E-Malt.com News article: UK: Great Britain remained InBev’s most challenging market in Western Europe

Beer giant InBev announced on November 10 the UK remained its most challenging market in Western Europe, despite sales of Stella Artois recovering over the summer, according to media reports. InBev said an improved performance in the UK was the reason why volumes of its flagship brand rose 8.4% between July and September after sliding 3.9% over the previous three months.

The turnaround was achieved even though InBev has refused to cut the price of pints of Stella because it would devalue its image as a “reassuringly expensive” lager. A spokeswoman for the Belgian brewer said sunny weather in the key month of September lay behind the 7.6% rise in volumes of Stella in the UK during the third quarter.

At the same time, InBev put more emphasis on marketing the lager with adverts featuring ice-skating priests and a black-and-white film in the mould of surrealist movies by Salvador Dali. “It’s our belief that our actions are starting to pay off, but it will take longer to get Stella Artois back to where we want it to be,” the spokeswoman said.

She added that comparisons in the third quarter were easier than between April and June, when the company was up against the strong sales last year during the Euro 2004 football championships.

As well as Stella, InBev’s brands include German lager Beck’s, Czech beer Staropramen, ale Bass, Leffe and Hoegaarden. InBev employs about 3,000 people in the UK at its British head office in Luton and its three breweries, in Glasgow, near Preston and in south Wales.


11 November, 2005