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Tiger waiting to pounce

The Edge
12 December 2005

Tiger waiting to pounce

Synopsis

Spire’s research was cited in The Edge on the 12 Dec 2005 (pg 20) on an article that detailed how Asia Pacific Breweries wants to make Tiger beer a pan-Asian brand.

For the fiscal year to September 2005, APB spent $247.17 million on direct and indirect marketing, up 4.3% year-on-year (y-o-y). That’s 17.2% of its total revenue.In comparison, the marketing expenditure of global brewers broadly ranges from 8% to 15% of total sales, says Leon Perera, managing director of Spire Research and Consulting. 

As an illustration, Anheuser-Busch, which brews Budweiser, spent US$2.59 billion ($1 approx US$0.60) on marketing, distribution and administrative expenses in 2004, 15.2% of its sales. Of this, Perera reckons some US$1.5 billion would have been for marketing.

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