By Emma Rumney
LONDON, Sept 22 (Reuters) – Anheuser-Busch InBev will sell smaller pack sizes, beers with added protein or electrolytes and push further into drinks beyond beer, executives said on Tuesday, as the top brewer looks to grow amid shifting drinking habits, strained incomes and a trend towards health and wellness.
The world’s largest brewer by market value will look to drive higher beer consumption and grow revenue from non-beer products like canned cocktails and energy drinks, executives told investors at a capital markets event.
Brewers including AB InBev, which makes labels like Corona and Stella Artois, have been battling to grow beer volumes and revive weak demand in some large markets like the United States as some consumers cut back, prompted by pressure on their wallets or changing tastes.
AB InBev Chief Marketing Officer Marcel Marcondes said one aim was to grow consumption among infrequent beer drinkers, with budget-conscious consumers in this category presenting the most significant opportunity.
“Data is showing us huge opportunities to make beer more affordable, especially in developing markets,” he said, adding AB InBev will address this by increasing both smaller pack sizes and larger ones offering higher quantities for less.
Increasing non-alcoholic beer consumption during casual meals presented another major opportunity, he said, adding AB InBev would drive that via zero-alcohol beers with different flavours, low calories and even protein or electrolytes. The company has launched a version of its Spaten beer with added protein in Brazil.
In the US especially, AB InBev has also been pushing into categories other than beer, including with top-selling canned cocktail label Cutwater and some energy drinks. Executives said it would expand further in these areas, with energy drinks alone potentially adding $25 billion to AB InBev’s addressable market.
“In this space, we are the challengers, which gives us huge headroom for growth,” CEO Michel Doukeris said.
(Reporting by Emma Rumney; Editing by Jamie Freed)
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