Beverage Dynamics is the largest national business magazine devoted exclusively to the needs of off-premise beverage alcohol retailers, from single liquor stores to big box chains, through coverage of the latest trends in wine, beer and spirits.
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that’s the name of the game going forward. There is no more one-size-fits-all. It’s a real challenge, but we see great opportunities.” The recession and subsequent downturn in import sales served as a wake-up call to some, forcing them to look more carefully at where their products are selling and why. The result may have been a shift in how some brewers approach the market. “The contraction on some brands has been healthy,” said Heneman. “It forces us to provide fresher beer to shelves where brands will really move.” Industry consolidation also gave most importers a portfolio of beers that offers a good range for both retailers and consumers. That gives retailers a lot of options when it comes to catering to their clientele. “Our portfolio offers a terrific range,” Ward said, “from Heineken to Newcastle, which plays more like a craft beer, to Dos Equis, the fastest- growing import brand right now. But we also talk to retailers about focusing on key packages rather than loading the shelves. Heineken 12-pack sales, for example, are bigger than the top 10 craft beers.” “Channel and SKU prioritization have become extremely important,” Palau said. “We have to select the right pack for the right distribution channel. In 2011, we’ll look even more closely at how we prioritize to meet the needs of target consumers in each market.” As the economy emerges from its rough patch, look for importers to be fairly conservative in terms of market- ing. Most aren’t fixing what isn’t bro- Crown is expanding distribution of Victoria, an amber Vienna-style lager brewed in Mexico. of competition and the economic down- turn. Coming through the reorganiza- tion, the company took a hard look at the market and Corona’s place in it. “The critical part of our analysis confirms that this is the place to be even though we took some hits,” said Bill Hackett, president of Crown. “As busi- ness and the economy stabilize, we’re in a good place, but it didn’t just happen. We reorganized and reframed our sales force last year as well as restaged our marketing to get better at our approach to the market and consumers. We’re also spending more money.” St. Pauli Girl will continue its “Octobeerfest” promo- tion in 2011. ken, which means you’ll see familiar programs. Competition for share among the big brands that were most hurt by the downturn will continue to be fierce, with discounting and rebates the rule rather than the exception. And smaller brands will still fight for homes in the distribution channel and wholesalers’ attention when they find them. But overall, the market for imports should be vastly improved this year. “The beauty for imports,” said Coleman, “is that consumer demand for diversity has not changed.” Here’s what just a few of the hundreds of imported beers are doing this year to support you and drum up consumer interest. Crown Imports LLC s the Corona business fell entirely under the aegis of Crown Imports in the past couple of years, the brand fought off both the rising tide Corona Extra continues its “Win the Beach” program this year, capital- izing on the mindset that represents the brand’s unique selling proposition. This summer, consumers will again have a chance to win a vacation in Mexico. But Corona will be seen off the beach, too, to give consumers license to enjoy the product on other occasions. To help, the brand will continue to expand its draft beer program and dis- tribution of its “Familiare” one-liter bottle, the best-selling package in Mexico. Demand for the package has been high on the west coast. Corona Light, the number-one imported light beer, has gotten its own voice finally with a new ad campaign that addresses what consumers can do with their time once they reach the beach or get into the laid back Corona mindset. Modelo Especial, which saw sales rise 17.9% last year to more than 31 million 2.25-gallon cases, will walk a fine line on pricing, continuing to offer value but at a premium to reinforce its image. Crown also will expand distribution of Victoria, an amber Vienna-style lager that’s been in test in Chicago. The beer, Mexico’s oldest and known as its best-kept secret, will roll out to Colorado and Texas this year. To round out its portfolio, Crown also has Tsingtao, which just wrapped up a Chinese New Year promotion, Singha beer from Thailand, and St. Pauli Girl, which makes its traditional push in the fall with “Oktobeerfest” and a Halloween St. Pauli Girl dress-alike promotion. 68 • Beverage Dynamics • www.beveragedynamics.com • March/April 2011