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.
India. UBL plans to launch Kingfisher Buzz in all major cities by December
Kingfisher Buzz is currently available in two flavours – berry and lychee — in Mumbai, Pune and Thane.
The company plans to add more flavours to expand its portfolio in the segment.
“In the next few days, we will be launching in Bengaluru and Goa, followed by Delhi. Over the next 12 months, Buzz would be made available across all major cities and towns in India,” UBL Senior VP Marketing Samar Singh Sheikhawat told PTI.
Kingfisher Buzz would be in direct competition with Bacardi Breezer, which is a market leader in the segment.
“The introduction of Buzz marks UBL’s latest efforts in product innovation, and is an extension of the company’s portfolio that caters to even non-beer drinkers. We have launched Buzz with the intention of extending our product portfolio and are expanding our customer base to make a steady impact in the RTD segment,” Sheikhawat said.
Over expansion of Buzz in other flavours, Sheikhawat said: “This category demands the introduction of new flavours and we have concrete plans of introducing new variants in the coming months. Our product development team is constantly innovating and we have some exciting flavours in the pipeline.
Currently, the estimated market size of RTD is of around 2 million cases and the segment has an annual growth of around 11-12 per cent.
“Kingfisher Buzz is targeted at urban young men and women, who are above the legal drinking age, and are looking for a differentiated alcobev experience,” he said adding that the Buzz’s packaging is young and edgy, which makes it ideal go-to drink for our target audience.
For branding and marketing of the product, UBL which is now majorly-owned by Dutch beer maker Heineken, would focus on digital platform.
25 Jan. 2016