Beer sales continue to decline

That beer consumption has continued to decline has been blamed on beer going out of fashion with young people – and price hikes.

Asahi Breweries remained the industry’s number one brewer for the eighth year in a row with a market share of 37.8 percent, followed by Kirin Brewery with 37.2 percent.

Suntory overtook Sapporo Breweries to rank third for the first time with a market share of 12.4 percent. Suntory managed to increase its market share by holding off price hikes for its canned beer until last September.

Sapporo’s market share stood at 11.8 percent. Okinawa-based Orion Breweries Ltd. finished fifth with a market share of 0.8 percent.

Asahi’s share of the regular beer market in 2008 exceeded 50 percent for the first time to reach 50.5 percent, thanks to the popularity of its Asahi Super Dry. Suntory saw shipments jump 10.0 percent, while Asahi posted a 3.2 percent slide, Kirin a 4.1 percent fall and Sapporo an 8.2 percent decline.

Beer accounted for 53.1 percent of the market, “third-category” beers for 23.7 percent and happoshu for 23.3 percent.

The biggest winners were so-called “third-category beerlike alcoholic drinks” (that is beer brewed without malt). They jumped 13.8 percent because of their lower prices, exceeding shipments of low-malt "happoshu" beer for the first time. Regular beer shipments tumbled 6.5 percent, while happoshu saw a 7.7 percent decline.