By Gu Yang, Liu Cheng
Set up in 1903, Tsingtao Brewery Co., Ltd. have been maintained its unique manufacturing technique, qualified technology team and its particular product quality though its property right has been assigned for several times before the establishment of PRC; besides, it has become one of the widely praised "Made in China" brands.
Now, by cooperating with the Olympics, Tsingtao Beer with a history of one hundred year is locating itself onto a new position, that is, the international image representative of "Made in China". "Our goal is to become an internationalized enterprise with global influence and to gradually realize the internationalization of market, brand and capital. The Olympic Games offers us a platform to advance ourself", said by Jin Zhiguo, the president of Tsingtao Brewery Group.
"Give me an Olympic place to stand, I will realize the dream of internationalizing Tsingtao Beer." Yan Xu, the vice president and the marketing director of Tsingtao Brewery Group told the reporter that, during the time of over two years in Olympic marketing, the sales volume, profits and brand reputation of Tsingtao Beer had been exalted greatly. Its profits in 2007 increased 27.7% over the same period of 2006, with a sales volume of 5.05mln KL. In the first quarter of 2008, its brand sales volume increased by 31.9% over the same period of last year, much higher than the average increasing rate of the industry.
There is a natural interpretation of beer and Olympics -- passion. This interpretation gets further performed in the marketing battle concerning the Olympics.
"In China, Tsingtao Beer can be one of the largest companies that have close relationship with Olympic Games. What's the reason? It's safe to say all the sports games in the world cannot leave beers. It's a carrier for releasing feelings." Jin Zhiguo said, in short term, the goal to expand the market with Olympic sponsorship had been achieved; however they care more about the realization of long-term strategy of Tsingtao Beer.
In as early as the end of 2001, Tsingtao Beer put forward the idea to transform the operating strategy from "bigger and stronger" to "stronger and bigger". "This new strategy implies the dream of a brand, a process to change from "publicize" to "attract". In other words, by strong brand influence, achieve a wholly harvest of enterprise influence, market occupation rate and commercial profit rate."
In 2005, Tstingtao Beer formally announced the new brand view of "Passion make success". On 26th June of 2005, the slogan of Beijing Olympics "One World, One Dream" was unveiled officially. This happens to have the same view with the brand view of Tsingtao Beer. In August of the same year, Tsingtao Beer became the sponsor of Beijing Olympics and began the journey to realize the Olympic Dream.
Concerning the Olympic Motto of "Faster, Higher, Stronger", Tsingtao Beer immediately published its Olympic strategy of "passionate plan in four years": "Light the passion" in 2006, "Pass the passion" in 2007, "Release the passion" in 2008 and "Perform the passion" in 2009.
This series of marketing measures not only actively combines the Olympic spirit with the brand view of Tsingtao Beer, but also displays the social beneficial function and good company image of Tsingtao Beer as a large enterprise.
"The following effects of real Olympic marketing will appear in three to five years." Yan Xu, the vice president and the marketing director of Tsingtao Brewery Group told that, in the process of planning Olympic marketing, Tsingtao Beer didn't simply print the mark of Olympics on products and brand marketing. Instead, it focused more on the relation between enterprise ideal, product connotation and the Olympic Games, and got more preparation to step towards the international market.
The Olympic Games was visually called "International brand factory". Many international brands like Sony, Nike, Sumsung and LG got their fame through the Olympic platform. Whether Tsingtao Beer can seize the present opportunity and exalt completely the international brand influence has always been a major concern for the management team of Tsingtao Beer.
"Though Tsingtao Beer gets much popularity in foreign market and is sold in 62 nations and regions including America and Japan, the exportation rate only occupies 1% of the total production of Tsingtao Beer. The internationalization speed falls behind the internationalization strategy." Jin Zhiguo said frankly.
"Last year, the Board of Director made the decision to set up factories in Bangkok of Thailand. Now the project is developing smoothly. It's a long way to search in the mode of setting up factories in overseas market; however as long as it is successful, this mode can be quickly duplicated in other countries and regions." Jin Zhiguo said, "seizing the chance of Olympics and actively exalting brand influence by the Olympic platform will establish a sound basis for overseas development."
Jin Zhiguo said, "Becoming the Olympic sponsor is only a qualification in Olympic marketing. The Olympic Games is held within a short period, while the Olympic spirit can live longer. I think this spirit is just the motivation of the faster, higher and stronger development of Tsingtao Beer!"
