Analysis of beer market in China (on Russian)
Beer market of Ukraine: big three losing weightIn 2016, fast increase of excises and resulting price spike stood in the way of the beer market stabilization. Most of competition (as well as mass sorts) moved to the economy segment of the market. The biggest losses were incurred by the leading three, especially Obolon, which again experienced pressure after reallocation of Efes market share. However, one should already speak of TOP-4. Group Oasis CIS (PPB) became a strong player and competitor to transnational companies. Besides the net sales of many regional medium breweries look rather good and 16-fold cost reduction wholesale trade license for craft brewers opens up a possibility of rapid growth in 2017.
Analysis of beer market in China
China’s transition to a “new normal” reality backfired on the brewing industry unexpectedly. Stagnation and subsequent market decline resulted from dynamic social and economic changes. There has emerged a “two speed” market where the medium class significance is growing, yet the share of main beer consumers, “blue collar” is decreasing. Also the inflow of consumers is shrinking, as demographics stopped being a growth driver. Finally, beer is giving way to other alcohol drinks....
China. Tsingtao gets its buzz back on first-quarter profit growth
The company said after the market close Monday that net profit grew 2.5% on the year to 533 million yuan ($82 million). Its shares gained 2.72% to 30.20 Hong Kong dollars ($3.89) on Tuesday after two sessions of declines since Friday.
Profitability improved on strengthened online sales and the popularity of such high-value-added newer offerings as premium and dark beers. Revenue sank 4.4% to 6.86 billion yuan. In a slowing Chinese economy, demand at fine restaurants declined and competition intensified. The signature Tsingtao Beer brand accounted for 1.06 million kiloliters of the 1.95 million kiloliters of beer the company sold.
China's beer industry is about eight times the size of Japan's. A peak in 2013 has given way to a contraction as consumer tastes grow more diverse.
27 Apr. 2016