2004 2003 30 Heineken N.V. Annual Report 2004 Report of the Executive Board Operational Review Increasing value through creative marketing and communication The premium positioning of the Heineken brand is crucial to our growth strategy. Maintaining this positioning requires a combination of the highest quality brewing process delivering the highest quality beer and creative and compelling marketing. As the brand extends its global market share, and its positioning becomes more consistent, our marketing is becoming increasingly international. However, within the marketing mix, there will always be a requirement for locally driven campaigns and support. In 2004 we developed a new universal tagline for Heineken advertising - 'Heineken. Meet you there.' - and redesigned the www.heineken.com website. In addition, we developed a new label with a silver rim to be used internationally and made the decision at the end of 2004 to issue every Heineken bottle and can with a back label promoting responsible drinking. Centrally, we developed a number of high-profile, quality television campaigns with universal appeal, featuring high profile, comtemporary celebrities. The latest in this series features the actor Brad Pitt, in a chase with paparazzi following his purchase of a six-pack of Heineken. The advert was officially launched early 2005 during the half-time 'Superbowl' break in the USA. It will be made available in major Heineken countries as of the second quarter of 2005. National advertising continues to play a prominent role in promoting our brands. In 2004, we tapped into our national advertising experience in Italy, Russia, Poland and the Netherlands to produce a number of international co-productions. Such joint ventures help to enhance and reinforce the brand's international credentials. Sponsorship Our sponsorship strategy for the Heineken brand is to build brand equity through relevant associations with high-impact, high-profile sports and music events, films and the world of Hollywood. Film For the Heineken brand we continue also to seek association with 'blockbuster' movies with a relevant demographic profile. We find this particularly useful for establishing the brand position in crowded marketplaces. In 2004, we won the international Reggie award for our sponsorship of the Matrix series of films. Sports In 2004 we sponsored numerous sports events at local and regional level. The highlight was our sponsorship of the year's most important international sports event, the 2004 Olympic Games in Athens. The sponsorship was executed over three years by Athenian Brewery and was a core Geographical distribution of Group volume in thousands of hectolitres Western Europe Central and Eastern Europe The Americas Africa and the Middle East Asia Pacific Change 43,494 31,579 14,546 13,483 9,526 44,727 20,611 12,511 12,706 8,413 -2.8 53.2 16.3 13.2 6.1 Group volume* 112,628 98,968 13.8 Group volume volume sold by consolidated companies and Heineken beers brewed under licence by third parties.

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