The last year hasn't been kind to Coopers Brewery... but it reckons the 2023 financial year is its year to shine.
👉 Background: Coopers was founded way back in 1862 by Thomas Cooper. Since then, it has grown to become the largest Australian-owned brewery - and owns around 5 per cent of the national beer market.
👉 What happened: But the last year hasn't been kind to the Cooper clan. In fact, Coopers Brewery has seen a 25% drop in net profit and 3.5% drop in revenue over the past 12 months.
👉 What else: But Coopers reckons 2023 financial year is their year to shine by balancing its traditional beers and with more innovation. But not the innovation that will cannibalise its existing sales.
💡Product cannibalisation is the loss in sales volume or revenue when a brand launches a new product. And that new product takes sales away from existing products.
💡Coopers reckon that new, swanky products may erode the sales of their core lines. But cannibalising existing product lines is also the key to innovation. Because if you don’t self-cannibalise, you’re probably leaving it to other upstarts, who are more than happy to take on the challenge.
💡Case in point: Apple released the iPod and then cannibalised it with the iPod Nano, iPad and then ofcourse the iPhone which squashed them all. And now nobody can catch Apple.
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