognition.
Country: Portugal
Population: 10,196,709 million (2020)
Capital City: Lisbon
City Population: 2,972,000 (2020)
Official Language: Portuguese
Currency: Euro
Type of Government: Semi-presidential representative democratic republic
Portugal has been in the European Union since 1986. It is governed through a democracy, in which people vote for the party rather than the individual. Therefore, the party which is voted in picks the prime minister. The Socialist Party is the main political entity currently (Portugal: Economic and political outline, n.d.).
Taking into account the outbreak of COVID-19, a life-threatening illness which has brought global havoc amongst all governments and how they subsequently deal with the situation, the situation in Portugal is not much different. “Costa’s Socialist minority government experienced some turbulences during 2020, mostly due to COVID-19-induced economic and sanitary crisis,” (Portugal: Economic and political outline, n.d.).
Portugal has certainly undergone its ups and downs within economic frameworks. Currently their GDP is 257.06 billion USD, their GDP per capita is 25 USD and the unemployment rate stands at 7.7% (Portugal: Economic and political outline, n.d.).
Portugal was amongst the countries that received a very hard blow following the outbreak of the financial crisis of 2008. Since then, they managed to recover and sustain their economic growth, up until COVID-19 hit. This certainly had an effect on the economy as a whole, as we as unemployment which temporarily increased to 8.1% (Portugal: Economic and political outline, n.d.).
As far as imports go, in 2019 Portugal was ranked number 37 in total imports and number 45 in total exports (Portugal (PRT) exports, imports, and trade partners, n.d.). This displays that they import more products than they export.
In the social aspect, Portugal finds itself in a similar state to that of other European countries. Overall, benefits in the workplace are relatively supplied. “Medical benefits are provided to all residents and cash sickness and maternity benefits are provided to employees,” (Portugal - social development, n.d.). Women are also provided with equal treatment, as well as protection when and if needed. 13% of the population report a dissatisfactory level of life and 12% of the population live under relative income poverty standards (OECD Better Life Initiative, 2020).
Portugal finds itself very fortunate with their technological advancements. “In the latest years, technology has turned into one of the main investment fields,” (PESTLE Analysis Contributor, 2019). They are also making great use of renewable energy sources, which is always a positive contribution to environmental preservation and technological advancement. In addition, the country has set the grounds for global companies to emerge their products in the market due to their modern tech innovations (PESTLE Analysis Contributor, 2019).
Since Greece and Portugal are both members of the European Union, the legalities regarding the importing process will be easier. “Union goods may be moved from one point to another within the customs territory of the EU without any change to their customs status,” (Import customs procedures in Portugal, n.d.). Overall, Portugal receives several imported products from countries around the world; therefore, regulations are specific, especially for products within the EU.
The tax implemented on imported beer is 10.44€ for °PLATO 1,2 – 7 % (Excise duties compliance: Distance selling alcoholic beverages in Portugal, 2020). This initially means that it is 10.44€ per 1 hectoliter of beer, hence 100 liters. Therefore, since beers range within the 5% volume of alcohol, this would translate to 12°PLATO, making the price 25.06€ per 100 liters.
In Portugal, the legal drinking age for beer and wine is 16, while for harder liquors and spirits it is 18. This is similar to most European countries. In a report that was released in 2020, it was reported that almost 30% of the overall population consumed alcohol on an every-day basis, and amongst the male population 40.3% of them consumed alcohol daily (Statistics Portugal, 2020).
Overall, due to COVID-19 people began consuming alcohol at home; nonetheless, there was still a decline observed due to restrictions and halts on tourism. “Despite strong growth in the off-trade channel…, the on-trade sales decline is expected to drive down total volume sales,” (Alcoholic drinks in Portugal, 2020). The impact of the pandemic is prominent on the market of alcohol consumption, since all restaurants, bars, and clubs were shut down due to lockdowns.
