Alcoholic Drinks in Malaysia

Alcoholic Drinks in Malaysia

EXECUTIVE SUMMARY

COVID-19 impact on alcoholic drinks

COVID-19 country impact

Company response

Retailing shift

On-trade vs off-trade split

What next for alcoholic drinks?

Chart 1 Alcoholic Drinks Off-Trade Volume Sales Growth Scenarios: 2018-2025
Chart 2 Alcoholic Drinks On-Trade Volume Sales Growth Scenarios: 2018-2025
Chart 3 Alcoholic Drinks Impact of Soft Drivers on Off-Trade Volume Sales: 2018-2025
Chart 4 Alcoholic Drinks Impact of Soft Drivers on On-Trade Volume Sales: 2018-2025

MARKET BACKGROUND

Legislation

Legal purchasing age and legal drinking age
Drink driving
Advertising
Smoking ban
Opening hours
On-trade establishments
Table 1 Number of On-trade Establishments by Type 2015-2020

TAXATION AND DUTY LEVIES

Summary 1 Taxation and Duty Levies on Alcoholic Drinks 2020

OPERATING ENVIRONMENT

Contraband/parallel trade

Duty free

Cross-border/private imports

KEY NEW PRODUCT LAUNCHES

Outlook

MARKET INDICATORS

Table 2 Retail Consumer Expenditure on Alcoholic Drinks 2015-2020

MARKET DATA

Table 3 Sales of Alcoholic Drinks by Category: Total Volume 2015-2020
Table 4 Sales of Alcoholic Drinks by Category: Total Value 2015-2020
Table 5 Sales of Alcoholic Drinks by Category: % Total Volume Growth 2015-2020
Table 6 Sales of Alcoholic Drinks by Category: % Total Value Growth 2015-2020
Table 7 Sales of Alcoholic Drinks by Category by Off-trade vs On-trade: Volume 2020
Table 8 Sales of Alcoholic Drinks by Category by Off-trade vs On-trade: Value 2020
Table 9 Sales of Alcoholic Drinks by Category by Off-trade vs On-trade: % Volume 2020
Table 10 Sales of Alcoholic Drinks by Category by Off-trade vs On-trade: % Value 2020
Table 11 GBO Company Shares of Alcoholic Drinks: % Total Volume 2016-2020
Table 12 Distribution of Alcoholic Drinks by Format: % Off-trade Value 2015-2020
Table 13 Distribution of Alcoholic Drinks by Format and by Category: % Off-trade Volume 2020
Table 14 Forecast Sales of Alcoholic Drinks by Category: Total Volume 2020-2025
Table 15 Forecast Sales of Alcoholic Drinks by Category: Total Value 2020-2025
Table 16 Forecast Sales of Alcoholic Drinks by Category: % Total Volume Growth 2020-2025
Table 17 Forecast Sales of Alcoholic Drinks by Category: % Total Value Growth 2020-2025

DISCLAIMER

SOURCES

Summary 2 Research Sources

Beer in Malaysia

KEY DATA FINDINGS

2020 IMPACT

On-trade store closures have strong negative impact on beer sales with craft beer and imported larger particularly hard hit

Domestic mid-priced lagers retain highest category share; weissbier/weizen/wheat beer remains most dynamic

Shift towards off-trade minimised due to economic impact of pandemic

RECOVERY AND OPPORTUNITIES

Positive prospects due to beer’s popularity and ubiquity across social occasions

Heightened concerns about health expected to boost interest in non/low-alcohol beer

Potential for growth in e-commerce as new platforms and delivery services emerge

CATEGORY BACKGROUND

Lager price band methodology

Summary 3 Lager by Price Band 2020
Table 18 Number of Breweries 2014-2020

CATEGORY DATA

Table 19 Sales of Beer by Category: Total Volume 2015-2020
Table 20 Sales of Beer by Category: Total Value 2015-2020
Table 21 Sales of Beer by Category: % Total Volume Growth 2015-2020
Table 22 Sales of Beer by Category: % Total Value Growth 2015-2020
Table 23 Sales of Beer by Off-trade vs On-trade: Volume 2015-2020
Table 24 Sales of Beer by Off-trade vs On-trade: Value 2015-2020
Table 25 Sales of Beer by Off-trade vs On-trade: % Volume Growth 2015-2020
Table 26 Sales of Beer by Off-trade vs On-trade: % Value Growth 2015-2020
Table 27 Sales of Beer by Craft vs Standard 2015-2020
Table 28 GBO Company Shares of Beer: % Total Volume 2016-2020
Table 29 NBO Company Shares of Beer: % Total Volume 2016-2020
Table 30 LBN Brand Shares of Beer: % Total Volume 2017-2020
Table 31 Forecast Sales of Beer by Category: Total Volume 2020-2025
Table 32 Forecast Sales of Beer by Category: Total Value 2020-2025
Table 33 Forecast Sales of Beer by Category: % Total Volume Growth 2020-2025
Table 34 Forecast Sales of Beer by Category: % Total Value Growth 2020-2025

