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Knight Watch: How Do They Make Big Business Bigger?
By Knight Pierce Hirst
While other companies curtail advertising spending because of the economic slowdown, Anheuser-Busch has initiated a $50 million campaign to promote its most popular brand – Bud Light. Ads featuring humorous situations tell consumers all beers aren't the same – that Bud Light has taste but won't fill them up. The new ads have the tag line "Bud Light, the difference is drinkability". This tag line replaces "Bud Light keeps it coming", which replaced "Make it a Bud Light". In 2007 Bud Light had a 39% share of the light beer market, Miller Lite had 17.2% and Coors Light had 15.3%. To keep Bud Light the world's most popular light beer Anheuser-Busch is banking on its new campaign not being hard to swallow. Rolling Stone magazine has downsized – but not because of the economy. With a circulation of 1.45 million, Rolling Stone wants to attract more readers by changing its four-decade-old, one-inch-taller-two-inch-wider format to the standard magazine format. It's hoped that fitting better into magazine racks will boost 8% single-copy sales. Any reduction in production costs, however, will be offset by more pages and thicker, glossier paper. Interestingly, the cover of the last, oversized issue featured John McCain. The cover of the first, new-format issue featured Barack Obama – playing on his campaign theme of being time for change. What won't change is Rolling Stone's liberal politics. American Airlines is the largest U.S. airline, but it ranks 5th in customer satisfaction behind Alaska, Continental, Delta and Air Canada. To improve satisfaction American is going to give priority check-in and priority security checks to its best customers. Beginning September 30, 2008 American will also provide a boarding lane exclusively for it priority customers. "Priority AAcess" may improve some customers' satisfaction, but giving more to the haves won't seem like the American way to the have-nots. Then there's Allstate Insurance. Although drivers in their 50's and 60's have the lowest accident rate, this rate starts to climb when drivers are in their mid 60's. That's why Allstate developed its pilot program "Insight". The program will give specialized computer games – games designed to reverse age-related cognitive decline and improve visual alertness – to 100,000 Pennsylvania customers ages 50-75. Posit Science, developer of the games, will compare the playing group's accident rates with those of non players. If playing computer games makes people over 50 better drivers, Allstate may discount insurance to gamers – an idea not to be discounted.
This intel first appeared on: http://knightwatch.typepad.com
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PLEASE VISIT THE CONTRIBUTOR'S WEBSITE
Knight Watch
KNIGHT WATCH IS A HUMOROUS 400 WORDS
knightwatch.typepad.com
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