Beer was for many years one of the noblest beverages in terms of business. Although its preference and consumption is still high among various segments of the population, the truth is that with an important change in consumption habits, the sale of this fermented product has been reduced in recent years. However, Coca-Cola Femsa has decided to remove the portfolio to enter the craft beer segment, after purchasing this brand.
In a statement sent to the Mexican Stock Exchange (BMV), Coca-Cola FEMSA (KOF) reported it would have acquired the Brazilian craft beer brand Therezópolis, in conjunction with Coca-Cola Andina.
This move is part of the company’s long-term strategy to strengthen and strengthen its portfolio of beer brands in Brazil.
It is important to mention that this agreement is still subject to compliance with certain closing conditions as well as the usual regulatory approvals, with which the purchase is expected to close during the third quarter of the year.
Coca-Cola’s commitment to the alcoholic beverages market in different segments appears to be particularly strong.
It is important to remember that in October of last year, Coca-Cola Femsa, together with Arca Continental and Coca Coca Company, entered the category of alcoholic beverages with Topo Chico Hard Seltzer.
Coca-Cola FEMSA’s CFO Constantino Spas assured at the time that the product would have been well received, mainly in Brazil and Costa Rica.
“We have launched in selected cities in Mexico and Brazil. So that’s also a very different approach than what we normally do in the Coca-Cola system when we launch any RTD. We are doing a city approach rather than a nationwide rollout in the early stages. In Brazil, we started in São Paulo ”, he stated
The alcoholic beverages business is represented in terms of income, an important advance for the firm.
According to the company’s annual report, during last year, the bottler’s income from the sale of beer in South America represented 15,228 million pesos, which on a comparable basis would have increased 3.6 percent with respect to 2019.
The recent bet of Coca-Cola Femsa could be almost guaranteed success if we consider that craft beer is having a good time among lovers of this drink.
Some numbers are clear on this. According to data shared by Deloitte, 53 percent of Mexican consumers indicate that regular (industrial) beer is their favorite drink, followed by craft beers, with 14 percent of preferences, and the rest of the preferences are distributed among the different spirits.
The growth in the consumption of craft beers is on the rise. tTn only in 2017 these represented 0.1 percent of the market in Mexico, as referred High level, in that year craft beer reached the 108 thousand 723 hectoliters, which represented a growth of 65 percent, with around 650 producers.
With these figures it can be affirmed, at least in the first instance, that the opportunity is set for these brands.