‘Speciality beer' appeal drives Latin America sales for Bavaria brand Paulaner

The Munich based brewery producers 2.9m+ hectolitres per year, and is sold in 74+ countries.

Although Europe is Paulaner’s largest sales region by far, export volumes to regions such as Asia-Pacific are growing strongly, and Latin American (LATAM) sales have nearly tripled since 2009 – with double-digit growth over the period – despite high tariffs on imported beer.

Brazil and Mexico are the continent’s most important markets for Paulaner, and the former – the world’s third largest beer market – generates more than half of the brewer’s LATAM sales, while young emerging high-growth markets include Uruguay, Paraguay, Cost Rica and Bolivia.

‘American Lights’ dominate LATAM market​

Paulaner’s LATAM sales director, Dirk Wagenführer tells BeverageDaily.com: “Driven by robust economic growth in the key countries, the beer markets of Latin America are maturing considerably. Therefore, there is increasing demand for genuine beer specialties.”​

“The key to success is the differentiation to the American light lager beer produced by the major breweries that dominate the Latin American beer market,”​ he adds.

Typical Bavarian wheat beer is easy to differentiate from regular lager beers because it is unfiltered and, therefore, cloudy; it is served in tall slender glass that allow bubbles to rise slowly to the top.

“Demonstrated by the waiter or barman [in LATAM], the correct pouring method is a skill that guests often find fascinating. That makes the difference,” ​Wagenführer said.

‘Best Bavarian brand ambassador’​

German beer purity laws – ensuring use of only hops, barley, malt, yeast and water – in Paulaner mean it has a “clear brand and product profile”​ that has boosted distribution, Wagenführer claims.

Discussing brand identity – and the beer’s Munich heritage, with the brewery established in 1634 – Wagenführer said Paulaner “is probably the best brand ambassador of the Bavarian way of life”.​

When people in Latin America think of Germany, their thoughts turn to Munich, its historical buildings, traditional clothes like lederhosen, beer and the Oktoberfest, Wagenführer says.

“If we are producing a TV commercial we do not need the help of location scouts. We are doing our commercials in our own Paulaner beer garden right next to the brewery,”​ he adds.

“We do not have to create a brand world because we already have it. That’s why the consumer perceives Paulaner as absolutely authentic and real. Authenticity is another important key to success,”​ Wagenführer adds.