Introduction: Navigating Competitive Dynamics in the Lager Market
The beer market is in the midst of a transitional period, characterized by a technological revolution, a shift in the preferences of consumers, and a regulatory shift towards greater concern for the environment. The main players, including the large industrial brewers, the brewers of craft beers and the new non-alcoholic beer manufacturers, are competing fiercely for leadership of the market, by deploying an innovation strategy. The traditional brewers are expanding their ranges with craft-style beers, while the craft brewers are using big data and artificial intelligence to optimize production and distribution. In the meantime, non-alcoholic beer manufacturers are taking advantage of the growing health consciousness of consumers. The digital revolution is reshaping the industry, with the Internet of Things and smart production systems. The greatest growth opportunities in 2024–25 are in Europe and North America, where the strategic use of automation and of the latest advances in the field of sustainable development will be essential to seizing market share and responding to the evolution in consumers’ expectations.
Competitive Positioning
Full-Suite Integrators
A large number of merchants, often with a large network of distribution, offer a complete range of beer products and services.
| Vendor | Competitive Edge | Solution Focus | Regional Focus |
|---|
| AnheuserBusch InBev |
Global leader with diverse portfolio |
Lager and other alcoholic beverages |
Global |
| Molson Coors Beverage Company |
Strong North American presence |
Lager and craft beers |
North America, Europe |
| Heineken |
Strong brand recognition worldwide |
Lager and premium beers |
Global |
| Carlsberg Group |
Sustainability-focused brewing |
Lager and specialty beers |
Europe, Asia |
| Diageo |
Diverse beverage portfolio with premium brands |
Lager and spirits |
Global |
Specialized Technology Vendors
Then we had the brewers who had specialized in the lager market, and who were often distinguished by innovation and special brewing techniques.
| Vendor | Competitive Edge | Solution Focus | Regional Focus |
|---|
| BrewDog |
Innovative craft beer offerings |
Craft lagers and ales |
Global |
| Asahi Group Holdings |
Strong in Asian markets with premium products |
Lager and specialty beers |
Asia, Europe |
| Kirin Holdings |
Focus on quality and tradition |
Lager and non-alcoholic beverages |
Japan, Asia |
Regional Players
They are able to play a large role in the local markets, often taking advantage of local tastes and preferences.
| Vendor | Competitive Edge | Solution Focus | Regional Focus |
|---|
| Grupo Modelo |
Strong presence in Mexican market |
Lager and specialty beers |
Mexico, Latin America |
| Tsingtao Brewery Group |
Leading Chinese lager brand |
Lager and international beers |
China, Asia |
| SABMiller |
Strong heritage in brewing |
Lager and local beers |
Africa, Latin America |
| Constellation Brands |
Focus on premium and imported beers |
Lager and craft beers |
North America |
| Ofertas y Negocios Cerveceros |
Local market expertise in Latin America |
Lager and regional specialties |
Latin America |
Emerging Players & Regional Champions
- BrewDog (UK): Known for its craft lagers and its revolutionary brewing methods, BrewDog has recently expanded its distribution in Europe and North America. Their focus on sustainability and unique beer styles challenges the traditional lager producers.
- Mikkeller (Denmark): This small brewery is specialized in brewing experimental pilsners and has become a favorite in the craft beer community. In recent years, they have worked with American breweries to gain access to the American market and are now competing with established brands.
- Lagunitas Brewing Company (USA): While IPAs are its specialty, the Lagunitas Brewing Company has introduced a line of lagers to meet the growing demand for lighter beers. In recent years it has forged a partnership with major retailers to increase its market share, complementing the efforts of the larger beer distributors.
- To l (Denmark): This brewery specializes in creating unusual and tasty pilsners, often using unusual ingredients. They have recently expanded their production to Asia, where a trend towards craft beers is emerging that are challenging the traditional pilsner style.
- Stone Brewing, Inc., USA: Known for its bold flavors, Stone Brewing has recently launched a line of lagers aimed at the craft beer market. Their quality and unique branding strategies make them a strong contender against established lager brands.
Regional Trends: In 2023, the trend is towards a resurgence of artisanal lager, with consumers looking for new flavours and a commitment to sustainable brewing practices. In Europe and North America, a new generation of artisanal lagers is establishing itself. In Asia, too, the public is increasingly demanding these new products. In this new brewing world, specialisation in technology is also on the increase. Breweries are investing in sustainable and advanced brewing techniques in order to set themselves apart from the traditional brewers.
Collaborations & M&A Movements
- A partnership between Anheuser-Busch InBev and Constellation Brands was entered into to develop a new brand of craft beers, which were to be directed to the growing craft beer market, thereby strengthening their position in the premium beer market.
- Heineken bought a minority interest in the Lagunitas brewery to expand its portfolio and to increase its share of the American craft beer market.
- Today the Molson Coors and Coca-Cola Companies announced a joint venture to launch a new alcoholic beverage, which will broaden their product range and strengthen their position in the fast-growing alcoholic beverage sector.
Competitive Summary Table
| Capability | Leading Players | Remarks |
|---|
| Biometric Self-Boarding |
Vendor A, Vendor B |
“Vendor A has successfully implemented biometric boarding at several airports, reducing boarding time by a third. Vendor B’s technology can be integrated with existing systems, enhancing the customer experience and increasing uptake.” |
| AI-Powered Ops Mgmt |
Vendor C, Vendor D |
C. The use of AI to optimize the functioning of the company resulted in a 20 percent reduction in waiting time. D. The use of a platform for predicting the behavior of the company allowed it to take a preventive view of its resources. |
| Border Control |
Vendor E, Vendor F |
The E-vendor has developed the most advanced facial recognition technology for border control, which has both increased security and speeded up the process. F-vendor's solutions are characterized by scalability and adaptation to various regulatory environments. |
| Sustainability |
Vendor G, Vendor H |
This company specializes in eco-friendly packaging and manufacturing processes. They have reduced their carbon footprint by forty percent. They have launched a program of product recycling which has been adopted by several major retailers. |
| Passenger Experience |
Vendor I, Vendor J |
A mobile app from vendor 1 enhances the passenger experience. Vendor J has introduced a new concept for a lounge that has received positive feedback from passengers. |
Conclusion: Navigating Lager Market Dynamics in 2023
In 2023 the brewing industry is characterised by intense competition and significant fragmentation. New and old players are competing for consumers. The regional trends point towards a strong move towards craft beers and premium beers. This forces established players to adapt and innovate. The players must strategically position themselves by deploying capabilities such as artificial intelligence for customer insights, automation for efficient production, and sustainability for brand loyalty, and agility to respond to market changes. These players who can combine these capabilities effectively will probably be the ones to shape the future of the brewing industry.
