Page 22 - Kirin Holdings Teaching Note

on a standard price we would just have to sell a lot of

units. If you can make your customers happy then you

are always going to sell more that was our conviction

with this beer when we released it. We just went for it.”
Yoshinori Isozaki, (2)

This quote from Isozaki highlights a number of points.

To begin with standard pricing would not normally be

used for a new product as it would make the existing

products, in a sense, obsolete.

Next, Isozaki indicates that marketing i.e. keeping the

customer happy, would lead to increased sales. Simply

put – growing sales rather than sales growth.

Finally, just going for it, in the context of what was

indicated by Isozaki probably belies the level of
discussion that underpinned the decision.

Q4 What factors influenced Isozaki’s decision to tackle

health products as a strategic thrust for the company?

A4 The answer appears to be that Isozaki recognised that

with low birth rates, an ageing population and the

desire by people to be active in their later years a

market segment was ripe for exploitation.

Furthermore, there was a resource of knowledge

embedded in the experiences of other businesses such

as beer, that could be put to use to develop new

products and applications for health care.

Q5 What significance does Kirin Group’s move into craft

beer signify?