The Budweiser maker said volumes declined 1.9% year-on-year over the three-month period, well ahead of the 0.3% dip forecast by analysts on the back of weaker demand for its beer products. Shares had pared down their losses and were last seen down 8.71% at 9:49 a.m. London time (4:49 a.m. ET). The drop was led by China, where volumes were down 7.4% and where the company said it was "underperforming the industry." The weakness was also driven by Brazil, where AB InBev cited high comparisons and adverse weath ...

Core Viewpoint - The beer industry is experiencing a decline in sales due to several factors, including rising prices, deteriorating taste, an aging population, and increased competition from alternative beverages. Group 1: Price Issues - The price of industrial beer has significantly increased, with bottles that used to cost 2 yuan now averaging around 5 yuan or more, leading consumers to abandon beer due to the lack of proportional wage increases [3]. Group 2: Quality Concerns - The quality of beer has declined, with many brands shortening fermentation times and using additives, resulting in a taste that some consumers compare to drinking plain water. This has alienated a significant portion of loyal customers [5]. Group 3: Demographic Changes - The aging population is becoming more health-conscious, particularly individuals aged 20-50, who are the primary consumers of beer. As the demographic shifts towards older age groups, the consumer base for beer is shrinking [5]. Group 4: Increased Choices - Consumers now have a wider variety of beverage options, including craft beers, fruit wines, and low-alcohol drinks, which appeal more to younger consumers. Industrial beer is increasingly viewed as low-end, contributing to its declining sales [7].