2002 in Retrospect
Heineken
The Heineken brand achieved sustained growth last year,
with sales rising from 22.4 million hi to 22.9 million hi
(+2.5%). Most of the growth in sales was generated in the
United States, Poland and Thailand.
The growth of the Heineken brand largely reflects our
efforts to enhance brand value and secure a higher level
of consumer preference while improving availability,
both via the acquisition of beverage wholesalers, such as
in France, Italy and Slovakia, and via cooperation with new
distribution partners, such as in China and Portugal.
The development and refinement of ourcentral market
ing information systems has enabled us to optimise the
quality and international consistency of our marketing
activities and tailor them more closely to individual mar
kets and specific target groups within those markets.
An important new vehicle for gathering detailed market
information is our global 'Beacon' project, through which
Heineken engages in dialogue with young adults on their
aspirations, motivation and preferences. The findings are
used as the basis for marketing projects in which substan
tive input by and active involvement of this target group
play an important part. This research also helps us to take
regional and local cultures into account in our marketing
projects and marketing communication.
Updating our packaging and tailoring it to consumers'
needs is a constant priority. Several new can designs were
introduced lastyearand a new aluminium bottle was
launched in France.
Marketing communication
Further advances were made in facilitating the exchange
of expertise and information between our operating
companies in the area of advertising campaigns and other
brand management tools by expanding and making more
intensive use of our intranet portal and organising brand
workshops in local markets. Operating companies in
smaller countries or emerging markets are increasingly
using campaigns developed centrally or elsewhere.
Adapting a uniform concept for optimum deployment in
local markets benefits the quality and consistency of our
advertising campaigns.
Sponsorship and on-line activities, which provide excel
lent opportunities for responding to the needs and wishes
of specific target groups, accounted for a growing propor
tion of ourtotal marketing communication effort.
Although the mix of marketing communication-related
activities may differ widely from one market to another,
it is essential in all cases that the activities are related and
mutually supportive.
Heineken focuses its sponsorship activities chiefly on
music, film and selected sporting events, mainly tennis
and rugby. As in 2001, music sponsorship again accounted
for most of the growth in our sponsorship expenditure,
because music is an ideal medium through which to share
Heineken's brand values with our target groups.
Our music-related activities were amalgamated last year
to create a new website, www.heinekenmusic.com, to
provide a global music platform which enhances the inter
activity and effectiveness of our music-related marketing
communication. Thirst, a series of dance events featuring
both world-class and local DJs, was staged in many
countries around the world, to which numerous related
activities were linked, both online and via retail outlets.
TheThirst concept and its execution, including a DJ com
petition, were based partly on the findings of our new
'Beacon' project.
Brand awareness was boosted by our sponsorship of
several annual European music festivals, including Green
Energy in Ireland, Jammin' in Italy and the FIB festival in
Spain. A number of successful activities were organised
in the United States by Heineken Music Initiative Inc., which
was formed last year to support young talent. The Green
Room Sessions concert series in Singapore won several
international awards.
Our involvement in and expenditure on film sponsorship
also increased, to support the Heineken brand's interna
tional stature. The films we sponsored included Hollywood
productions such as 'The Bourne Identity' and the new
James Bond film, 'Die Another Day'.
The principal sporting events we sponsored last year
were the Australian Open, US Open and Masters Cup tennis
competitions and the Heineken Rugby Cup, a competition
for top European clubs. As in 2001, we also sponsored
many local events to reinforce our local identity.
Amstel
While the mainstream beer segment, in which Amstel
is positioned, contracted in several important European
markets, in many others, especially outside Europe,
Amstel recorded growing sales. Amstel's total sales
volume remained stable at 10.8 million hi.
Amstel was not immune to the effects of the declining
mainstream beer market. The wet weather and sharply
REPORT OF THE EXECUTIVE BOARD
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