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The battle of the beers
DESPITE the heat, there's a chill in the air. Revelling in a whirlpool of Cola and Ice-Cream wars, the Indian consumer never had a summer so cool. And ready to add a kick to the `chillz' is another battle brewing - the battle of beers. Going by the churning that is taking place in the industry, beer is set to become the new buzzword for Generations X, Y and Z this summer, even as it gets ready to pop some fizz into the lives of the savvy, sophisticated, bored-with life beer-drinking populace. Armed with `ready-to-drink' beer cans, new flavours, tangy aromas, softer looks and broader appeal, the big barons of the beer industry are all set to chill the summer with some real cool new varieties of beer which, believe it or not, you may actually be able to simply pick off the shelf at any retail, or even a grocery, shop. The topping comes in the
shape of the ready-to-drink beer that industry watchers predict will
completely change the meaning of beer drinking and revolutionise the
face of the Indian beer market. Pre-mixed drinks or Ready To Drink
(RTDs) were introduced for the alcoholic beverages segment in the Indian
market in 2001 when Baccardi Martini India Ltd (BMIL) launched Baccardi
Breezer (a fruit flavoured drink with 4.8 per cent alcohol content) in
three flavours - lime, cranberry and orange, available in 330 ml bottles
priced at Rs 40. The company promises many more flavours to come. |
But beer companies are not taking the threat lying down. As the saying goes, if you can't beat them, join them. And that's exactly what beer companies are planning to do, as they get ready to flood the market with their own brands of RTDs. As they simultaneously strive to improve the taste and the aroma of beer, beer companies are optimistic about the future of the drink in India, where the beer market, with 5.6 million bottles, is the most emerging market and is set for rapid growth in the coming decade. Industry analysts predict that with 85 million potential beer drinkers set to be added in the next ten years, the market will see penetration levels increase from 11 to 20 per cent. According to them, rising incomes, changing lifestyles and removal of market distortions will fuel the growth of the beer market, with the strong beer segment leading the race. The advantage for strong beer lies in the kick it gives, combined with more value for money, and the fact that in summer consumers prefer to drink chilled strong beer instead of hard liquor. No wonder the beer market is growing at the phenomenal rate at which it is, tempting a host of international beer brands to enter the Indian market over the past few years. In the mild beer segment, the market has been seized by Becks, Fosters, Corona, San Miguel, Cobra, Castle Lager, with Fosters emerging the cool favourites. Among the Indian brands in the mild segment Kingfisher of United Breweries, Royal Challenge from Shaw and Wallace are amongst the most popular brands. What these beer companies are particularly excited about is the transformation of the profile of the beer drinkers in India from the largely alcohol-drinking populace to the `soft drink variety' who believe beer drinking is not as bad as drinking hard liquor. And with many states moving to liberalise the laws relating to sale of beer, making it more accessible to the ordinary buyer, beer may well be on a roll soon. Especially if the food processing ministry accepts the claims of the All India Brewer's Association that there is more protein in beer than in milk and beer has fewer calories than apple juice, milk or cola and contains neither fat nor cholesterol. Once that happens, beer will get delinked from the status of liquor and whisky, thus enabling its advertisement and marketing like any other product. Because a major factor currently scuttling the growth of the alcohol industry is the stringent curbs on advertising and marketing of liquor. And so long as beer remains a part of the hard liquor industry, it will also continue to be subject to these restrictions, putting it at a distinct disadvantage viz-a-viz the soft drink industry. Beer barons are thus
eagerly awaiting an easing of the laws to put the industry on a par with
the soft-drink makers. The government has so far given an indication of
being amenable to such a change, but is treading cautiously to ensure
that it moves in tandem with the social and cultural milieu, whose
balance is currently rather heavily tipped against all that it perceives
to be unhealthy for the society, including beer. But experts say the day
is not far when beer will become socially acceptable as a drink like
Cola or Pepsi. And that is bound to be followed by a deluge of beer ads,
shifting the current beer war from industry to television, while the
consumer relishes his glass/bottle/can of beer. |