New Wine Segment Eating Into Beer Market As Alternative Drink

By BERNIE CAHILES-MAGKILAT

MANILA, Philippines --- Alcopop drinks, a new light alcoholic flavored drink segment, is slowly eating into the beer market as this segment appeals more to the younger population, who prefers flavored light alcoholic drinks.

Adolfo Alvarez, Business Unit Head of the Monheim Group, which distributes another alcopop brand Spy Wine cooler, said there are about 10 alcopop brands in the market.

“There are indications that this new wine segment is eating into the beer market as an alternative to the light beer brands,” Alvarez said noting that some convenience stores have reported as much as 25 percent drop in sales of beer as sales shift to alcopop drinks.

Alcopop drinks are mainly ready made alcoholic cocktails that are carbonated and bottled under various brand names. Alcopops can be based on different types of spirits and liquors like vodka or rhum and flavored.

“This is a growing new segment among alcoholic drinks and becoming popular among the yuppies or the 25 to 35 age group,” he said.

He noted that two local brands using vodka and rhum dominate the market while the rest are imported brands.

For its Spy Wine cooler brand, Alvarez said this is imported from Thailand and is already present in 17 countries. The company had a big launch for this brand in Boracay in April this year. They are targeting bars, convenience stores and supermarkets as its retail outlets.

Spy Wine Cooler is a sparkling wine drink with moderate alcohol content. Its classic pink Spy Wine has only an alcohol content of 5 percent while the Spy red has 6 percent and the Spy White with 7 percent alcohol content.

Alvarez said the Spy Wine has no direct competitor but in terms of price, it is competing against Vodka Cruiser. It is competing along the price range of P65 to P75.

This is the second beverage being marketed by Maryland Distributors, a unit under the Monheim Group, the first being the Red Bull.

“Because of its moderate alcohol content, it provides the drinkers with a light buzz for the night, without giving them regretful hangovers in the morning. It allows women to have great steady fun,” according to Alvarez.

Alvarez sees a successful launch of the product, given the expanding segment of the socially active female population in the age bracket of 25 to 35. "These independent, modern, trendy and stylish individuals love to socialize and hangout with friends," he said.

Alvarez is optimistic about Spy’s overall sales success in the Philippines because the product is excellent with no bitter after taste and it is healthier, being wine-based. “It is also socially acceptable, as shown by a recent market research," he added.

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