Alcoholic Drinks in Venezuela
Euromonitor International's Alcoholic Drinks in Venezuela 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: 158 | Publication date: Mar 2008
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
High oil revenues continue to fuel consumption boom in 2007
Contrary to many macroeconomic forecasts, the consumption boom continued in Venezuela during 2007. Higher oil prices allowed the government to continue funding its social welfare programmes. This in turn allowed low-income consumers to increase their spending, invigorating the alcoholic drinks market. As a result, total alcoholic drinks volume and current value sales (off- plus on-trade) grew at a faster pace than in 2006. Alcoholic drinks categories where products are positioned as status symbols, such as whisk(e)y, wine, imported beer and vodka, developed at a faster pace than those with a commodity image, for example rum, cider/perry, aguardiente and aniseed-flavoured spirits.
New taxes and regulations cause unit prices to skyrocket
Average unit prices in alcoholic drinks skyrocketed towards the end of the review period as the government announced new regulatory policies. The provision of preferential currency rates to alcoholic drinks importers, an indirect subsidy, was revoked. Imports must now be paid for with free market currency, making them more than twice as expensive. A new tax on selective consumption was also enacted. Manufacturers and importers must now pay a tax of between 20% and 35% on the value added between the cost of manufacturing or import and the final consumer price. Though it did not say so officially, the government introduced these measures out of a desire to reduce alcoholic drinks consumption in Venezuela. Aside from this, alcoholic drinks manufacturers also had to contend with an additional new tax on financial transactions. All of these developments combined caused average unit prices to rise dramatically in current value terms over 2006-2007.
Product segmentation becomes more important in key categories
Producers in beer, whisk(e)y, rum and other key categories placed more importance on product segmentation towards the end of the review period, as various socio-economic groups displayed differing consumption patterns. Lower-income consumers increased their overall consumption, often trading up to products that were traditionally targeted at higher-income consumers. As a result, premium products gained popularity throughout the alcoholic drinks market.
One of the main beneficiaries of this trend was wine, where companies focused on consumer education instead of advertising and promotion in an effort to attract new drinkers and boost volume sales. At the same time, manufacturers offered more premium wine products to appeal to an increasingly sophisticated and knowledgeable consumer base, driving growth in current value sales.
Independent food stores continues to lose ground in distribution
Specialist chains continued to dominate retail alcoholic drinks distribution in 2007. The retail volume share of specialists was up on 2006 thanks to the success of chained players in meeting the needs of traditional alcoholic drinks consumers while also attracting new groups such as women and high-income earners. Independent stores channel operators continued to lose ground in 2007. This downward trend is likely to be maintained over the forecast period, as they cannot compete with specialists and supermarkets/hypermarkets chains in terms of low prices or value-added services.
Alcoholic drinks players face a tougher operating environment over 2007-2012
Import restrictions and currency devaluation will pose big challenges for multinational companies operating in the Venezuelan alcoholic drinks market over the forecast period. The impact of new taxes and currency rates on prices will force many Venezuelans to reduce their alcoholic drinks consumption or trade down to cheaper products. Another potential threat is economic uncertainty, which continued to loom in 2007 despite high oil prices.
Table of contents
ALCOHOLIC DRINKS IN VENEZUELA : MARKET INSIGHT
EXECUTIVE SUMMARY
High oil revenues continue to fuel consumption boom in 2007
New taxes and regulations cause unit prices to skyrocket
Product segmentation becomes more important in key categories
