Alcoholic Drinks in Mexico
Euromonitor International's Alcoholic Drinks in Mexico 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: 169 | Publication date: Jun 2007
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- Get insight into trends in market performance
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- Identify market and brand leaders and understand the competitive environment
Product coverage
Beer; Cider/perry; RTDs/High-strength premixes; Spirits; Wine
Executive summary
Increasing presence of alcoholic drinks in Mexico
In 2006 alcoholic drinks grew mainly through increased volume sales of wine and spirits. Demographic changes also contributed to this growth as more teenagers became young adults and are now able to consume alcoholic drinks. In addition, macroeconomic factors in the form of low inflation rates and modest growth in GDP maintained a relatively stable economy, allowing consumers greater disposable income. However, high taxation still places a limitation on wider sales of alcoholic drinks in Mexico.
Parallel trade and contraband remain a big problem
Parallel trade and contraband pose a serious threat to the alcoholic drinks industry in Mexico, especially spirits. Both the Mexican government and producers faced a difficult year in 2005 trying to stop these illegal activities. According to industry sources, sales of illegal drinks could account for up to 50% of the total volume in some categories like spirits. Parallel trading is estimated at around 10% of the illegal market, which are around 16 million cases.
A large majority of the parallel trading takes place on the border between the US and Mexico since taxation in this is lower than in the rest of the country. Mexico’s north frontier is where more contraband has been found because the importers pay just 10% IEPS (Special Products & Services Tax), while in the rest of the country it is 50% plus 5% IVA.
Over-production of agave
In 2006 agave producers experienced a crisis as they produced more than can be used by tequila producers. As there are no incentives to keep producing and prices are going down many producers stopped production.
Tequila industry bodies such as the Consejo Regulador del Tequila and Cámara Nacional de la Industria Tequilera are worried about this situation because it will affect tequila production by 2010 as it takes the agave plant around five years to grow. As a result tequila producers and agave producers are working to secure inventories of agave for future demand.
Female drinking more due to social pressures and economic crises
Traditionally, women have not been not heavy consumers of alcoholic drinks in Mexico, but nowadays as more women are more independent and less dependent on men, they face more social pressures and economic crises which have changed their consumption patterns and so the percentage of female drinkers is increasing. It is not unusual to see women sipping tequila or enjoying a mixed drink such as rum and cola.
Wine consumption is also growing among women, not just because they like the taste, but also because it has become a fashion statement.
Table of contents
ALCOHOLIC DRINKS IN MEXICO : MARKET INSIGHT
EXECUTIVE SUMMARY
Increasing presence of alcoholic drinks in Mexico
Parallel trade and contraband remain a big problem
Over-production of agave
Female drinking more due to social pressures and economic crises
ALCOHOLIC DRINKS – KEY TRENDS AND DEVELOPMENTS
Illegal alcohol sales and its implications
Increasing female consumption of alcoholic drinks
Tequila production seeking balance
Boom in wine clubs leads to increased wine consumption
Specialist Retailers
Summary 1 Leading Specialist Retailers 2005
Market Merger and Acquisition Activity
Summary 2 Speculated Merger and Acquisition Activity 2006-2007
MARKET DATA
Table 1 Sales of Alcoholic Drinks by Sector: Total Volume 2001-2006
Table 2 Sales of Alcoholic Drinks by Sector: Total Value 2001-2006
Table 3 Sales of Alcoholic Drinks by Sector: % Total Volume Growth 2001-2006
Table 4 Sales of Alcoholic Drinks by Sector: % Total Value Growth 2001-2006
Table 5 Company Shares of Alcoholic Drinks by Global Brand Owner 2003-2005
Table 6 On-trade vs Off-trade Sales of Alcoholic Drinks by Sector: Volume 2006
Table 7 On-trade vs Off-trade Sales of Alcoholic Drinks by Sector: Value 2006
