Copy of Beer Market in India
Transcript of Copy of Beer Market in India
BEER INDUSTRY
PRESENTED BY:-SWAPNIL MBA 4551/08 SHWETA MBA 4522/08VINOD MBA 4563/08 MISHI MBA 4571 /08 AMIT MBA 4564/08VAISHALI MBA 4506/08ATUL MBA 4515/08
SOME FACTS ABOUT LIQUOR MARKET
Source of revenue of the State Exchequer Rs. 25,000 Crores.
The Industry Turn Over is Rs. 6,000 Crores Four States under prohibition IMFL – Whisky, Rum , Brandy, Gin & Vodka - 97 million cases p.a. Country Liquor – 160 million cases p.a. Beer 85 million cases p.a. Wine Domestic – 300,000 cases p.a.
KEY PLAYERS IN LIQUOR MARKET
Herbertsons 8 Bagpiper
McDowell & Co. 17 McDowell no.1, Diplomat
Shaw Wallace 9 Directors Special
UDV 3 Green Label, Smirn Off
Bacardi 0.1 Bacardi Rum
Seagram 0.8 Bacardi Rum
OTHER PLAYERS• Other brands in the Indian market
Carling Black Label Golden Eagle
Carlsberg Haake Beck
Dansberg,, Haywards 2000
Guru, Ice London Diet
Haywards 5000 Haywards skol,
Flying Horse Royal Lager Taj Mahal, Heinekin Hi-Five Royal Challenge
Kingfisher Diet Kingfisher Strong, KnockOut, Legend Sand Piper, Zingaro
MAJOR ASPECTS• The primary factors acting as constrain for
this industry in India.
• At the very outset we have four major issues : 1. Legal aspect,
2. Social aspect and
3. Promotional aspect.
Beer Market In India
• Beer market in India is estimated to
be around Rs. 3000 crores.• Around 94 million cases of beer are
sold annually.• United Breweries is the market
leader with a 47.5% market share.• SAB Miller comes second with a
38.3% market share.
SOME FACT ABOUT BEER MARKET
• Optimistic future because :
• Warm/hot climate
• Younger beer-drinkers
• Increasing exposure
• UB is the market leader in Indian beer market with a 47.5% market share.
• Kingfisher alone commands 25% market share
•
The Market Leader
U.B. Spirits Division• World’s top five liquor marketer.
Growth strategy• True organic growth • Sidelined domestic leaders
U.B. - 48% SAB - 38% Others – 14%
14%
38%
48%
KINGFISHER – The King of Good Times
Largest selling brand in India, the market leader in Indian beer
LEADER’S STRATEGIES • Roped in professional• Quality and hygiene• Launched brands like :-
Bagpiper whiskey, Romanov vodka ,McDowell’s whiskey McDowell’s No. 1 brandy• Delegation of responsibilities • Minimal intervention in operations.• Brand promotion
.
BUSINESS PORTFOLIO OF KINGFISHER
• Established in 1857 with the name Castle Breweries.• Renamed United Breweries in 1915.• First manufactured beer in 1944 under the label Exports
Beer.• Starts exporting beer to Mid-East in 1974.• Introduces Kingfisher in 1978.
THE LIQUOR KING
• Dr. Vijay Mallya, • Flamboyant Czar • Youth icon of a million
hearts• His sole presence
outweighs all other competitors taken together.
SEGMENTATION
Age
Sex
Consumption
Geographical
>35
25-35
15-25Male
Female
Regular
Occasional
South
West
Rest of India
TARGETING Kingfisher Mild Beer
• Primarily targeted for the young who drink for fun.
• First time drinkers like urban women who prefer to drink light.
• First time drinkers segment which drinks for experience.
TARGETING Kingfisher Strong
Beer
• Aimed at regular drinkers segment.
• Targets those who want to move from mild beer to strong beer.
HOW MUCH BEER ONE CAN DRINK?
• Men 40 grams per day
• Women not more than half of that quantity
• Real hard fact
700ml – acceptable for men ,half for women
POSITIONING• Stands for youth, excitement
and fun.
• Health drink
• Associates itself with Indian
cuisine
PRODUCT• No. 1 selling product in its
segment.
• High quality raw material
• High consistency
• Always tastes fresh.
• No hangover.
ROYAL CHALLENGE PREMIUM LAGER
• Launched in the year 1993,• Second largest selling MILD BEER in
India.
About this brand • Beer type: Lager
• Alcohol content by volume: < 5% by vol
• Country of origin: India
• Taste: Rich smooth taste
• Malts: Indian malts, 6 row barley
• Serving temperature: 7 - 9 °C
• Colour :Golden straw
• Packaging: 650 ml, 500ml and 330 ml, Indian Standard Green glass bottle and 330 ml cans
HAYWARDS 5000• Launched in 1983, Haywards 5000 is synonymous with
strong beer
• Brewed with the choicest of malts lending unique flavour profile to suit the Indian taste and preference.
• Hallmark of original and authentic STRONG BEER
ABOUT THIS BRAND• Country of origin: India
• Beer type: Lager
• Alcohol content by volume: < 7.5% by volume
• Taste : malty flavour
• Malts: Indian malts, 6 row barley
• Colour: Golden yellow
• Serving temperature: 7 - 9 °C
• Packaging: 650 ml, 330 ml
Foster BeerBrandsFoster’s Lager
Crown Lager
Carlton Cold
Carlton Sterling
Carlton Draught
Victoria Bitter
Cascade Premium Lager
BRAND HERITAGE• W.M. and R.R. Foster established a brewery in
Melbourne.
• In 1889, Foster started exporting beer to South Africa.
• In 70s, Foster started exporting to US and UK.
• In 1998, was launched in India.
POSITIONING• Promotional programs, sponsorship and public
relations.
• Australian's is the essence of Foster's brand image
• All Foster's lager theme advertising is consistent with Australian positioning.
Place Of Foster BeerCOMPANY
DISTRIBUTOR
RETAILER
CUSTOMER
24 distributors serving over 5,000 outlets, including over 2,300 outlets in Mumbai.
Price Of Foster Beer• Foster's Beer Cans 375ml 79.00
• Foster's Beer Pints 355 ml 75.00
• 70% of Foster’s sales today come from the pint-
sized market
• 31% of the market in Maharashtra
Promotion Of Foster Beer• Committed to promoting responsible consumption
• No medical advice, nor advise
• Consumers access the best available information
• Three major segments –
premium, full-strength and lower alcohol
Brand Repositioning of Indian Brand in
Presence of International Brand:
• Competition
• Invested heavily in brand visibility and positioning
• Creation of new logo
• Create a stronger emotional bond with the aspiring Indian youth
The PeopleIndian Economy
2005
2006
2007
2008
2009
2010
Population (millions)1,09
5.4
1,110.4
1,125.4
1,140.2
1,155.0
1,169.7
Household consumption (US$ billion)
2028
2210
2419
2651
2910
3176
□ The rising middle class within India is bringing with it a higher rate of consumption
□ Beer consumption is also increasing at a rate of 0.5ml per year/ per person
Growth: 9% 9.4 9.5 9.7 9.1
Source: Yura Beverages Inc
CONVERSION
BARRIERS
•Not for me
•Beer= Celebrations only
• I don’t understand beer / can’t pronounce names / read the labels
• India is a growing economy
• Market is opening up.
• Per capita income is rising
• Changing stigma
•Beer companies are trying to get associated with everyone’s life
CONCLUSION