World Beer Industry Market Brief

World Beer Industry Market Brief

The global outlook series on the Beer Industry provides a collection of statistical anecdotes, market briefs, and concise summaries of research findings. An easy guide to What, Why, When, How, Where, and Who of an industry, the global outlook series offers the reader a bird’s eye view of the global Beer industry. Annotated with 23 information-rich tables presenting market data findings, and analytical research projections, the entire discussion allows the reader to build a macro-level perception of the industry by gaining insights into selective noteworthy trends, issues, technology developments, recent mergers, acquisitions, corporate developments, and unique regional market dynamics (per capita consumption, leading brands by product category, beer sales by product type, and country, and leading players by sales and production). Regional markets researched and abstracted include US, Canada, Japan, France, Germany, Italy, UK, Spain, Russia, Australia & New Zealand, China, India, South Korea, South America, Brazil, and Peru. Also included is an indexed, easy-to-refer, fact-finder directory listing the addresses, and contact details of 678 companies worldwide.

BEER INDUSTRY GOS-075
A GLOBAL OUTLOOK, SEPTEMBER 2008


CONTENTS


1. Overview 1

2. Outlook 1
Premium Beer Segment to Witness Further Growth 1

3. Trends and Issues 2
Eastern Europe and Asia-Pacific - Prime Growth Markets 2
Trends in Global Beer Industry 2
Beer - The Universal Drink / Beverage 2
Tracking Consumption Pattern 2
Beer Makers Entice Women through Flavor Enhancement 3
Market to Grow for Specialty and Craft Beer 3
Developing Markets to Drive the Growth of Beer Market 4
Advent of Non-Alcoholic Beer 4
Beer Gains at the Cost of Spirits in China 4
Growth of the Indian Premium Beer Market 5
A Region Wise Analysis 5
Table 1: Global Beer Market by Geographic Region - USA,
Canada, Japan, Europe, Asia-Pacific, Latin America and Rest
of World Markets Independently Analyzed with Annual Sales
Figures in Million Liters for Years 2003 through 2008 5

Table 2: Global Beer Market (2004 & 2008): Percentage
Breakdown of Volume Sales for USA, Canada, Japan, Europe,
Asia-Pacific, Latin America and Rest of World 6
Domestic Players Continue to Dominate 6
Beer & Ales - A Sub-Segment of the Beverages Industry 6
Rising Popularity of Specialty Beers 6
Majors Account for Over Two-Thirds of the Beer Market 6
Volume Pressures Drive Surge in Ad-Spend 6
Competition Predominantly at Local Level 7
Competition Based on Distribution Dominance 7
Low Tariff and Non-tariff Barriers to Boost Competition 7
Direct Distribution and Bypassing of Intermediaries to Cut Costs 8
Product Innovation to Withstand Taut Competition 8
Beer Companies’ Responses 8
Consolidation and Globalization - Order of the Day 8
Performances of Leading Beer Companies 9
Interbrew 9
Scottish and Newcastle (S&N) 9
Carlsberg 9
Coors/MolsonCoors Brewing Company/ Carling 10
Heineken 10
Anheuser Busch 10

4. Technological Trends 10
Technologies Affecting the Beer Industry 10
Carlsberg Introduces Refillable PEN Bottles 10
ACTIS Technology for PET Bottles Enhances Barrier Qualities 10
‘DRAWBOX’ Draught Beer Dispenser 11
Manufacturing Process for Glass Bottles Reduces Costs 11
Technology/R&D: Miller Chiller Developed by David D. Smith
Corrugated Based in Lockerbiem, UK 11
Technology/R&D: Developments in Barrier PET by Tetra Pak 11

5. Mergers and Acquisitions 11

6. Strategic Corporate Developments 19

7. Product Launches 23

A REGIONAL PERSPECTIVE

1. United States 26
Overview 26
Table 3: Beer Market in the US (2006): Percentage Breakdown
of Value Sales by Segment - Domestic Premium, Import,
Domestic Sub-Premium, Domestic Super-Premium, Micro/Craft,
Malternative, Nonalcoholic, Domestic Malt Liquor, and Cider 27

