Smaller packs, more protein: AB InBev to adapt drinks to shifting tastes

By Emma Rumney

LONDON, Sept 22 (Reuters) – Anheuser-Busch InBev will sell smaller pack sizes, beers with added protein or electrolytes and push further into drinks beyond beer, executives said on ​Tuesday, as the top brewer looks to grow amid ‌shifting drinking habits, strained incomes and a trend towards health and wellness.

The world’s largest brewer by market value will look to drive higher beer consumption and grow revenue from non-beer products like canned cocktails and energy drinks, executives ‌told ​investors at a capital markets event.

Brewers including ⁠AB InBev, which makes labels ⁠like Corona and Stella Artois, have been battling to grow beer volumes and revive weak demand in some large markets like the United States as some consumers cut back, prompted ​by pressure on their wallets or changing tastes.

AB InBev Chief Marketing Officer Marcel Marcondes said one aim was to grow ⁠consumption among infrequent beer drinkers, with ⁠budget-conscious consumers in this category presenting the most significant ​opportunity.

“Data is showing us huge opportunities to make beer more affordable, ​especially in developing markets,” he said, adding AB InBev ‌will address this by increasing both smaller pack sizes and larger ones offering higher quantities for less.

Increasing non-alcoholic beer consumption during casual meals presented another major opportunity, he said, adding AB InBev ⁠would drive that via zero-alcohol beers with different flavours, low calories and even protein or electrolytes. The company has launched a version of its ⁠Spaten beer with ‌added protein in Brazil.

In the US especially, AB ⁠InBev has also been pushing into categories ​other than ‌beer, including with top-selling canned cocktail label Cutwater ​and some ⁠energy drinks. Executives said it would expand further in these areas, with energy drinks alone potentially adding $25 billion to AB InBev’s addressable market.

“In this space, we are the challengers, which gives us huge headroom for growth,” CEO Michel Doukeris said.

(Reporting by Emma Rumney; Editing ​by Jamie Freed)