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.
Vietnam. Asahi, Kirin may fight over Vietnam brewer Sabeco
The Vietnamese government holds an 89.6% interest in Sabeco, as well as 82% of Hanoi Beer Alcohol Beverage, or Habeco. Together, the two breweries control roughly 60% of the country's beer market.
As a part of its state-enterprise reform efforts, the government aims to unload its entire holdings in the two by the end of 2017. A 53.6% interest in Sabeco, to be divested by the end of the year, will be sold off first.
Vietnam, a nation of 90 million people with growing beer consumption, is one of the few promising beer markets in the world today. For this reason, many major foreign breweries are showing interest in the planned sale of the Sabeco stake, which is predicted to raise around 200 billion yen ($1.93 billion).
Facing a shrinking domestic market, Asahi and Kirin have stepped up expansion of overseas operations. Kirin's foreign business strategy focuses on Asia. In line with this, the company acquired Myanmar Brewery, the Southeast Asian country's No. 1 beer maker, last year.
Asahi is seeking a broader market presence. It is considering purchasing a beer business covering five East European countries from the U.K.'s SABMiller, which itself was bought by world leader Anheuser-Busch InBev this month. The price tag for the East European operations, currently estimated at about 500 billion yen, could go higher if a bidding war erupts.
20 Oct. 2016