Table 8 On-trade vs Off-trade Sales of Alcoholic Drinks by Sector: % Volume 2006
Table 9 On-trade vs Off-trade Sales of Alcoholic Drinks by Sector: % Value 2006
Table 10 Off-trade Sales of Alcoholic Drinks by Sector and Distribution Format: % Volume Analysis 2006
Table 11 Off-trade Sales of Alcoholic Drinks by Distribution Format: % Value Analysis 2006
Table 12 Forecast Sales of Alcoholic Drinks by Sector: Total Volume 2006-2011
Table 13 Forecast Sales of Alcoholic Drinks by Sector: Total Value 2006-2011
Table 14 Forecast Sales of Alcoholic Drinks by Sector: % Total Volume Growth 2006-2011
Table 15 Forecast Sales of Alcoholic Drinks by Sector: % Total Value Growth 2006-2011
MARKET INDICATORS
Table 16 Retail Consumer Expenditure on Alcoholic Drinks 2001-2006
APPENDIX
Legislation
Taxation and Duty Levies
Table 17 Taxation and Duty Levies on Alcoholic Drinks 2005
Table 18 Typical Wholesaler and Retailer Off-trade Mark-ups by Selected Sectors 2005
Table 19 Selling Margin of a Typical Beer Brand 2005 – Corona Extra (Grupo Modelo SA de CV)
Table 20 Selling Margin of a Typical Wine Brand 2005 – Concha y Toro
Table 21 Selling Margin of a Typical Spirits Brand 2005 – Johnnie Walker Red Label (Diageo)
Operating Environment
Price Band Methodology
Summary 3 Lager by Price Band 2005
Published Data Comparisons
DEFINITIONS
LOCAL COMPANY PROFILES - MEXICO
BACARDI Y CIA SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 4 Bacardi y Cía: Key Facts
COMPANY BACKGROUND
PRODUCTION
Summary 5 Bacardi y Cía SA de CV: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 6 Bacardi y Cía SA de CV: Competitive Position 2005
CASA CUERVO SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 7 Casa Cuervo SA de CV: Key Facts
Summary 8 Casa Cuervo SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 9 Cuervo SA de CV: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 10 Casa Cuervo SA de CV: Competitive Position 2005
CERVECERíA CUAUHTEMOC MOCTEZUMA SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 11 Cervecería Cuauhtemoc Moctezuma SA de CV (FEMSA Cerveza): Key Facts
Summary 12 Cervecería Cuauhtemoc Moctezuma SA de CV (FEMSA Cerveza): Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 13 Cervecería Cuauhtemoc Moctezuma SA de CV (FEMSA Cerveza): Production Statistics 2005
COMPETITIVE POSITIONING
Summary 14 Cervecería Cuauhtemoc Moctezuma SA de CV (FEMSA Cerveza): Competitive Position 2005
DIAGEO MéXICO SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 15 Diageo México SA de CV: Key Facts
Summary 16 Diageo México: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 17 Diageo México: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 18 Diageo México SA de CV: Competitive Position 2005
GRUPO MODELO SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 19 Grupo Modelo SA de CV: Key Facts
Summary 20 Grupo Modelo SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 21 Grupo Modelo SA de CV: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 22 Grupo Modelo SA de CV: Competitive Position 2005
HERRADURA SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 23 Herradura SA de CV: Key Facts
Summary 24 Herradura SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 25 Herradura SA de CV: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 26 Herradura SA de CV: Competitive Position 2005
PEDRO DOMECQ MEXICO SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 27 Pedro Domecq Mexico SA de CV: Key Facts
Summary 28 Pedro Domecq Mexico SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 29 Pedro Domecq SA de CV: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 30 Pedro Domecq Mexico SA de CV: Competitive Position 2005
PRODUCTOS DE UVA SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 31 Productos de Uva SA de CV: Key Facts
COMPANY BACKGROUND
PRODUCTION
Summary 32 Productos de Uva SA de CV: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 33 Productos de Uva SA de CV: Competitive Position 2005
VALLE REDONDO SA DE CV - ALCOHOLIC DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 34 Valle Redondo SA de CV: Key Facts
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 35 Valle Redondo SA de CV: Competitive Position 2005
BEER IN MEXICO
HEADLINES
TRENDS
