Marketing Strategy for Japan(Alcohol Beverages Business)
Overview for 2022 and Future Directions
March 14, 2023

Today’s Agenda①②

Summary of Results of Marketing Efforts in 2022✓

Beer Category (Asahi Super Dry Full Renewal, Asahi Nama Beer Maru F)✓

Marketing Transformation Update

Marketing Strategy for 2023 and BeyondⒸASAHI GROUP JAPAN. All rights reserved.

2

Summary of Results of Marketing Efforts in 2022

ⒸASAHI GROUP JAPAN. All rights reserved.

3

First full renewal
in 36 years sincelaunchSummary of Asahi Super Dry’s Full Renewal✓

Downtrend that never stops(Sales volume of canned SD： CAGR -3%)
2016-2020
Brand Challenges

2021
Shift in Strategy

Direct factors of volume decrease＝ Decrease in number of consumers （CAGR -4%）
➡ Factors contributing to the decrease in the number of consumers＝ Decline in brand strength➡

✓

Nama Jokki Can halts the downtrend➡ Growth even after the launch of Maru F

Sales volume ＝ +13% YoY （Of which Canned +5% YoY）✓
Achieve a re-growth trajectory by enhancing brand strength, leading
to revitalization of the overall beer market✓
The success of a major revamp of a mega-brand is rare in the world✓

2022
Results

202３
ChallengesⒸASAHI GROUP JAPAN. All rights reserved.

✓“Sustaining and strengthening growth momentum” and “Improving
investment efficiency”
5Summary of Asahi Super Dry’s Full Renewal✓

Halted the -3% annual downtrend and achieved a re-growth trajectory
Sales volume of canned SD （2018 actual results as 100）
100

95

90

Market (Canned Beer-type)
Simulation assuming a -3%
annual growth rate
(2016-2020 CAGR)

85

80

2018年
ⒸASAHI GROUP JAPAN. All rights reserved.

2019年

2020年

2021年

2022年

6

Canned Beer-type :Source: Intage SRI+7 business categories, Jan 2018-Dec 2022 Beer-type cans, estimated sales scale (volume)Summary of Asahi Super Dry’s Full Renewal✓ Number of Asahi Super Dry consumers exceeded 20
million for the first time in 10 years, driving the
expansion of the overall beer market.

Feb 2022
Number of Consumers (Beer total)
Number of Consumers (SD)Dec 2022

Change37,712423+1%19,894

20,673779+4%■Number of SD consumers by year

■ Number of SD consumers by month

23,00023,00019,894

20,673%37,28920,67320,00020,00017,00017,000

Full renewal
Launch of Nama Jokki Can

14,00014,000Source: Intage SCI (20-60s) Super Dry cans 2011-2022 Number of consumers (thousands)ⒸASAHI GROUP JAPAN. All rights reserved.

Source: Intage SCI (20-60s) Super Dry cans, March 2021-December 2022, number of consumers (thousands)

7

Summary of Asahi Super Dry’s Full Renewal✓

Total number of beer category consumers by companies✓ Approx. 27 million of Asahi Breweries is the highest level ever to theextent that data can be acquired.
3,000
2,500
2,000

Company A

1,500

Company B

1,000
500
• Number of consumers per company, excluding brand overlaps

0
’10

’11

ⒸASAHI GROUP JAPAN. All rights reserved.

’12

’13

’14

’15

’16

’17

’18

’19

’20

’21

’22

8

Source: Intage SCI (20-60s), Beer can Jan 2010 - Aug 2022, Number of consumers (thousands)

Summary of Asahi Super Dry’s Full Renewal
Significant improved in taste
evaluation
Satisfaction after drinking 82.4%→92.8%（Source: Company research）

Brand Power(%)＝ Consumer mindshare

16.0

Dispelled the "Dry Misconception“
From "dry = bitter" to "sharp and crispy”
bittersharp
crispy11.3％ → 9.5%
9.3% → 10.5%
9.0% → 10．4%

15.0（Source: Company research）

Improved package image

Winner of the IBC Gold Award for Packaging

Increased number of consumers in awide range of age groups••

Increased number of users in each generation
Nama Jokki Can ⇔ SD main body synergy effectⒸASAHI GROUP JAPAN. All rights reserved.