The media landscape in Portugal is rather diverse. As far as the country’s media consumption goes, television seems to take the role of the most consumed medium amongst the population. “According to the 2016 edition of the survey “Public and Media Consumption”, 99 percent of those surveyed regularly watch television, with no significant differences in terms of age or gender,” (Portugal Media Landscapes, n.d.). The same survey exhibited that the 60.5% of those who participated used the internet.
1. Power Distance: this signifies the extent to which the power of institutions is distributed and subsequently understanded within the society
2. Individualism: this aspect touches upon the extent to which a society gives more emphasis on the individual with little emphasis on group ties
3. Masculinity: the extent to which a society distributes emphasis on genders and the position they withhold within it
4. Uncertainty avoidance: this connotes the way a society deals with situations that lack certainty of construction
5. Long-Term Orientation: the viewpoint through which a society filters societal changes and whether those are encouraged or frowned upon
6. Indulgence: how the society controls and maintains their desires and impulsive thoughts based on their values
The cultural dimensions affect the way a society function. For Portugal, the factors go as such:
1. Power Distance: 63%
2. Individualism: 27%
3. Masculinity: 31%
4. Uncertainty Avoidance: 99%
5. Long-Term Orientation: 28%
6. Indulgence: 33%
1. “Portugal’s score on this dimension (63) reflects that hierarchical distance is accepted and those holding the most powerful positions are admitted to have privileges for their position,” (Country Comparison, 2020). This means that those who find themselves in higher positions are accepted and more likely expected to have control over those below them. This at times causes for negative attitudes in the workplace, and in institutions that hierarchical positions are imposed.
2. “Portugal, in comparison with the rest of the European countries (except for Spain) is Collectivist (because of its score in this dimension: 27). This is manifest in a close long-term commitment to the member ‘group’, be that a family, extended family, or extended relationships,” (Country Comparison, 2020). The fact that Portugal values collectivism over individualism exhibits the fact that they have a close relationship with those around them, and they value family time, but as well as time with friends. Loyalty is a big part of their culture, whilst grooming the idea of strong ties.
3. “Portugal scores 31 on this dimension and is a country where the key word is consensus. So polarization is not well considered, or excessive competitiveness appreciated,” (Country Comparison, 2020). Portugal does not seem to be overly masculine, which means that it is less competitive and the distribution between the genders is more fair than other countries with very high masculinity percentages.
4. “If there is a dimension that defines Portugal very clearly, it is Uncertainty Avoidance. Portugal scores 99 on this dimension and thus has a very high preference for avoiding uncertainty. Countries exhibiting high Uncertainty Avoidance maintain rigid codes of belief and behavior and are intolerant of unorthodox behavior and ideas,” (Country Comparison, 2020). In societies like this there is a strong need and urge for implemented rules and order. The need is just for them to be there, even though they sometimes may not work.
5. “A low score of 28 shows that Portuguese culture prefers normative thought over pragmatic,” (Country Comparison, 2020). This signifies that long-term decisions do not concern such societies, whilst they tend to focus on more short-term, quick-achieving results.
6. “A relatively low score of 33 indicates that Portugal has a culture of Restraint. Societies with a low score in this dimension have a tendency to cynicism and pessimism,” (Country Comparison, 2020). This aspect of the cultural dimensions exhibits the extent to which the society hinders their desires and indulgences. Certainly, this causes for the upbringing of negative behaviors if people do not have the freedom to do as they desire.
Overall, Portugal values strong ties with friends and family. Since beer is a social drink, this works in favor of the campaign. Beer can accompany many social situations whether that is watching a football match with friends, to spending a day at the beach with family members or hanging out at a bar.
The objectives of a campaign are usually divided into ‘input’ and ‘output’ objectives. The Santorini Brewing Company will follow these objectives in order to establish the goals of the campaign in the Portuguese market.
Input Objectives
The initial purpose is to generate awareness within the targeted audience, since this brand is new, and people are not familiar with it yet.