PRODUCTION, IMPORTS AND EXPORTS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 22 Sales of Beer by Subsector: Total Volume 2001-2006
Table 23 Sales of Beer by Subsector: Total Value 2001-2006
Table 24 Sales of Beer by Subsector: % Total Volume Growth 2001-2006
Table 25 Sales of Beer by Subsector: % Total Value Growth 2001-2006
Table 26 On-trade vs Off-trade Sales of Beer: Volume 2001-2006
Table 27 On-trade vs Off-trade Sales of Beer: Value 2001-2006
Table 28 On-trade vs Off-trade Sales of Beer: % Volume Growth 2001-2006
Table 29 On-trade vs Off-trade Sales of Beer: % Value Growth 2001-2006
Table 30 Beer: Production, Imports and Exports: Total Volume 2001-2005
Table 31 Beer Exports by Country of Destination: Total Volume 2001-2005
Table 32 Beer Exports by Country of Destination: Total Value 2001-2005
Table 33 Beer Imports by Country of Origin: Total Volume 2001-2005
Table 34 Beer Imports by Country of Origin: Total Value 2001-2005
Table 35 Company Shares of Beer by National Brand Owner 2001-2005
Table 36 Company Shares of Beer by Global Brand Owner 2001-2005
Table 37 Brand Shares of Beer 2002-2005
Table 38 Forecast Sales of Beer by Subsector: Total Volume 2006-2011
Table 39 Forecast Sales of Beer by Subsector: Total Value 2006-2011
Table 40 Forecast Sales of Beer by Subsector: % Total Volume Growth 2006-2011
Table 41 Forecast Sales of Beer by Subsector: % Total Value Growth 2006-2011
CIDER/PERRY IN MEXICO
HEADLINES
TRENDS
PRODUCTION, IMPORTS AND EXPORTS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 42 Sales of Cider/Perry: Total Volume 2001-2006
Table 43 Sales of Cider/Perry: Total Value 2001-2006
Table 44 Sales of Cider/Perry: % Total Volume Growth 2001-2006
Table 45 Sales of Cider/Perry: % Total Value Growth 2001-2006
Table 46 On-trade vs Off-trade Sales of Cider/Perry: Volume 2001-2006
Table 47 On-trade vs Off-trade Sales of Cider/Perry: Value 2001-2006
Table 48 On-trade vs Off-trade Sales of Cider/Perry: % Volume Growth 2001-2006
Table 49 On-trade vs Off-trade Sales of Cider/Perry: % Value Growth 2001-2006
Table 50 Cider/Perry Production, Imports and Exports: Total Volume 2001-2005
Table 51 Company Shares of Cider/Perry by National Brand Owner 2001-2005
Table 52 Company Shares of Cider/Perry by Global Brand Owner 2001-2005
Table 53 Brand Shares of Cider/Perry 2002-2005
Table 54 Forecast Sales of Cider/Perry: Total Volume 2006-2011
Table 55 Forecast Sales of Cider/Perry: Total Value 2006-2011
Table 56 Forecast Sales of Cider/Perry: % Total Volume Growth 2006-2011
Table 57 Forecast Sales of Cider/Perry: % Total Value Growth 2006-2011
RTDS/HIGH-STRENGTH PREMIXES IN MEXICO
HEADLINES
TRENDS
PRODUCTION, IMPORTS AND EXPORTS
COMPETITIVE LANDSCAPE
PROSPECTS
Table 58 Sales of RTDs/High-Strength Premixes by Subsector: Total Volume 2001-2006
Table 59 Sales of RTDs/High-Strength Premixes by Subsector: Total Value 2001-2006
Table 60 Sales of RTDs/High-Strength Premixes by Subsector: % Total Volume Growth 2001-2006
Table 61 Sales of RTDs/High-Strength Premixes by Subsector: % Total Value Growth 2001-2006
Table 62 On-trade vs Off-trade Sales of RTDs/High-Strength Premixes: Volume 2001-2006
Table 63 On-trade vs Off-trade Sales of RTDs/High-Strength Premixes: Value 2001-2006
Table 64 On-trade vs Off-trade Sales of RTDs/High-Strength Premixes: % Volume Growth 2001-2006
Table 65 On-trade vs Off-trade Sales of RTDs/High-Strength Premixes: % Value Growth 2001-2006
Table 66 RTDs/High-Strength Premixes Production, Imports and Exports: Total Volume 2001-2005
Table 67 Company Shares of RTDs/High-Strength Premixes by National Brand Owner 2001-2005
Table 68 Company Shares of RTDs/High-Strength Premixes by Global Brand Owner 2001-2005
Table 69 Brand Shares of RTDs/High-Strength Premixes 2002-2005
Table 70 Forecast Sales of RTDs/High-Strength Premixes by Subsector: Total Volume 2006-2011
Table 71 Forecast Sales of RTDs/High-Strength Premixes by Subsector: Total Value 2006-2011
Table 72 Forecast Sales of RTDs/High-Strength Premixes by Subsector: % Total Volume Growth 2006-2011
Table 73 Forecast Sales of RTDs/High-Strength Premixes by Subsector: % Total Value Growth 2006-2011
WINE IN MEXICO
HEADLINES
TRENDS
PRODUCTION, IMPORTS AND EXPORTS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 74 Sales of Wine by Subsector: Total Volume 2001-2006
Table 75 Sales of Wine by Subsector: Total Value 2001-2006
