Carlsberg CEO notes changing beer habits amid cost pressures

Core Insights - Spending pressures are leading to a division in beer drinking habits, with consumers increasingly favoring premium or economy brands over core brands [1][2] - Carlsberg reported a 1.7% decline in organic volumes for the second quarter, reflecting a broader trend among brewers facing declining sales [4][5] - The global beer market is experiencing a shift, with consumers opting for high-end products while core brands struggle [9][11] Industry Trends - The beer industry is facing several consecutive quarters of declining volume growth, as consumers resist higher prices and seek alternatives [2][5] - Carlsberg's CEO noted that the core brands are most affected by a consumer base that is becoming more selective in spending [9] - There is a notable shift from on-trade consumption (bars and restaurants) to off-trade consumption (supermarkets and retail), as rising prices in bars make at-home drinking more appealing [11][12] Competitive Landscape - AB InBev and Heineken have also reported declines in volume growth, with AB InBev experiencing a 1.9% year-on-year decline and Heineken a 0.4% dip [5] - Despite the challenges, some industry leaders express confidence in the resilience of the beer category, citing continued revenue and operating profit growth [6]