MOLSON COORS BREWING CO
THREATS (1) Competition within the Beer Industry – Global Brewers ■■
Global brewers must invest significantly in marketing in order to distinguish their product from other competitors’ offerings. At the same time economies of scale play an important role for major brewers to remain competitive and profitable when producing and distributing their products. Continued industry consolidation could significantly change market dynamics amongst major brewers. Molson Coors is #2 in the US/Canada markets and #6 globally by volume, and is #1 or #2 in eleven core countries/markets. However, competition is still intense amongst global participants (AB InBev, Heineken, Carlsberg, Molson Coors, Kirin and Asahi). We believe smaller players will remain open to M&A opportunities to improve their competitiveness vs larger players.
Source: Molson Coors presentation – Barclays Consumer Staples Conference – 5 September 2018