British Craft Breweries Export Project/iNet
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- Gwendolyn Goodwin
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1 CRAFT BEER IN CHINA
2 British Craft Breweries Export Project/iNet Developing a framework for breweries to export to China Our objective - to deliver a plan that identifies a structured approach to the product, process and marketing required to sell craft beers to China.
3 British Craft Brewers Export Project Partners Clements Marketing Ltd, Nottingham. Project management, business plan, branding, marketing and commercial issues Thornbridge Brewery, Bakewell. Key lead brewer being Interested to sell into China University of Nottingham Food and Biofuel Innovation Centre in the School of Biosciences. Shelf life, Product groupings and knowledge of brewers. List of export ready brewers UKTI: Market research, regulatory aspects, shipping, import regulations, packing and labelling. Consult: Food and Drink Export Federation, China-Britain Council. Asia Business Centre, British Pub and Brewery Association
4 Project Deliverables Research China Market market conditions, demand, demographics and taste,. current suppliers and distribution options Product Development List of export ready brewers. Which beers? Product concept, technical and regulatory issues Brand Development Brand concept and identity Sales and Marketing Marketing plan: packaging, promotion, event, website, sales channels Logistics Shipping, import agents, regulations, customer service Business Case Development Costing model cash flow
5 BRITISH CRAFT BEERS Offering the finest new Craft Beers from the UK to China. A range of high quality beers, combining a strong heritage with fresh and exciting flavours for the premium market.
6 Chosen Breweries for China Sampling
7 Chinese Beer Market China is the largest beer market in the world. Worth 450 billion litres per year 25 % of global beer consumption. Market value of RMB 454 billion a 63% increase over the past 5 years. Premium products occupy 15% market share. Asian-Pacific region of the premium beer market has a capacity of 13.5 million kiloliters.
8 Chinese Beer Domestic Brands Include: Snow Budweiser Corona Tsingtao Harbin Price point in supermarkets: 4-10 yuan (40p to 1)
9 German Imported Beers Paulaner, Wittinger, Erdinger,Benediktiner etc. Price: Supermarkets Yuan Bars Yuan
10 Belgian Imported Beers-Duvel, Hoegaarden, Chimay
11 Fruit Beers Lindemans Framboise and Kriek
12 UK Imported Beers Greene King Fullers Wells and Young Price: Supermarkets Yuan Brewdog Samuel Smiths
13 Beer Import Legislation When importing beer into China, there are in total of eight steps. These are summarised as follows: 1. Registration of the Exporter with the Certification and Accreditation Administration of the People s Republic of China (CNCA) 2. Recording of labels with the local Entry-Exit Inspection and Quarantine Bureau 3. Receipts Examination before beer arrival at port of entry 4. Customs Declaration 5. Examination of Product and its Release 6. Customs Clearance 7. Legal Commodity Inspection 8. Expense settlements for the importation process
14 Beer Labelling regulations in China Name of the Beer in Chinese Ingredients list including which can be titled as Raw materials or Raw and auxiliary materials (in Chinese). The list of ingredients must appear as percentages in descending order of content. Processing aids should be excluded from the ingredient list. Alcoholic Strength; including Alcoholic percentage Original Malt Extract Content; with unit symbol of Plato ( P) Name and address of manufacturer and distributor; Date labelling; must include both the date of packaging as well as durability information; the date should be ordered as year, month and date (2013/03/05, hence illustrating the beer
15 Imported Beers-Labelling Regulations
16 Beer brands taken to China for tasting sessions and samples Chengdu tasting session Ningbo tasting session
17 Chengdu tasting session Peak Ales-Gardeners Tap
18 Chinese Beer Tasting Feedback British beers are special and innovative. High alcohol content: Chinese people don t like to get drunk in front of their families. Ales were too bitter (hoppy in after taste). Prefer the easier drinking more balanced ones. Meantimes bottles thought attractive and were popular. Thwaites Tavern Porter bottle looked distinguished Females found the alcohol levels too high, but loved the fruit beer. The milder dark beers were liked universally Preferred beers were: Peak Ales Gardener s tap Windsor & Eton Windsor knot Thornbridge Wild Raven Thwaites Tavern porter Thwaites Wainwright Thwaites Nutty black
19 Is there a market for British Craft Beer in China? Yes, the time is right but things are moving very fast. The Belgians and Germans have a strong foothold but have created the market. British have no image. Consumers: Expats and western visitors, business men. Young educated wealthy Chinese Aspiration middle class Women (with food?) Connoisseur drinkers Sell to: Hotels, Bars, Restaurants Smaller supermarket chains Companies-Corporate Gift packs Target Market---- the red wine drinkers
20 Selling Platform for British Craft Beer in China? British brewing tradition Innovative new flavours Premium British image? Quality and provenance assured. Natural ingredients. Different flavours for different food Safe and hygienic products
21 Breweries Readiness for Export Clear beers with a 12 month shelf life Sufficient production capacity In-house or bulk bottling: 330ml/500ml bottles Regular and flexible production schedules of 330ml bottles Willingness to give free samples and marketing materials Keen Prices
22 Further Information Come and talk to British Craft Beers/ Nottingham University Jubilee Campus Get a copy of the Clements Marketing inet report: British Craft Breweries Export Project Sept Contact us: Tel: Mob:
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