Diageo Introduces Guinness Beer to Ethiopia’s Market
Diageo Ethiopia is going to reintroduce the world renowned stout beer Guinness Beer, to the Ethiopian market. The debut is scheduled for March 31, 2017 during an event dubbed “Feshta”.
Guinness is going to be produced at Diageo’s expanded plant in Sebeta Town, Oromia State. By its new product, the beer manufacturer is aiming to attract affluent and emerging middle class and the diplomatic corps. It is also going to start with a limited production and sell the stout beer at a higher price than the average beer in the Ethiopian market.
Since purchasing Meta Abo Brewery from the government for 225 million USD in 2012, Diageo has been expanding its capacities. It currently supplies Meta Beer, Azmera Beer and Malta. This makes Guinness the third brand Diageo introduced to the market in the past half a decade time. Few years back, Diageo introduced Zemen Beer, which failed to attract customers and folded production after a while.
Guinness was first introduced to the Ethiopian market 15 years ago by BGI Brewery. Nevertheless, the product was not a success even with the repeated efforts. Diageo, via a project it called “The Injera Project”, conducted a research on the Ethiopian market, in specific on why BGI’s efforts failed.
According to The Reporter, the bitter international taste will be reduced to accommodate the taste of Ethiopian market.
In the past 5 years, the beer consumption per person has increased from 5 liter per person to 8 liter per person. Currently the total beer production in Ethiopia stands at 12 million hectoliters of beer per annum.