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.
India. Guzzling in Gurgaon: Women and young men keep it light, but older men prefer dark beer
Boys like it light while men drink dark beer
Sagar A Powale, head brewer at 7 Degrees Brauhaus , tells us, "In Gurgaon, youngsters like light beer like wheat and lager. They wish to drink more and spend more time chatting over beer, so they go for the light ones. Men between 35 and 45 years of age, however, like to have dark beer. But most men above 45 do not like beer at all. They stick to scotch and whiskey."
Ishan Grover, a freelance brew master who has helped to set up about ten microbreweries in Gurgaon, says, "Sixty per cent of men in Gurgaon like wheat beer irrespective of age, while the rest 40% like dark beer which is very strong. From the latter group, men come to me and say, 'Yaar kuch thunderbolt (extremely strong) jaisa pila de'."
Tejinder Kumar, head brewer, Striker Group, agrees with both Sagar and Ishan. "Gurgaon loves beer. On weekends, a decent microbrewery in the city sells about 800 litres of beer. Young men go for wheat and light beer while older men like dark beer which has more alcohol content."
Women like it light and drink it more
Sagar says women in Gurgaon like pilsner beer, which is lighter than lager because they don't like anything 'kadwa'. Ishan says, "While both Indian men and women like wheat beer, there is still a difference. Men like German wheat beer which has the taste of banana and clove, but women like Belgian wheat beer which gives the flavour of orange, coriander and oatmeal."
Rohit Raj, head brewer, Open Tap, adds, "Women like light beer and they drink their light beer more than the men, because after having a few mugs of beer, men want to switch to something else." Tijender adds, "The cider beer, also called the khatta meetha, is a favourite among the women here."
All Asians drink alike
Gurgaon has a huge expat community and brewers sweat out a lot trying to satisfy their foreign customers' taste buds. All the brewers unanimously tell us that Europeans and Americans like dark beer, while Asians are likely to go for lighter beers. Rohit says, "I have tried serving dark beer which tastes a little bitter to Indian men, but it has not been very successful."
Sagar explains, "It is because of the climate they are accustomed to. Europeans and North Americans grow up in wintery weather, so they like strong, dark beer. Since Asians live in hot and humid conditions, they like light beer which they can drink more and stay hydrated. The South-East Asians, Japanese and Koreans like extremely light beer which has very little alcohol content. Australians and New Zealanders like lager." He adds, "Indians like wheat beer because it has a fruity aroma and Indians have a sweet palate. Agar unko lassi type beer mil jaaye toh best hai. That's why Indians like sweet tea compared to bitter coffee."
Ishan says, "Expat community is most likely to choose India Pale Ale or Dunkelweizen." Rohit says, "Westerners like their beer dark and hoppy, while Asians more or less have an uniform palate." Bhanu Pratap, head brewer, Lagom Kitchen + Brewery, says, "Foreigners like the dark chocolate-coloured beer while Indians go for lighter hues."
60% of Gurgaon likes light beer
Nothing Kadwa: Women like pilsner beer, which is lighter than lager.
South-East Asians, Japanese and Koreans like extremely light beer.
Men upto age 35 prefer light beer like wheat and lager.
40% prefers dark beer.
3 Jun. 2016