"CEO de Quilmes: "Hoy cuando tomás una cerveza, el 50% son impuestos"

Son of two doctors, Martín Ticinese (47) speaks with surgical precision about his 20 years in Cervecería y Maltería Quilmes, that icon of national drinks that this year turns 130 years of life.SUV, Ticinese held diverse positions in the company before making the great jump in 2018: commercial and marketing linked to different brands of the local portfolio, which goes from the bottling of the Pepsico brands to their own brands, such as Stella Artois and Patagonia."I always wanted to be a brand CEO," he acknowledges exclusively for Opening, to announce that he will put US $ 50 million to play for import substitution and local integration.

International experience, he worked for three years in Chile as a general manager - and had to cross production challenges for the 2010 earthquake that left the country in crisis - and from there he took a management lesson that would accompany him for the next 10 yearsof career."We never stop manufacturing.There it was clear for the first time that in any operation everything depends on the teams.We were standing for a month and the beer production was saved because a laboratory girl took the yeast to her house.With people committed like this, you can get out of any situation, however criticism it may be ".

Then, Ticinese went to Paraguay and Uruguay, where he achieved, after four years of losses, turn the business for those countries in those countries."I never got bored because, even within the company, you can change role every two years; jump from country to country," he says.

In the number one position - an that received from Pablo Panizza in 2018, when the former president moved to the AB Inbev offices in New York - he was in charge of the expansion of the portfolio of the brewery that, now, also sells wines with wines withThe acquisition, earlier this year, of the Dante Robino winery."Entering the wines category was transcendental.There are occasions on occasions of consumption that we did not reach

The business closed in a year hinge for the company behind beers that consume 60 percent of Argentines: their 130 -year -old anniversary was a number round enough to launch a special bottle,

Expand your horizons to new categories and improve the Bottom Line, a bit "handled" by the strong fall in consumption that were seen in the last three years."The first beer chop threw himself to celebrate the arrival of the light," he recalls, "so we were always linked to this community that saw us born".The announcement of the Budweiser wind farm enters the category: it will be 100 percent renewable energy that their plants use throughout the country, after an agreement signed two years ago with Central Puerto and a start -up at the beginning of this year, Prepandymia.

The announced investment to gain greater production in barley and replace imports to supply 300.000 points of sale throughout the country was the cherry of the cake -or the desire that is requested, with the eyes closed and the open heart, when the candles are blowing on the birthday.

130 years is a milestone for the company.They celebrated it announcing investments.Does it cost to convince the parent home to continue betting in the country, even in a year like this and after several years of falling in consumption?

All the investments we make in Argentina need approvals that exceed Argentina.From which we made, for example, at the beginning of the year with the Dante Robino winery, to which we are now doing with the new packaging line or the germinated in Corrientes.They are always proposals that have to have the Shareholders' Okay.But the truth is that we are very autonomous in Argentina;We are one who do and we really believe it.You have to answer questions always but the trust they have us can make a parenthesis when the times are bad and continue thinking about.What we need, in the country, is a greater degree of predictability because the economic situation is very complicated, not only in consumption but also in price control: costs increase and prices do not, then we need to look for an exit to continue witheven higher investments.

How much did the category suffer with these two variables: greater tax burden and lower profit margin?

Very much.The consumption in Argentina had its first negative impact with the tax change that was approved in 2017 and entered into force in 2018.Internal taxes doubled us.Today, 50 percent of those paid by a person when you consume a beer is taxes.The category cannot suffer in that context.Last year, we fell 7 percent.And although 2020 began with a positive trend later we collapsed 18 percent.The impact on the volumes was also high.So and everything we continue to invest, especially to be close to the consumer in difficult times.We try to get new things.For example, the launch or reinforcement of digital platforms to sell as Craft Society.Thus, in full pandemic, drinks could be taken to homes.Patagonia also launched the country's first organic beer;Stella Artois came out with her Noir and Quilmes edition launched her own alcohol beer made 100 percent in the country.They are all ads that, although they seem isolated, respond to the objective we put on: do not stop innovating in brands, even in difficult times.

Slow recovery

Did you see any rebound in the third quarter that gives hope for next year?Especially being so close to summer, the historic beverage sales peak.

