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.
BrauBeviale 2014: Good conversations. Good business.
Young team skilfully puts the exhibition in the limelight
On reaching the mid fifties there are just two possibilities: the (admittedly late) midlife crisis or a powerful restart, cleverly underlining one’s own strengths with a fresh outfit and charmingly convincing with experience and unexpected ideas. “BrauBeviale (*1957) has decided,” assures Andrea Kalrait, the new Director Exhibitions. “We have thoroughly revised the exhibition concept and the supporting programme. We are, of course, relying on BrauBeviale’s recognized expertise as the world’s most important capital goods exhibition for beverage production in 2014 – plus a variety of new features.” The first of these is obvious: in smart natural shades of green, the exhibition in N?rnberg from 11–13 November convinces the approx. 33,000 visitors with money to invest with its comprehensive spectrum of products from some 1,300 exhibitors of raw materials, technologies, logistics and marketing ideas.
But just a new colour concept is definitely not enough for the Director Exhibitions, who although new in this function has been closely associated with BrauBeviale professionally for almost two decades, and her young team. “For us and our customers, BrauBeviale is a kind of ‘regular meeting for the sector’ that we look forward to. Friends and business partners meet on equal terms in a pleasant atmosphere to exchange ideas, discuss matters and perhaps jointly draw up initial approaches to solutions. These good conversations are followed by good business,” says Andrea Kalrait. “A look at the ‘inner values’ was naturally more important than the visual appearance. We have completely revised the nomenclature, supplemented it in parts and consistently based it on the process chain in beverage production. This is also reflected by the allocation of the nine halls. BrauBeviale remains compact – an exhibition of short distances.”
The exhibitors: world market leaders and newcomers welcomeThe exhibitors in 2012 – including world-renowned regulars as well as start-ups – came from 50 nations, headed by companies from Germany (over 700), Italy, Great Britain, the Czech Republic, Austria, the Netherlands, Switzerland and Belgium. They all appreciate BrauBeviale’s optimum cost-benefit ratio: the concise opening time of only three days keeps the cost within limits. Attractive starter prices for stand spaces up to 36 m? ensure successful exhibiting at manageable cost particularly for small and medium-size firms.
97 % of the exhibitors (45 % international) reached their most important target groups at BrauBeviale 2012 and 92 % rated their overall success at the exhibition favourably, according to the results of a survey by an independent institute. To make sure this continues in 2014 and beyond, not only the price structure has been simplified. Clearer and better arranged is the motto, which also applies to the reorganization of the product spectrum along the beverage production process chain:
Raw materials and drinks as raw materials
Machinery and installations for production, filling and packaging beverages
Packaging materials and supplies, packaging ancillaries and closure systems
Automation and IT
Operating and laboratory equipment, process and auxiliary materials, beer refinement
Installations for energy, compressed air/gases, industrial safety, environmental protection
Vehicles, loading equipment, storage systems and transport equipment
Marketing and catering equipment
Services, institutes, research, media
The supporting programme:
added value + emotional experienceThe trend theme at BrauBeviale 2014 is the culture of craft brewing. Why? Because beer is at home here. Because the origins of precisely this creative beer culture that ferment in the brewing vats of small and medium-size breweries subsequently inspire craft brewers in the USA and worldwide to experiment and produce unusual beer creations. The driving force behind the trend theme is naturally the European Beer Star Award, which has had its exhibition home at BrauBeviale since 2004. The European Beer Star launched jointly by Private Brauereien Bayern (Bavarian Association of Private Breweries), the honorary sponsor of the exhibition, and the German and European federation has developed into Europe’s biggest beer competition. Over 1,500 craft beers from all over the world faced the strict judging of the jury in 2013. Visitors can traditionally try the winning gold medal beers on the first day of the exhibition and choose their favourite beer: the Consumers’ Favourite 2014 in gold, silver and bronze.