Wine in Malaysia

KEY DATA FINDINGS

2020 IMPACT

Positive sales growth for off-trade despite declining disposable incomes and lower footfall in in-store retailers

Still light grape wine maintains small growth whilst sparkling wine sees declines due to price and social drinking habits

Polarisation leads to continued sales of premium still wines with Pernod Ricard Malaysia offering a more refined taste

RECOVERY AND OPPORTUNITIES

Recovery of wine to be boosted by interest in social drinking and wine tasting events

Still rosé wine to see slowest growth of still light grape wines; champagne to experience boost as consumers celebrate relaxation of COVID-19 restrictions

Category to face strong competition from beer although organic variants provide opportunity for growth

CATEGORY DATA

Table 35 Sales of Wine by Category: Total Volume 2015-2020
Table 36 Sales of Wine by Category: Total Value 2015-2020
Table 37 Sales of Wine by Category: % Total Volume Growth 2015-2020
Table 38 Sales of Wine by Category: % Total Value Growth 2015-2020
Table 39 Sales of Wine by Off-trade vs On-trade: Volume 2015-2020
Table 40 Sales of Wine by Off-trade vs On-trade: Value 2015-2020
Table 41 Sales of Wine by Off-trade vs On-trade: % Volume Growth 2015-2020
Table 42 Sales of Wine by Off-trade vs On-trade: % Value Growth 2015-2020
Table 43 Sales of Still Red Wine by Price Segment: % Off-trade Volume 2015-2020
Table 44 Sales of Still Rosé Wine by Price Segment: % Off-trade Volume 2015-2020
Table 45 Sales of Still White Wine by Price Segment: % Off-trade Volume 2015-2020
Table 46 Sales of Other Sparkling Wine by Price Segment: % Off-trade Volume 2015-2020
Table 47 GBO Company Shares of Still Light Grape Wine: % Total Volume 2016-2020
Table 48 NBO Company Shares of Still Light Grape Wine: % Total Volume 2016-2020
Table 49 LBN Brand Shares of Still Light Grape Wine: % Total Volume 2017-2020
Table 50 GBO Company Shares of Champagne: % Total Volume 2016-2020
Table 51 NBO Company Shares of Champagne: % Total Volume 2016-2020
Table 52 LBN Brand Shares of Champagne: % Total Volume 2017-2020
Table 53 GBO Company Shares of Other Sparkling Wine: % Total Volume 2016-2020
Table 54 NBO Company Shares of Other Sparkling Wine: % Total Volume 2016-2020
Table 55 LBN Brand Shares of Other Sparkling Wine: % Total Volume 2017-2020
Table 56 GBO Company Shares of Fortified Wine and Vermouth: % Total Volume 2016-2020
Table 57 NBO Company Shares of Fortified Wine and Vermouth: % Total Volume 2016-2020
Table 58 LBN Brand Shares of Fortified Wine and Vermouth: % Total Volume 2017-2020
Table 59 Forecast Sales of Wine by Category: Total Volume 2020-2025
Table 60 Forecast Sales of Wine by Category: Total Value 2020-2025
Table 61 Forecast Sales of Wine by Category: % Total Volume Growth 2020-2025
Table 62 Forecast Sales of Wine by Category: % Total Value Growth 2020-2025

Spirits in Malaysia

KEY DATA FINDINGS

2020 IMPACT

Small pack regulations prevent low-income consumers from purchasing other spirits; off-trade sees small growth due to increased home consumption

Spirits consumed in nightlife beverages hardest hit, whilst Soju benefits from low price-point and wide availability

Sales results of higher-end spirits dependent upon popularity in off-trade channels

RECOVERY AND OPPORTUNITIES

Speed of recovery for on-trade spirits dependent on relaxation of COVID-19 restrictions

Gin to remain popular as trend gains traction; ad-mix volume sales to suffer due to Kuala Lumpur retailing restrictions

Pernod Ricard to retain category lead through high interest from consumers and strong brand profile

CATEGORY BACKGROUND

Vodka, gin, other blended Scotch whisky, dark rum, and white rum price band methodology

