AB InBev pops cork on top ASEAN brewery

June 08, 2015 | 06:06
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Late last month Anheuser-Busch InBev (AB InBev) held an opening ceremony to unveil its first state-of-the-art brewery in Vietnam. Michel Doukeris, zone president of AB InBev APAC, talked to VIR’s Khanh Tran on this new milestone in AB InBev’s strategy to tap into the fast-growing potential of Vietnam and Southeast Asia.

Why did you choose Vietnam to build the brewery and why now?

Without question, Asia-Pacific has emerged as one of the most prominent consumer regions for all enterprises, including AB InBev. The zone is now the third largest market of AB InBev globally in terms of volume, and we’re looking at Vietnam as the next turning point for us in Southeast Asia.

When you look at our footprint back from 2011, it was the right decision at the right moment, as we already had our presence in China, our strategy defined for South Korea – it was natural, given the momentum of our performance, to arrive in the Vietnamese market. Together with Australia, Japan, China, the Philippines and South Korea, Vietnam is one of the sixth largest beer markets in Asia in terms of profit. It plays an important role for AB InBev’s growth in the region in the long run and we are committed to invest in and develop the market by offering premium products and experience to our consumers.

Will products from this brewery be exported to other markets?

The key point to developing this brewery here is to primarily serve the Vietnamese market. We believe that by bringing the quality and proposal that we have in terms of bringing the experience of Budweiser to consumers, there is further room for us not only to grow Budweiser in Vietnam with this facility, but also to further grow the production in Vietnam for the local market. On the other hand, using Vietnam as a production base for export is definitely included in our development plans in the very near future. Because of the privileged position Vietnam has geographically, and Ho Chi Minh City as a distribution hub for the rest of Southeast Asia, beer produced here will also be exported to other countries, including ASEAN member countries, Laos, Cambodia, the Philippines, and even India in the future.

Among the many brands produced by AB Inbev, why did you choose Budweiser to introduce to the Vietnamese market, and not some of your other brands like Corona or Beck’s?

Budweiser is the most iconic beer brand in America. It has been established for 139 years, and it’s famous in over 80 countries. On top of that, we’ve been selling Budweiser for a while now in Vietnam, and there is a great acceptance and appreciation by Vietnamese consumers for Budweiser, making it a natural choice to officially introduce to Vietnam.

Vietnam has a huge potential market, with three billion litres of beer consumed every year. Can you foresee any challenges in the market?

With many brands in the market, the competition is obviously challenging. However, we also believe that competition always goes hand-in-hand with opportunity. We are confident that our unique portfolio of brands can deliver world-class premium quality products to consumers as well as a differentiated experience. Vietnamese consumers are really excited with this beer. Besides Budweiser and Beck’s, we will continue bringing Vietnamese consumers other brands such as Corona and Stella Artois.

What is particularly special about the AB InBev Vietnam brewery?

AB InBev’s Vietnam brewery features the most advanced brewing technology that is certified to brew our most popular premium beers, such as Budweiser and Beck’s. What makes our beers unique is our attention to detail, from the most advanced technology to the choicest ingredients and highest standard processes. If you have the chance to visit the brewery, you will see that not only does it look beautiful, but all the investments in terms of technology that we have made here ensure that we can offer what’s best worldwide in terms of quality to produce beer for Vietnamese consumers.

Second, the quality of the raw ingredients – malt, hops, rice – are strictly controlled to the highest standards, the same standards that we have all around the world. On top of that, every month, samples from the Vietnam brewery – as is the case with all AB InBev breweries around the world – will be submitted to the AB InBev tasting panel to ensure its consistently superior quality and taste.

Third, the process that we use to brew Budweiser here is a standard process we use to produce Budweiser worldwide. That’s why Michael Kraemer – our Budweiser head Brewmaster – and other colleagues come to Vietnam to certify that the brewery is producing Budweiser according to the international standards that we apply globally. We have several breweries worldwide but not all the breweries are qualified to brew Budweiser because they have to fulfil a long list of requirements and have consistency in their production output. Fortunately, the Vietnam brewery is capable and certified to brew Budweiser since the beginning.

The investment that we’ve made here in Vietnam, and the commitment we have to the Vietnamese market, is to make sure that Vietnamese consumers can enjoy superior quality beers that are fresher. The brewery will allow AB InBev to react to local demand more quickly, enabling us to better serve our trade partners and, ultimately, provide consumers with fresher beer with the same quality as our other world-wide versions.

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