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.
UK. Molson Coors launches 16 cask ales
The launch comes hot on the heels of the global brewer's purchase of Cornish brewer Sharp's for ?20m global brewer's purchase of Cornish brewer Sharp's for ?20m last week.
The new range will be available to its Independent On-Trade customers and although not directly linked to the purchase of Sharps', it is a further indication of how it views the importance of cask ale to the UK pub market, which now attracts 8.6m drinkers and 15.2% of on-trade volume.
The range of 16 own brand guest ales will include Worthington’s seasonal brands — Spring Shield, Summer Shield, Autumn Shield and Winter Shield — as well as Mitchells & Butlers flavoured ales, Stones sports led occasion ales and Hancock’s humorous ales.
Worthington’s seasonal brands are brewed by Master Brewer Steve Wellington at the William Worthington’s Brewery, which launched in December 2010 at the National Brewery Centre in Burton-on-Trent.
“Cask ale has proved to be a star performer in a tough market and is the perfect addition for any business looking to increase profitability and footfall," said Simon Cox, director of sales for the Independent On-Trade at Molson Coors.
"Its exclusivity within pubs, full bodied taste and unique heritage has created an offering that continues to outperform the rest of the beer market.
"Our new range of own brand guest ales have been designed to reflect the expanding diversity, experimentation and creativity within the cask sector.”
The full list of seasonal beers is:
• Stones Nice Try & M&B Blueberry — on sale until 26 March
• Stones Hedge Hunter & Worthington's Spring Shield — 17 March to 16 April
• Hancock’s Lamb Chop — 14 April to 21 May
• M&B Strawberry & Stones Back Hander — 19 May to 25 June
• Worthington's Summer Shield & Stones In the Bunker — 23 June to 23 July
• Hancock’s Lawn Mower — 21 July to 20 August
• Hancock’s Penned In & M&B Plum — 18 August to 24 September
• Worthington's Autumn Shield & Hancock’s Counting Sheep — 22 September to 22 October
• M&B Chocolate Orange & Worthington's Winter Shield — 20 October to 31 December
8 Feb. 2011