Vietnamese beer drinkers are helping Heineken rake in profits as it moves to expand its Asia Pacific business.
According to the global brewer's Asia Pacific president, Frans Eusman, Vietnam is Heineken's second most profitable market behind only Mexico, reports CNBC. As profits in parts of Europe, Africa and the Middle East dry up, Eusman names the Southeast Asian nation as his company's next key driver for APAC business.
“We're very proud of what we've been able to create,” he told CNBC's Squawk Box. “Five years ago, Heineken entered with a very small brewery when Vietnam started to open up. Now we are the number two in Vietnam.”
The company operates under two names in Vietnam: APB Hanoi, which is wholly owned by Heineken, as well as Vietnam Brewery, in which the company holds a 60% stake.
Beyond Vietnam, Heineken has been making big moves in Southeast Asia and across the continent in effort to push its beer brands. Last year, the company sunk US$60 million into constructing a brewery in Myanmar.
“Myanmar, in a way, resembles Vietnam maybe 10 to 25 years ago,” he told the news outlet. “It has a huge young population, growing wealth, growing GDP, and more of those people have expendable income.”
Heineken also operates in China, Cambodia, India, Indonesia and Malaysia, holding the biggest market share in half those nations.
Moving forward, Heineken also recently signed a joint venture with the Philippines to bring both Heineken and Tiger beers to the island nation.
We'll drink to that.
[Photo via Flickr user JaulaDeArdilla]
