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Budweiser to launch more premium products in China to meet demand

By Zhong Nan in Shanghai | chinadaily.com.cn | Updated: 2024-11-08 20:00
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Jan Craps, CEO and co-chair of Budweiser APAC, delivers a speech at a CSR (corporate social responsibility) event in Shanghai. [Photo provided to chinadaily.com.cn]

As China's beer market moves toward premiumization and flavor diversification, Budweiser APAC, the largest beer company in the Asia-Pacific by sales revenue, will introduce more premium products into the country to meet the market demand, said the company's top executive.

Believing that premium products - an unwavering trend driven by increasing consumer expectations, Jan Craps, CEO and co-chair of Budweiser APAC, said China's middle-income group is notably propelling this trend.

"Fueled by the country's economic growth, China's middle-income group will continue to expand, driving continued premiumization in the beer market," said Craps, adding that with a focus on premiumization, digitalization and market expansion, the company is committed to driving the premiumization of beer consumption in China.

In addition to launching its first zero-sugar beer - Harbin IGD Zero Sugar, Budweiser APAC has introduced Budweiser Zero and Corona Cero, two non-alcoholic beers, to the Chinese market.

In 2008, the group began working with the predecessor of the China Alcoholic Drinks Association to kick off the smart drinking campaign, one of the first in the alcohol industry.

As a multinational promoting smart drinking in China for the past 17 years, Craps said that Budweiser China has introduced innovative concept each year to reach more consumers, aiming to shape responsible consumption norms.

"Through new themes and fresh ideas, we have leveraged our brands to engage consumers and make smart drinking more appealing," he said. "We hope to provide consumers with choices, whether they choose alcoholic beverages or enjoy the great taste of non-alcoholic options."

Similar views were shared by Guo Xin, a marketing professor at Beijing Technology and Business University. "The beer sector has seen significant shifts in products and consumer demographics, driving expanded categories and blending boundaries between beverages and liquors to satisfy growing demand for diverse, personalized options as the consumer base becomes more segmented," said Guo.

Digital and intelligent transformation plays a crucial role in reshaping supply chains for beer producers, she added.

To advance the digitalization of its sales system, Budweiser China now operates BEES - its digital sales platform - in over 300 cities across China, with more than 70 percent of its total revenue in the country generated through digital channels.

Marking its 40th anniversary in the Chinese market this year, the company stressed its commitment to 'In China, For China' principle through continued investment, with a focus on enhancing its innovation capabilities, establishing advanced supply chain networks

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