Monday, June 22, 2009

Beerfest Asia 2009






Introduction of Beerfest Asia 2009

Beerfest Asia 2009 was held in Singapore from 29 April – 3rd May over the Mayday weekend. A huge crowd of around 14,000 people poured in over the three days to take the opportunity to sample beers from the different countries including Germany, USA and even the “closer to home” Asian countries such as Thailand. During the event, there were many performances and activities such as a performance by world famous band Vertical Horizon to keep the customers entertained. (http://www.beerfestasia.com/index.php?option=com_frontpage&Itemid=1)

Comparing Beerfest with Oktoberfest

A festival that is similar to Beerfest and also hugely successful would be Oktoberfest. Oktoberfest is an extremely popular festival in beer loving Germany. Oktoberfest was first held in the year 1810 and is still going strong till today. Do not be mistaken by the name, Oktoberfest. The 16 day long festival is not held throughout the month of october. It was moved up to September to take advantage of the warmer nights and traditionally, the last Oktoberfest Weekend is held in October. (http://www.oktoberfest.de/en/02/content/faq1/)

However, if we were to compare Oktoberfest with Beerfest Asia in terms of their marketing strategies, they are similar in certain aspects but overall; I would have to say that Oktoberfest triumphs over Beerfest Asia.


Marketing Strategies include the 8 P’s. Product, Place, Partnerships, Promotions, Packaging, Programming, People and Price.

The 8 Ps

Product


It is essential that the event meets what the potential customers need, want and will pay for. This may include the product itself or a service. Beerfest Asia has a huge tent located at The Singapore Flyer. There are about 100 different beers for customers to sample. During my visit, the service was average at best. Not everyone had a smile on his or her face. This might be due to the fact that we visited during the night and the service staffs were worn out.
However, Oktoberfest in Munich has 14 different tents for customers to choose from as compared to only one in Beerfest Asia. This most probably means that the variety of beer choices in Oktoberfest is larger as compared to Beerfest Asia. Also, according to the Oktoberfest website, “The waiters/waitresses (almost) never forget to smile, regardless how busy or hectic it gets.” (http://www.oktoberfest.de/en/03/content/augustiner/)

A noticeable difference between the two festivals is that Oktoberfest sells food whereas Beerfest Asia does not. They are thus, meeting a need or want that Beerfest Asia did not. In addition, the fact that Oktoberfest is still going strong since the year 1810 proves that the festival meets potential customer’s needs and wants.


Place

This refers to the physical place and how it is created through design and programming. Beerfest Asia 2009 is located at the Singapore Flyer. The land area is not very large and can accommodate around 10-20 booths, a performance stage and sitting areas. If you are taking the Mass Rapid Transport (MRT), you have to walk quite a considerable distance. However, there are shuttle buses at strategic locations and if you are driving, there is ample parking space.
On the other hand, Oktoberfest is located in Theresienwiese. It is an open space of around 420,000 square meters. This huge space can accommodate 14 tents and a larger amount of people. Oktoberfest is thus able to target a larger market and bring in more revenue.

Partnerships

One partnership that is evident during the Beerfest is between Beerfest Asia 2009 and The Singapore Flyer. They are located in close proximity to each other and this is a win-win situation for both parties. For example, people who visit the Singapore Flyer will notice Beerfest Asia 2009. These people may then decide to experience the festival. People who go for Beerfest Asia 2009 may also then decide to take a ride in the Singapore Flyer.

Oktoberfest is not located near any of Munich’s primary attractions. Therefore, Beerfest Asia’s marketing strategy regarding partnerships trumps Oktoberfest.

