Raise Your Glasses: Chinese brewers eye high-end market

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02:28

In a country that loves its warm and hot beverages, beer is one thing most Chinese enjoy cold. And it's been seeing a hot streak, as evidenced by national sales figures. The target market in China has gradually shifted to middle and high-end drinkers, with more quality brewed into every sip. CGTN's Gary Anglebrandt has details.

Whether it tastes great, or is less filling, China's beer drinkers now want a better brew.

In the past, the buzz was all about cheaper domestic brands.

But now, consumers have more options when buying.

BI CHAOJIAO, GENERAL MANAGER SALES & MARKETING CENTER, CHINA RESOURCES SNOW BREWERIES "Our previous strategy was to earn the highest sales in the Chinese market, so we would produce a beer that was suitable for most drinkers in China. But now, because young people have new likes, we develop products according to their taste."

China Resources Snow Breweries (CRSB), one of the nation's biggest beer companies, now rolls out new beers specifically for the middle and high-end market.

Brave the World Super X, Craftsmanship, and Marrs Green are some of their newest brands.

At 8 to 15 yuan per bottle, many wonder, has the quality gone up with the price?

BI CHAOJIAO, GENERAL MANAGER SALES & MARKETING CENTER, CHINA RESOURCES SNOW BREWERIES "We have further designed wheat consistency, alcohol, flavor, taste, and color, so that these products will standout, personalized and different from the previous ones."

Bi says CRSB's total income in 2018 increased by almost 8 percent over the previous year.

Total sales of middle and high-end beers have increased nearly 5 percent, while total sales of traditional cheaper ones decreased 3 to 4 percent.

BI CHAOJIAO, GENERAL MANAGER SALES & MARKETING CENTER, CHINA RESOURCES SNOW BREWERIES "It's a trend that every beer company in China should grasp. If they fail to do so, they will lose out in the competition down the road."

While many Chinese enjoy middle and high-end beers at home, at most bars, the cheaper ones remain the life of the party.

YANG ZI, BARTENDER YI PIN CHANG BAR "Our cheaper beers sell more. The expensive ones are more expensive in the bars and most people cannot accept the prices."

Yang adds that price is still an essential factor for young people when it comes to buying beer.

SAM TUFFT UK STUDENT FROM SUZHOU "The cheaper ones I usually go for. I'm a student. Tsingtao is usually cheap. I can get a Tsingtao for up to 5 kuai."

But no matter how China's beer economy plays out, experts agree that more options are always better for consumers. Gary Anglebrandt, CGTN, BEIJING.