:. Food Industry News


Foster's and Grupo Modelo Extend Corona Deal

Source: Foster's Group Ltd
17/01/2008

Jan. 17 - Foster's Group Ltd (Foster's) and Grupo Modelo today agreed to extend the exclusive license for Foster's to sell and market the Corona Extra brand in Australia.

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The agreement builds on a 19 year partnership with Grupo Modelo and that has seen Foster’s grow Corona Extra to become Australia’s No.1 imported premium beer and ninth largest beer brand by value. Over the twelve months to November 2007, Corona Extra has grown sales volume 39.6% and now holds 30.4% volume share of the Premium Imported Beer segment1.

"Corona Extra is an important part of Foster’s beer portfolio and we’re delighted to extend our partnership with Grupo Modelo," said Jamie Odell, Foster’s Australia, Asia & Pacific Managing Director. "We look forward to further strengthening Corona’s position as the leading imported premium beer in Australia."

On signing the agreement, Roberto S Viejo, Grupo Modelo’s Managing Director Latin America & Australasia said, "the agreement cements an ongoing relationship between Mexico’s largest brewer and Foster’s, which spans 19 years. The extended partnership with Foster’s is a fantastic outcome for Corona Extra and we look forward to growing the brand even further in the Australian market".

The agreement contains an exclusive license to market and sell the Corona Extra brand in Australia. Further terms of the agreement are confidential between the parties.

Corona Extra

Corona Extra is Mexico’s leading export beer brand and is available in over 150 countries. It is a lighter bodied beer with a crisp and refreshing taste and is renowned for its serving ritual, which features a slice of fresh lime.

Corona Extra’s highly successful ‘From where you’d rather be’ campaign will feature again this summer. The locally produced creative features a couple in tranquil summer-inspired settings and will be seen across a range of mediums including cinema advertising, subscription television, national outdoor and digital media. The brand will maximise its presence throughout the peak summer selling period with activity including on premise Summer Fiestas and a beach volley ball sponsorship.

Foster’s international beer portfolio

Corona Extra complements the Foster’s international beer portfolio, which holds 47.2% share (in value terms) of the Premium Imported Beer segment1. The Foster’s international portfolio includes Stella Artois, Carlsberg, Asahi Super Dry, Kronenbourg 1664 and Shanghai Lager.

1 Foster’s holds a Value share of 54.6% and a Volume share of 53.1% of the Total Australian Beer market. Corona Extra is ranked ninth in value sales in the Total Beer Segment and first in Value sales and Volume sales in the Premium Imported Beer Segment (Foster’s-defined). The Premium Imported Beer Segment has grown in value 18.7% vs YA and has grown in volume by 17.6% vs YA. Source: Foster’s calculation based in part on data reported by Nielsen through its ScanTrack Liquor Service for the Beer Category, premium imported beer segment (Foster’s-defined) for the 52-week period ending 30 November 2007, for the Australian off premise liquor market. (Copyright © 2007, The Nielsen Company.)



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