Thailand: Boon Rawd Brewery plans raising the profile of its Singha Beer and increase export sales

Boon Rawd Brewery Co is taking action to further raise the profile of its Singha Beer in the international market, in the hope of lifting its export sales to 25% of the company's total revenue within three years, from 10% currently The company declined to reveal sales figures but Singha shipments totalled three million cases or 25 million litres last year, according to Chutinant Bhirombhakdi, Boon Rawd's executive vice-president and director.

''The reason for moving aggressively abroad is because the company is well prepared after restructuring eight years ago, not because of competition at home from our arch-rival (Chang producer Thai Beverage). Singha Beer has been sold internationally for more than 30 years. The company sees a huge opportunity abroad for Singha,'' he said.

The United States, Europe and Southeast Asia are among the major markets for Singha. The US alone accounts for 20% of the total volume sold worldwide. At present, Singha is sold in 40 countries via several hundred distributors. In the United States alone, the company has more than 100 distributors to serve a market of 290 million people.

The main focus this year is the US, with a marketing budget of 100 million baht for brand promotion. Additional sums could be spent through sponsorships. The US market is overseen by a subsidiary, Singha North America Inc.

This year Singha is a sponsor of Fear Factor, the US-produced reality show featuring extremely challenging activities and seen in 15 nations.

Also, Boon Rawd will continue sponsoring sports events internationally. Last year it signed continual sponsorship contracts with three women's tennis tournaments: the Legg Mason Tennis Classic and the Legg Mason USTA Women's Pro Circuit Challenger in Washington D.C., and the 2005 Singha Tennis Classic in Tarzana, California.

At international level, Singha is also being promoted via Thai restaurants. In the United States alone, there are 3,496 Thai restaurants, 1,900 of them licensed to sell alcoholic beverages. Beyond Thai restaurants, Singha would also be available at Laotian, Vietnamese and Chinese restaurants.

Sales through restaurants made up 80% of the company's total volume, but it sepects that within a few years there will be a 50:50 split between restaurants and retail channels such as supermarkets. Imported Singha in the US market costs twice as much as local beer, but it is not a marketing barrier for Singha. It is positioned as a premium brand to offer an alternative to Americans.

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