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.
Myanmar. Family of Late Burmese Composer Considers Lawsuit Against Carlsberg
The Burmese script on the bottles, cans and marketing materials for Tuborg beer reads “Tupo,” a transliteration of the product’s name as well as the title of a famous song written by Myoma Nyein, who came from Mandalay.
His relatives claim that the musical reference has been used without their permission and are disappointed that the company has failed to officially apologize and to engage in negotiations after an ultimatum to do so was issued in mid-January this year.
Soon after the ultimatum, Carlsberg issued a statement announcing that they would not continue distributing their products using the Burmese phrase, “Tupo,” and would instead use the Danish brand name of Tuborg in Burma in the future.
Myoma Nyein’s family said that Carlsberg representatives met with them twice after the January ultimatum. During these meetings, the company asked for patience from the family regarding the sale of products that had already made it to market.
“They said they needed to sell out all the stock that had already been distributed in the market. First, they requested that we extend [the timeframe of] our ultimatum and we agreed. However, they never promised professionally, regarding the exact date and time that they would stop distribution,” said Shwun Myaing, Myoma Nyein’s son.
The family said that the company has continued using the marketing and advertising materials with the disputed phrase throughout Burma.
“If Carlsberg truly respected others’ dignity they would have announced officially and publicly in the newspapers the exact time when they would stop production of their products using ‘Tupo.’ Now, they are issuing statements only on their Facebook page, which is very unprofessional,” said Shwun Myaing.
The family said the company had requested another meeting with them on January 31, but no one from Carlsberg showed up.
“Although we accepted their requests for an extension of ultimatum with respect and understanding, they failed to apologize,” said Zaw Myo Oo, a grandson of the late composer. “We can’t stand it anymore…we are now preparing a lawsuit and will send a legal notice as soon as all documentation is ready.”
The family said that the Carlsberg had asked to use their Burmese-scripted Tuborg beer products until the country’s famous April water festival, known as Thingyan—the event celebrated in Myoma Nyein’s ‘Tupo’ song. The family denied the request.
“The legal action is not to receive compensation,” Zaw Myo Oo pointed out. “We just want the world to know that Carlsberg, a global company, is taking advantage of the weak rule of law in our country, disrespecting our copyrights and acting very unprofessionally,” he added.
After the family announced their decision to sue, Carlsberg’s office in Rangoon issued a statement on Thursday which was distributed nationwide to media outlets.
“We are disappointed that the family of the late Sayar Myoma Nyein still feels it is necessary to pursue legal action,” the letter read. “The word ‘Tu-Poh’ was used in good faith by Carlsberg, whose creative intent was to convey a message of fun and music, which is what TUBORG stands for globally.”
The statement also said it is working to discontinue the use of ‘Tupo’ in the marketing of Tuborg beer, and shortly—before Thingyan—the beer will feature only the Danish brand name of Tuborg.
The company also extended the apology to the public and to the fans of the late composer.
Carlsberg said that they hoped that the relatives of the late composer would refrain from taking legal action.
“We hope that [Myoma Nyein’s family] will reconsider and choose to continue the dialogue with us to find a satisfactory resolution to this situation,” said the statement.
4 Mar. 2016