The truth that the third quarter began to be positive;That is, there are more optimistic data but we still do not recover.In fact, let's close a negative year.And let's not forget that the Argentine GDP will fall 12 points.We know that Argentina will be in motion but we know that the recovery will be slow, for all its macro context.Next year we will recover 50 percent of what we fall this year;We will not be at 2019 levels.Some categories that we produce, such as waters and soda, were even more affected than beer.But there was a time when 85 percent of the bars were closed and with them also many of our younger customers.

How is the relationship with close business, a segment that always grows with crises?

We see that they are growing, yes, and we must see how we attend them.People, given their pocket, seek a lot of convenience.And you have to be there with attractive proposals as axis.Our

Having so many brands competing in the same segments, do you feel that there is a risk of cannibalization?

Our goal is to please the consumer, which is varied.We want to be in all your day.And we like to think that the gaze of the portfolio is more complementary than cannibalizer.If you see the categories in which we are not collide: a beer as a soda is not the same moment of consumption.Even wine is a complementary category because you take it, in general, when you eat a more elaborate dish.Quilmes not only markets the AB Inbev group brands but also has PepsiCo and Nestlé to manufacture and distribute their products.They are our partners;The relationship is very good and we have developed very interesting businesses in recent years.The PET's return project, which is PET's returnable container.Within the company there are also no problems: each business is handled separately and there are responsible for beers, non -alcoholic, winery...And each one has different objectives.We are very clear that our main business is and will continue to be beer.

It has been in the company for 20 years and that includes a time prior to the acquisition of the giant that is ab inbev.How did they live it?How is it part of a global scheme of companies that dominate a market?

The global group does not reach 30 percent of the total sale of beers worldwide but yes, the size of the company is huge.The good thing about belonging to a group like that is that you can always see what they do in other countries.When the pandemic exploded we had the example of China very fresh.If we had not had operations there, that they had to rethink before and adapt to a new normality, we could not advance in Argentina.

In addition to an iconic brand like Quilmes, what is the group of Argentina?

The beers category lives a lot about local brands.When you go to the supermarket of any country there is always a local brand that stands out.In the pandemic we had several Argentine examples.For example, we were able to develop gin with beers that were defeated.In the bars that were about to close there were many.We went to look for them and instead of throwing them we developed a communal gin to be able to sell and help our partners, the shops.And that was born here.Think that the operations we have in Argentina are quite unique: we have all our verticalized production, that means that barley, water, bottles...Everything is 100 percent national, Argentine and natural.That is seen in a few countries, go from seed to the bottle.

In recent years there was a craft beer boom.Did that segment fell a little?

My vision is that more competition is always positive for the category.Because it forces to complex the offer and have more variety.The growth of the artisanal caused beer to get into places where it was not before.I think that has to be the look: compete.In that segment we have brands like Patagonia or Goose Island that are Premium.And we have 50 Patagonia bars throughout the country to consume it.Undoubtedly, he forced the brands to reinvent themselves.

Tin wine, craft beer...What is the next great trend they see within the beverage market?

On behalf of the purchase, the specialized online sites will continue to grow.For Argentina, the keys to these ventures are the convenience and impact on people's pocket to buy in quantity.Of course, from the side of the one that consumes it is more complicated because Argentina was isolated many months and, according to some surveys, it is one of the countries whose citizens are more afraid to leave.We will not return to fast normality.A hypothesis that I have is that, as the effect of the pandemic is longer, people will prioritize consumption inside home.And then the options that can give better gates will grow.On the other hand, and taking out the pandemic side, well -being is a trend that came to stay.Quilmes without alcohol and organic patagonia are designed to consume from that place.

The investment of US $ 50 million to replace imports had the approval of the government.Do you expect the mandatory for maximum prices and how do you think this can affect the market?

To the category the tax decline would be good.But I think the main point is that Argentina has to have greater predictability and that implies not having a price agenda that cannot be moved.It is estimated that the maximum price program is flexible and we hope it is because the GAP is 25 percent between cost and price.You have to smoke it little by little and we are not going to make irresponsible decisions.If you see the historical chart, our increases were always below inflation, beyond the juncture.We are aware that the price impacts fully on consumption and we have competition that also knows.

The original version of this note was published at number 324 of Opening Magazine.