Independent food stores continues to lose ground in distribution
Alcoholic drinks players face a tougher operating environment over 2007-2012
KEY TRENDS AND DEVELOPMENTS
Aspirational behaviour shapes the development of alcoholic drinks
Price increases fuel a trend towards trading down to cheaper products
Security concerns impact negatively on on-trade consumption
Venezuelan consumers acquire more sophisticated food and drink tastes
Specialist Retailers
Summary 1 Leading Specialist Retailers 2006
Market Merger and Acquisition Activity
Summary 2 Speculated Merger and Acquisition Activity 2008
LEGISLATION
TAXATION AND DUTY LEVIES
Table 1 Taxation and Duty Levies on Alcoholic Drinks 2007
Table 2 Taxation and Duty Levels on Alcoholic Drinks 2007 Imported Products
Table 3 Typical Wholesaler and Retailer Off-trade Mark-ups by Selected Categories 2007
Table 4 Selling Margin of a Typical Beer Brand 2007
Table 5 Selling Margin of a Typical Wine Brand 2007
Table 6 Selling Margin of a Typical Imported Spirits Brand 2007
OPERATING ENVIRONMENT
MARKET INDICATORS
Table 7 Retail Consumer Expenditure on Alcoholic Drinks 2002-2007
MARKET DATA
Table 8 Sales of Alcoholic Drinks by Sector: Total Volume 2002-2007
Table 9 Sales of Alcoholic Drinks by Sector: Total Value 2002-2007
Table 10 Sales of Alcoholic Drinks by Sector: % Total Volume Growth 2002-2007
Table 11 Sales of Alcoholic Drinks by Sector: % Total Value Growth 2002-2007
Table 12 Sales of Alcoholic Drinks by Sector by On-trade vs Off-trade split: Volume 2007
Table 13 Sales of Alcoholic Drinks by Sector by On-trade vs Off-trade split: Value 2007
Table 14 Sales of Alcoholic Drinks by Sector by On-trade vs Off-trade split: % Volume 2007
Table 15 Sales of Alcoholic Drinks by Sector by On-trade vs Off-trade split: % Value 2007
Table 16 Company Shares of Alcoholic Drinks by Global Brand Owner 2003-2006
Table 17 Off-trade Sales of Alcoholic Drinks by Distribution Format: % Value Analysis 2007
Table 18 Off-trade Sales of Alcoholic Drinks by Sector and Distribution Format: % Volume Analysis 2007
Table 19 Forecast Sales of Alcoholic Drinks by Sector: Total Volume 2007-2012
Table 20 Forecast Sales of Alcoholic Drinks by Sector: Total Value 2007-2012
Table 21 Forecast Sales of Alcoholic Drinks by Sector: % Total Volume Growth 2007-2012
Table 22 Forecast Sales of Alcoholic Drinks by Sector: % Total Value Growth 2007-2012
DEFINITIONS
Summary 3 Research Sources
LOCAL COMPANY PROFILES - VENEZUELA
CERVECERA REGIONAL CA - ALCOHOLIC DRINKS - VENEZUELA
STRATEGIC DIRECTION
KEY FACTS
Summary 4 Cervecera Regional CA Key Facts
COMPANY BACKGROUND
PRODUCTION
Summary 5 Cervecera Regional CA: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 6 Cervecera Regional CA: Competitive Position 2006
PONCHE CREMA CA - ALCOHOLIC DRINKS - VENEZUELA
STRATEGIC DIRECTION
KEY FACTS
Summary 7 Ponche Crema CA: Key Facts
Summary 8 Ponche Crema CA: Operational Indicators 2005-2006
COMPANY BACKGROUND
PRODUCTION
Summary 9 Ponche Crema CA: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 10 Ponche Crema CA: Competitive Position 2005
RON SANTA TERESA CA - ALCOHOLIC DRINKS - VENEZUELA
STRATEGIC DIRECTION
KEY FACTS
Summary 11 Ron Santa Teresa CA: Key Facts
Summary 12 Ron Santa Teresa CA: Operational Indicators 2004-2006
COMPANY BACKGROUND
PRODUCTION
Summary 13 Ron Santa Teresa CA: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 14 Ron Santa Teresa CA: Competitive Position 2006
TAMAYO & CíA SA - ALCOHOLIC DRINKS - VENEZUELA
STRATEGIC DIRECTION
KEY FACTS
Summary 15 Tamayo & Cía SA: Key Facts
Summary 16 Tamayo & Cía SA: Operational Indicators 2004-2006
COMPANY BACKGROUND
COMPETITIVE POSITIONING
Summary 17 Tamayo & Cía SA: Competitive Position 2006
BEER IN VENEZUELA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
Production, Imports and Exports
PROSPECTS
SECTOR DATA
Table 23 Sales of Beer by Subsector: Total Volume 2002-2007
Table 24 Sales of Beer by Subsector: Total Value 2002-2007
Table 25 Sales of Beer by Subsector: % Total Volume Growth 2002-2007
Table 26 Sales of Beer by Subsector: % Total Value Growth 2002-2007
Table 27 Sales of Beer by On-trade vs Off-trade split: Volume 2002-2007
Table 28 Sales of Beer by On-trade vs Off-trade split: Value 2002-2007
Table 29 Sales of Beer by On-trade vs Off-trade split: % Volume Growth 2002-2007
