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China. Yanjing Beer taking measures to cope with the recession in the industry

According to the National Bureau of Statistics of China, the decline rate of beer production has slowed down. Over the past few months, the negative index has stabilized at the level of 4%.

Management of Yanjing Beer believes that breweries will confront the consequences of the economic crisis in the short term, however, the further consumption growth is possible through the rural and western regions of China.

Yanjing Beer continues to promote fresh unfiltered (white) beer the market share of which is growing. The company tries to keep a moderate pricing policy. The sales of unfiltered beer were growing rapidly and therefore the price of a 500 ml can of beer at a store has reached 13 million yuan, and 50 yuan for 0.5 liter of beer at pubs and bars.

Unfiltered beer was so successful that thera are hopes in Yanjing  that it will surpass standard sorts of beers in the medium price segment. The company expects that its market share will reach 80%. Meanwhile, it is 50-60%. The production capacities of this beer are located in Beijing, Guangxi, Fujian Province and other provinces.

In recent years, there has been very high competition and low consumer loyalty to brands in the market of Guangdong. The share of Yanjing Beer in this region declined to 10%. Therefore, the company intends to improve the quality of product and level of service and to take all measures to increase customer loyalty.

19 Jan. 2016

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