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.
South Australian manufacturer Coopers Brewery plans $20m expansion
In the six months to December 31, 2012, beer sales jumped 13.6 per cent compared with the previous corresponding period.
Coopers managing director Tim Cooper said that stocks of Pale Ale were dangerously low during the festive season.
The brewery intends to double the size of its existing 250sq m Regency Park lager cellar, along with installing a second bottling line and two additional fermenters, to meet growing demand.
Dr Cooper said the new line would be dedicated to bottling Coopers' traditional products, including Pale Ale, Sparkling Ale, Mild Ale and Stout, at 1200 bottles a minute.
The company would also continue to produce Celebration Ale, launched in the company's 150th anniversary year, which has experienced sound sales.
The old line would then be used to bottle the lager range Coopers' has negotiated to produce through Sapporo and Carlsberg.
Dr Cooper said the production of those beers - after a deal was negotiated with Sapporo starting in September 2011 and with Carlsberg from July last year - accounted for nearly half of the company's increased beer sales.
"It is very gratifying, considering the whole beer market is going backwards and has been for the past three calendar years now, declining about 4 per cent each calendar year in Australia," he said.
In the 12 months to June 30, 2012, Coopers turnover rose 7.6 per cent to a record $186.3 million, while after-tax profit reached a record $27.2 million, up 18 per cent on 2010-2011.
Dr Cooper said the cellar extension and installing two additional fermenters, taking the total number at the brewery to 24, would cost about $3.5 million.
Negotiations have started with specialist equipment suppliers for the bottling line and contracts were expected to be signed early this year.
15 Jan. 2013