For those desiring a little extra Tequila to tickle their taste buds, Anheuser-Busch has rolled out Tequiza Extra, a beer which does not have added lime or the sweetness characteristic of its sister product, Tequiza, which was rolled out in February 1999.
Tequiza Extra contains 5.6% alc./vol. and 147 calories per 12-ounce serving. It is available in six- and 12-packs of clear, 12-ounce import style bottles that feature a twist-off cap. The brand is supported by English and Spanish language radio and print advertising.
Twang Inc., San Antonio, has teamed up with Anheuser-Busch to incorporate Tequiza-Twang, a lemon-lime flavoured salt, into its national rollout of Tequiza Extra. As the slogan goes: 1. Lick the salt, 2. Drink the beer.29 to US$1.79 per bottle (1.4-oz. bottle)./vol..
Grupo Modelo’s total shipments in the first half of the year reached 18.0 million hl, growing 3.0% compared to the same period 1999. This was mainly achieved by a 3.2% increase in domestic volume and a 2.3% growth in export shipments. Export volume for the first half 2000 accounted for 24.9% of the total volume compared to the 25.1% registered last year. Net sales were 13,897 million pesos, up 5.9%. However, during the second quarter, total shipments of beer grew only 0.9%, representing a 1.4% increase in the domestic market and a 0.5% decrease in exports. In effect, second quarter sales were 7,632 million pesos, a 4.2% rise over II-99. Earning per share were 0.88 pesos compared to 0.93 pesos to the first half of 1999.
According to Statistics Canada, sales of domestic beer brands have fallen for five years now as imports rose by 9.7% to C$462.3 million. In 1998/1999 Canadians consumed 21 million hl of beer, up 2.0% on the previous year, increasing sales by 4.8% to C$6.5 billion. Over the same five-year period, domestic premium beers have dropped to 93% of the market from 96%, feeling the pressure from both imported brands and discount brands. The second largest volume seller among alcoholic beverages was wine at 272.5 million litres in 1998/1999; sales of spirits-based coolers increased by 7.2% to 148 million litres on a year-on-year basis.
According to the Beer Institute, Washington, the US beer industry in 1997 had an economic impact of US$187 billion; it generated US$12 billion in state and local taxes; it paid US$32.8 billion in federal taxes; it provided 2.48 million jobs and paid US$59 billion in wages.
Coors Brewing Co. was named to Hispanic Magazine’s list of 100 US companies providing the most opportunities for Hispanics. In 1998 and 1999 Coors was cited by Fortune magazine as one of the best companies for Asians, Blacks and Hispanics.
The country’s major brewer Backus & Johnston SA (5.8 million hl) bought its main competitor Compania Cervecera del Sur SA (Cervesur) (1.3 million hl) by purchasing a minimum of 89% of Cervesur’s common shares, 45% of non-voting investment shares and 100% of Bottler Embotelladora Frontera SA’s common shares. This deal increases Backus, market share to almost 100%.
Labatt Brewing Co. has won a multi-year contract to brew and package Guinness stout for the US market. Although the duration of the contract has not been determined, Labatt expects to brew about 250,000 hl Guinness stout annually at its London, Ontario, plant. The Toronto-based brewer has been producing Guinness stout for the Canadian market since 1965. Until now the US market has been served by imports from Ireland.
According to Competitive Media Reporting, the brewing industry’s ad budget topped US$800 million in 1999. By comparison, the soft drink industry spent US$600 million on ads.
U.S. consumers still like their pop sweet and brown. Beverage Digest, a trade journal which tracks the sales of 192-ounce cases, announced that the biggest gainers in the US$58 billion carbonated soft drinks industry included the brands Mountain Dew (PepsiCo), Cadbury-Schweppes’ Dr Pepper and Coca-Cola’s Sprite. Table
Draft beer may be on the decline on the US market, but still enjoys a 10% share of the beer market. Apparently there are no standards for the dispense of beer, so the Draft Beer Guild was founded in January 1999 as a response to the declining quality and sales of draft beer. The members of the guild have developed a model for Cleaning Standards which has already undergone one preliminary draft proposal in December. The Draft Beer Guild can be contacted at draftbeerguild@uswest. net.