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.
Brewers Association: Craft Brewing Volume Hops 13 Percent
In 2011, craft brewers represented 5.68 percent of volume of the U.S. beer market, up from 4.97 in 2010, with production reaching 11,468,152 barrels. Additionally, the BA estimates the actual dollar sales figure from craft brewers in 2011 was $8.7 billion, up from $7.6 billion in 2010. Increased retails sales represented 9.1 percent of the $95.5 billion dollar U.S. beer market3.
“While the overall beer market experienced a 1.32 percent volume decrease in 2011, craft brewing saw significant growth, surpassing five percent total market volume share for the first time,” said Paul Gatza, director, Brewers Association. “It’s becoming increasingly clear that with the variety of styles and flavors to choose from, Americans are developing a strong taste for high-quality, small-batch beer from independent brewers.”
With 250 brewery openings and only 37 closings, the BA also reported that 1,989 breweries were operating in the U.S. in 2011—an 11 percent increase from the previous year. Small brewers employed approximately 103,585 workers in the U.S in 2011.
“We saw rapid growth in brewery openings last year, particularly with microbrewery start-ups, and these numbers are poised to rise even more in 2012,” added Gatza. “In February 2012, we already topped 2,000 operating breweries—a truly remarkable milestone. We look forward to even more success and the continued expansion of the craft beer market.”
Note: Numbers are preliminary. The Association will publish its full 2011 industry analysis in the May/June 2012 issue of The New Brewer, highlighting regional trends and sales by individual breweries. Additionally, a more extensive analysis will be released during the Craft Brewers Conference in San Diego, Calif., from May 2-5.
1 The definition of a craft brewer as stated by the Brewers Association: An American craft brewer is small, independent, and traditional. Small: Annual production of beer less than 6 million barrels. Beer production is attributed to a brewer according to the rules of alternating proprietorships. Flavored malt beverages are not considered beer for purposes of this definition. Independent: Less than 25 percent of the craft brewery is owned or controlled (or equivalent economic interest) by an alcoholic beverage industry member who is not themselves a craft brewer. Traditional: A brewer who has either an all malt flagship (the beer which represents the greatest volume among that brewers brands) or has at least 50 percent of its volume in either all malt beers or in beers which use adjuncts to enhance rather than lighten flavor.
2 Volume by craft brewers represent total taxable production.
3 The Brewers Association does not include flavored malt beverages in its beer data set.
28 Mar. 2012