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.
AB InBev, others mull bid for StarBev – sources
A deal could be valued at roughly $3 billion, The Wall Street Journal said in its online edition.
CVC Capital Partners has owned the brewer since buying it from AB InBev in December 2009. CVC declined to comment.
This is an asset for sale in a rapidly consolidating industry where there are few, one source said. "CVC wants to sell," said the source, who declined to be named. The source was not authorized to speak to the media.
Other brewers expected to weigh an offer for the business include SABMiller PLC, Carlsberg A/S and Heineken NV, as well as Molson Coors Brewing Co of the United States and Japan's Asahi, and other private-equity firms, The Wall Street Journal said.
A second source, who also declined to be named, said some potential bidders like SABMiller and Heineken may face antitrust issues if they pursue StarBev.
That source also questioned whether ABInBev would want to acquire the business again after shedding it in 2009.
Molson Coors and SABMiller declined to comment. Asahi, SABMiller, Carlsberg, Heineken and ABInBev could not be immediately reached for comment. StarBev also was not immediately available for comment.
Meanwhile, ABInBev and Tsingtao Brewery are among several companies weighing an offer for the brewery operations of China's Kingway Brewery Holdings Ltd, the newspaper said.
Tsingtao and Kingway were not immediately available for comment.
23 Feb. 2012