Thai Beer competition in 2010 a sobering challenge
Beer competition in 2010 a sobering challenge
BANGKOK: — Thai Beverage, manufacturer of Chang beer, expects to face big challenges amid fiercer competition in the beer market next year.
The Asean Free Trade Agreement, which will eliminate tariffs on beer imported from fellow Asean members from next January 1, will afford foreign brews easier access to the Thai market.
Chang also plans to regain market leadership within two years through an aggressive marketing campaign featuring sports and music activities.
Thai Beverage Marketing deputy managing director Charlie Jitcharoongphorn yesterday said some serious competition was expected in the beer market next year, but that the company was formulating a marketing strategy to meet it.
ThaiBev has earmarked Bt100 million for sports and music activities and produced a Chang television commercial for its “Khon Thai Huajai Deaw Khun” campaign, to air for six months starting today.
Charlie said this was ThaiBev’s first step towards overcoming the competition.
Chang lost its leadership to Singha beer two years ago. Singha Co recently said its beer brands – Singh and Leo – enjoyed a combined market share of 60 per cent. Charlie said ThaiBev’s Chang, Federbrau and Archa controlled the rest of the market.
The company has targeted a 5-percentage-point increase in its market share by the end of next year.
The economy-beer segment, which represents 80 per cent of the Bt100-billion beer market, is expected to grow 4-5 per cent next year. Sales of Chang have so far showed flat year-on-year growth in that market.
Charlie said Chang’s “Khon Thai Huajai Deaw Khun” campaign was aimed at supporting the revolutionary new look of Chang beer products, with Chang Classic, Chang Draught and Chang Light given a clearer image.
The company expects 80 per cent of Chang drinkers to learn about the campaign within a month through different media channels – billboards, television and radio commercials and print and online media.
Chang will also organise 1,000 concerts and other musical performances at various venues next year.