Table 4: Private Label Beer Market in the US (2007): Sales in
US$ ‘000 by Category - Import, Micro/Craft and Domestic 27

Table 5: Private Label Beer Market in the US (2007): Case
Sales in ‘000 by Category - Import, Micro/Craft and Domestic 27
Beer Consumption - Demographic Analysis 27
Impact on the Economy 28
Outlook 28
Pricing and Competition 28
Market Expansion 28
New Products 29
Types of Beer 29
Imported Beer 29
The Craft Beer Industry 29
Trend towards Popularity of Light Beers 30
Domestic Beer 30
Table 6: Leading Players in the US Brew Market (2005):
Percentage Breakdown of Domestic Production for Anheuser-
Busch Inc., SABMiller, Boston, Pabst, and Molson Coors
Brewing Company 30

Table 7: US Beer Market by Product Group/Segment - Lager
(Premium Lager, Standard Lager and Economy Lager), Dark Beer,
Stouts, and Non-/Low- Alcohol Beer Markets Independently
Analyzed with Annual Sales Figures in Million Liters for
Years 2003 through 2008 31

Table 8: Beer Market in the US (2004 & 2008): Percentage
Breakdown of Volume Sales for Lager (Premium Lager, Standard
Lager and Economy Lager), Dark Beer, Stouts and Non-/Low-
Alcohol Beer 31
Market Players 32
Retail Beer 32
Market Players 32
Table 9: Leading Brands in the US Beer Market (2006): Unit
Sales in ‘000 for Bud Light, Budweiser, Coors Light, Miller
Lite, Natural Light, Corona Extra, Busch, Busch Light,
Miller High Life and Heineken 32

Table 10: Leading Domestic Brands in the US Beer Market
(2006) (*): Sales in US$ Million for Bud Light, Budweiser,
Miller Lite, Coors Light, Miller Genuine Draft, Budweiser
Select, Coors, Icehouse, Yuengling Traditional Lager and
Bud Ice 33
Beer Sales - A Segmental Analysis 33
Low Sales of Majors 33
Consumption 33
Table 11: Beer Market in the US (2005): Per Capita
Consumption in Gallons by Region - Northeast, South, East
Central, West Central, West, Southwest, and Pacific 33

2. Canada 34
Imported Beers Outpace Domestic Beer Market 34
Domestic Beers Strive to Regain Market Share 34
Labatt and Molson - Key Players in the Canadian Beer Market 34
Microbreweries Become Popular, But Face Challenges 34
Light Beers Pick Up Sales 35
Canadian Brewers Target Women and Wider Age Group of Men 35
Concerns of Health Resist Growth 35
Smoking Bans Result in Declining Sales 35
Table 12: Canadian Beer Market by Product Group/Segment -
Lager (Premium Lager, Standard Lager and Economy Lager), Dark
Beer, and Stouts Markets Independently Analyzed with Annual
Sales Figures in Million Liters for Years 2003 through 2008 36

Table 13: Beer Market in Canada (2004 & 2008): Percentage
Breakdown of Volume Sales for Lager (Premium Lager, Standard
Lager and Economy Lager), Dark Beer and Stouts 36

3. Japan 37
Market Factors 37
End Users: Changing Tastes 37
Market Players 37
Outlook 38
Table 14: Japanese Beer Market by Product Group/Segment:
Lager (Premium Lager, Standard Lager and Economy Lager), Dark
Beer, Stouts and Non-/Low Alcohol Beer Markets Independently
Analyzed with Annual Sales Figures in Million Liters for
Years 2003 through 2008 38

Table 15: Beer Market in Japan (2004 & 2008): Percentage
Breakdown of Volume Sales for Lager (Premium Lager, Standard
Lager and Economy Lager), Dark Beer, Stouts, and Non-/Low-
Alcohol Beer 39

