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.
Hundreds turn up for North Korea’s first beer festival
On Friday, the Communist country's capital of Pyongyang played host to its first ever beer festival which saw 800 attendees turn up to join in the festivities.
According to CCTV+, the festival will last 20 days and was organised to promote Pyongyang's home brewed Taedonggang beer.
The beer is named after one of the North's most famous landmarks, the Taedong River, where the event is being held.
During the opening ceremony, 500 guests got to enjoy the lager on the house while snacking on fried chicken and being serenaded by live music performances.
The event comes amidst international condemnation over leader Kim Jong Un's continuous pursuit of nuclear arms. Since 2013, Kim has promised economic reforms to improve the living standards of its people.
Choe Yong Nam, director of the General Bureau of Public Service, said in his opening address: "This Pyongyang Taedonggang Beer Festival, held on the charming and beautiful Taedong riverside, is a significant occasion, which shows the superiority and vitality of our own-style socialist system, which is all about the people."
In 2008, a New York Times article described the Taedonggang beer as a "full-bodied lager a little on the sweet side, with a slightly bitter aftertaste." The beer is currently available only in the North and is also distributed in limited quantities to China.
15 Aug. 2016