Product details

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Abstract

This case traces the development of Bailys Original Irish Cream Liqueur. Since its launch in late 1974, this product has attained phenomenal growth, with sales in 1981 representing over half of Ireland''s drink exports. On translocation from a Dublin city site to a suburban industiral estate, Glibeys were set the task of developing a strong export brand. There were indications from consumer research studies and market trends that there were many new potential consumers entering the market, particularly females, who were looking for products with less alcoholic strength than the traditional liquors, as shown by the success of ''Babycham''. Baileys is an example of a business organisation in search of a new incentive attempting to adopt a planned approach to the New Product Development, receiving help from experts, both internal and external to the Grand Metropolitan Group, of which they were a component enterprise. However, the plan came unstuck somewhat, when the Netherlands and Australia took off in an unpredicted manner. Baileys decided not to tackle the ''big apple'' (the US, in particular New York and the East Coast) until expanded production facilities would allow. Baileys classified its main markets, geographically, into the Anglo-Saxon and Latin regions. The proposed step by step sequence, Ireland, Britain, Anglo-Saxon Europe, etc. As the originator of cream liqueurs, Baileys had to do all the front running, getting the generic product accepted and established, with benefits and penalties associated with product and brand leadership. A background note is available to accompany the case (582-015-5).
Location:
Industry:
Size:
200 employees
Other setting(s):
1974-1981

About

Abstract

This case traces the development of Bailys Original Irish Cream Liqueur. Since its launch in late 1974, this product has attained phenomenal growth, with sales in 1981 representing over half of Ireland''s drink exports. On translocation from a Dublin city site to a suburban industiral estate, Glibeys were set the task of developing a strong export brand. There were indications from consumer research studies and market trends that there were many new potential consumers entering the market, particularly females, who were looking for products with less alcoholic strength than the traditional liquors, as shown by the success of ''Babycham''. Baileys is an example of a business organisation in search of a new incentive attempting to adopt a planned approach to the New Product Development, receiving help from experts, both internal and external to the Grand Metropolitan Group, of which they were a component enterprise. However, the plan came unstuck somewhat, when the Netherlands and Australia took off in an unpredicted manner. Baileys decided not to tackle the ''big apple'' (the US, in particular New York and the East Coast) until expanded production facilities would allow. Baileys classified its main markets, geographically, into the Anglo-Saxon and Latin regions. The proposed step by step sequence, Ireland, Britain, Anglo-Saxon Europe, etc. As the originator of cream liqueurs, Baileys had to do all the front running, getting the generic product accepted and established, with benefits and penalties associated with product and brand leadership. A background note is available to accompany the case (582-015-5).

Settings

Location:
Industry:
Size:
200 employees
Other setting(s):
1974-1981

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