Speaking to The Morning Advertiser (The MA), UK & Ireland sales director Dhati Holohan said the global brewer would continue to invest in its global brands, Asahi and Peroni, alongside local favourites including Fuller’s London Pride, Cornish Orchards and Meantime.
“Premium is growing ahead of the market,” Holohan explained, adding the premium-plus segment has grown around 11% in the on-trade year-on-year.
“People aren’t going out as often and when they do, they are looking to spend more. But alcohol is not necessarily centre stage, it can often be about experiences, whether that’s sport or competitive socialising, elevating that experience for outlets is important and that’s exactly where we see opportunity.”
After substantial investment into the opening of the Dial, the new home of Meantime near London’s 02, and the development of the Dial Lager, the craft beer brand will also continue to play a major role in Asahi’s strategy next year.
However, consumer demand within the segment is evolving, Holohan said.
“Meantime was one of the first big daddies of craft beer”, she continued.
Areas of opportunity
“Craft has gone through a bit of a journey over the past 10 years or so in terms of a huge surge in the number of brands there are while greater interest has bought a new audience to craft; consumers are looking for something more interesting than classic lagers.”
The low & no alcohol category will also be a major focus for Asahi UK next year, Holohan added: “The 0% space is an area of growth and opportunity for us.
“More than 50% of consumers are looking to moderate their consumption through a range of options, lower alcohol, moderation and zebra striping.
“Our mission is looking at how we provide those alternatives to customers and part of that will be 0% options with Peroni and Asahi, which are a big part of our portfolio.”
The sales director also described the 3.4% ABV category as an emerging “sweet spot”, adding it enables customers to moderate without alternating between alcohol and alcohol-free, and offers duty benefits for brewers.
On top of this, the global brewer, which also owns Grolsch and Dark Star Brewing, is on a mission to spearhead premiumisation in the cider category through continued investment into its Cornish Orchards arm.
The sales director told The MA: “Cider hasn’t quite seen that same premiumisation as lager but we’re making big investments into Cornish Orchards both from a brand perspective and manufacturing.”
She also highlighted sports sponsorships as a key driver of sales for Asahi in outlets, adding this would remain a key focus for the brand going forward.
“Asahi sponsored the women’s Rugby World Cup this year and it was a great way of bringing together a brilliant experience for fans and providing an opportunity for venues to capitalise on that occasion,” Holohan said.
She added Asahi would continue to support the on-trade amid tough trading conditions by helping operators improve efficiencies and provide quality experiences to drive footfall and improve yield and margins in 2026.
Stronger price point
“We invest in our brands so that we can command a stronger price point, which helps outlets preimmunise their portfolio and the beers on their taps”, the sales director explained.
Though Holohan criticised the recent Budget, lamenting the pressure the measures announced by the Chancellor have put on the sector, something she said the global brewer is not immune to.
Last week, Holohan confirmed to The MA inflation-linked duty rises set to come into force in the new year would “absolutely be passed on” to pubs as costs for Asahi continue to increase.
She added recent Government’s policies, including Extended Producer Responsibly (EPR), have introduced further challenges for firms at a time of global unrest, impacting supply chains, inflation and the cost-of-living.
“The last couple of years have been tough; we are now drifting into year six of a tough trading environment for the on-trade.
“It’s extremely challenging”, she said. “I don’t think the Government always understands how businesses operate.”
Holohan continued: “Very little has been done in terms of business rates impact for hospitality.
“One in three beers in the UK isn’t a quality pint and that’s down to the pressure outlets are under.
“Cost and complexity are the two biggest hazards for growth and investment, and the Government really needs to do more to support hospitality, which is a huge contributor to the economy.
“The pub is a cornerstone of British culture and more needs to be done in recognising the role they play.”
