The peak season is approaching + the sector has risen sharply + product upgrades How can beer companies "climb up and seek farther"

In late May, the temperature in many places has risen, and beer is about to usher in its own peak consumption season

Beer sales season is coming

A few days ago, Budweiser's performance meeting for analysts revealed that Budweiser and other brands have raised prices, and the specific price increases for different brands are different

The sudden price increase of Budweiser is not accidental.

Under this expectation, with the arrival of the peak season of beer sales, the stock price of beer stocks took the lead in ushering in a "price surge"

Essence International believes that since last year, the prices of raw materials such as barley, glass, cardboard boxes, and aluminum cans have risen significantly, and the industry's price increase is the general trend, which will be a short-term catalyst for the stock price

How long can the beer sector last? Galaxy Securities pointed out that the beer industry saw a rapid recovery in sales in the first quarter of this year, accelerated high-endization, and a significant improvement in the peak season, and the long-term structural upgrading trend remains unchanged

In terms of the market, in the peak season of this year, beer sales show a trend of high-end "popularity" in both supermarket channels and e-commerce platforms

Leading enterprise layout high-end

At present, the high-end trend of the beer market has emerged, and the market channels also cater to the high-end trend and cooperate with sales

The 2020 annual report and the 2021 first quarter report released by beer companies a few days ago show that China Resources, Yanjing, Tsingtao, and Chongqing beer have a revenue of 10 billion yuan, but their sales have declined

Specifically, the annual report released by China Resources Beer shows that in addition to the reasons why the government tax policy has reduced the labor cost of enterprises during the epidemic, and the net profit has risen despite the decrease in revenue, the launch of high-end new products is undoubtedly to support the high-end development of the brand.

After entering the era of falling volume and rising prices, the main line of competition in the beer industry will change from "sales is king" to "high-end products", and this is also the best time for high-end domestic beer to usher in national promotion

Industry insiders said that the domestic beer industry has now developed into a new state of competing for high-end after experiencing large-scale foreign investment into domestic and foreign mergers and acquisitions, expansion and integration

Upgrading doesn't happen overnight

Behind the rapid high-end development of domestic beer, the consumption awareness of the whole society is constantly maturing, the process of branding and quality is accelerating, and consumers' demand for personalized products is increasing, which is the result of the structural upgrade of alcohol consumption

Food industry analyst Zhu Danpeng said that companies have invested in high-end products, and based on industrial considerations, high-end products are more profitable

In the face of high growth, Zhao Rui, deputy director of Tsingtao Brewery's innovation business department, analyzed that although the growth rate of high-end products in the overall product structure of listed beer companies is obvious, it has little practical significance

In the view of beer expert Fang Gang, the high-end domestic beer must be based on China's local culture and conform to the scene-based consumption habits of Chinese beer drinking

In addition, wine industry analyst Cai Xuefei believes that if domestic beer is to successfully complete the high-end transformation, the marketing methods must not be limited to sports and entertainment marketing
.
He Yong also put forward a similar point of view.
With the market development of diversified consumption, diversified channels, and diversified supply and demand, it is necessary to use good products + good stories to define the right to speak
.

Regarding the future of high-end beer in China, Fang Gang admitted that the transformation will not be accomplished overnight, and it will take time to achieve success
.
But it is undeniable that the high-end beer is becoming a trend, and this is only the beginning
.

(Comprehensive arrangement by Gu Yufei)

"China Food News" (May 24, 2021 07 edition)

(Editor-in-charge: Yang Xiaojing)