In the month since its release, Pacific Western Brewery's Cariboo Genuine Draft has achieved strong sales in the Canadian beer market, by offering a low price point without the associations of a vastly inferior taste. Alcohol preferences generally stand up to recessionary conditions, which suggests that the success of Cariboo Genuine Draft is not purely down to its price.
Pacific Western Brewery's new lower-cost brand, Cariboo Genuine Draft (Cariboo GD), has shown sales growth of 200% over its predecessor, Pacific Genuine Draft, in the month since its launch. The beer retails at C$7.54 for six cans, which has been identified as the market low in British Columbia, Canada. Pacific has revealed that it plans further product revisions and new releases for 2009, as it adapts to consumer demands.
Traditionally, alcohol preferences have shown a significant degree of resistance during recessionary times, with consumers likely to save money in other areas in order to maintain their purchases of a favorite alcohol brand. Cariboo GD's low price point coupled with its distinctive green and gold packaging certainly captures consumers' attention at point-of-sale, but the beverage's success cannot solely be attributed to price.
Cariboo GD has received plaudits from some quarters for its taste; for example, Canadian website justhereforthebeer.com featured the product as its 'Beer of the Week', and stressed that Cariboo GD was not just an economy beer, but a drink that could be enjoyed with food. The brewery has not been successful by simply selling the brand at the lowest price point possible, because while consumers are looking to save money, they will not return to a product if they find it to be inferior to their tried and trusted brands.
The alcoholic drinks industry is under pressure from several angles at the moment, and the success of a cheaper price point may seem like more bad news. However, Pacific Western Brewery has boosted sales by providing an affordable beer that still meets the taste needs of consumers. Cariboo's success highlights the fact that purchasing behavior is not solely dictated by price concerns, and quality and taste aspects still remain important in times of recession.