VB beer regains top billing
The result was underpinned by a strong performance by Foster's flagship VB beer, which has regained its position as the nation's biggest-selling brew.
Trading results released by global brewing giant SABMiller show VB recorded sales growth for the second consecutive quarter since its relaunch in October.
SABMiller, which paid more than $12 billion for Foster's in 2011, said VB had shown growth after a decade-long decline in sales.
But the brewer continues to suffer from the loss of key brands, with full-year volumes in Australia down 5 per cent on a pro forma continuing basis, while total volumes, including discontinued brands, were down by 13 per cent.
After the purchase of Foster's, SABMiller lost third-party brands Foster's brewed under licence, including Corona, Asahi and Stella Artois.
But it looks to have resurrected the VB brand, which had a national market share of 25 per cent in 2000 but that declined every month for the next 10 years.
Foster's relaunched VB last year, lifting the alcohol content back to 4.9 per cent from 4.6 per cent, and reinstated its popular "hard-earned thirst" advertising slogan. This has helped return VB to growth.
Latest brewing industry figures show that VB regained its crown as Australia's biggest-selling beer, knocking off Queensland interloper XXXX Gold, which took the No.1 position in May last year.
Latest Nielsen figures show that VB has a market share of 12.2 per cent of the off-premise beer market, against 11.9 per cent for XXXX Gold.
Frequently Asked Questions about this Article…
Foster's returned to growth after a sustained sales decline, with volumes rising 3% in the final quarter of 2013. The improvement was underpinned by a strong performance from its flagship VB beer, which helped lift overall sales.
VB recorded sales growth for a second consecutive quarter following a relaunch in October, which helped it regain the top-selling spot. Latest Nielsen figures show VB has a 12.2% share of the off‑premise beer market, narrowly ahead of XXXX Gold's 11.9%.
Foster's relaunched VB by increasing its alcohol content from 4.6% to 4.9% and reinstating the popular 'hard-earned thirst' advertising slogan, moves the article credits with helping return VB to growth.
After SABMiller paid more than $12 billion for Foster's in 2011, the brewer lost third-party licensed brands it previously brewed (such as Corona, Asahi and Stella Artois). As a result, full-year volumes in Australia were down 5% on a pro forma continuing basis, and total volumes including discontinued brands were down 13%.
According to the article's cited Nielsen figures, VB holds 12.2% of the off‑premise beer market, while XXXX Gold holds 11.9%, putting VB slightly ahead in sales.
Yes. Although VB and fourth-quarter volumes showed improvement, the brewer still reported full-year Australian volumes down 5% on a pro forma continuing basis and total volumes down 13% when discontinued brands are included.
The article notes that after SABMiller bought Foster's it lost third‑party brands it had brewed under licence, specifically naming Corona, Asahi and Stella Artois.
VB had a national market share of about 25% in 2000 but then declined every month for the next ten years. The relaunch last year appears to have arrested that long decline and returned the brand to growth.
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