According to AM Mindpower Consultants, consumption of beer is expected to touch anywhere between 343 million cases and 498 million cases by FY 2015.
It took Kingfisher 35 years to cross the 100-million cases of beer, but it might just take five more to double the sales.
“The bulk of the growth has come in the last decade, where beer has grown at a compound annual growth rate of around 13 per cent to 14 per cent,” pointed out Mr Gurpreet Singh, General Manager Marketing, United Breweries Ltd. He said that higher sales are expected because of the sports branding as well as the huge population that enters the legal drinking age every year. Mr Singh said that the population is culturally more comfortable with beer and distribution by the Government has improved. “Reports say that beer will double within the next six years and since we have been growing faster than the industry, we should be able to touch 200 million within the next five years,” he said.
Beer is one of the most popular alcoholic beverages in India and according to market research firm AM Mindpower Consultants, consumption is expected to touch anywhere between 343 million cases and 498 million cases by FY 2015. Euromonitor International, another research company, said that sales of beer are expected to grow from 1,902.6 million litres last year to 3,100.3 million litres in 2016. However, the recent fiscal has not been good for beer.
For 2011-12, researchers have pegged the growth at around three per cent to six per cent. Kingfisher, which registered 92 million cases in 2010-11, grew by 8.7 per cent to touch 100 million cases.
But in spite of this, Mr Singh is upbeat.
“The per capita consumption is less than 2 litres per person, while it is around 25 litres to 30 litres in China. There is a lot of scope for growth.” He said that in 2012-13, things should stabilise.