Table 76 Sales of Wine by Subsector: % Total Volume Growth 2001-2006
Table 77 Sales of Wine by Subsector: % Total Value Growth 2001-2006
Table 78 On-trade vs Off-trade Sales of Wine: Volume 2001-2006
Table 79 On-trade vs Off-trade Sales of Wine: Value 2001-2006
Table 80 On-trade vs Off-trade Sales of Wine: % Volume Growth 2001-2006
Table 81 On-trade vs Off-trade Sales of Wine: % Value Growth 2001-2006
Table 82 Volume Sales of Still Red Wine by Price Segment 2004-2006
Table 83 Volume Sales of Still White Wine by Price Segment 2004-2006
Table 84 Volume Sales of Still Rosé Wine by Price Segment 2004-2006
Table 85 Volume Sales of Other Sparkling Wine by Price Segment 2004-2006
Table 86 Sales of Still Red Wine by Quality Classification 2001-2006
Table 87 Sales of Still White Wine by Quality Classification 2001-2006
Table 88 Sales of Still Rosé Wine by Quality Classification 2001-2006
Table 89 Wine Production, Imports and Exports: Total Volume 2001-2005
Table 90 Wine Exports by Country of Destination: Total Volume 2001-2005
Table 91 Wine Exports by Country of Destination: Total Value 2001-2005
Table 92 Wine Imports by Country of Origin: Total Volume 2001-2005
Table 93 Wine Imports by Country of Origin: Total Value 2001-2005
Table 94 Company Shares of Still Light Grape Wine by National Brand Owner 2002-2005
Table 95 Company Shares of Still Light Grape Wine by Global Brand Owner 2002-2005
Table 96 Brand Shares of Still Light Grape Wine 2002-2005
Table 97 Company Shares of Champagne by National Brand Owner 2003-2005
Table 98 Company Shares of Champagne by Global Brand Owner 2003-2005
Table 99 Brand Shares of Champagne 2003-2005
Table 100 Company Shares of Other Sparkling Wine by National Brand Owner 2002-2005
Table 101 Company Shares of Other Sparkling Wine by Global Brand Owner 2002-2005
Table 102 Brand Shares of Other Sparkling Wine 2002-2005
Table 103 Company Shares of Fortified Wine and Vermouth by National Brand Owner 2003-2005
Table 104 Company Shares of Fortified Wine and Vermouth by Global Brand Owner 2003-2005
Table 105 Brand Shares of Fortified Wine and Vermouth 2003-2005
Table 106 Forecast Sales of Wine by Subsector: Total Volume 2006-2011
Table 107 Forecast Sales of Wine by Subsector: Total Value 2006-2011
Table 108 Forecast Sales of Wine by Subsector: % Total Volume Growth 2006-2011
Table 109 Forecast Sales of Wine by Subsector: % Total Value Growth 2006-2011
SPIRITS IN MEXICO
HEADLINES
TRENDS
PRODUCTION, IMPORTS AND EXPORTS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 110 Sales of Spirits by Subsector: Total Volume 2001-2006
Table 111 Sales of Spirits by Subsector: Total Value 2001-2006
Table 112 Sales of Spirits by Subsector: % Total Volume Growth 2001-2006
Table 113 Sales of Spirits by Subsector: % Total Value Growth 2001-2006
Table 114 On-trade vs Off-trade Sales of Spirits: Volume 2001-2006
Table 115 On-trade vs Off-trade Sales of Spirits: Value 2001-2006
Table 116 On-trade vs Off-trade Sales of Spirits: % Volume Growth 2001-2006
Table 117 On-trade vs Off-trade Sales of Spirits: % Value Growth 2001-2006
Table 118 Sales of Blended Scotch Whisky by Premium/Super-premium Split 2004-2006
Table 119 Sales of Gin by Premium/Super-premium Split 2004-2006
Table 120 Sales of Vodka by Premium/Super-premium Split 2004-2006
Table 121 Sales of Vodka by Flavoured vs Non-flavoured 2004-2006
Table 122 Spirits Production, Imports and Exports: Total Volume 2001-2005
Table 123 Brandy & Cognac Production, Imports and Exports: Total Volume 2001-2005
Table 124 Vodka Production, Imports and Exports: Total Volume 2001-2005
Table 125 Gin Production, Imports and Exports: Total Volume 2001-2005
Table 126 Rum Production, Imports and Exports: Total Volume 2001-2005
Table 127 Tequila Production, Imports and Exports: Total Volume 2001-2005
Table 128 Company Shares of Spirits by National Brand Owner 2001-2005
Table 129 Company Shares of Spirits by Global Brand Owner 2001-2005
Table 130 Brand Shares of Spirits 2002-2005
Table 131 Forecast Sales of Spirits by Subsector: Total Volume 2006-2011
Table 132 Forecast Sales of Spirits by Subsector: Total Value 2006-2011
Table 133 Forecast Sales of Spirits by Subsector: % Total Volume Growth 2006-2011
Table 134 Forecast Sales of Spirits by Subsector: % Total Value Growth 2006-2011