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.
Heineken USA Enhances Retail Partner Support, Innovation Through New Hires
Monique Acevedo was appointed as vice president of innovation, effective September 28. Acevedo will act as a member of the marketing leadership team and report directly to Lesya Lesyj, chief marketing officer.
Nick Lake, senior director, category management
In his role, Lake will be responsible for directing all Heineken USA category management activity, leading 16 category managers focused on national and regional off-premise and on-premise chain accounts. He will also lead Heineken USA's drive to provide thought leadership and actionable insights to retailers that will enable them to grow the Heineken USA portfolio, as well as the entire upscale segment of the beer category.
“This hire supports our commitment to making significant investments that will help Heineken USA develop a leading-edge shopper insight capability and upgrade our customer and category management processes,” said Ward. “Nick‘s deep understanding of category dynamics, outstanding track record of identifying growth opportunities and widespread industry respect make him the perfect candidate for this position. We are confident that he will enhance our ability to help our retailer customers drive profitable growth of upscale beers.”
Most recently, Lake served as vice president group client director for the beverage alcohol industry for Nielsen. There, he was responsible for providing insights across the Nielsen Beverage Alcohol client base for the eastern region and business development across the alcohol category. While at Nielsen, he also played an instrumental role in the design and execution of the industry’s first comprehensive sales tracking service for the convenience channel.
“After spending years studying and analyzing alcohol beverage trends on a broad scale, I am thrilled at the opportunity to put my insights into action to help one of the most iconic and well respected organizations in the industry better serve their partners, and in turn, drive growth,” said Lake. “It is apparent that Heineken USA sees retailers as true partners in this business, and I look forward to identifying opportunities and implementing strategies that will help both parties reach their true potential.”
Before Nielsen, Lake spent 11 years with Proctor & Gamble in a variety of sales and category management positions. Lake has spoken at leading industry conferences, including those organized by Beer Marketers Insights, Beer Business Daily Beer Summit and National Beer Wholesalers Association. He has also contributed articles published in Progressive Grocer and Convenience Store News, and is a regular contributor to many trade and national publications.
Lake holds a Bachelor of Science in Business Administration, as well as a Masters in Business Administration from the University of Minnesota. He, his wife and his three children will reside in Atlanta, GA.
Monique Acevedo, vice president of innovation
Heineken USA created a new role, vice president, innovation to support efforts to expand its innovation capabilities. Acevedo will lead innovation for all Heineken USA brands and manage its innovation team. The innovation team will be responsible for leveraging insights that are consistent with the organization's strategic vision to develop an innovation strategy as well as leading innovation planning and all related projects.
“We have identified innovation as a major strategic growth opportunity area for our business,” said Lesyj. “Monique brings a wealth of experience, creativity and big thinking to the organization, and having her in this role will ensure that developing innovative products and marketing techniques remains a priority moving forward.”
Acevedo joins Heineken USA from Diageo where she most recently served as director of innovation. In that role, she was responsible for leading the innovation strategy and business plan for a $50mm net sales value pipeline of highly differentiated new products from concept through to launch, including Crown Royal Black and Bulleit Rye Whiskey. Prior to her role at Diageo, Acevedo spent eight years at The Coca-Cola Company in various roles. There, she played an instrumental role in the development and launch of Dasani Water, Sprite Zero and Vanilla Coke.
Acevedo holds a Bachelor of Arts degree from Boston College and a Master of Business Administration degree from The University of Texas. Monique and her family reside in New York.
About Heineken USA
Heineken USA Inc., the nation's premier beer importer, is a subsidiary of Heineken International BV, which is the world's most international brewer. European brands imported into the U.S. include Heineken Lager, the world's most international beer brand; Heineken Light; Amstel Light, a leading imported light beer brand; Newcastle Brown Ale, the leading imported ale in the United States; and Buckler non-alcoholic brew. Heineken USA is also the exclusive USA importer for the Tecate, Tecate Light, Dos Equis, Sol, Carta Blanca and Bohemia brands from Mexico. For a safe ride home, download the Heineken USA-sponsored Taxi Magic™ application from your smartphone at taximagic.heineken.com. Please visit
27 Sep. 2011