Summary 4 Benchmark Brands 2020

CATEGORY DATA

Table 63 Sales of Spirits by Category: Total Volume 2015-2020
Table 64 Sales of Spirits by Category: Total Value 2015-2020
Table 65 Sales of Spirits by Category: % Total Volume Growth 2015-2020
Table 66 Sales of Spirits by Category: % Total Value Growth 2015-2020
Table 67 Sales of Spirits by Off-trade vs On-trade: Volume 2015-2020
Table 68 Sales of Spirits by Off-trade vs On-trade: Value 2015-2020
Table 69 Sales of Spirits by Off-trade vs On-trade: % Volume Growth 2015-2020
Table 70 Sales of Spirits by Off-trade vs On-trade: % Value Growth 2015-2020
Table 71 Sales of Dark Rum by Price Platform: % Total Volume 2015-2020
Table 72 Sales of White Rum by Price Platform: % Total Volume 2015-2020
Table 73 Sales of Other Blended Scotch Whisky by Price Platform: % Total Volume 2015-2020
Table 74 Sales of English Gin by Price Platform: % Total Volume 2015-2020
Table 75 Sales of Vodka by Price Platform: % Total Volume 2015-2020
Table 76 Sales of Vodka by Flavoured vs Non-flavoured: % Total Volume 2015-2020
Table 77 GBO Company Shares of Spirits: % Total Volume 2016-2020
Table 78 NBO Company Shares of Spirits: % Total Volume 2016-2020
Table 79 LBN Brand Shares of Spirits: % Total Volume 2017-2020
Table 80 Forecast Sales of Spirits by Category: Total Volume 2020-2025
Table 81 Forecast Sales of Spirits by Category: Total Value 2020-2025
Table 82 Forecast Sales of Spirits by Category: % Total Volume Growth 2020-2025
Table 83 Forecast Sales of Spirits by Category: % Total Value Growth 2020-2025

Cider/Perry in Malaysia

KEY DATA FINDINGS

2020 IMPACT

On-trade sales shrink as festivals and events come to a halt

Affordability remains a key factor with key players offering multiple discounts to entice cash-strapped consumers

Cider/perry continues to benefit from Carlsberg innovations and investment

RECOVERY AND OPPORTUNITIES

Decent recovery expected as category benefits from lower alcohol content and affordable unit prices

Cider/perry set to benefit from premiumisation trend and relaxation of restrictions

Creativity required to attract consumers in the on-trade channel

CATEGORY DATA

Table 84 Sales of Cider/Perry: Total Volume 2015-2020
Table 85 Sales of Cider/Perry: Total Value 2015-2020
Table 86 Sales of Cider/Perry: % Total Volume Growth 2015-2020
Table 87 Sales of Cider/Perry: % Total Value Growth 2015-2020
Table 88 Sales of Cider/Perry by Off-trade vs On-trade: Volume 2015-2020
Table 89 Sales of Cider/Perry by Off-trade vs On-trade: Value 2015-2020
Table 90 Sales of Cider/Perry by Off-trade vs On-trade: % Volume Growth 2015-2020
Table 91 Sales of Cider/Perry by Off-trade vs On-trade: % Value Growth 2015-2020
Table 92 GBO Company Shares of Cider/Perry: % Total Volume 2016-2020
Table 93 NBO Company Shares of Cider/Perry: % Total Volume 2016-2020
Table 94 LBN Brand Shares of Cider/Perry: % Total Volume 2017-2020
Table 95 Forecast Sales of Cider/Perry: Total Volume 2020-2025
Table 96 Forecast Sales of Cider/Perry: Total Value 2020-2025
Table 97 Forecast Sales of Cider/Perry: % Total Volume Growth 2020-2025
Table 98 Forecast Sales of Cider/Perry: % Total Value Growth 2020-2025

Rtds in Malaysia

KEY DATA FINDINGS

2020 IMPACT

Poor continued results for RTDs due to less awareness, interest, and availability

Spirit-based RTDs maintain single-digit volume decline as small e-commerce base negates impact dramatic channel growth

Heineken bids goodbye to Smirnoff Red Ice leaving an increasingly fragmented category

RECOVERY AND OPPORTUNITIES

Slow recovery expected for RTDs as consumers remain wary of visiting foodservice and entertainment venues

Interest in Asian pop culture and TV adverts create opportunity for category to resist decline via canned cocktail brands

Increased competition expected from beer and cider/perry

CATEGORY DATA

Table 99 Sales of RTDs by Category: Total Volume 2015-2020
Table 100 Sales of RTDs by Category: Total Value 2015-2020
Table 101 Sales of RTDs by Category: % Total Volume Growth 2015-2020
Table 102 Sales of RTDs by Category: % Total Value Growth 2015-2020
Table 103 Sales of RTDs by Off-trade vs On-trade: Volume 2015-2020
Table 104 Sales of RTDs by Off-trade vs On-trade: Value 2015-2020
Table 105 Sales of RTDs by Off-trade vs On-trade: % Volume Growth 2015-2020
Table 106 Sales of RTDs by Off-trade vs On-trade: % Value Growth 2015-2020
Table 107 GBO Company Shares of RTDs: % Total Volume 2016-2020
Table 108 NBO Company Shares of RTDs: % Total Volume 2016-2020
Table 109 LBN Brand Shares of RTDs: % Total Volume 2017-2020
Table 110 Forecast Sales of RTDs by Category: Total Volume 2020-2025
Table 111 Forecast Sales of RTDs by Category: Total Value 2020-2025
Table 112 Forecast Sales of RTDs by Category: % Total Volume Growth 2020-2025
Table 113 Forecast Sales of RTDs by Category: % Total Value Growth 2020-2025

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