14.0(Brand Tracking)

Most of the material issues have been
resolved.
The challenge is to continue andstrengthen the growth momentum.
9Summary of Asahi Nama Beer Maru F✓ “Can 500ml" and “Kuro Nama (Black)", of which release had been postponed, werelaunched in February, strengthening the product lineup.
✓ The number of consumers (11.06 million) is the second highest after Super Dry, but
compared to other major brands with long histories, it is still in the trial stage, andthe amount purchased per capita is low due to the thin loyalty base.
Strengthening the communication of "unique qualities and ways toenjoy Maru F" to make it a standard brand that continues to be loved
by customers.
■Number of consumers

Brand A
Brand CⒸASAHI GROUP JAPAN. All rights reserved.

Source: Intage SCI (20-60s) Canned Beer market 2021-2022 Number of consumers (thousands)

10Summary of Smart Drinking
The number of consumers of our non- and minimal-alcohol beverages was 12.68 million. Although thenumber of consumers grew significantly with the launch of Beery,it stagnated, partly due to a reduction in the impact of the COVID.
→Not enough to capture demand from people who do not drink or cannot drink alcohol.

✓✓

SUMADORI-BAR SHIBUYA, a bar where both people who "don't/can't drink" can enjoy alcohol, wasopened. Despite generating buzz, awareness of "smart drinking" remains at 13%.
Our goal is to create a world in which not only those who can drink alcohol but
also those who cannot drink alcohol can enjoy the drinking scene. We will workover the medium to long term to make smart drinking a new drinking culture.
■Number of consumers of non-alcohol products of Asahi■Smart Drinking Awareness Rate

Total

13.0%

People who "drink"

11.9%

Of which, beer-type consumers

20.0%

Of which, Non-beer-type consumers

8.6%

People who "don't/can't drink"
Source: INTAGE SCI (20-60s) Non-alcoholic 2020-2022 Number of consumers (thousands)ⒸASAHI GROUP JAPAN. All rights reserved.

7.1%
According to our survey in Jul 2022, N=924

11

Marketing Transformation Update✓ Asahi Breweries‘ unique “Brand Management System” islaunched. Appointed "Brand Manager" for all major brands
and implemented the following initiatives➡
➡
➡
➡

Clarify emotional value positioning
Develop a “brand ladder”, a basic blueprint, and clarify “insights”
Clarify the brand strategy story by using “OGSM”
Conduct pre-verification of the effectiveness of all on-air TV
commercials➡ Conduct "equity tracking" of beer-type brands✓ Established a diverse product development process.
（Fail quickly, cheaply and wisely towards learning.）✓ Implemented a training program to improveorganizational capacity in marketing.
ⒸASAHI GROUP JAPAN. All rights reserved.

12Marketing Transformation Update✓ Achieved our highest annual overall commercial favorability rating ever.
✓✓✓

Asahi Breweries 7th Place （within the alcohol beverage industry: 1st Place）
Super Dry 4th Place （within the alcohol beverage industry: 1st Place、SD's first overall 1st Place in April.）Maru F 5th Place （ within the alcohol beverage industry: 2nd Place）

Companies (all industries)

Brand (all industries)

Brand (Alcohol Beverage Industry)

1

ー

1

ー

1

Asahi Breweries

Asahi Super Dry

2

ー

2

ー

2

Asahi Breweries

Maru F

3

ー

3

ー

3

Company A

Brand A4ー

4Asahi Super Dry

4Company B

Brand B

5ー

5Maru F

5

Company B

Brand B

6

ー

6

ー

6

Company A

Brand C

7

Asahi Breweries

7

ー

7

Company A

Brand D

8

ー

8

ー

8

Company B

Brand E

9

Company A

9ー

9Company A

Brand F

10

Company B

10

ー

10

Company B

Brand GⒸASAHI GROUP JAPAN. All rights reserved.

