Global hop marketA local alternative to mass beer suggested by independent brewers has been successful and is now altering the global market. Beer is becoming more diversified, so transnational companies have to accept the new game rules and to switch focus to young and fast growing markets. All these processes increased the demand for aroma and bitter hop as well as their acreage expansion on two continents. However now there appeared a downward trend of alcohol consumption in the world, so even special sorts can soon turn to be sufficient. In this connection the dynamic American hop market is already facing some problems. EU hop producers have become more cautious, they are not racing to exceed the demand and look forward with more confidence, judging by the contract terms.
Hop Market in RussiaGermany still dominates the Russian market, yet over the recent two years one has been able observe a continuous success of Czech hop suppliers. Their expansion and growing popularity of hops from the United States became the drivers of supplies growth in 2016 despite the preceding modest harvest crop in the EU, as well as the factor of relative stability in 2017. In this connection, in 2017, the ratio of the varieties continued to shift towards the aroma ones, and the supplies of Magnum hop and other alpha varieties were reduced. However, the import of bitter hop pellets is partially replaced by extracts, especially from the major beer manufacturers. Total volumes of alpha acid supplies, according to our estimation, decreased by approximately 5% and returned to the level of 2015. Barth Haas Group continues dominating the hop products market; HVG also increased its weight. At the same time, Morris Hanbury significantly reduced the supplies in 2017.
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.
Carlsberg Group presented the main trophy of UEFA EURO 2012™ in Ukraine
On Wednesday, July 20, a press conference was held on the territory of Kiev brewery "Slavutich". It was devoted to the status of preparation for the Championship of one of the official sponsors — the company Carlsberg. The event presented the main trophy of the tournament — UEFA EURO 2012™ Cup which was exclusively delivered to Ukraine at the request of the sponsoring company.
European Football Championship is the most large-scale project not only for Ukraine but also for "Slavutich", Carlsberg Group. The company participates in the project of such magnitude for the first time. UEFA, administrations of host cities, airports, stadiums and other co-sponsors, as well as tens of thousands shops and hundreds of thousands people are involved in the organization. The main efforts of the company are directed to interact with city administrations for organizing official fan zones which will be organized in each host city, with the stadium administrations for planning logistics during the event, with UEFA.
Planning a marketing campaign of the brand Carlsberg is an important direction of the company's preparation. The joint logo of EURO 2012™ and Carlsberg is already put onto the secondary packaging of the products and will appear on the primary packaging from September 2011 — on cans and bottles. Increasing the sales of the brand Carlsberg by 50% according to the results of EURO 2012 is among the aims of "Slavutich".
It should be noted that the company has already launched some actions within the promotional programs for its customers where they can win tickets to the matches of EURO 2012™. A joint campaign with the network of supermarkets "Silpo" is among them.
The company puts considerable efforts into the development of such channels as HoReCa (hotels, restaurants, cafes) and RKA (key retail channel). After all, they are important not only in terms of communication with customers and visualization, but also in terms of sales. Culture of beer consumption in the European countries is developed much higher than in Ukraine. People in "Slavutich", Carlsberg Group are confident that the championship is a great opportunity to learn from the European traditions of drinking the foam brew.
The company will be able to implement such a large-scale project successfully only with full support of all its employees and partners. Therefore, programs have been developed which aim to inspire the personnel and to create that holiday spirit and opportunities for realization within the company which EURO has.
At the moment the working group of the project EURO 2012™ in Ukraine makes up more than 30 people. The project involves workers of various departments — marketing, sales, purchasing, finance, HR, PR and others.
The company's expectations with respect to the tournament in Eastern Europe are high — it is predicted in Carlsberg Group that attendance of the Championship will be more than 700 thousand people in Ukraine.
Yaroslav Koval, Vice-president for marketing at "Slavutich", Carlsberg Group: "EURO project for our company is very large-scale. On the one hand, it is a challenge, but on the other — a big opportunity. We hope that the European Championship will help us to strengthen our positions in the beer market of Ukraine, as well as to increase sales of the brand Carlsberg. Moreover we pay great attention to our employees and partners within this project — we want to encourage the whole company by this event."
David Taylor, Executive Director of UEFA Events S.A.: "Carlsberg is a valuable and reliable partner of UEFA for more than two decades. Each new EURO Championship allows our partnership to develop, as both parties strive to improve the level of cooperation in order to encourage millions of football fans around the world."
26 Jul. 2011