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 opens new ?3 million research brewery, putting UK at heart of global brewing research
Professor Katherine Smart, the University of Nottingham SABMiller Chair of Brewing Science, will also be based at the facility, where she and her team will focus on process innovation and novel uses of brewing by-products.
Graham Mackay, SABMiller CEO, said: "Whilst the recession is leading some businesses to withdraw funding into research and development, our belief is that it is more critical than ever to invest. Significant improvements in water and energy efficiency will only be achieved if we continue to commit resource and capital to driving the necessary degree of change."
In 2008 SABMiller set an industry leading target to reduce its water use per litre of beer by 25% by 2015; and in 2009 announced that by 2020 it will reduce fossil fuel emissions from its beers by 50% per litre of beer produced.
Commenting on the new brewing research facility, SABMiller's Group Chief Brewer, Professor Barry Axcell, explains: "The brewing process has remained largely unchanged for many years and, compared to wine, spirits and cider, has been woefully slow to innovate. The new brewing research facility has the potential to drive a quantum leap in technological and process innovation to deliver genuine competitive advantage for SABMiller."
SABMiller in the UK
SABMiller, SABMiller's UK operations, Miller Brands announced today that lager volumes for the year to 31 March 2011 rose by 23%. All brands in the UK portfolio recorded double digit growth, with Peroni Nastro Azzurro continuing its strong performance, growing volume 21% - in the context of a premium lager sector which grew only marginally.
Launched in 2005 Miller Brands has responsibility for the development of SABMiller's international premium brands across the UK and Ireland; these include Peroni Nastro Azzurro, Pilsner Urquell and Miller Genuine Draft.
The research facility will be formally opened by SABMiller CEO, Graham Mackay, in a ceremony in June.
23 May. 2011