Oakshire Brewing Strategic Marketing Analysis

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Customers’ see the strong taste and variety of craft brews as added value compared to mainstream brews, allowing for a higher price point. Perceived value is created through unique taste, which differentiates the craft brews from the mainstream brews, a strong brand, like prior mentioned Rogue Ales created or through the feeling the beer or brand provides. Oakshire focuses on the feeling of community the beer transfers, while also creating a strong brand build around the breweries values.

Organizational Orientation

As a brewery Oakshire’s mission is to create beers with a diversity of flavors and profiles while engendering a community atmosphere between brewers and consumers. The core value of the company are defined well by the name Oakshire and is explained further on their website: ““The name Oakshire represents our core values: Strength, like the enduring Oak; Independence, which fuels our innovation; and Community, remembering our place within the whole.”[5] These values confer the vision of the company by establishing a framework to build their business. Oakshire is about a strong brand, strong beer, with strong flavor, being more independent than corporate beer, with autonomous brewing ideas and who respect and participate within the community they are established in.

Oakshire’s strategy is twofold, they produce a run of standard beers and seasonals. These include an IPA, an Amber Ale, Stout, Cascadian Dark Ale and winter beer, amusingly named “Ill Tempered Gnome”. These beers are mass produced, bottled and distributed in the wider Portland and Eugene markets. They are what most general consumers associate with the Oakshire brand. At the same time, Oakshire is branching out in the community of breweries who produce small batches of specialty beers, such as Bourbon/wine barrel aged varieties and wild fermented beers. These styles are not for the common beer drinker but place Oakshire in a niche market space with few competitors. In establishing themselves in this area they are making a move into a small but valuable market space as these special beers sell at a premium. [pic 6]

Oakshire is a market oriented organization; delivering a product to consumers that meets an established marketplace desire. As a brewery Oakshire produces many of the same varieties of beer that other craft breweries, such as Rouge distribute, like IPAs and Amber Ales. This illustrates that Oakshire is trying to gain market share in the standard Pacific Northwest craft beer industry. Other craft beer companies such as Cascade Brewing produce specialized products, such as sour and fruit beers. Breweries like this are more innovation based and have created their own smaller market segment or niche. Oakshire is not about specializing, they are trying to hit the largest market segment of craft beer drinkers. Effectively Oakshire is fulfilling the Pacific Northwest’s consumers desire for a variety of good tasting, affordable craft beers, which they can purchase in a store or at their favorite bar/restaurant.

Oakshire’s unique selling position is that for the craft beer market Oakshire provides a variety of brews that are high quality and produced by an independent community centric company. Oakshire’s unique selling position distinguishes it from competitors by being an independent community related business. They are proud of their place within the community and make it a point to provide special beers and events just for those around the Eugene area. This outreach increases the capacity for brand loyalty with their customers and would make a decision easier when a local community member is trying to decide where to have a dinner or what six pack to buy at the grocery store.

Organizational Capabilities

In order to get their run of craft beers to consumers in various locations Oakshire uses a blend of both tangible and intangible assets. Their tangible assets include their brewery space and equipment that are the backbone of any production brewery, allowing them to produce around a thousand barrels of beer per year. This resource is operational, with a 15 barrel system they are like many of the small to mid-sized craft breweries in Oregon which they compete with (tangible resources & Operational: 5). They also have a brew pub which allows the company to connect with the community in Eugene directly and generate loyalty. This resource is imitable, most successful Oregon breweries have a brew pub that could be a destination for consumers when they are in the area. They must distinguish themselves from other breweries in some way. For example, Hopworks has all organic food and Lucky Labrador is known for pizza. (Inimitable: 6). [pic 7]

Oakshire’s intangible assets and organizational capabilities are what allow them to compete in the wider Portland market. These include the brand of Oakshire, which has been increasing in visibility for the past few years. The brand is a valuable resource and competitive advantage, which allows consumers to trust that they are purchasing a quality product that they will likely enjoy (Organizational Capabilities & Value: 8). the most important capability and competitive advantage is the knowledge and experience of the brewers. By making consistent, delicious beers the brand of Oakshire has had the opportunity to grow. This resource is rare, a good brewer with experience is crucial for having a successful variety of beers. Without this knowledge, Oakshire may have been lost in the mix of startup breweries in the Oregon market in the past ten years (Intangible assets: 9).

To keep up with the high demand in Oregon’s craft beer market, Oakshire has had to compete on many levels in order to retain market share. Oakshire has the speed to keep up with the demands of the market, in order to stay close to consumers they have to produce and distribute their beer quickly and efficiently. In Oregon if one does not have the demanded supply for the distributors, you will lose your place on the shelves of local stores. Oakshire keeps up with this demand and always has bottles on the shelves along with its competitors (Speed: 7). To keep up with the demands of the market, Oakshire must continue to develop a consistently good product. Their flagship beers are always delicious with no off-flavors (Consistency: 9).

Along with its consistency of its year round run of beers, Oakshire has the acuity to keep up with the ever changing tastes of the beer market. The brewery has a series of single batch, small run beers that are developed to experiment with flavors and styles[6]. Oakshire also has a run of standard seasonal beers, matching taste and time of the year (Acuity: 7).For all the ability Oakshire has to compete

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