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.
US. Sierra Nevada considers plant site in Christiansburg area
The site is No. 2 on the company's list, behind one in Blount County, Tenn., about 90 miles south of Knoxville, said Bill Manley, communications director for the brewer. The site has a Christiansburg address, but Manley wasn't sure if it's in the town limits.
Sierra Nevada isn't fully committed to the expansion yet, Manley said, and will make a decision on whether to go forward -- and where -- within a month or so.
"The more we look," he said, "the more it makes sense."
Neither Beth Doughty of the Roanoke Regional Partnership nor Aric Bopp of the New River Valley Economic Development Alliance would comment on Sierra Nevada's search, citing policies against discussing economic development prospects.
The company began looking for an East Coast site several years ago and narrowed the list from several hundred east of the Mississippi. The Christiansburg site and the Tennessee site were "head and shoulders" above others looked at in terms of quality of life, Manley said.
The list of nuts-and-bolts issues the company is looking at -- good water, access to rail and shipping -- is actually shorter than its list of intangibles, like a nice community, low crime rate, good music scene and proximity to the outdoors.
Economic developers have called them a "bipolar" company, Manley said, because of the company's desire for an industrial site that also provides great quality of life.
Started in 1980 in Chico, Calif., the company remains 100 percent owned by its founder, Ken Grossman. It has grown by 10 percent annually in recent years, Manley said.
Sierra Nevada is now the second-largest craft brewery in the U.S., behind Boston Beer Co., makers of Sam Adams. It is the sixth-largest brewer overall, with distribution in all 50 states.
Rapid growth, combined with the cost and environ- mental impacts of shipping to all locations from one facility in Chico, Calif., drove the brewer to look for a place to expand.
"Shipping costs a fortune," Manley said. "Beer is heavy."
But the company's website expresses concerns about environmental issues associated with shipping.
The company primarily ships by truck, with some use of intermodal transport. Sierra Nevada has made environmental stewardship a company hallmark, most notably by supplying a large chunk of its own electricity via a solar array and fuel cells on the site of the Chico plant, the website says.
The new plant, which would include brewing and bottling facilities and a restaurant and brew pub, would employ about 100, from busboys to engineers, Manley said. Proximity to Virginia Tech is a plus, he said. The company often hires students from California State University at Chico for its plant.
The new brewery would produce up to 500,000 barrels of beer a year (a barrel is about 31 gallons), or roughly half what the Chico plant produces.
15 Jun. 2011