The beer industry is gearing up for a successful summer, with robust sales expected due to the Olympics and slowing inflation. After facing a decline for several quarters, major brewers such as Heineken and Carlsberg have reported growth in the first quarter. This marks the first quarterly growth in over a year for companies like Heineken.
Anheuser-Busch InBev also reported positive momentum by experiencing only a smaller-than-expected drop in volumes in the first quarter. The company’s CFO, Fernando Tennenbaum, mentioned that they were already seeing volume growth in most of their global markets. The upcoming summer Olympics in Paris and the 2024 European Championship football tournament are expected to further boost beer sales.
Carlsberg’s chief executive, Jacob Aarup-Andersen, expressed optimism about beer volume growth in mature markets like western Europe. He noted that events like the Olympics could help drive sales, especially considering less extreme weather conditions compared to previous years. Slowing inflation is also anticipated to aid beer volume growth as companies gradually reduce their price hikes. Rising costs of ingredients like barley and aluminum led to rapid price increases in recent years. Now, companies are shifting their focus towards volume growth as a revenue driver rather than relying solely on price increases.
Anheuser-Busch Inbev’s performance in the United States also exceeded expectations in the first quarter, according to Reuters. Overall, global brewers are looking forward to a promising summer with positive growth prospects in the beer market.
In conclusion, global brewers are anticipating a successful summer season with robust sales due to several factors such as the Olympics and slowing inflation. After facing declines for several quarters, major brewers have reported growth in Q1 2021, indicating positive momentum for companies like Heineken and Anheuser-Busch InBev.
The upcoming summer Olympics and 2024 European Championship football tournament are expected to boost beer sales further due to increased consumer demand during these events. Additionally, Carlsberg’s chief executive has expressed optimism about beer volume growth in mature markets like western Europe.
Slowing inflation is another factor that will aid beer volume growth as companies gradually reduce their price hikes while shifting their focus towards volume growth as a revenue driver instead of relying solely on price increases.
Overall, global brewers are looking forward to a promising summer season with positive growth prospects in the beer market due to these factors combined.