Table 30 Sales of Beer by On-trade vs Off-trade split: % Value Growth 2002-2007
Table 31 Beer: Production, Imports and Exports: Total Volume 2001-2006
Table 32 Beer Exports by Country of Destination: Total Volume 2001-2006
Table 33 Beer Exports by Country of Destination: Total Value 2001-2006
Table 34 Beer Imports by Country of Origin: Total Volume 2001-2006
Table 35 Beer Imports by Country of Origin: Total Value 2001-2006
Table 36 Company Shares of Beer by National Brand Owner 2002-2006
Table 37 Company Shares of Beer by Global Brand Owner 2002-2006
Table 38 Brand Shares of Beer 2003-2006
Table 39 Forecast Sales of Beer by Subsector: Total Volume 2007-2012
Table 40 Forecast Sales of Beer by Subsector: Total Value 2007-2012
Table 41 Forecast Sales of Beer by Subsector: % Total Volume Growth 2007-2012
Table 42 Forecast Sales of Beer by Subsector: % Total Value Growth 2007-2012
CIDER/PERRY IN VENEZUELA
HEADLINES
TRENDS
Production, Imports and Exports
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 43 Sales of Cider/Perry: Total Volume 2002-2007
Table 44 Sales of Cider/Perry: Total Value 2002-2007
Table 45 Sales of Cider/Perry: % Total Volume Growth 2002-2007
Table 46 Sales of Cider/Perry: % Total Value Growth 2002-2007
Table 47 On-trade vs Off-trade Sales of Cider/Perry: Volume 2002-2007
Table 48 On-trade vs Off-trade Sales of Cider/Perry: Value 2002-2007
Table 49 On-trade vs Off-trade Sales of Cider/Perry: % Volume Growth 2002-2007
Table 50 On-trade vs Off-trade Sales of Cider/Perry: % Value Growth 2002-2007
Table 51 Company Shares of Cider/Perry by National Brand Owner 2002-2006
Table 52 Company Shares of Cider/Perry by Global Brand Owner 2002-2006
Table 53 Brand Shares of Cider/Perry 2003-2006
Table 54 Forecast Sales of Cider/Perry: Total Volume 2007-2012
Table 55 Forecast Sales of Cider/Perry: Total Value 2007-2012
Table 56 Forecast Sales of Cider/Perry: % Total Volume Growth 2007-2012
Table 57 Forecast Sales of Cider/Perry: % Total Value Growth 2007-2012
RTDS/HIGH-STRENGTH PREMIXES IN VENEZUELA
HEADLINES
TRENDS
Production, Imports and Exports
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 58 Sales of RTDS/High-strength Premixes by Subsector: Total Volume 2002-2007
Table 59 Sales of RTDS/High-strength Premixes by Subsector: Total Value 2002-2007
Table 60 Sales of RTDS/High-strength Premixes by Subsector: % Total Volume Growth 2002-2007
Table 61 Sales of RTDS/High-strength Premixes by Subsector: % Total Value Growth 2002-2007
Table 62 On-trade vs Off-trade Sales of RTDS/High-strength Premixes: Volume 2002-2007
Table 63 On-trade vs Off-trade Sales of RTDS/High-strength Premixes: Value 2002-2007
Table 64 On-trade vs Off-trade Sales of RTDS/High-strength Premixes: % Volume Growth 2002-2007
Table 65 On-trade vs Off-trade Sales of RTDS/High-strength Premixes: % Value Growth 2002-2007
Table 66 RTDS/High-strength Premixes Production, Imports and Exports: Total Volume 2001-2006
Table 67 Company Shares of RTDS/High-strength Premixes by Global Brand Owner 2002-2006
Table 68 Company Shares of RTDS/High-strength Premixes by National Brand Owner 2002-2006
Table 69 Brand Shares of RTDS/High-strength Premixes 2003-2006
Table 70 Forecast Sales of RTDS/High-strength Premixes by Subsector: Total Volume 2007-2012
Table 71 Forecast Sales of RTDS/High-strength Premixes by Subsector: Total Value 2007-2012
Table 72 Forecast Sales of RTDS/High-strength Premixes by Subsector: % Total Volume Growth 2007-2012
Table 73 Forecast Sales of RTDS/High-strength Premixes by Subsector: % Total Value Growth 2007-2012
WINE IN VENEZUELA
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 74 Sales of Wine by Subsector: Total Volume 2002-2007
Table 75 Sales of Wine by Subsector: Total Value 2002-2007
Table 76 Sales of Wine by Subsector: % Total Volume Growth 2002-2007
Table 77 Sales of Wine by Subsector: % Total Value Growth 2002-2007
Table 78 Sales of Wine by On-trade vs Off-trade split: Volume 2002-2007
Table 79 Sales of Wine by On-trade vs Off-trade split: Value 2002-2007
Table 80 Sales of Wine by On-trade vs Off-trade split: % Volume Growth 2002-2007
Table 81 Sales of Wine by On-trade vs Off-trade split: % Value Growth 2002-2007
Table 82 Volume Sales of Still Red Wine by Price Segment 2004-2007
Table 83 Volume Sales of Still White Wine by Price Segment 2004-2007
