CARLTON ZERO QUENCHING NEW MARKETS FOR CHANGING CUB

Carlton & United Breweries continues its quest to retain market dominance, embracing its new markets and vying for credibility even as it is readied for new owners.

Consumer trend research continues to find major growth in the low- and no-alcohol sectors, as Australians, particularly the younger demographic within licensed premises, continue to seek moderate alternatives to traditional drinking solutions.

Five years ago, this segment made up only ten per cent of CUB’s sales by volume.

Today its brands in these categories account for almost a quarter of the big brewer’s sales.

This charge has been led by Carlton Zero, launched a year ago, and already selling over 3.2 million litres.

CUB reports Zero dominates alcohol-free beer sales, driving up revenue in the category by 14 times.

“We launched Carlton Zero because beer lovers told us they wanted more opportunities to enjoy beer responsibly,” reports CUB’s Chris Maxwell. 

“Research shows the most common reason people drink non-alcoholic beer is because they’re the designated driver, and we’re seeing this predominately in people aged 18-34.”

CUB’s latest national online survey (of 1,000 people) found Zero not only the most popular with this age group, but that almost half would consider a no-alcohol beer in a social occasion. 

“The popularity of Zero shows it’s becoming normal to consume non-alcoholic beer on many different occasions,” suggests Maxwell.

“We think this deserves a pat on the back, and really shows the moderation message is getting through.”

Carlton Zero’s first anniversary coincides with CUB’s involvement in the Global Be(er) Responsible initiative – a program by brewers around the world to promote responsible consumption of beer.

Sales in traditional mainstream beers have been falling for years, recently dipping to be on par with wine as Australia’s preferred drop. This figure of 39 per cent represents a decrease from over 67 per cent for beer and increase from just 19 per cent for wine forty years ago.

In light of this, CUB recently purchased Riot Wine Co, tapping the booming market for canned wine.

It has also been putting water in cans, such as in the 13,000 cans of drinking water supplied to drought-stricken farmers in the scorched Southern Downs region, in a partnership with the Queensland government and NGO GIVIT.

Social conscience also saw the recent announcement that VB will be created using 100 per cent offset solar electricity by 2020.

The company currently holds over 48 per cent of Australia’s $14bn annual beer market, but a year on from releasing its first alcohol-free beer in its 180-year history, change is clearly afoot, with CUB chief executive Peter Filipovic telling the Sydney Morning Herald “Moderation is a big trend … and we have got to adapt”.

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