Alcoholic Drinks in Bolivia
Euromonitor International's Alcoholic Drinks in Bolivia market report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market - be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change.
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Tables: 93 | Publication date: Jan 2009
Why buy this report
- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Product coverage
Beer; Cider/perry; RTDs/High-strength premixes; Spirits; Wine
Executive summary
Lacklustre economic outlook stifles growth
Bolivia is not exempt from the global economic upheaval that is modifying consumer trends and reducing the consumption of added-value goods in 2008, including alcoholic drinks. Despite a strong growth in GDP, mainly brought on by Bolivia’s hydrocarbon bonanza and favourable international commodity prices, the supposed trickle-down effect has not necessarily strengthened the purchasing power of Bolivians. Instead, most segments of the alcoholic drinks market have witnessed an overall slowdown in growth, whilst some brands, mainly Euro-based imported spirits, have seen their market share fall in favour of more affordable regional substitutes as upper-income consumers trade down.
Monopolies are meant to be broken
Until recently Cerveceria Boliviana Nacional SA (CBN) had an overriding monopoly over all beer segments in Bolivia. Today, CBN is still the dominant leader in the market; however, Compañia Cervecera Boliviana SA (CCB), an up-and-coming La Paz-based brewery, managed to gain nearly 5% percent of the national beer market in 2007 by introducing Autentica beer. Autentica, pure malt, quality beer at a low price, fits the paradigm of the domestic standard beer that caters to all segments with good value for a reasonable price. This new launch would not have been as newsworthy if it had not been for the antimonopoly ruling by the Bolivian government chastising CBN’s unfair practices over CCB. CBN is looking at an unprecedented fine, whilst CCB is bound to continue growth with the addition of a new plant for 2009 in eastern Bolivia.
Brand names are having to compete with newcomers
The wine market in Bolivia showed promising growth in 2007 whilst consumers from Bolivia’s upper and middle socioeconomic segments embraced local and imported wines driven by a world and regional trend of fashionable consumption. Bolivia indeed began to appreciate wine; however, in 2008 the dwindling budgets of wine consumers have seen the positioning of medium-quality wines at prices that make brand names seem too expensive for the stalling current market economy. For example, wine and spirit importers, who once enjoyed a strong global brand loyalty from their consumers, have started promoting their medium-priced brands in order to offset the lower-priced national and regional competitive products that are gaining ground.
Multi-speed economy establishes distribution channels
Bolivia has a truly mixed economy, in the sense that different socioeconomic and culturally varied populations have different habits of acquiring consumer goods, especially alcoholic drinks, beyond price differentiation and quality. Not all upper socioeconomic consumers exclusively shop for beer in supermarkets/hypermarkets or drink their favourite beer in upscale restaurants, nor do all Bolivians with less purchasing power buy their beer in informal open markets. The distribution channels are not perfect dichotomies and are not easily segmented, since the same alcoholic drinks can be purchased at similar prices, albeit with service mark-ups, through very different channels that have varied social, cultural and brand acceptance, and do not remain exclusive.
Highly unpredictable environment is not reassuring
The political, social and economic situation in Bolivia has raised many concerns as far as the future of the domestic consumer goods market is concerned. The country is highly dependent on international natural gas and metal commodity prices. Double-digit inflation and the lack of judicial guarantees to private businesses have raised the level of uncertainty as to how stable and secure the business environment will remain. The Bolivian government has also instituted a tourist visa requirement for American citizens who visit Bolivia (around $150) and is thinking of extending it to European tourists. Bolivia is considered an optional tourist destiny, not a main one like Peru; many on-trade establishments have tourists amongst their main customers, and are likely to see their sales drop due to this deterrence. Beer is ingrained in Bolivian culture and offers stability and possible growth in tough times, whereas spirits and wine are largely niche due to price barriers for the majority of the population.
