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Tsingtao Beer’s small category innovation

2024-08-10

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Economic Observer reporter Zheng Yuexin On August 8, at the China Beer Humanities and Art Exhibition held in Beijing's 798 Art District, many consumers waiting to try new products such as raw beer lined up in front of the counters.

At the booths of some brands, the exhibitors pulled the pull ring of the aluminum bottle of raw beer, and with a "bang" sound, the malt aroma and rich foam gushed out.

Speaking of raw beer, residents living near many large beer factories may be more familiar with it. In the past, they used to "pack" raw beer home in plastic bags. These fresh and niche beers that were once only available on production lines and in the cities where the factories are located are now gradually entering the daily consumption list of consumers.

There are many big companies behind these products. Beer giants such as China Resources Beer and Tsingtao Beer are stepping into the innovation trend of small categories. In the beer field, small categories can be divided into many ways. Dark beer and white beer are small categories compared to yellow beer, and draft beer is also a small category compared to cooked beer. Data from the "Taobao Tmall Beer Consumption Trend White Paper" shows that the market size of Taobao Tmall's raw beer continues to grow, with a two-year compound growth rate of 40%.

However, for beer factories that operate intensive assembly lines, producing standard products and large single products has been the most economically efficient option for a long time. Small categories such as white beer, dark beer, and raw beer do not meet the input-output ratio requirements of large factories for innovation. More importantly, facing raw beer with a shelf life of only 7 days, companies are also faced with objective conditions such as transportation conditions and geographical distance.