Shuffling the Deck
Finally, some beer news in the media. First of all, AB-InBev is reporting a decline in revenue largely based on slower than predicted sales in Brazil. This is somewhat interesting to me since Brazil and South America are among the driving forces in the growth of the global beer market. This emerging market is a critical lynch pin and if there’s issues there, could it be the sign of more to come - Let’s hope not because this will affect us all. It could also be due to the growth of the micro beer market down there. Should be interesting to watch.
The more fascinating story to me is the fact that Miller has pulled the distribution rug of Miller in Canada from under MolsonCoors. Not really sure of what’s going on here but it’s fun to speculate. Miller and MolsonCoors have a joint distribution business in the U.S - how will this affect that relationship? Not well - I would think.
Moreover - if MGD and any of the other Miller brands move from Molson, that is a big share and volume hit. Now here comes the big question - who is going to be awarded with the distribution rights? Will SAB Miller set up it’s own business model in Canada? Will MGD go over to Mark Anthony Brands who are already selling Grolsch, Pilsner Urquell and Peroni? What happens to the Leinenkugel brands which were rumored to be coming to Six Pints this year?
The beer industry has been relatively quiet for the past few years - looks like that could change very shortly.