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.
Philippines’ San Miguel eyes share offer for brewery
* Plans to put up breweries in Laos, Cambodia
* To open 4 additional bottling plants in Philippines (Recasts, adds comments after stockholders' meeting)
MANILA, May 31 (Reuters) - Philippine conglomerate San Miguel Corp said on Tuesday it was talking to Japanese partner Kirin Holdings about a secondary share offer for their San Miguel Brewery unit this year to increase its public float.
San Miguel Brewery is the Philippines' most valuable listed firm. San Miguel Corp owns 51 percent and Kirin owns 48.4 percent, leaving a free float of 0.6 percent, according to stock exchange data.
The Philippine Stock Exchange has ordered listed firms to increase public ownership to 10 percent.
"We will do it just to comply with the PSE requirement," San Miguel president Ramon Ang told reporters before the brewer's annual shareholders' meeting. He said the share offer was planned for this year, but did not indicate a size.
Speaking after the meeting, Ang said San Miguel was in talks with Kirin about the share sale plan.
"There is a possibility that we will put together our shares," he said.
Ang also said San Miguel Brewery was planning to build breweries in Laos and Cambodia, each with a capacity of about 500,000 hectolitres, as it seeks new markets.
San Miguel Brewery, which makes nine out of every 10 beers sold in the Philippines, also plans to put up four bottling plants in its home market at a cost about $100 million, as it seeks to expand bottling capacity by around 30 percent.
The additional plants, each with a capacity of 30 million cases a year, will help reduce logistics cost, Ang said.
Earlier this month, he said San Miguel Corp was considering selling stakes in its power and food subsidiaries as it seeks to raise more funds to invest in new ventures, and to meet the minimum public float requirement. [ID:nL3E7GD1K0]
The conglomerate recently sold $900 million worth of shares and bonds, partly to lift its public float.[ID:nSGE744008]
San Miguel has dominated the local food and beverage industry for decades, but recently has added power, mining, telecommunications, oil refining and infrastructure to its stable of businesses. (Reporting by Erik dela Cruz; Editing by Rosemarie Francisco)
1 Jun. 2011