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South Africans want more from their beer

Thirsty South Africans are increasingly quenching their craving on craft beers. So
much so that by 2017 predictions are that 18 million litres will be lapped up by
consumers, as microbreweries malt and mash their way to increased market
share.
The US market is often used as a benchmark for the local beer industry, although
South Africas craft beer boom experienced a decade lag. Noteworthy is the
decrease in the US mass beer market, whilst craft brew shows no sign of slowing
sales.
With around 2530 craft breweries operating in the US and demand growing,
increasingly sponsorship deals are being sealed with the micro operations rather
than the multinationals, recognising the marketing reach potential with an
average 20% growth in sales year on year.
The proliferation of microbreweries in South Africa, many Cape Town-based, now
number around 150, as the craze for quaffing custom-made, uniquely styled ales
and pales using quality ingredients, minus the preservatives, catch on.
Mass-produced lagers now compete with personality-infused beers so that
amber and pale ales, alt biers, stouts, smoked malt beers and seasonal brews
now enjoy 30% market share. Predictions for 2016 are even higher at 35%.
Explaining the rise in the ranks of craft beer, TOPS at SPAR Bierfest organiser,
Andrew Douglas, says, I think the variety and diversity of new beers on offer has
disrupted behaviour with regard to beer consumption. Most traditional beer
drinkers will always have a staple brew but I think, just like wine, increased
variety and the romantic notions of craft or batch brewing entices consumers to
try something new.
South Africans have long been used to lager-style beer, the latter normally
fermented with bottom-fermenting yeast at lower temperatures for longer,
making it a difficult beer to brew on a small-scale. Ales are generally brewed
using top-fermenting yeast at higher temperatures, for shorter periods and in
smaller batches, perfect for micro-enterprise interpretations.
Absorbing shifting trends, the impact on the global beer landscape has been
significant with consolidation and acquisition changing the goalposts. SABMiller
is a case in point with its procurement of London-based modern craft beer
brewer, Meantime Brewing Company. This deal will seal a kick start for SABMiller
as it taps into the fastest-growing UK beer market.
SAB, who hold 90% of the local beer market share, were also quick to merge
commercial interests with beer nous in the transformation of their test brewery
at No 3 Fransen Street into an ale making enterprise. The emergence of three
types of Weiss Krystal, Dunkel and Honey, along with a Cream Ale, Irish Red Ale

and an IPA are among the selection that will keep beer drinkers smiling as they
become increasingly spoilt for choice.
Jack Black, CBC, Darling, Boston,Triggerfish, Devils Peak, Wild Beast, Boldhurst,
Stellies, Citizen and Mitchells (brewed since the 90s) are the local brews with
enticing labels increasingly featuring on the shelves and on tap across the
spread of South African delis, beer houses, eateries and food markets. The top
five craft brewers constitute around 3.7m litres of an 8m litre market.
Even wine farms are climbing on to the craft beer bandwagon with nano
breweries being established alongside cellars and biltong and beer tastings
elbowing the traditional cheese and wine partnerships out the way. Informal
markets are also a proposition for craft beers, although the challenges of
distribution and price hold sway. Tavern owners seem keen to test the waters
here as the need to offer customers something authentic and different could be
good for the bottom line.
Local consumer trends show that craft beers are largely sold through on premise
outlets, offering massive growth-scope through channel expansion. Common
practice is for micro-brewers to broaden their brand reach through tastings, beer
routes, pairings and festivals.
We have noticed larger numbers of non-traditional beer drinkers drinking more
beer. I'm sure TOPS at SPAR Bierfest has helped a little along the way due the
sheer size of the event comparatively but collectively all craft beer festivals (of
which there are now many to choose from) should take the credit, says Douglas.
The marketing value of craft beer festivals is huge, with variety key to the spice
of life. Here people circulate, taste, interact with the beer makers and learn
about the techniques and processes that culminate in a great drinking
experience, paired with food and fun.
For five years in a row the TOPS at SPAR Bierfest has done just. This year the
Nedbank Golf Challenge will be partnered with the TOPS at SPAR Bierfest at Sun
City and everything from Bavarian meals, lederhosen, oompah bands, frauleins
and of course, beer, will replicate the Munich Oktoberfest experience and keep
the South Africa beer-loving public thirsting for more.

ENDS