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.
Thailand. After the growth of the beer market in 2015 to 3.8% it is expected the decline in 2016
Maintenance of the status and reputation requires a flexible marketing policy not only from Heineken. In the new season the importers provided beer with new flavors and updated packaging to better meet consumer preferences. Cheers beer has completely changed the design of cans in honor of the 10th anniversary in the Thai market. Heineken has launched a campaign called «Shape Your City» in order to attract more consumers.
However, not only the packaging, but the prices on beer have changed from April 1. In retail they grew by 10-15 baht. So, one bottle of Singha beer 330 ml or Leo costs 39 baht, the same price of 630 ml Elephant Beer. Heineken of 320 ml costs 44 baht, and 490 ml costs 49 baht, Thansettakij writes.
The total volume of the beer market in Thailand in 2015 is estimated at 1.39 trillion baht, which is 3.8% more than in 2014. In real terms the market grew by 1.3% to 1.5 billion litres. Heineken is the undisputed leader in the premium segment, with a market share of 96%, which amounts to 6.54 billion baht. Mainstream segment is mainly represented by Leo brand, which accounts for 66.4% of sales and by Elephant Beer with 26.7%. Economy segment is 3.3 billion baht and represented by the only brand Asha with 100% market share.
According Thansettakij, in 2016, it is expected the fall of the beer market by 3.5% as a result of the general economic decline in the country, reduction of the purchasing power of the population and increasing of beer prices.
12 Apr. 2016