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.
Listings by top Vietnamese brewers seen delayed to Q1 2017
Listings by Vietnamese brewers Sabeco and Habeco could be delayed until the first quarter of 2017, a minister said, due to the completion of formalities and talks with existing investor Carlsberg.
After the listings the government is expected to sell its stakes in the country's biggest brewers, ultimately raising $2.2 billion as it loosens its tight grip over one of Asia's most sought-after beer markets.
The brewers' share debuts were originally scheduled by the end of 2016.
It takes 12 to 14 weeks for a Vietnamese company to complete all the requirements for listing, Deputy Industry and Trade Minister Hoang Quoc Vuong told a news briefing broadcast live by the government's website on Tuesday.
"The possibility for these two firms to make a share listing in 2016 is difficult," Vuong said in the broadcast.
"But their listings, if (there is) no delay, will be within the first quarter of 2017," he said. He gave no specific dates.
Hanoi-based Habeco, 81.79 percent owned by the government and which brews Bia Ha Noi beer, has also been solving "some pending issues" with Danish brewer Carlsberg, its strategic investor, and the process is taking much time, he said.
Vietnam is Asia's third-largest beer drinker by volume after China and Japan, putting it on the radar of Asian and European brewers keen to exploit changing lifestyles and one of the region's fastest rates of middle-class growth.
Last month the government said it would sell 5.77 percent of Habeco to Carlsberg, which currently holds a 15.77 percent stake, while its remaining stake would be auctioned. The aim was to raise 9 trillion dong ($404 million) in total.
Known for its Bia Saigon and 333 brews, Ho Chi Minh City-based Sabeco - formally known as the Saigon Beer, Alcohol, Beverage Corp - commands 45 percent of Vietnam's beer market and is valued at about $2 billion by Hanoi.
The government plans to sell its 89.59 percent stake in Sabeco by the end of 2017.
Sabeco has received expressions of interest from major foreign brewers lured by the size of the Vietnamese market, including ThaiBev, the flagship company of Bangkok's billionaire beer magnate Charoen Sirivadhanabhakdi.
5 Oct. 2016