29 Heineken N.V. Annual Report 2004 Report of the Executive Board Operational Review
Total Heineken sales in millions of hectolitres
2000
21.6
2001
22.4
2002
22.9
2003
22.1
2004
22.8
Heineken
THE WORLD'S MOST VALUABLE INTERNATIONAL PREMIUM BEER BRAND
Heineken is Europe's leading beer brand and is the world's most valuable international premium
beer brand. In 2004, the Heineken brand once again reinforced its position in virtually all markets.
Sales of Heineken beer worldwide increased 3.1% to 22.8 million hectolitres.
The strongest growth markets in Europe for Heineken in 2004 were Russia, Poland and Spain. In the
more established European markets - France, Italy, the Netherlands, Ireland and Greece - Heineken
was able to maintain or strengthen its position. In the United Kingdom, where the brand was
withdrawn and fully re-launched early 2003, it continues to achieve growth in volume and distribution.
With new business structures and dramatically improved distribution in Central and Eastern Europe,
the brand was able to make good progress across the region, including a move to production in
Romania in December, a highly successful relaunch in Austria and strong growth throughout the year
in Poland.
Strong growth was also achieved in several markets in the Asia Pacific region, particularly Vietnam,
New Zealand and Taiwan. In China, thanks to our new local production strategy and increased focus,
we saw a substantial improvement compared with 2003, which was a difficult year. In August,
Heineken's position in Australia was strengthened through a sales and marketing joint-venture with
Lion Nathan, Australia's second-largest brewer.
In South America, Heineken achieved strong volume growth in Chile and Argentina and also grew
in Puerto Rico. In North America, USA and Canada, we accomplished another year of growth.
In Heineken's main markets in Africa, the Heineken brand continued to perform well. Brandhouse,
the new joint-venture with Diageo and Namibia Breweries, is supporting growth in South Africa, and
will be an important platform for future growth. South Africa saw strong brand growth during the
year. In Nigeria, we began local production of the Heineken brand following a long ban on imported
beers.