（Cumulative total for January-December 2022According to CM Soken Consulting）

13

Establish a Diverse Product Development Process
Resolution tolaunchRefineConcept

Large capital/
brand investment

SurveyTechnology
Seeds

Product
LaunchNationwide
Expansion

D2C test
System for making
small quantities
and test marketing.
Clarify achievement
criteria andconduct tests.

Test sales
in specific chains/in specific areas

14Marketing Strategy for 2023 and BeyondⒸASAHI GROUP JAPAN. All rights reserved.

15

Continued Acceleration of the Trend Back to Beer
Inflow from Happoshu and New Genres to Beer

Revision of Liquor Tax
Past

Beer

2020

2023

2026

JPY 70JPY 77

JPY 54.25
JPY 63.35

Happoshu

JPY 46.99

JPY 37.8
New Genre

JPY 35

JPY 28

RTD
Revision of
Liquor Tax

on a 350 ml Serving

Price
Realization■Beer-type market forecast
YoY
Beer
Source: Intage SRI + 7 business categories Jan 2019 - Jan 2023 Canned Beer-type Estimated Sales Scale (Volume)ⒸASAHI GROUP JAPAN. All rights reserved.

＋0～1％

HapposhuApprox. -3%

New Genre-7～8%

Beer-type

-3～4%

16

Beer-type Market Trends✓ In Off-premise market (can), there has been a return to demand for beer sincethe 2020 liquor tax revision. This trend has continued after the price revisionin October 2022.
✓ In On-premise market (bottle and keg) has recovered to over 60% of the preCOVID level (compared to 2019).
■YoY in Can by Category
Beer

Happoshu

Revision of
Liquor Tax■Bottles and Kegs vs 2019

New Genre

PriceRealization

Source: Intage SRI + 7 business categories Jan 2019 - Jan 2023 Canned Beer-type Estimated Sales Scale (Volume)ⒸASAHI GROUP JAPAN. All rights reserved.

Source: Intage SRI+7 business categories, Jan 2020 - Jan 2023 Beer, bottles and kegs, estimated sales scale (volume)17

Beer-type Market Trends✓

Purchase rates are also trending upward for beer and downward for new genres after the 2020 liquor tax

revision.
✓

The trend continues even after the October 2022 price revision. This trend, which favors beer, willcontinue with this year's October liquor tax revision.

■Trends in Beer and New Genre Purchase Rates

Revision of
Liquor TaxⒸASAHI GROUP JAPAN. All rights reserved.

Price
Realization

Source: Intage SCI (20-70s) Beer-type 2020-2022 Purchase rate (number of people)

18

Asahi Breweries' Strategic Story for 2023
✓ Turning strategic investments in innovation and new value areas at
high speed, starting with beer, which is one of our strengths
Selection and Concentration in Beer-type• "Style Free" as No. 1 in the functional category• Strengthening of "Clear Asahi" and “The Rich“

Focus on Beer
Acceleration of efforts on priority themes• Continued growth of Asahi Super Dry• Value improvement of Nama Jokki Can

Enhancing the corporate valueof Asahi Breweries• Establishing Maru F• Started “RTD 3-Year Plan”• Reinforcement of “Smart Drinking”
strategy• Creation of new value areas

Investment in new growth areas（NIKKA, ENOTECA）ⒸASAHI GROUP JAPAN. All rights reserved.

19

Super Dry✓ Maintain momentum from full renewal and drive the expanding beer market in 2023
Creating customer demand for beer by communicating the drinking value of Super Dry

気持ち高まる瞬間を分かち合う新・辛口〈生〉最高の渇きに、DRY。

最高のうまさに、DRY。

Brand that shares“moments that make you feel good”

Brand that offers
a vibrant, dry taste.