Promotions

This refers to the full range of “communication mix” including: advertising and sales promotions. One promotion strategy Beerfest Asia 2009 used was hiring world famous band, Vertical Horizon, to perform at their festival. By doing this, they managed to create a greater awareness of their festival to the general public without spending much on advertising as newspapers are likely to report that a world famous band is performing in Singapore.
Oktoberfest offered Schönes-Wochenende-Ticket“ (special weekend train ticket) from the Deutschen Bahn as a promotional tool. This ticket then allows five adults and any number of children they have to travel on the train for a period of time to any destination of their liking. Both these promotions are effective as they attract more people to visit their respective festivals. (http://www.oktoberfest.de/en/article/Visit+Munich/Getting+there/Comfortable+and+economical/836/

Packaging

Destinations can package events with other attractions and services. Beerfest Asia 2009 packaged their event with Formula one Singapore. There was a Formula One booth located at Beerfest Asia 2009. The booth was promoting their Formula One tickets by offering special promotions. They also had a Formula One driving simulator for customers to experience the thrill of driving a Formula One car. This attracted people whose main purpose was to visit Beerfest Asia 2009 to take a look at their booth and some even bought tickets to Formula One Singapore 2009.



Programming

Programming within the event is also a marketing decision, especially by way of creating targeted benefits. One marketing decision related to programming that Beerfest Asia 2009 made was inviting local bands to perform. The genre of music the bands played catered to young adults and the middle age group. This move was strategic as this target market is one that is most willing to spend on their product, Beer. Thus, they are able to earn revenue from these customers.

Oktoberfest on the other hand programmed their festival by having amusement rides. These rides are aim at attracting families where the parents can enjoy a cool refreshing beer while the children enjoy the exciting rides. Oktoberfest is then able to earn an extra source of revenue from the amusement rides and not just through their main product, beer. (http://www.oktoberfest.de/en/article/About+the+Oktoberfest/About+the+Oktoberfest/Fun+Rides%2C+Carousels+and+Shows/821/)

People
“People” refers to the interactions between customers, the setting, and the staff/volunteers. During Beerfest Asia 2009 there were numerous service encounters. A few examples would be the process of customers purchasing tickets from the ticket sales counter and when the customers purchase beer from the various booths. During my visit to Beerfest Asia 2009, I would say that the service staffs at the ticketing booths and beer booths were efficient and rather friendly. The ticketing staff reminded us politely that we should drink responsibly and to enjoy our night. The people who were selling beer were extremely proactive and approached us to promote their beer. One of them even offered to help us exchange our cash for “beer currency” and personally brought the beer we purchased to us. The other customers were also very friendly, (most probably due to the influence of alcohol). We had a few drinks with people whom we just met and we made a few friends along the way. The setting however was rather disappointing. Although the music was good, it was just too hot to enjoy it as our minds were distracted by the heat. Perhaps this was a tactic to encourage us to buy more beers to quench our thirst.

I am sure that Oktoberfest would provide a similar or even a better experience as there would be a bigger crowd and thus, a livelier atmosphere. Furthermore, we can experience the culture of their country such as their costumes. This is something we could not experience in Beerfest Asia.


Price
There are different ticket categories to suit the different target segments. For example, the concession tickets cost $10 and it is aimed at people such as tertiary students and National Service Personnel. For people who are not able to purchase the concession tickets, they can either purchase the tickets for $20 under the early bird special category and $35 for door sales. Under both these categories, there is a 15% discount for Citibank Clear Platinum card holders. 10% discount for other Citibank credit card holders. There is also a special hospitality package priced at $78. This package includes a Singapore Flyer ride, beer runner service, a $20 food & beer voucher and a reserved seat within the main marquee. (http://www.beerfestasia.com/index.php?option=com_content&task=blogcategory&id=17&Itemid=26) The Beer prices are rather cheap as compared to pubs in Singapore. Beer prices start from $3. In Beerfest, you must purchase “Beer Currency” for the day that is bundled at either $10 of $50.

The admission tickets for Oktoberfest are priced at $8, $13, $18, $22 depending on which day you visit. Minors can enter for free but must be accompanied by adults. Oktoberfest also has a similar “Beer Currency” system but their beer prices are slightly higher that Beerfest Asia 2009.

Best Practices of Beerfest Asia 2009 and Oktoberfest

The best practice of Beerfest Asia would, in my opinion, be the prices. The ticket prices are relatively cheap especially for the concession package and it is generally worth it to pay such a price to enjoy the atmosphere and live performances. There are also many different ticket packages to suit the different target markets. Moreover, I would have to say that the Beer Prices are extremely attractive. Singapore is a country that has a high alcohol tax. It is rare to purchase a Beer at a pub in Singapore for $3.

