Published Date : Jan 25, 2016
The Asia Pacific beer market has exhibited impressive growth in the past couple of years, with countries such as India, Singapore, Vietnam, China, South Korea, and Japan witnessing a significant rise in overall sales volume. Owing to rapid urbanization and rising disposable income across these countries, many beer brands are registering tremendous success in the region. Several factors have contributed towards this exponential rise in beer consumption in the Asia Pacific region. Increasing popularity of craft beer has paved the way for a new generation of brewers to dominate the market. Right from their start to the annual sales, beer companies in the region have only grown stronger with time. The consumption trend reveals a rapid increase in the number of female beer drinkers. This has further fuelled the overall demand from the regional beer market.
The average income of the working class of the society has significantly increased over the last few years. This increase in disposable income has made people more willing to dine out and spend more on beer. Additionally, this has encouraged customers to spend more on premium beer.
Foreseeing the exponential growth in the beer market in Asia Pacific, Thai Beverage has used its Singapore-listed unit Fraser and Neave (F&N) to bid for SABMiller's beer brands, Peroni and Grolsch. The bidding attempt by the group can be seen as its effort to expand into premium brands with strong market positions. It is estimated that the deal to buy the two brands could be worth 3 billion euros ($3.24 billion). Thai Beverage, also known as ThaiBev, is aiming to widen its presence across the Southeast Asian countries, particularly Vietnam. Thai Bev, one of Southeast Asia's largest beverage companies, acquired F&N in 2013.