A look at the EABL business in Kenya

L-R: KBL Executives Eric Kiniti (Corporate Relations Director) Fred Otieno (Head of Innovations), Jane Karuku (MD) and Andrew Kilonzo (Sales Diector) pose for a photo with Hop House 13, one the company's premium brands

East African Breweries Limited (EABL) is East Africa’s largest alcohol beverage company. The Kenyan business, which is headed by Jane Karuku, trades as Kenya Breweries Limited (KBL).

Here is a quick look at the Kenyan business.

1. Tusker and Guinness are the biggest beer brands in terms of volume.

2. Balozi is loved by a older audience and is loved regionally.

3. Light beers is a growth segment with Tusker Lite leading the way.

4. EABL control 50% of the spirits market share in Kenya.

5. Spirits contribute 30% of the EABL turnover currently from 20%. The spirits business has 3 key segments:

  • Reserve (luxury) segment: Key brands include Singleton, Ciroc and Tanqueray.
  • Premium segment: Key brands include Johnny Walker (red and black) and Baileys.
  • Mainstream segment: Kenya Cane & Chrome Vodka.

6. Johnny walker is the biggest scotch whiskey brand in Kenya. Kenya is the fastest growing scotch whiskey market for Diageo in the world.

7. EABL has new brands to interest new customers and access new markets.

  • Hop House 13 beer
  • Zinga Beer
  • Tusker Cider
  • Black & White whiskey
  • Triple Ace vodka

8. GDP contribution of EABL in Kenya is 0.8%.

9. Tax contribution in the last financial year is Ksh. 52 Billion. Tax contribution is 4% of total Govt Revenue.

10. Recent EABL investments in Kenya

  • Kisumu Brewery – Ksh 15 Billion
  • Warehouse – Ksh 1.7 Billion
  • Dual-Purpose Vessels – Ksh 1.4 Billion
  • New Spirits Line – Ksh. 900 Million
  • Keg Rackers – Ksh. 800 Million

11. 2017 was tough partly because of the prolonged electioneering period particularly in the bottom and mainstream business. Christmas is a peak period that starts in October but in 2017 it started in December.

12. Senator will be the main product for the Kisumu plant but it is built in such a way that other products can be made in the plant.

13. Senator is a unique product for EABL and has its own manufacturing line, distribution and marketing. It was created in partnership with the government to fight illicit brews in Kenya.

14. They have 31,000 farmers under contract. Annual payments to sorghum farmers are Ksh 660 million and Ksh 1.7 billion for barley farmers.

15. EABL wants to source 100% of their raw materials from Kenyan farmers by 2020. Currently it is at 80%.

16. EABL has 1,000 employees. 30% of them are women and the company wants to push it to 50% in 2022.

17. Distributors

  • 57 Senator Distributors
  • 45 Mainstream Distributors

18. Outlets

  • 19,000 Senator outlets
  • 22,000 Mainstream outlets

19. CSR

  • Over three million water beneficiaries
  • Over 1.5 million trees planted
  • 270 EABL Foundation full university scholarships
  • Heshima Programme – Addressing illicit alcohol issue in communities
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