By Princewill Ekwujuru

Beer brewers in Nigeria have deployed new marketing tactics that have delineated consumers along brand line as a way of edging out competing brand (s). A report by the brewery companies indicated that the industry recorded a marked decline in growth in the third quarter of 2014, this was attributed to pressures on household income and heightened security concerns which affected consumption pattern.

Invariably, the new marketing tactics according to one of the brewers is the recruitment of new consumers due to decline in the number of adult consumers as a result of the current economic realities which has saddled them with additional responsibilities. Another was the decline in beer market consumption which was attributed to the influx of spirit and brandy products into the Nigerian market.

In a recent investigation by Vanguard, it was discovered that adult consumers only drink when they feel it is necessary, after settling major family responsibilities, and that been the reason brewers have shifted attention to younger at heart consumers who have no or lesser responsibilities to attend to. That was why also a major player in the industry relied on what it called ‘value products’ to record a marginal market share in 2014.

Interestingly, all these have come together to thicken competition in the sector, which thus has led to the partitioning of the market by the three major market leaders; SAB Miller, Guinness Nigeria and Nigerian Breweries, NB Plc.

The trio have deployed new strategies to maintain a healthy balance sheet to satisfy their shareholders. For example, “SABMiller, before its entrant into the market, competition was limited to NB and Guinness Nigeria, its entry has not reduced the rivalry between both; rather it has heightened it. Today NB is no longer seeing Guinness as its rival, but SABMiller.

Before now the competition appeared to be restricted to above the table tactics. Aside committing huge resources to advertising spend, NB and Guinness Nigeria have also taken to sponsorship of headline properties in some of the consumers’ identified passion points including sports, entertainment and sponsorship of festivals. Today new dimension has been introduced.

Guinness Nigeria is seen in every hotel, relaxation spot in Nigeeria, giving out raffle tickets to consumers, courtesy of its “Guinness Refree promo,” to dish out raffle tickets. However, in 2014 Guinness full year revenue dropped 11 percent, and profit by 19 percent. This it attributed to a couple of things; pricing disadvantage. A mistake that depleted market share.