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....
Vietnam. Dealers jostle to buy heavily-discounted beer in Ho Chi Minh City supermarket
333 Beer, a product of Vietnam’s largest brewery Sabeco, was available at VND204,000 (US$9) for a 24-can cardboard box at Big C Truong Chinh on Sunday morning, a VND22,900 ($1) discount from the usual price of VND226,900 ($10).
A number of beer dealers were seen jostling to collect as many boxes as possible, leaving little chance for ordinary consumers.
Dealers normally distribute 333 Beer to outlets at wholesale prices of VND216,000 ($9.6) and VND220,000 ($9.8) a box, so sourcing the product at VND204,000 apiece meant additional profits ranging from VND12,000 to VND16,000.
As observed by a Tuoi Tre (Youth) newspaper reporter at the supermarket, the area where the discounted 333 Beer was stored had been repeatedly cleared by excited distributors.
As soon as new stock was brought in, the dealers would begin elbowing each other and take the beer to their carts.
After two to three successful attempts, each distributor was able to collect between 40 and 60 cardboard boxes.
Individual shoppers found it impossible to ‘compete’ with the dealers to take advantage of the discounted beer.
“They were collecting the beer very fast,” one shopper named Dinh said. “Just one second and all the available beer was gone.”
Ho Quoc Nguyen, a media representative with Big C, said the 333 Beer discount was part of the supermarket’s weekend promotion program.
Nguyen said each customer was only allowed to buy two boxes at the discounted price, but the dealers had defied the rule by asking others to collect the beer for them. “Those are cases we cannot handle,” he said.
However, as observed by Tuoi Tre, many dealers were waiting at the checkout with their carts full of 333 Beer.
If a distributor managed to collect 60 cardboard boxes of the discounted beer, at a maximum profit of VND16,000 per box, this would amount to an additional gain of VND960,000 ($43).
13 Jun. 2016