Beer sales in Germany fell by about 9.1% in the first quarter of 2003. This is the steepest decline since the brewers started recording sales in the 1950s, and the industry is now in a state close to shock.
Germans are turning to other alternatives, and the increasingly popular ready-to-drink alternatives such as Bacardi Rigo and Smirnoff Ice have been a roaring success in Germany, with a 500 % sales increase last year.

This development may have a devastating effect for minor and medium-sized breweries in Germany. But also giants such as Interbrew, which has expanded by expensive acquisitions, may have a rough patch ahead if the success of the ready-to-drink products prevails.

This may not be the case, though. According to Canadean, the beverage analyst, these products appeal to a cost- conscious group with fickle tastes and low brand loyalty, and several products have been pulled from the market during 2002 because sales did not meet expectations.

14 May, 2003