Brewers commit to marketing despite cost cuts

Carlsberg and Heineken have committed to driving brand growth through marketing despite both pledging to cut costs this year as the global economic downturn bites.

Both firms have posted increased revenues last year, with Danish brewer Carlsberg, owner of Tuborg and shirt sponsor of Liverpool, registering an increase in net revenue to 59.9bn crowns (£7.13bn) while Dutch group Heineken say revenue increased 27% to €14.3bn (£12.7bn) in 2008.

Despite reporting uplifts in sales last year, both warn of the potential impact of the recession and its impact on beer sales and both commit to cost-control and debt reduction

However, Carlsberg says it “will continue to drive brand growth through focused innovation, marketing support and strong execution” while Heineken notes that it will “ensure the right level of marketing support for key local and international brands, leveraging the fall in media costs.”

Heineken extended its title sponsorship of the European Rugby Cup in December. It also recently appointed Bartle Bogle Hegarty to its £40m global advertising brief.

Carlsberg named Issac Sheps as chief executive last October replacing former UK managing director of brands Doug Clydesdale who left the company after 11 years.

Heineken and Carlsberg completed a joint takeover of the British brewer Scottish & Newcastle last year.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3703 or email customerservices@marketingweek.com

If you are looking for our Jobs site, please click here