World: Premium beer has been the fastest growing segment of the world’s beer market in recent years. Total global premium beer sales increased in the past 3 years, by about 35.2% to some US$116.1 billion. This segment still remains the fastest growing. According to industry analysts, by 2010 about 6 major breweries will control some 80% of the premium beer segment. The competition between these major players is to grow even more substantial especially in the developed countries. “The premium beer sector is growing faster than the total beer market and accounts for a disproportionate share of its profits. We therefore see good opportunities for brands such as Miller Genuine Draft, Pilsner Urquell, Nastro Azzuro and Castle,” SABMiller revealed in its annual report.

Premium beer is in essence a marketing notion. However, the industry definition of a premium-packaged lager in UK is determined only by alcohol content. In UK a premium beer is a Class III lager that has 4.3% to 7.5% ABV (Alcohol By Volume) content, in accordance with the British Beer and Pub Association. For the rest of the world the industry definition of a premium beer or larger is not determined only by the alcohol content. A standard beer can become a premium beer in a given region or a particular country within a region. The price reinforces the image of the beer as a premium brand. It shows the consumer appreciates the quality and therefore the brand is able to justify its premium price.

The top players on the world’s premium beer segment are: Anheuser-Busch, SABMiller, Interbrew, Heineken, Carlsberg, Breweries, Scottish & Newcastle, Coors Brewing Company and Foster's Group. The process of consolidation of the brewing industry will continue on the basis of the major international players acquiring more local brewing companies, especially in the developing markets in Asia.

05 December, 2004