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.
Analysis of beer market in China (on Russian)
Beer market of Ukraine: big three losing weightIn 2016, fast increase of excises and resulting price spike stood in the way of the beer market stabilization. Most of competition (as well as mass sorts) moved to the economy segment of the market. The biggest losses were incurred by the leading three, especially Obolon, which again experienced pressure after reallocation of Efes market share. However, one should already speak of TOP-4. Group Oasis CIS (PPB) became a strong player and competitor to transnational companies. Besides the net sales of many regional medium breweries look rather good and 16-fold cost reduction wholesale trade license for craft brewers opens up a possibility of rapid growth in 2017.
Australia. Beer market continues to shrink
Any weakness in the premium beer category could prove damaging for the nation's leading brewers, Foster's and Lion Nathan, as well as Foster's suitor SABMiller and Coca-Cola Amatil.
The latter have been heavily chasing the premium market through their local brewing joint venture, Pacific Beverages.
Advertisement: Story continues below Traditional beers such as VB and Tooheys have suffered a fall in sales volumes over the past few years, while premium beers like Coopers, Peroni and Blue Tongue have bucked the trend with strong growth.
Now that growth could be in doubt, raising concerns that premium beer has reached its zenith as a ''hot'' beverage category.
The 2011 Wider Beverage Report found that, for the first time since 2006, total beverage retail sales values fell last year. Total beverage - alcoholic and non-alcoholic - volumes also fell over the past year.
Liz Watkinson, director for Nielsen's liquor services, said packaged beer had been a key component in the decline. ''It represents the largest beverage segment and accounts for nearly one dollar in every four spent in the beverage category,'' she said. ''This is the first time we've seen the segment decline in over four years, as the traditional low-carb and premium beer growth engines no longer appear to be fuelling the category.''
The bleak outlook for packaged beer was reinforced this year by the Foster's chief executive, John Pollaers, who said at the group's half-year result that beer consumption had fallen 7 per cent in the first half. It is expected to fall another 3-4 per cent in the June half and not to return to historic trends of 0.5-0.7 per cent growth for some time.
Edward Butler, an IBISWorld analyst, said premium beer was a relatively new entrant to the market and its growth originally was about ''fulfilling a niche that didn't exist before it popped up''.
''What we are seeing now is that once premium beer has hit that natural [market share] … growth was inevitably going to slow and that's happening now,'' Mr Butler said.
''Overall beer consumption in Australia is gradually dropping for a variety of reasons. Premium beer has hit its equilibrium and now it's going to follow the same trend as [traditional] beer consumption.''
6 Jul. 2011