4. Europe 39
Concern Over Use of Genetically Modified Food 39
Consumption 39
Table 16: European Beer Market Analysis by Region - Germany,
UK, The Netherlands, Belgium, Ireland, and Portugal Markets
Independently Analyzed with Annual Sales Figures in Million
Liters for Years 2003 through 2008 40

4a. France 40
Specialty Beers - Order of the Day 40
Shift in Consumption Trends 40
Private Label Sales - Slated to Grow 40

4b. Germany 41
Consolidation Trends 41
Growing Prominence for Economy and Private Label 41
Lagers Dominate Despite Declining Demand 41
Beer Sales 41
Table 17: German Beer Market by Product Group/Segment - Lager
(Premium Lager, Standard Lager and Economy Lager), Dark Beer,
Stouts and Non-/Low- Alcohol Beer Markets Independently
Analyzed with Annual Sales Figures in Million Liters for
Years 2003 through 2008 41

Table 18: Beer Market in Germany (2004 & 2008): Percentage
Breakdown of Volume Sales for Lager (Premium Lager, Standard
Lager and Economy Lager), Dark Beer, Stouts and Non-/Low-
Alcohol Beer 42

4c. Italy 42
Major Aspects of Italian Beer Market 42
Lager Leads the Market 42

4d. United Kingdom 43
Changing Preferences of Beer Consumers 43
Leveraging on Vertical Integration 43
Emerging Product Sectors 43
Distribution 44
Beer Market 44
Table 19: UK Beer Market by Product Group/Segment - Lager
(Premium Lager, Standard Lager and Economy Lager), Dark Beer,
Stouts, and Non-/Low-Alcohol Beer Markets Independently
Analyzed with Annual Sales Figures in Million Liters for
Years 2003 through 2008 44

Table 20: Beer Market in UK (2004 & 2008): Percentage
Breakdown of Volume Sales for Lager (Premium Lager, Standard
Lager and Economy Lager), Dark Beer, Stouts, and Non-/Low-
Alcohol Beer 45

Table 21: Leading Brands in the UK Beer Market (2007): Sales
in £ Million for Stella Artois, Carling, Foster’s, Carlsbe,
and Budweiser 45

4e. Spain 46
Changes in Tourism Trends - A Concern 46
Growing Demand for Non-/Low- Alcoholic Beers 46

4f. Russia 46
An Overview of the Russian Brewing Industry 46
Health Consciousness - Major Growth Factor 46
Consolidation Provides an Opportunity for International Companies 46
Table 22: Russian Beer Market by Product Group/Segment -
Lager (Premium Lager, Standard Lager and Economy Lager),
Dark Beer, and Stouts Markets Independently Analyzed with
Annual Sales Figures in Million Liters for Years 2003
through 2008 47

Table 23: Beer Market in Russia (2004 & 2008): Percentage
Breakdown of Volume Sales for Lager (Premium Lager, Standard
Lager and Economy Lager), Dark Beer, and Stouts 47

5. An Asia-Pacific Perspective 48

5a. Australia & New Zealand 48
Overview 48
Imported Beers - Gaining Acceptance Despite High Prices 48
Premium Beer - Prime Growth Segment 48
Dark Beers - A Potential Segment 48
Advertising and Packaging - Effective Marketing Tools 48

5b. China 49
High Growth Potential 49
Rapid Economic Development Propels Beer Sales 49
Consumers Lap Up Quality Beer 49
Foreign Investment - Catalyst to Industry Growth 50
Extensive Localization of Operations 50
Technological Development and Consolidation Drives the Industry 50
Competitive Landscape 50
Market Conditions 50
China - A Success Story 51
Foreign Players 51
Market Outlook 51

5c. India 52
Local Brands Dominate the Market 53

5d. South Korea 53
Concentrated Beer Market 53
Foreign Players Spreading their Wings 53

6. South America 53
Overview 53

6a. Brazil 54
Ethnic and Regional Factors Leverage Beer Consumption 54
Highly Consolidated Market 54
Economic Disparities Reflect in Beer Consumption. 54

6b. Peru 54
Market Overview . 54


GLOBAL DIRECTORY