Alcoholic Drinks in Middle East and Africa

Delivery

This report comes in PPT.

Key findings

Flavoured/mixed lager boom in Nigeria

Heineken’s launch of the Desperados brand in flavoured/mixed lager in Nigeria has proved to be a major success, driving very dynamic growth in the category in the last few years, with Desperados taking over from another Heineken line, Star, as the dominant brand. This saw AB InBev look to tap into the growth in flavoured/mixed lager with the launch of its Flying Fish brand in 2022.

Low-ABV and non-alcoholic products gaining in popularity

With alcoholic drinks prohibited under Islamic law, sales in Saudi Arabia remained dependent on non-alcoholic beer over the review period. The Kingdom therefore has the lowest per capita consumption rate in Middle East and Africa. There is, however, the possibility that the sale of alcohol – limited to wine, champagne and cocktails – will be allowed at a beach resort on a Red Sea island, due to open in 2023, which would likely prove popular with international tourists and expatriates in the country.

Alcohol consumption to be allowed at Red Sea Island resort in Saudi Arabia?

“Sober-curious” consumers are expected to help drive demand for low-alcohol and non-alcoholic drinks in South Africa. Rising health consciousness, especially among younger consumers, is seeing them search out products with low or no alcohol content, such as Bavaria Non Alcoholic, Heineken 0.0 or Castle Lite.

Heineken takes over Distell Group and Namibia Breweries

Heineken is expanding its operations and reach in the South African market with the acquisitions of Distell Group and Namibia Breweries. The deals are expected to see Heineken embark on an investment programme of more than USD500 million in the country as well as creating an innovation and research and development hub for the region.