Emotional value

Rugby World Cup Tie-in with THE
FIRST TAKEⒸASAHI GROUP JAPAN. All rights reserved.

Add SKU(multipack) of
Nama Jokki Can

Physical value

Sales
promotionlinked with food

Extra cold

Factory-fresh
packs

20

Rugby World Cup 2023 France
Asahi Super Dry becomes the official beerFirst Asian company to join as a “Worldwide Partner”✓ Dedicated TV commercials✓ Event✓ Sales promotion in stores（On-/Off-premise）*イメージ① Increase awareness of Asahi Super Dry brand through global sponsorship② Penetration of the image of "moments that lift one's spirits" =increase brand power and expand fan base of Asahi Super DryⒸASAHI GROUP JAPAN. All rights reserved.

21

Super Dry Nama Jokki Can
High growth potential for Nama Jokki Can✓✓

Although Nama Jokki Can has reached a level of 11.71 million consumers, which is comparable to that ofcompeting standard brands, only half of those who are aware of the product have ever consumed it.
“Satisfaction after drinking” and “Intention to continue purchasing” are high, so future growth can be
expected by stimulating trials.
■Number of consumers■Awareness anddrinking experience rate

■Satisfaction after drinking andintention to continue purchasing

11,70512,000Satisfaction
After Drinking

Brand A

10,0008,000
Brand B

Consumers
experienced Nama
Jokki Can(cumulative)
Total
50% of those who Beer-type
recognizedConsumerNama Jokki Can
Average of New
Beer Products

Intention toContinue
Purchasing

58.9%

69.1%

47.5%

58.7%

（According to our research in April 2010）

6,000

4,000

Recognizers of Nama
Jokki Can

71.2%
(Estimated based on our research in Nov 2022)

Source: Intage SCI (20-60s) Beer cans 2021-2022 Number of purchasers (thousands)ⒸASAHI GROUP JAPAN. All rights reserved.

22

Super Dry Nama Jokki Can
Shift from "novelty" to "creating value and meaning in daily life.
Creating a foundation for maximizing potential.
✓

Revamping communication by setting the newmessage as "just like the first drink at arestaurant".
Aiming to acquire trials and re-trials of
consumers who have stopped buying.

✓

Launch of 6-can multi-packs
Following the release of the 485ml can in
October of last year, a 6-can multi-pack waslaunched in March of this year.
The lineup of four major items will increase its
presence in stores.

ⒸASAHI GROUP JAPAN. All rights reserved.

23

Asahi Nama Beer Maru F Strategy
Aiming to expand drinking opportunities and increaseawareness by further strengthening the product lineup✓

Launch of 250ml can.
Linking two brands (Marue F and Kuronama) tofurther expand drinking opportunities.
Easy to enjoy half-and-half and one-third.

✓

Launch of 500ml bottle for On-premise.
Expand customer touch points by increasing thenumber of outlets in On-premise.
Expand brand awareness and create drinking
opportunities.

ⒸASAHI GROUP JAPAN. All rights reserved.

24

RTD Strategy (RTD 3-Year Project)✓

The RTD market has passed last year's "plateau" and is once again on a growth trajectory.
Growth potential is high.

✓Radical rethinking of RTD marketing strategy. (A departure from the "beer strategy").

■Our RTD Sales Trends■RTD Market Size Trends
Market size (value)
Market size (12-month moving ave.)
YoY

Approx. +10% YoY

Remainedaround +0%
YoY

Source: Intage SRI + 5 retail chain business categories 2020-2022 RTD Estimated sales scale (value)ⒸASAHI GROUP JAPAN. All rights reserved.

Approx.
+30%
YoY

Peaked in 2020 andleveled off with adecrease of about
20%.

