The Tasting Panel magazine

October 2012

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BEER W hen you think of Heineken, odds are it's the iconic green bottle that jumps to mind. For many years Heineken has been known as a single-brand company, but things have been changing dramatically at one of the world's most popular beer companies. Over the past four years Heineken has branched out from one main brand to now more than 16, including Amstel Light, Newcastle, Dos Equis, Tecate and, most recently, Strongbow Cider, which Heineken USA will assume marketing and distribution rights for early next year. Heineken's expansion has come about through a combination of acquisition and innovation. One of the areas where Heineken has seen strong results for its innovation is with the Newcastle Ale brand. The brand's Limited Edition series was launched in mid 2011 through a collaboration between the Newcastle Breweries in England and Caledonian Brewery in Scotland, with four special releases, including Newcastle Summer Ale, Werewolf, Winter IPA and Newcastle Making headway: Amstel Wheat takes on the imported wheat beer segment. Founder's Ale. The series was such a hit that it's being re-released nationally. "As a whole, the Limited Editions have boosted interest in the entire Newcastle franchise, which is up 7.9% YTD according the latest Nielsen," explains Monique Acevedo, VP of Innovation for Heineken USA. Heineken has also worked to find the sweet spot for its new products. In 2011 it launched Amstel Wheat after seeing the immense opportunity in the imported wheat beer segment. "The new liquid, only found in the U.S., delivers all the signature attributes of an authentic European weizen style beer brewed with the craftsmanship adult consumers have come to expect from Amstel. It is unlike other wheat beers in that it is made from 100% malted wheat and barley without any additives," Acevedo tells THE TASTING PANEL. Innovation at Heineken has occurred beyond product development. This past spring Heineken leveraged its Mexican beer portfolio with special packaging that enabled customers to explore Heineken's many south-of-the-border beer brands. "We introduced our 'Beer of Mexico' 12-packs nationwide, offering consumers the opportunity to experi- ence the best that Mexico has to offer in one convenient pack," says Acevedo. "The variety packs included equal numbers of Dos Equis Lager, Dos Equis Ambar, Tecate and Sol, and is up 43% YTD according to the latest Nielsen." On the horizon are a number of products emerging from the innovation department. This fall, Tecate Michelada will be available exclusively in the U.S. market as the first and only ready-to- drink Michelada in cans. Heineken is also launching a new dark Mexican beer called Indio and will expand the availability of Amstel Wheat, as well as release a new Limited Edition series for Newcastle in 2013. "Our ambition is to become the leading upscale beer company in the U.S. We have the premiere portfolio of upscale imports, and to realize our ambition, we must grow our core and innovate more," concludes Acevedo. "We have built a solid innovation pipeline that will allow us to deliver strategic, scalable and sustainable inno- vations that strengthen our consumer franchise, market share and drive improved financial performance." 78 / the tasting panel / october 2012

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