Table of contents
ALCOHOLIC DRINKS IN BOLIVIA : MARKET INSIGHT
EXECUTIVE SUMMARY
Lacklustre economic outlook stifles growth
Monopolies are meant to be broken
Brand names are having to compete with newcomers
Multi-speed economy establishes distribution channels
Highly unpredictable environment is not reassuring
MARKET BACKGROUND
Legislation
Taxation and Duty Levies
Table 1 Taxation and Duty Levies on Alcoholic Drinks 2008
Table 2 Typical Wholesaler and Retailer Off-trade Mark-ups by Selected Sectors 2008
Table 3 Selling Margin of a Typical Domestically Produced Beer Brand 2008
Table 4 Selling Margin of a Typical Imported Beer Brand 2008
Table 5 Selling Margin of a Typical Domestically Produced Wine Brand 2008
Table 6 Selling Margin of a Typical Imported Wine Brand 2008
Table 7 Selling Margin of a Typical Domestically Produced Spirits Brand 2008
Table 8 Selling Margin of a Typical Imported Spirits Brand 2008
operating environment
Market Indicators
Table 9 Retail Consumer Expenditure on Alcoholic Drinks 2003-2008
Market Data
Table 10 Sales of Alcoholic Drinks by Sector: Total Volume 2003-2008
Table 11 Sales of Alcoholic Drinks by Sector: Total Value 2003-2008
Table 12 Sales of Alcoholic Drinks by Sector: % Total Volume Growth 2003-2008
Table 13 Sales of Alcoholic Drinks by Sector: % Total Value Growth 2003-2008
Table 14 Sales of Alcoholic Drinks by Sector by On-trade vs Off-trade Split: Volume 2008
Table 15 Sales of Alcoholic Drinks by Sector by On-trade vs Off-trade Split: Value 2008
Table 16 Sales of Alcoholic Drinks by Sector by On-trade vs Off-trade Split: % Volume 2008
Table 17 Sales of Alcoholic Drinks by Sector by On-trade vs Off-trade Split: % Value 2008
Table 18 Company Shares of Alcoholic Drinks by Global Brand Owner 2004-2007
Table 19 Off-trade Sales of Alcoholic Drinks by Distribution Format: % Value Analysis 2008
Table 20 Off-trade Sales of Alcoholic Drinks by Sector and Distribution Format: % Volume Analysis 2008
Table 21 Forecast Sales of Alcoholic Drinks by Sector: Total Volume 2008-2013
Table 22 Forecast Sales of Alcoholic Drinks by Sector: Total Value 2008-2013
Table 23 Forecast Sales of Alcoholic Drinks by Sector: % Total Volume Growth 2008-2013
Table 24 Forecast Sales of Alcoholic Drinks by Sector: % Total Value Growth 2008-2013
Definitions
Summary 1 Research Sources
BEER IN BOLIVIA
Headlines
Trends
Production, Imports and Exports
Competitive Landscape
Prospects
Sector Background
Lager price band methodology
Summary 2 Lager by Price Band 2008
Sector Data
Table 25 Sales of Beer by Subsector: Total Volume 2003-2008
Table 26 Sales of Beer by Subsector: Total Value 2003-2008
Table 27 Sales of Beer by Subsector: % Total Volume Growth 2003-2008
Table 28 Sales of Beer by Subsector: % Total Value Growth 2003-2008
Table 29 Sales of Beer by On-trade vs Off-trade Split: Volume 2003-2008
Table 30 Sales of Beer by On-trade vs Off-trade Split: Value 2003-2008
Table 31 Sales of Beer by On-trade vs Off-trade Split: % Volume Growth 2003-2008
Table 32 Sales of Beer by On-trade vs Off-trade Split: % Value Growth 2003-2008
Table 33 Beer: Production, Imports and Exports: Total Volume 2002-2007
Table 34 Beer Exports by Country of Destination: Total Volume 2002-2007
Table 35 Beer Exports by Country of Destination: Total Value 2002-2007
Table 36 Beer Imports by Country of Origin: Total Volume 2002-2007
Table 37 Beer Imports by Country of Origin: Total Value 2002-2007
Table 38 Company Shares of Beer by National Brand Owner 2003-2007
Table 39 Company Shares of Beer by Global Brand Owner 2003-2007
Table 40 Brand Shares of Beer 2004-2007
Table 41 Forecast Sales of Beer by Subsector: Total Volume 2008-2013
Table 42 Forecast Sales of Beer by Subsector: Total Value 2008-2013
Table 43 Forecast Sales of Beer by Subsector: % Total Volume Growth 2008-2013
Table 44 Forecast Sales of Beer by Subsector: % Total Value Growth 2008-2013
