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.
Beer market of Vietnam: “Young tiger”Vietnam is one of the few big beer markets that continue to grow steadily. The beer popularity results from its low price, street consumption culture, and social motives. The outlooks of beer market as well as the Vietnamese economy inspire optimism, though the country is heavily dependent on export of goods. The state regulation can be called liberal, but the key risk for brewers is harbored in intensive rising of excise. Within TOP-4 there are two leaders, Sabeco and Heineken that grow at the fastest rates. The first company effectively employs its capacities, the second one focuses on marketing technologies. Almost 80% of the market belongs to century-old brands, yet the middle class and the youth are shifting their interest toward international premium that is growing taking share from the mainstream.
SABMiller denies tax wrongdoings in Africa
SABMiller has rejected claims of tax avoidance in Africa as South Africa, Ghana, Zambia, Tanzania and Mauritius decided to work together to inspect the brewer's tax affairs after a damning report.
The African Tax Administrative Forum, led by South Africa, involved the five countries joining to examine claims by charity ActionAid International that the world’s second biggest brewer uses tax havens to avoid paying tax.
SABMiller, based in London, brews Castle, Grolsch and Peroni beers but denies any wrongdoing indicated in the report, which was released last November. The brewer said it was a major direct investor, employer and taxpayer in Africa and in its financial year to ending in March 2010 had invested more than $500 million in Africa on new breweries and acquisitions.
"We entirely refute ActionAid's allegations that we do not pay our fair share of tax in Africa and would add that the report contains a number of flawed and inaccurate assumptions," said an SABMiller spokesman.
ActionAid said tax authorities will work together on the tax issues although any action would be taken by the individual countries.
"We worked closely with former tax inspector from the UK, Richard Brooks, and all our work is based on the company's accounts. Our assessment is that the transfer pricing payments are a form of tax avoidance," said ActionAid's tax expert Martin Hearson.
“This unprecedented initiative marks a new era in which rampant tax avoidance by multinationals in developing countries will come under much closer scrutiny, both from tax authorities and from campaigners.
“Tax avoidance by multinationals costs billions in lost revenues, which could transform healthcare and education services for millions of people,” he added.
10 May. 2011