Page 12 - Kirin Holdings Case Study

than they had in the past. Specifically, in January 2017,

preceding this regulatory reform, Kirin Brewery slashed
sales promotion costs, while reclassifying marketing cost

as an investment in brands, which were intangible assets.

This allowed them to allocate resources to branding by

launching products with fresh appeal and introducing
innovations in places where alcoholic beverages were

served or sold.

In July 2017 for example, the company revamped Ichiban

Shibori ("Kirin Ichiban" for export), their flagship brand, for
the first time in four years with an improved flavour, which

was communicated through an ad campaign.

Kirin Holdings constructed the new story of Ichiban Shibori

from a customer-centric approach which encompassed the

reformulation of the brew itself. To discover what
customers really wanted in the taste of its beer, the

company performed extensive market surveys. It then

performed test brewing more than 1,000 times over a
three-year period. Ultimately succeeding in brewing, in its

opinion, ‘a deliciously well-balanced, highly drinkable beer

with richer "umami" in the barley flavour, while reining in sour

notes and overly sweet aromas’.

From January to March 2018, sales of the revamped
Ichiban Shibori reached 6.65 million cases, an increase of

12.4% (over the previous year). Moreover, this rate of sales

growth surpassed that of the market itself while enhancing

the attractiveness of the beer category as a whole.