To make sure the brewers don’t run out of good ideas, the “European MicroBrew Symposium – Market, Trends and Technology” provides key impulses the day before the exhibition. N?rnbergMesse and the Versuchs- und Lehranstalt f?r Brauerei (VLB – Brewery Research and Training Institute), Berlin, are now organizing this popular training event for the third time. The symposium is intended for managing directors, proprietors, technical managers and master brewers from European microbreweries and pub breweries, and for representatives from the supply industry. The key topics are engineering and technology with a focus on microbrewing and market developments in the European craft brewing segment. The conference language is English.
More information on the trend theme "The Culture of Craft Brewing” is also obtainable in the Craft Beer Lounge, on the Tour of Exhibitors with special solutions for creative brewers or at the Forum for Inspiration, Innovation & Exchange. This stylish forum at the heart of exhibition activity is supported by many partners from the sector. Presentations, workshops and panel discussions covering the whole product spectrum at the exhibition invite visitors to stay, listen and join in the discussion – for example on new product presentation or the career prospects shown for the beverage industry and its suppliers. Those who would like to take a short break over a coffee or snack in a cosy atmosphere are also welcome. An exhibition like BrauBeviale is, of course, not limited to just talking about beverages. A wide range of alcoholic and non-alcoholic specialities can also be tasted – guaranteed enjoyment with all senses.
For the first time, BrauBeviale presents the market-orientated PETnology concept “connecting comPETence” with PETarena and Packaging Wall of Excellence, where companies present their diverse spectrum of PET products and services. The PETarena is the place to go for everyone involved in the PET value chain: here machinery manufacturers meet bottlers, packaging developers convince brand owners, and component suppliers win customers. The event starts with the two-day international PETnology Congress, which takes place immediately before the exhibition.
A welcome guest again at BrauBeviale in 2014 is the international competition for the German Packaging Award. The most innovative solutions from the over 200 entries expected for labels, closures and other packaging ancillaries, displays, sales packaging, promotion packaging, transport packaging, logistics packaging and packaging machinery will receive awards at BrauBeviale. The current supporting programme at BrauBeviale is being continuously supplemented with extra features: The visitors: willing to invest, highly qualified and internationalThe trade visitors at BrauBeviale – 32,810 at the last event – come from technical and commercial management in the European beverage industry, i.e. from
breweries and malting houses
producers and bottlers of non-alcoholic drinks
producers of wine and sparkling wine and distillers
the hotel and catering trade
the specialist retail and wholesale beverage trade
engineering and planning consultants.
38 % of the visitors at the exhibition in 2012 travelled from abroad, mainly from the Czech Republic, Switzerland, Belgium, Italy, the Netherlands, Austria, Russia, Great Britain and France. An unbelievable 97 % of the experts were satisfied with the products and services offered at the exhibition. BrauBeviale visitors are typically male (85 %) and almost two-thirds of them are “habitual offenders”. They visit the exhibition regularly to update on new products and also want to use these in their own company. Especially important aspects for visitors are exchanging views, cultivating existing business contacts and making new ones, training, market orientation, and preparing and concluding investment decisions. Here the BrauBeviale visitors benefit from another of their typical characteristics: they are highly qualified and 88 % of them are involved in investment decisions. Timely planning is essential for them, so here are all the dates of the BrauBeviale triad:
BrauBeviale 2014:11–13 NovemberBrauBeviale 2015:10–12 NovemberBrauBeviale 2016:8–10 November
About the N?rnbergMesse GroupN?rnbergMesse is one of the 15 largest exhibition companies in the world and among the Top Ten in Europe. The portfolio covers some 120 national and international trade fairs and congresses and approximately 40 sponsored pavilions at the N?rnberg location and worldwide. Every year, around 30,000 exhibitors (international share
39 %) and up to 1.4 million visitors (international share of trade visitors 22 %) participate in the N?rnbergMesse Group’s own, partner and guest events. The group is present with subsidiaries in China, North America, Brazil, Italy and now in India too. The N?rnbergMesse Group also has a network of approximately 50 representatives operating in about 100 countries.
28 Nov. 2013