A Leading Global Beer Brand Marks a Century of Success
Grupo Modelo, valued at $13.4 billion and recognized as the world’s most valuable beer brand, present in over 180 countries, is commemorating its 100th anniversary. To maintain its position as Mexico’s leading brewery and a globally recognized brand, Grupo Modelo plans to invest and expand its production capacity to meet future demand.
Daniel Cocenzo: A Century of Collaboration and Brand Building
Daniel Cocenzo, President of Grupo Modelo and one of the most recognized international brewing companies, emphasized that the secret to their continued success lies in working hand-in-hand with communities, governments, and building beloved brands that consumers adore.
Investment Announcement and Sustainability Initiatives
In its centennial year, Grupo Modelo announced an investment of over $3.6 billion in Mexico between 2025 and 2027. These resources will be used to modernize their beer production plants, increasing capacity to cater to a growing market. The company also aims to enhance efficiency and reduce water consumption in production by 30% through technological investments.
Grupo Modelo will further promote the circular economy through returnable packaging and glass recycling programs. They will continue sponsoring sports, music, and other events while focusing on nurturing their brands for another century, which Cocenzo stated requires significant investment and hard work.
Local Business with Global Reach
Cocenzo highlighted that Grupo Modelo’s business is local, with nearly 100% of Mexico’s production sold domestically. Moreover, 70% of their production inputs come from local producers.
“We are constantly seeking opportunities to increase this 70% of local inputs. Recently, we signed an agreement with producers to increase the purchase of local barley,” Cocenzo mentioned.
Resilient Industry Amidst Challenges
Cocenzo emphasized the resilience of the brewing industry, despite uncertainties like current U.S. tariffs, weaker consumption in Mexico, and a challenging economic context. The beer category continues to grow, driven by innovation and staying close to consumer trends.
Cocenzo pointed out the growing zero-alcohol beer category, with Corona Cero leading in Mexico according to Nielsen. This segment has grown by double digits in recent years, accounting for 15 times more growth than the overall beer category.
Digital Transformation
Grupo Modelo has digitized its operations through Bees, their digital sales platform, which now accounts for 96% of their beer sales in Mexico.
In just over five years, the number of customers using the app has grown by 144%, as per company data. Cocenzo explained that technological investments aim to modernize and improve service for their more than 300,000 retail clients in Mexico.
Key Questions and Answers
- What is Grupo Modelo’s centennial investment plan? Grupo Modelo plans to invest $3.6 billion in Mexico between 2025 and 2027 to modernize production plants, increase capacity, reduce water consumption, and promote a circular economy.
- What percentage of Grupo Modelo’s sales are digital? Ninety-six percent of Grupo Modelo’s beer sales in Mexico are now digital through their platform, Bees.
- How is Grupo Modelo addressing sustainability? Grupo Modelo aims to reduce water consumption by 30% through technology and promote the circular economy via returnable packaging and glass recycling programs.
- What is the growth rate of the zero-alcohol beer category? The zero-alcohol beer category has grown by double digits, with Corona Cero leading in Mexico.