Informational: To raise awareness about the company and their products, by 35% during the first two months of the campaign.
After the audience has been informed about the initiation of the brand, it is vital to establish positive feelings towards the brand.
Attitudinal: To generate positive attitudes towards the brand and their products by 25% during the first three months of the campaign.
Finally, after the favorable attitudes have been generated, the final step is to influence the behavioral aspect and have the audience engage with the brand.
Behavioral: To monitor the audience’s engagement with the brand and the products by 20% during the first two months of the campaign.
Output Objectives
· To make billboard posters and place them in bus stops and metro stations in order to raise awareness about the products
· To create a friendly and attractive local website for the brand, in order to ensure positive engagement with the audience
· To create an Instagram page promoting the beers in an aesthetically pleasing manner, to attract the appropriate consumers
· To create a short TV advertisement about the products, indicating the brewing process and the distinguishable flavor elements, in order to raise aid the favorable attitudes
· To host a beer festival by the end of summer, in order to ensure engagement and positive attitudes towards the brand
The target audience of a campaign takes great role of significance, since everything done within it is based on the communication tactics and processes. The Santorini Brewing Company, through this campaign, aims to target people from ages of 20-35. The main target is mainly men, since they tend to consume more alcohol, and specifically beer, than women. These are men who are financially independent, standing in the middle to upper class, and have an experimental approach to life. They like to try out new things, since they also have the financial stability to do so, and most importantly they enjoy moments with friends. Since beer is a social drink, the aim is to emphasize this aspect and communicate to them that Lazy Ass by Santorini Brewing Company is an exceptionally tasting beer, with a funky name that appeals to them.
From: Statistics Portugal, 2020 file:///C:/Users/30698/Downloads/26InqNacSa%C3%BAde2019_EN_Retif.pdf
This chart exhibits the drinking habits of a proportionate sample of the Portuguese population. It exhibits that males tend to consume alcohol daily more than women do. In addition, men who are within the campaign’s target audience (20-35) have a habit of consuming alcohol weekly, which aids and ensures the potential success of the campaign.
The Portuguese consumers value entertainment and leisure time, which makes this beer ideal since it conveys social engagement and fun with friends. In addition, they have a growing concern with the environmental aspect of products, like the sustainability of a brand (Portugal: Reaching the consumer, n.d.). Santorini Brewing Company abides by their value that they are an environmentally friendly brand.
Primarily, the campaign will follow a B2C approach, which means that the campaign communicates with the client. “B2C PR concentrates on targeting the general public, presenting a product or brand directly to the consumer,” (Neo PR, n.d.). This signifies that the tactics of communication used will be directly targeted towards the consumers. The innovative and unique brewing process, alongside with the funky names that represent the products, and specifically Lazy Ass, will be used in order to attract the consumers.
The total budget of this campaign will be 20,000 Euros, and it will unfold within the course of 8 months in order to reach satisfactory consumer penetration. It will begin in May of 2021 and will start reaching potential during the summer months. During the summer, COVID-19 restrictions are being lifted, since people have the ability to sit in the outside spaces of bars, restaurants etc., while always abiding by the social distancing rules. The opening of bars, but also the ability to enjoy the outdoors with nicer weather, will give the beer a fundamental starting ground in order to reach the consumers. The campaign will target the capital city of Portugal, Lisbon, because it is densely populated in comparison to the rest of the country, as is also the center of entertainment and tourism. This ensures that consumer penetration will be easier.
The tactics of the campaign will be a few. Communication will take place through the use of social media, posters but also a TV commercial. Even though television is a traditional medium, which is less frequently used nowadays in campaigns since people tend to make greater use of social media, Portugal has a very high percentage of television consumption.
The billboard posters will be hung on local busy spots, in order to raise awareness and attract the desirable attention. People within the targeted age group tend to use public transport a lot as a main mean of transportation. Therefore, the location of the posters is ideal in order to reach them. On the posters, the Instagram page of the brand will be displayed, giving people the ability to look it up. The local website will also be shown, for further information if urged to be sought.
