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.
Technology show drinktec is also a marketing platform
Networking in the Innovation Flow Lounge
Brand new at drinktec: The Innovation Flow Lounge, located at the West Entrance. This is a
place where marketing experts can come to talk to professionals from the technology and
research side – and vice versa. Organized here, under a different theme each day, are short
presentations, informal round-table talks and panel discussions with a presenter – and, of
course, there is plenty of time to unwind and chat with fellow professionals at the Beverage
World Bar after a busy day at the show. Making new contacts, discussing ideas and
strategies, meeting up with like-minded people from technology and marketing – all
of this is what you get at the Innovation Flow Lounge (see also Press Release No.
"What happens in Munich is truly unique"
Just walking round the twelve exhibition halls and looking at the exhibitors'
presentations is very inspiring, prompting many new ideas and thoughts. G?nther Nessel
Managing Director of taste! Food & Beverage Communication/Offenbach, for example, has
many answers to the question of just why drinktec should be of interest to a food agency:
"Well, first of all, it?s an opportunity to get a unique overview of a truly international sector. Of
course there are many other trade shows, again and again, and at different intervals, but
what happens at drinktec in Munich, on this longer cycle, is truly unique. As a marketing
professional with connections to these sectors, this event is a must. Here I can hone my own
knowledge and gather inspiration. And a walk round the show reveals lots of packaging ideas
I can apply in my own work, whether it be in the form of glass or PET containers, cans, or
whatever. Plus of course there are lots of things to learn about what?s happening in labeling
technology, seeing just what can be done and what?s in the pipeline. In the supporting
program you can find interesting forums with lectures and discussions, many featuring
leading representatives from the sector, from whom you most certainly can pick up some
useful hints and knowledge. Here and there you have the chance to engage in conversation
with marketing colleagues. It?s always exciting to see just who you meet there, and how easy
it is to start talking to them about business."
Packaging design follows trend research
What is critical in successful marketing today is to identify the diverse needs of the
customers and to incorporate the current key trends in the packaging design. A report
by the trend and future researchers Zukunftsinstitut of Kelkheim, for example,
highlights the customer?s desire to engage more closely with the producer. What he or
she expects is a real exchange, and to have the feeling that his or her needs are being
taken seriously. Future researcher Matthias Horx sees this as being not so much about
meeting a short-term need, but about making the customer feel better. The product
and its packaging design have therefore to appeal to the senses and the feelings, and
be associated with a positive message. Communicating a responsible use of
resources is another growing theme today, including on packaging. Demographic
changes also need to be taken into account: an ageing society, for example, calls for
more practical packaging with easily readable text. Gaining insight into current and
future trends is essential for the beverages industry and its suppliers, and drinktec
2013 is the ideal place to gear up for that future.
drinktec Forum: Packaging and marketing
Visitors to drinktec 2013 can find out more about the ideal symbiosis of packaging and
marketing on Thursday, September 19, in the drinktec Forum in Hall A2. Here the focus is
entirely on packaging and marketing. Jean Schrurs, consultant for packaging themes and
customized business concepts in the beverage industry, is chairing a session on innovative
ways to open up new markets via packaging diversity. In his lecture, Steve Lannon from
Miller Coors, will be talking about 'Brewers like packaging – a core business for innovation.
Beers differentiate through packaging'. Following this, the trends and their meaning for
beverages packaging will be spotlighted by Dominic Cakebread and Ulrich Eisenbl?tter from
Canadean, global market researchers in the beverage and food industry. Their lecture is
entitled: 'Global market zrends, Development & drivers in beverage packaging'. Another
marketing approach will be presented in the same place on Tuesday, September 17, in the
shape of the subject of 'audio branding'. Here the question is how sound concepts can be
used to draw consumers attention to products and to influence brands.
Digital meets packaging
QR codes are the latest trend tool in product marketing. Experts believe there is still much
potential to exploit here. The rapid rise in the use of smartphones is making things much
easier. But what people find when they make use of the QR code should not just be the
standard website of the manufacturer. It is critical to offer the consumer real added value,
for example, in the form of suitable uncomplicated offers with interactivity potential. With
today?s consumers looking for a closer dialog, there is tremendous potential here to tap into
– and labeling and packaging manufacturers can meet this need, as will be shown at
It?s all in the mix – 'multisensorics'
Successful packaging concepts – and marketing professionals know this very well – are a
blend of wide variety of components. There are virtually no limits when it comes to creative
and sophisticated decoration. A core function of packaging, however, is to engender in the
consumer a desire to buy, through a design that is tuned specifically to the target group and
the product. Of course, this is a highly complex undertaking, and one that requires great
creativity. A tour round the exhibition halls at drinktec 2013 will deliver lots of input on how
to achieve this. A whole host of exhibitors will be demonstrating just what is possible using
the latest technologies. An optimum packaging solution should appeal to the consumer
through as many of his senses as possible: sight, hearing, smell, taste and touch.
Innovative ways to do this include using gold foil to signify luxury, simulated water drops as
a promise of freshness, and colors which the customer can rub to release the scent.
Packaging that takes its cue from the product itself is also very much in vogue – the way it
feels is a highly effective communication tool in packaging marketing.
Social media – what are the customers saying?
Companies these days will increasingly need to keep track of discussions on social media
about their products. Here the consumers say directly and honestly just what they are
thinking. By analyzing these comments, producers can gain valuable insights into how to
make improvements to their products. The next step would then be to actively engage in that
communication, by building up a direct dialog with customers. Taking part in drinktec 2013
will be professional suppliers who can help in this area. And, anyone wanting to engage in
discussion on this and other subjects ahead of the show, can do just that on the Facebook
page of drinktec.
Packaging, and lots more…
Packaging and labeling are not the only areas in which visitors to drinktec 2013 will be able
to find optimum solutions and exciting new ideas. An absolute 'must' for marketing experts is
also Hall B1, an 11,000 m? showcase of raw materials, agents and additives. The highlight
here is the 'Special Area New Beverage Concepts', in which new sweetening, coloring and
aroma strategies are presented and explained by the corresponding manufacturers. Halls A1
(restaurant and catering equipment and advertising tools of all kinds) and A2 (packaging
technology, 'World of Labels') will also be of great interest to trade visitors from the areas of
marketing and communication.
Further information: www.drinktec.com
12 Apr. 2013