Erdinger Non Alcoholic Alcohol Free Beer It’s no secret that consumer behaviour is continuing to change, with brand led, traditional categories declining in favour of their premium counterparts. Alongside the search to seek out a better quality beer, with 65% of consumers actively trying to lead a healthier lifestyle, moderation is playing key role in this change. Dry January is no longer a one off novelty event to lose some post Christmas weight, but more of an opportunity to enforce a permanent lifestyle change for coming year, with 70% of people who take part in dry January continuing to drink less six months later. The Alcohol Free Beer sector which is predicted to be worth £300m a year within the next 10 years. Within On Trade packaged beers, despite being one of the smaller categories, it is the one showing the highest growth at +33.4% YoY, with everything pointing towards this continuing to grow in the coming years. Category % Growth Ale -9.8% Classic Lager 5.5% Craft 12.1% Mainstream Premium Lager -8.7% Alcohol Free Beer 33.4% Stout -16.4% World Discovery Lager 0.4% Alcohol Free beer offers the consumer taste profiles of the beer that they love without the repercussions. With this in mind it should be utilised at key trading periods where soft drinks currently flourish such as lunch periods and weekday evenings. The category is still at the early stages of it’s journey within the On Trade. But from an Off Trade perspective Alcohol Free Beer is much more established with retailers allocating designated full bays and promoting the category off Shelf. We know that due to the large number of distribution points and retailer strategies, trends that they succeed with normally carry across into the On Trade. Off Trade Alcohol Free Beer Top 15 Brands Rank Brand % Share of Alcohol Free Beer VALUE % Change on LY MAT 1 Becks Blue Alcohol Free 39.80% 17,396,934 0.30% 2 Bavaria Non Alcoholic 13.60% 5,933,576 4.50% 3 Heineken 0.0% 12.50% 5,443,028 234.50% 4 Brewdog Nanny State Ale 6.80% 2,981,471 25.10% 5 Budweiser Prohibition Brew 6.50% 2,842,478 NEW! 6 Erdinger Non Alcoholic 5.10% 2,249,789 36.70% 7 San Miguel 0.0% Lager 3.60% 1,565,452 48.40% 8 Brewdog Nanny State 2.20% 982,723 0.00% 9 Cobra Zero 1.50% 652,231 -25.10% 10 St Peters Without 638,903 246.00% 11 Franziskaner Weissbier 1.40% 624,397 168.20% 12 Warsteiner Fresh 594,485 155.60% 13 Free Damm 0.70% 300,218 14 0.40% 158,493 15 Kaliber 121,176 36.90% Promote Alcohol Free Beer in trading periods such as Lunch and Weekday evenings.

Take part in Dry January for Health Reasons** 20.4% GB Adults now teetotal Equating to 10.4m People* In 2017, the proportion of adults who said that they did not drink at all – those claiming to be teetotal – was 20.4%. This equates to approximately 10.4m people in the population of Great Britain. A higher proportion of women reported being teetotal (22.6%) when compared to men (18.1%). 54% Take part in Dry January for Health Reasons** On average 3.1 million people commit to Dry January within the UK, with 54% of these taking part due to health reasons. 62% Think the Soft Drinks range on offer is often predictable and boring*** With 62% of drinkers saying that the Soft Drinks on offer are predictable and boring, it highlights the important role Alcohol Free beer can play to people who are tee total or cutting back by offering them new flavour experiences and variation. --Marston’s Alcohol Free Beers- --KEY TAKEOUTS-- 70% of people who take part in dry January are continuing to drink less six months later. Within Packaged Beer, Alcohol Free is the category in highest growth. Promote Alcohol Free beer in key Soft Drink trading periods such as Lunch times and Weekday evenings. +39% MAT **** +125% MAT **** CONSUMERMARKETING@MARSTONS.CO.UK *Office for National Statistics, **CGA Consumer research, 2016, *** Global Data 2018 Q3 Consumer Survey, **** Marston’s Data Warehouse Volume