WINE IN BOLIVIA
Headlines
Trends
Production, Imports and Exports
Competitive Landscape
Prospects
Sector DATA
Table 45 Sales of Wine by Subsector: Total Volume 2003-2008
Table 46 Sales of Wine by Subsector: Total Value 2003-2008
Table 47 Sales of Wine by Subsector: % Total Volume Growth 2003-2008
Table 48 Sales of Wine by Subsector: % Total Value Growth 2003-2008
Table 49 Sales of Wine by On-trade vs Off-trade Split: Volume 2003-2008
Table 50 Sales of Wine by On-trade vs Off-trade Split: Value 2003-2008
Table 51 Sales of Wine by On-trade vs Off-trade Split: % Volume Growth 2003-2008
Table 52 Sales of Wine by On-trade vs Off-trade Split: % Value Growth 2003-2008
Table 53 Wine Production, Imports and Exports: Total Volume 2002-2007
Table 54 Wine Exports by Country of Destination: Total Volume 2002-2007
Table 55 Wine Exports by Country of Destination: Total Value 2002-2007
Table 56 Wine Imports by Country of Origin: Total Volume 2002-2007
Table 57 Wine Imports by Country of Origin: Total Value 2002-2007
Table 58 Forecast Sales of Wine by Subsector: Total Volume 2008-2013
Table 59 Forecast Sales of Wine by Subsector: Total Value 2008-2013
Table 60 Forecast Sales of Wine by Subsector: % Total Volume Growth 2008-2013
Table 61 Forecast Sales of Wine by Subsector: % Total Value Growth 2008-2013
SPIRITS IN BOLIVIA
Headlines
Trends
Production, Imports and Exports
Competitive Landscape
Prospects
Sector Data
Table 62 Sales of Spirits by Subsector: Total Volume 2003-2008
Table 63 Sales of Spirits by Subsector: Total Value 2003-2008
Table 64 Sales of Spirits by Subsector: % Total Volume Growth 2003-2008
Table 65 Sales of Spirits by Subsector: % Total Value Growth 2003-2008
Table 66 Sales of Spirits by On-trade vs Off-trade Split: Volume 2003-2008
Table 67 Sales of Spirits by On-trade vs Off-trade Split: Value 2003-2008
Table 68 Sales of Spirits by On-trade vs Off-trade Split: % Volume Growth 2003-2008
Table 69 Sales of Spirits by On-trade vs Off-trade Split: % Value Growth 2003-2008
Table 70 Spirits Production, Imports and Exports: Total Volume 2002-2007
Table 71 Spirits Exports by Country of Destination: Total Volume 2002-2007
Table 72 Spirits Exports by Country of Destination: Total Value 2002-2007
Table 73 Spirits Imports by Country of Origin: Total Volume 2002-2007
Table 74 Spirits Imports by Country of Origin: Total Value 2002-2007
Table 75 Company Shares of Spirits by National Brand Owner 2003-2007
Table 76 Company Shares of Spirits by Global Brand Owner 2003-2007
Table 77 Brand Shares of Spirits 2004-2007
Table 78 Forecast Sales of Spirits by Subsector: Total Volume 2008-2013
Table 79 Forecast Sales of Spirits by Subsector: Total Value 2008-2013
Table 80 Forecast Sales of Spirits by Subsector: % Total Volume Growth 2008-2013
Table 81 Forecast Sales of Spirits by Subsector: % Total Value Growth 2008-2013
BODEGAS Y VIÑEDOS DE LA CONCEPCIÓN SA
Strategic Direction
Key Fact
Summary 3 Bodegas y Viñedos de la Concepción SA: Key Facts
Summary 4 Bodegas y Viñedos de la Concepción SA: Operational Indicators
Company Background
Production
Competitive Positioning
Summary 5 Bodegas y Viñedos De La Concepción SA: Competitive Position 2007
CERVECERIA BOLIVIANA NACIONAL SA
Strategic Direction
Key Facts
Summary 6 Cerveceria Boliviana Nacional SA: Key Facts
Summary 7 Cerveceria Boliviana Nacional SA: Operational Indicators
Company Background
Production
Competitive Positioning
Summary 8 Cerveceria Boliviana Nacional SA: Competitive Position 2007
COMPAÑIA CERVECERA BOLIVIANA SA
Strategic Direction
Key Facts
Summary 9 Compañia Cervecera Boliviana: Key Facts
Summary 10 Compañia Cervecera Boliviana: Operational Indicators
Company Background
Production
Summary 11 Compañia Cervecera Boliviana: Production Statistics 2007
Competitive Positioning
Summary 12 Compañia Cervecera Boliviana: Competitive Position 2007