Nov 2010 Financial News

Carib attracts new market with light beer

Nov 18, 2010

In the face of a lacklusture market, Carib Brewery introduced a new product in June, Carib Pilsner, the company’s first light beer. At 74 calories a bottle, the company’s aim is to cultivate the calorie-conscious customer. Sadiq Ali, regional marketing manager of Carib Beer, said it took two years to produce the light beer. Ali estimated that millions were spent over the past two years to get the right formula, on packaging and on communications.

“Every stage of this product was research-driven as we sought the views of our beer consumers to influence the taste, packaging and advertising. “In six months, the sales have been growing. Part of this job is getting people to try it. So we are trying to get people to convert to it,” Ali told the Business Guardian. “When you pull out all the calories, you basically pull out all the taste and you have to try and balance that to get the right taste. We are thrilled that, so far, we’ve had no negative feedback,” he said. Ali pointed out that Carib already dominates the beer market.

For this new product, the company hopes to attract new customers. Pilsner’s competition is imported beers: Coor’s Light and Corona Light. Cognisant of this, Ali said the philosophy is to grow the market. “There was a time when people thought a light beer had a watered-down taste and wasn’t a real beer, but no more. Look at what is happening around the world. Nearly every major brand of beer in the US has a light variant and, in most cases, the light variant is outselling the original beer,” he said.

“A great pilsner demands the finest quality all-natural ingredients; and that’s what the brewery set out to find. The best malted barley from Europe, a world-renowned strain of hops from the Americas combined with specially developed yeast and pure filtered water: to get that exquisite, flavourful, crisp and refreshing taste,” said Atiba Rique, product development manager at Carib. He added: “As for alcohol content: it packs a robust four per cent which, in some countries, it wouldn’t be considered light at all.” Ali noted the alcohol business contracted in 2010.

“People usually buy beer with their disposable income. That income has come under severe pressure this year. We’ve had unusually bad weather and a lot of flooding. People have had to clean up their homes. And food prices have skyrocketed. So when you have people paying extra for food and to maintain their homes, there’s little disposable income to go around,” he told the Business Guardian. Ali said while people aren’t spending at the bars for their beer fix, they’re spending at the supermarkets.

“People are buying more beer at the supermarkets. Beer is cheaper at the supermarket and that’s where we’re seeing consumption sales going up,” said Ali. He said Carib’s sales have managed to remain “marginally flat” and expressed hope that a stimulated economy will get people spending again.


Source:
Trinidad Guardian
Thursday November 18, 2010

http://guardian.co.tt/business/business-guardian/2010/11/18/carib-attracts-new-market-light-beer