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.
ThaiBev reorganised to realise Vision 2020
The new management line-up will support the continuous growth of business and will lay a strong foundation for the future, according to Thapana Sirivadhanabhakdi, ThaiBev group president and chief executive.
Ueychai Tantha-Obhas, who laid strong spirit business foundation in Thailand and is the prominent leader in spirit commercial markets over the past three decades, will be promoted to the postion of director and senior executive vice president ("SEVP") and will oversee Thailand’s distribution channels as Chief Route-to-Market.
Sithichai Chaikriangkrai, who has been voted as Thailand’s best chief financial officer for three consecutiv years (2014-2016) and Southeast Asia’s best CFO in 2015, will be promoted as director and SEVP and will continue to oversee ThaiBev’s finances and support the group’s growth as CFO.
Dr. Pisanu Vichiensanth, who pioneered ThaiBev’s beer business, will be promoted to director and SEVP. He will continue to oversee the group’s technology and engineering functions as Chief Technology and Engineering.
The board has also approved the promotions of two executives to drive forwards the growth of the spirit product group and the beer product group. Prapakon Thongtheppairot, who spearheaded Chang beer’s relaunch in 2015, will be promoted to executive vice president and spirit product group CEO. He will succeed Ueychai.
Edmond Neo Kim Soon, who played a key role in the Chang beer’s relaunch in 2015, will be promoted to EVP and beer product group CEO.
Kosit Suksingha will be promoted to EVP and Chief Supply Chain Management. He will also steer the Group’s IT development. Dr. Agapol Na Songkhia will be promoted to EVP and Chief People Officer.
The board has also approved the appointment of Banjong Chintanasiri to SVP Accounting (Deputy CFO-Accounting), while Pramote Hassamontr will be promoted to SVP-Office of Spirit Production.
9 Sep. 2016