Global hop marketA local alternative to mass beer suggested by independent brewers has been successful and is now altering the global market. Beer is becoming more diversified, so transnational companies have to accept the new game rules and to switch focus to young and fast growing markets. All these processes increased the demand for aroma and bitter hop as well as their acreage expansion on two continents. However now there appeared a downward trend of alcohol consumption in the world, so even special sorts can soon turn to be sufficient. In this connection the dynamic American hop market is already facing some problems. EU hop producers have become more cautious, they are not racing to exceed the demand and look forward with more confidence, judging by the contract terms.
Hop Market in RussiaGermany still dominates the Russian market, yet over the recent two years one has been able observe a continuous success of Czech hop suppliers. Their expansion and growing popularity of hops from the United States became the drivers of supplies growth in 2016 despite the preceding modest harvest crop in the EU, as well as the factor of relative stability in 2017. In this connection, in 2017, the ratio of the varieties continued to shift towards the aroma ones, and the supplies of Magnum hop and other alpha varieties were reduced. However, the import of bitter hop pellets is partially replaced by extracts, especially from the major beer manufacturers. Total volumes of alpha acid supplies, according to our estimation, decreased by approximately 5% and returned to the level of 2015. Barth Haas Group continues dominating the hop products market; HVG also increased its weight. At the same time, Morris Hanbury significantly reduced the supplies in 2017.
10+1 trends of Russian beer market 2015-2017Despite of the moderately negative prognoses for 2017, the beer market can be stabilized soon. Yet the years of the negative dynamics have resulted in marketing being limited just to “optimization” and the art of balancing between price and volumes. Bigger supermarkets share means stronger trade marketing. These processes are connected to the majority of the described trends. At the same time, the federal brands inflation leads to searching for new tastes, sales channels and contact formats that expand the product range and diversify the beer market, but do not imply a substantial volume increase. Let us enumerate and further discuss the ten trends of the beer market we can see in 2015-2017 as well as the major event of 2017.
Beer market of Ukraine 2017In the first half of 2017, the Ukrainian beer market goes on decreasing slowly. Yet, the companies manage to compensate their lost volumes by raising prices and improving the sales structures. This results in the mid price market segment reduction while the sales of premium brands are rising. These processes are connected to position strengthening of companies Carlsberg Group and Oasis and the market share reduction of Obolon. Most of the novelties by the market leaders belong to craft or hard lemon categories.
Beer market of Russia 2016: PET goes to draftThe beer market of Russia was warmed up by the hot summer, but the preparation for large volume PET prohibition has already impacted it negatively. The year was successful for Efes, MBC and regional producers; Carlsberg’s positions were virtually stable but AB InBev and Heineken lost a part of market share having focused on the sales profitability. The dynamics of big brands was determined by how much the companies were willing to keep the prices down or by their promotional activity. In this context the economy segment of the beer market and sales of inexpensive draft beer were increasing. The premium segment started shrinking due to license brands migrating to the mainstream segment.
US. Heineken Names Lesya Lysyj New Chief Marketing Officer
Heineken USA today announced the appointment of Lesya Lysyj as the company’s new chief marketing officer, effective February 28. She will join the company’s management team and will report to president and chief executive officer Dolf van den Brink.
“I look forward to building on an already strong marketing foundation with new, innovative ideas that will resonate with loyal fans and attract new consumers to Heineken USA’s already iconic brands”.
Lysyj brings more than 20 years of marketing consumer packaged goods, image and premium brands, much of which was spent as a CMO managing a broad portfolio of products.
In her most recent role with Kraft Food’s Confectionery division in the US, which generated $1.5B in revenue, Lysyj managed all aspects of marketing in four confectionery categories for brands including Trident, Halls and Toblerone. There, she implemented activations that helped Stride become the fastest growing gum in its category and pushed Trident to the #1 position. She also had significant impact on rejuvenating traditional consumer brands, returning Dentyne to growth after more than two years of share decline and implementing a new brand strategy for Halls that reversed four years of consecutive share decline.
Lysyj also formed and led Kraft’s Confectionery Leadership Team, whose purpose was to lead the organization in delivering top and bottom line commitments and effectively transition the Cadbury team into the Kraft organization. On the team, she acted as senior decision maker on inventory management, innovation stage gates, sales priorities and more.
Prior to working at Kraft, Lysyj served in various marketing, commercial and new product development roles for companies such as Cadbury Schweppes and Mott’s.
In her new role, Lysyj will be responsible for developing long-term marketing strategies for the Heineken USA beer portfolio; overseeing Heineken USA’s consumer centric marketing activities and social media initiatives and ensuring that the company effectively engages with its adult consumers at all touch points.
“Along with her extensive experience in multi-brand consumer marketing and strong track record of reinvigorating brands in hard-to-tap markets, she has that intangible – the creative aptitude and competitive spark that will help our brands stand out in this competitive space,” said Dolf van den Brink, president and chief executive officer, Heineken USA. “She also has a deep understanding of how the marketing function helps drive overall business strategy and we are confident her presence will be felt throughout the organization, driving us all towards our ambition of becoming the leading upscale beer company in the US.”
“I look forward to building on an already strong marketing foundation with new, innovative ideas that will resonate with loyal fans and attract new consumers to Heineken USA’s already iconic brands,” said Lysyj. “The leadership is serious about achieving ambitious goals set for the future of this company, and I’m honored to be a part of the team that will drive Heineken USA to reach its full potential, which I know is substantial.”
Lysyj, a native Canadian, holds a Bachelor of Arts from the University of Western Ontario and a Masters in Business Administration from the University of Toronto. She lives in New York City with her husband and two children. She serves as an executive board member of the National Confectionery Association, and has volunteered her time with organizations such as Women Unlimited and Junior Achievement.
About Heineken USA
Heineken USA Inc., the nation's premier beer importer, is a subsidiary of Heineken International BV, which is the world's most international brewer. Brands imported into the U.S. include: Heineken Lager, the world's most international beer brand; Heineken Light; Amstel Light, a leading imported light beer brand; Newcastle Brown Ale, the leading imported ale in the United States; and Buckler non-alcoholic brew. Heineken USA is also the exclusive USA importer for the Tecate, Tecate Light, Dos Equis, Sol, Carta Blanca and Bohemia brands from FEMSA Cerveza of Mexico. For a safe ride home, download the Heineken USA-sponsored Taxi Magic™ application from your smartphone.
7 Feb. 2011