PETALING JAYA: Heineken Malaysia Bhd expects consumers to remain cautious with discretionary spending amid a softer operating environment, as geopolitical uncertainty continues to weigh on confidence and prompt Malaysians to become more selective about where they spend their money.
Managing director Martijn van Keulen said the market remains “quite soft”, with consumer sentiment weakened by geopolitical tensions, particularly the ongoing conflict in the Middle East.
“Currently, the Middle East crisis is not yet resolved, unfortunately. Actually, it’s the opposite. If you follow the news, in the morning it’s like this and in the afternoon it’s like that. It’s quite difficult to predict what the future will bring, and that leads definitely to a softening of consumer sentiment,” he said during the brewer’s second-quarter results briefing today.
As a result, he said, consumers in Malaysia are “making different choices” and are becoming “much more careful where they spend their money on.”
Van Keulen said the softer market has made execution even more critical and the company is focused on understanding consumer needs, supporting distributors and customers, and executing consistently across the business.
“What is really crucial in a market that is a bit under pressure is excellent execution. Knowing what your consumers want, knowing what your distributors and your customers want, and execute that on a daily basis with the maximum rigour. That is something that we do, and that we take pride of as well,” he said.
Van Keulen said the brewer remains committed to its long-term EverGreen 2030 strategy, which is centred on growth, productivity and building a future-fit organisation.
“We have a very clear path to growth for the future. One is on growth, second is on productivity, and third is on future-fitting. So, the drivers are clear. We know what we’re doing, and we know where we’re heading for,” he said.