The best practice of Oktoberfest would have to be the place, the location. The location for Oktoberfest is extremely huge and can even cater 14 tents. This is ideal as firstly, it can hold a large number of people and booths. This large number is bound to generate a lot of revenue and profit for the organisers.

Stakeholders for Beerfest Asia 2009

Host Country – Singapore
Host Community – Singapore Tourism Board, Australian Trade Commision
Host Organisation – Singapore Flyer, Timeout Singapore, Timbre, CSP Productions
Media – 98.7 Fm, For Him Magazine (FHM)
Other Sponsors - D.A.S, Lowe Refrigeration, Food and Beverage Logistics, DMC Musical Instruments, Citibank, Absolut Vodka
Co-Workers – Service Staff for the ticketing, security and Beer Booths and musical performers.
Participants – The Customers




Main Purpose of the festival.


The main purpose of Beerfest Asia 2009 is to allow the customers to have a greater awareness of the different beers around the world. The festival gives these customers the chance and convenience of sampling all the different types of beer in one location. This also benefits the beer vendors as it is a form of advertisement for them when the customers spread the word about their tasty beers. A sub-purpose would be to provide a place for customers to interact, socialize and generally de-stress.

Tourism Benefits


I personally find that Beerfest Asia 2009 brought in Tourism benefits for Singapore to a certain extent. Unlike other events, most tourists would not visit Singapore just for Beerfest Asia. Beerfest is more of a secondary attraction where tourists stop by after visiting the primary attractions. From what I observed, most of the customers were Singaporeans and when I interviewed the foreigners, most of them explained to me that they where expatriates. Thus, we are not able to receive tourism benefits such as revenue earned from accommodation.


Place Marketing


This event, as mentioned earlier, brings a greater awareness of the different types of beers to Singaporeans. Another beneficial point to note is that as Beerfest Asia 2009 is located directly beside the Singapore Flyer, customers who visit the festival may take a ride on the Flyer thus helping it generate more income.


Tourist Attraction


Also as mentioned earlier, this festival does not really attract tourists to travel all the way from their home countries to Singapore just to sample beers. It is not practical to spend money on airline tickets and hotel rooms just to visit a festival where you get to sample beers unless you are an avid beer lover.


Image Maker


Staging a festival such as Beerfest Asia in Singapore would give tourists the impression that Singapore is a fun place with a vibrant nightlife. This might attract the more outgoing and active nightlife crowd.


Catalyst


A successful staging of Beerfest Asia 2009 may motivate other companies who run similar events to stage their events in Singapore. It also gives Singapore a good track record and portfolio to show potential investors.


Animator


If the festival is successful and impressive, it may get tourists to visit Singapore again the next year that it is held as they would want to relive the wonderful experience once again.


Conclusion


In conclusion, I would have to say that Beerfest Asia 2009 was an eye opener for me. This is first time I have attended such a festival and putting aside a few mishaps, I would have to say that it was a general success. The product was good and it was worth the price for such a lovely atmosphere. A few rooms for improvement would be the way the level of promotion it had. If not for this project, I doubt that I would have heard of this festival. Either than that, I was satisfied by the whole experience.


Useful Links

http://www.beerfestasia.com/index.php?option=com_content&task=view&id=46

http://www.oktoberfest.de/en/navitem/About+the+Oktoberfest/

http://en.wikipedia.org/wiki/Oktoberfest

http://en.wikipedia.org/wiki/Theresienwiese


Appendices


http://www.beerfestasia.com/index.php?option=com_content&task=blogcategory&id=17&Itemid=26)

http://www.oktoberfest.de/en/article/About+the+Oktoberfest/About+the+Oktoberfest/Fun+Rides%2C+Carousels+and+Shows/821/)

(http://www.oktoberfest.de/en/article/Visit+Munich/Getting+there/Comfortable+and+economical/836/

(http://www.oktoberfest.de/en/03/content/augustiner/)

(http://www.oktoberfest.de/en/02/content/faq1/)

(http://www.beerfestasia.com/index.php?option=com_frontpage&Itemid=1)

http://www.mydisguises.com/wp-content/uploads/2007/09/oktoberfest-girls.jpg

Monday, May 4, 2009

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