By the end of summer, a beer festival will be hosted by the company as an event to establish engagement and a positive approach towards the brand. This, of course, will be done when and if the COVID-19 restrictions allow for it. However, since vaccination is going well, by the end of summer this might be well plausible.
Works Cited
Alcoholic drinks in Portugal. (2020, September). Retrieved April 11, 2021, from https://www.euromonitor.com/alcoholic-drinks-in-portugal/report
Country comparison. (2020, August 12). Retrieved April 12, 2021, from https://www.hofstede-insights.com/country-comparison/portugal/
Excise duties compliance: Distance selling alcoholic beverages in Portugal. (2020, October 28). Retrieved April 12, 2021, from https://becompliant.tax/excise-duties-compliance-distance-selling-alcoholic-beverages-in-portugal/#:~:text=Excise%20duties%20in%20Portugal%20for%20beer,-Standard%20rate%20for&text=0.5%25%20and%20%3C%3D1.2%20%25.,-Reduced%20Rate%20applied
Import customs procedures in Portugal. (n.d.). Retrieved April 11, 2021, from https://santandertrade.com/en/portal/international-shipments/portugal/customs-procedures
Meghan. (2020, May 18). A survey on millennial drinking trends. Retrieved April 10, 2021, from https://fherehab.com/news/millennial-drinking-trends#:~:text=to%20their%20gender.-,Millennial%20Alcohol%20Addiction,42%20percent%20of%20the%20wine.
Neo PR, (n.d.). “B2B Vs B2C PR: What's the Difference?” Neo PR, 27 Nov. 2018, www.neopr.co.uk/2018/04/b2b-vs-b2c-pr-whats-the-difference/.
Restaurant Business. (2015, February 26). Who are your beer customers and what do they want? Retrieved April 10, 2021, from https://www.restaurantbusinessonline.com/consumer-trends/who-are-your-beer-customers-what-do-they-want
OECD Better Life Initiative. (2020). How's Life In Portugal? Retrieved April 12, 2021, from https://www.oecd.org/portugal/Better-Life-Initiative-country-note-Portugal.pdf
Our story. (2021). Retrieved April 10, 2021, from https://www.santorinibrewingcompany.gr/our_story
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Portugal (PRT) exports, imports, and trade partners. (n.d.). Retrieved April 11, 2021, from https://oec.world/en/profile/country/prt
Portugal - social development. (n.d.). Retrieved April 11, 2021, from https://www.nationsencyclopedia.com/Europe/Portugal-SOCIAL-DEVELOPMENT.html
Press Release. (2013, October 21). Greece's Santorini Brewing Co. releases its first beer in the U.S. Retrieved April 10, 2021, from https://www.brewbound.com/news/greeces-santorini-brewing-co-releases-its-first-beer-in-the-u-s
Portugal: Reaching the consumer. (n.d.). Retrieved April 12, 2021, from https://santandertrade.com/en/portal/analyse-markets/portugal/reaching-the-consumers
Statistics Portugal. (2020, June 26). National Health Survey. Retrieved April 11, 2021, from https://www.ine.pt/xportal/xmain?xpid=INE
SWOT analysis of founders Brewing Company. (n.d.). Retrieved April 10, 2021, from https://creately.com/diagram/iwijmonu/SWOT%20Analysis%20of%20Founders%20Brewing%20Company
The Santorini Brewing Company. (n.d.). Retrieved April 12, 2021, from https://www.santorinibrewingcompany.gr/beers
Vrana, D. (n.d.). Santorini Donkey ride. Retrieved April 10, 2021, from https://traveler.byunique.com/article/101/santorini-donkey-ride#:~:text=The%20Island%20of%20Santorini%20has,sign%20of%20the%20previous%20centuries.
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