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.
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.
Kirin to bring Brooklyn craft beer to Japan
In Japan, the two companies plan to set up a joint venture next January, with the Kirin Holdings unit expected to take a majority stake. The U.S. company's signature Brooklyn Lager, known for its rich flavor, will be produced at Kirin factories -- in cans, bottles and kegs for eateries -- and be sold exclusively by Kirin through high-end supermarkets and liquor stores as well as restaurants and bars. A bottle will likely cost around 400 yen to 500 yen ($3.90 to $4.90).
Even as the overall beer market keeps shrinking in Japan, demand is growing for craft beer, which puts an emphasis on flavor and brewing method. Kirin will become the first major Japanese beer company to make foreign craft beer.
Established in 1988, Brooklyn Brewery ranks 12th among U.S. craft beer makers by production volume but comes in second by export volume. Approximately half of its production is exported. Garrett Oliver, the brewery's "brewmaster," is an iconic figure in the craft beer industry.
In the U.S., craft beer has grown to hold nearly 20% of the beer market as Budweiser and other major brands have fallen out of favor among consumers.
As part of efforts to reduce dependence on big brands, Kirin has already partnered with Yo-Ho Brewing, the largest craft beer maker in Japan.
The Japanese market for beer products has contracted for 11 years in a row. But the craft beer market, now about 40,000 kiloliters, is projected to grow to 150,000kl in 2021. The Kirin group aims to boost its share of the booming market to 50% by then from roughly 25% now.
14 Sep. 2016