Chilled beer access puts United Breweries' growth on tap in Tier-II towns

India's largest beer maker will expand its visi-cooler network, add new capacity and roll out product innovations to drive accessibility and category growth

India’s largest beer maker, United Breweries (UBL), plans to increase visi-cooler (visibility cooler) deployment by nearly 50 per cent over the next year to improve beer accessibility and drive consumption.

 

Cold-chain expansion remains a key growth lever for UBL. The company has already deployed close to 40,000 visi-coolers. These are glass-door refrigerators used to chill beverages, dairy, and other food products in retail outlets.

 

“Beer consumption drops sharply where consumers do not have access to cold beer, particularly in Tier-II and Tier-III towns. Visi-coolers directly drive category growth and market share,” Vivek Gupta, chief executive officer, UBL, told Business Standard. He added that the company is also investing in energy-efficient, low-power coolers.

 

UBL is expanding capacity to meet rising demand. Two new canning lines in Telangana and Maharashtra are set to become operational within six months, while the company’s greenfield brewery in Uttar Pradesh remains on track to come online within 18 months.

 

While beer demand slowed in the second half of 2025 due to heavy rains and affordability pressures, Gupta remains optimistic. “With innovation, improved availability, and supportive taxation, we expect the beer category to rebound to 5–6 per cent growth in 2026. At UBL, we expect to continue to outpace the market,” he said.

 

The company has rolled out Kingfisher Smooth, a new strong beer variant aimed at tapping evolving consumer preferences and driving category growth.

 

Calling Smooth a “game-changing” rollout, Gupta said the product fills a clear gap in the market. “Consumers were looking for a strong beer that is smoother, less bitter, more sessionable, and without a heavy aftertaste. Smooth has been designed precisely for this preference,” he said.

 

Kingfisher Smooth will be available across leading retail outlets in Rajasthan and priced at ₹100 for a 330-millilitre (ml) bottle, ₹145 for a 500-ml can, and ₹185 for a 650-ml bottle.

 

The rollout has begun in Rajasthan. Under a phased expansion strategy, Karnataka is expected to follow, with more states to be added based on early response. Together, Rajasthan and Karnataka account for around 20 per cent of UBL’s business.

 

Kingfisher, UBL’s flagship brand, remains central to the company’s growth strategy. Gupta said the new launch is expected to attract younger legal-age drinkers and re-engage lapsed consumers who may have found traditional strong beers too harsh. 

Growth plans

• Two canning lines in Telangana and Maharashtra to be operational in six months
• Greenfield brewery in UP remains on track to come online within 18 months
• UBL expects beer category to rebound to 5–6 per cent growth in 2026
• Firm has rolled out Kingfisher Smooth, a new strong beer variant