Our RTD Sales Results

25

RTD Market (Slowing Growth of Lemon Sour)✓

With the diversification of values accelerating, the "NEXT Lemon Sour" is expected to lead the

RTD market in the future, following the "Lemon Sour" that has driven the expansion of the
RTD market to date.
Sales of lemon flavors stop growing afterNovember 2021.

A wide variety of flavors were launched, andconsumer tastes gradually began to diversify.

Lemon

Source: Intage SRI + 5 retail chain business categories 2018-2022 RTD Estimated sales scale (value)ⒸASAHI GROUP JAPAN. All rights reserved.

Source: Intage SCI (20-70s) RTD 2021-Oct 2022 Number of consumers (thousands)）

26

RTD Strategy (RTD 3-Year Project)✓

Developing a brand with value that sets it apart from the lemon sours of the past.

✓

Launch multiple brands at the same time, with limited area pre-launch.

✓

Challenge RTDs that only Asahi Beer can manufacture (game changer).

Subcategories in
New Value-Added Areas

レモンのNEXT創造
サブカテゴリ―創造

Game-Changing

アサヒにしか出来ないRTD

固定観念打破に挑戦

独自価値創造ⒸASAHI GROUP JAPAN. All rights reserved.

27

RTD Strategy (New Brand Launch)✓

Aiming for a nationwide launch, the new brand will be pre-launched in a limited area inseveral regions.

‐ MAROHAI ‐Mild-tasting lemon chu-hai
with a secret ingredient(mirin) as the key ingredient.

Chugoku/Shikoku
area (June)
Kyushu area
(April)- Grefflemania -- GINON Gin sour that brings out the true
flavors of the fruit by combining
sugar-free and "special gin".

Tohoku area
(March)Tokai/Hokuriku
area (July)

A brand dedicated tograpefruit sours, whichmeans 'fruit of the paradisetree', offering a liberating
experience with grapefruit.

It brings happiness. Key words
are: kindness, simplicity,
security and nostalgia.

ⒸASAHI GROUP JAPAN. All rights reserved.

28- Yokocho Dharma Sour -Smart Drinking Strategy (Medium- to Long-term Vision)
What is Smart Drinking...Creating a new, fun, drinking lifestyle culture【Medium- to Long-term Vision】

Make the world a more enjoyable place todrink alcohol, not only for those who can drink,
but also for those who cannot drink.

Those who drink
Approx. 20 milliom
Non-drinkers(can’t drink /don’t drink)
Approx. 50 million

Those who drink
less than once amonth
Approx. 20 milliom✓ About 40 million people can drink alcohol,
and about 50 million people cannot or do not drink alcohol.
✓ Provide a series of new products and experiences toapproximately 90 million consumers.

（based on our research）ⒸASAHI GROUP JAPAN. All rights reserved.

29

Smart Drinking Strategy(Major collaboration with Yoshimoto Kogyo)✓✓

To further promote "Smart Drinking" that respects the diversity of people's drinking habits, collaborate
with Yoshimoto Kogyo Co., Ltd. who agrees with the Smart Drinking philosophy, and continue to conduct
large-scale promotions.
Aim for 40% awareness of "smart drinking" by 2025.

吉本興業グループの行動憲章「誰もが、いつでも笑
顔や笑い声をもてる社会」の実現×アサヒビール スマドリの考え方
飲み方を、もっと自由に、
もっと自分らしく。

Realizing a society where no one is left behind, also where people can enjoy drinking and smile.
Developing activities that link products, advertising, sales promotion,and in-store promotions with the new message "Whether you can drink
or not, we are all friends.
ⒸASAHI GROUP JAPAN. All rights reserved.

30

Information in this material is not intended to solicit sale or purchase of shares in Asahi Group Holdings.
The views, estimates and other information expressed in this document are based on the company's judgment at thetime of publication, and no guarantees are provided regarding the accuracy of such information. This information
is subject to change without notice.
The company and its officers and representatives accept no responsibility or liability for any damage orinconvenience that may be caused by or in conjunction with any part of these materials.

31