Tag: Schlitz

Schlitz is a Business School Case Study

I’m a little embarrassed to admit it, but I never knew what happened to Schlitz. When I was a little kid, I remember seeing Schlitz all over the place and thinking it was “the” beer. By the time I started drinking, it was one of those beers I’d drink because I could get a case for $5 (in the 1980s), putting it in the category of Buckhorn, Blatz, Red White and Blue, and Beer (the generic “brand”).

It isn’t just my murky childhood memory. Schlitz was the beer. In fact, for much of the twentieth century, it and Budweiser duked it out for top beer in the United States. But then Budweiser took over that top spot in the late 1950s with effective marketing, and Schlitz fell decidedly to number two.

In response, it decided it would become the most profitable beer in the U.S. and started to slash production costs (now called the “Schlitz Mistake”). When drinkers noticed and its sales plummeted, it responded with an awful marketing campaign that seemed to threaten viewers (now laughingly called the “drink Schlitz or I’ll kill you” campaign).

It’s all laid out in this article that I stumbled across last night.Read the rest