Table 84 Volume Sales of Still Rosé Wine by Price Segment 2004-2007
Table 85 Volume Sales of Other Sparkling Wine by Price Segment 2004-2007
Table 86 Sales of Still Red Wine by Grape/Varietal Type 2004-2007
Table 87 Sales of Still White Wine by Grape/Varietal Type 2004-2007
Table 88 Sales of Still Rosé Wine by Grape/Varietal Type 2004-2007
Table 89 Sales of Still Red Wine by Quality Classification 2002-2007
Table 90 Sales of Still White Wine by Quality Classification 2002-2007
Table 91 Sales of Still Rosé Wine by Quality Classification 2002-2007
Table 92 Wine Production, Imports and Exports: Total Volume 2001-2006
Table 93 Wine Exports by Country of Destination: Total Volume 2001-2006
Table 94 Wine Exports by Country of Destination: Total Value 2001-2006
Table 95 Wine Imports by Country of Origin: Total Volume 2001-2006
Table 96 Wine Imports by Country of Origin: Total Value 2001-2006
Table 97 Company Shares of Still Light Grape Wine by National Brand Owner 2002-2006
Table 98 Company Shares of Still Light Grape Wine by Global Brand Owner 2002-2006
Table 99 Brand Shares of Still Light Grape Wine 2003-2006
Table 100 Company Shares of Champagne by National Brand Owner 2003-2006
Table 101 Company Shares of Champagne by Global Brand Owner 2003-2006
Table 102 Brand Shares of Champagne 2003-2006
Table 103 Company Shares of Other Sparkling Wine by National Brand Owner 2002-2006
Table 104 Company Shares of Other Sparkling Wine by Global Brand Owner 2002-2006
Table 105 Brand Shares of Other Sparkling Wine 2003-2006
Table 106 Company Shares of Fortified Wine and Vermouth by National Brand Owner 2003-2006
Table 107 Company Shares of Fortified Wine and Vermouth by Global Brand Owner 2003-2006
Table 108 Brand Shares of Fortified Wine and Vermouth 2003-2006
Table 109 Forecast Sales of Wine by Subsector: Total Volume 2007-2012
Table 110 Forecast Sales of Wine by Subsector: Total Value 2007-2012
Table 111 Forecast Sales of Wine by Subsector: % Total Volume Growth 2007-2012
Table 112 Forecast Sales of Wine by Subsector: % Total Value Growth 2007-2012
SPIRITS IN VENEZUELA
HEADLINES
TRENDS
Production, Imports and Exports
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR BACKGROUND
Vodka, gin and other blended Scotch whisky price band methodology
Summary 18 Benchmark brands – Venezuela
SECTOR DATA
Table 113 Sales of Spirits by Subsector: Total Volume 2002-2007
Table 114 Sales of Spirits by Subsector: Total Value 2002-2007
Table 115 Sales of Spirits by Subsector: % Total Volume Growth 2002-2007
Table 116 Sales of Spirits by Subsector: % Total Value Growth 2002-2007
Table 117 Sales of Spirits by On-trade vs Off-trade split: Volume 2002-2007
Table 118 Sales of Spirits by On-trade vs Off-trade split: Value 2002-2007
Table 119 Sales of Spirits by On-trade vs Off-trade split: % Volume Growth 2002-2007
Table 120 Sales of Spirits by On-trade vs Off-trade split: % Value Growth 2002-2007
Table 121 Sales of Blended Scotch Whisky by Premium/Super-premium Split 2004-2007
Table 122 Sales of Gin by Premium/Super-premium Split 2004-2007
Table 123 Sales of Vodka by Premium/Super-premium Split 2004-2007
Table 124 Sales of Flavoured vs Non-flavoured Vodka 2004-2007
Table 125 Spirits Production, Imports and Exports: Total Volume 2001-2006
Table 126 Whisk(e)y Production, Imports and Exports: Total Volume 2001-2006
Table 127 Brandy & Cognac Production, Imports and Exports: Total Volume 2001-2006
Table 128 Vodka Production, Imports and Exports: Total Volume 2001-2006
Table 129 Gin Production, Imports and Exports: Total Volume 2001-2006
Table 130 Rum Production, Imports and Exports: Total Volume 2001-2006
Table 131 Tequila Production, Imports and Exports: Total Volume 2001-2006
Table 132 Liqueurs Production: Total Volume 2001-2006
Table 133 Other Spirits Production: Total Volume 2001-2006
Table 134 Company Shares of Spirits by National Brand Owner 2002-2006
Table 135 Company Shares of Spirits by Global Brand Owner 2002-2006
Table 136 Brand Shares of Spirits 2003-2006
Table 137 Forecast Sales of Spirits by Subsector: Total Volume 2007-2012
Table 138 Forecast Sales of Spirits by Subsector: Total Value 2007-2012
Table 139 Forecast Sales of Spirits by Subsector: % Total Volume Growth 2007-2012
Table 140 Forecast Sales of Spirits by Subsector: % Total Value Growth 2007-2012