Beer market of Kazakhstan acquired both traits of East European countries and South Eastern Asia taking a transitional position between them by many criteria and consumption style. Yet there is a positive trend in beer production which differs Kazakhstan from most of the neighboring countries. The market has remained consolidated in the hands of two international players because of its small size. However, it faces dynamic processes such as fast growth of draft beer sales, up and downs of regional companies and Carlsberg Group’s ultimate expansion. Excessive mainstream segment has declined over the recent years, yet, Zhigulevskoe and national brands with regional links have yielded their positions to a range of new products. In our review special attention was paid to regional analysis of the markets. In 14 regions of Kazakhstan we compared the companies’ positions, the market price segmentation and DIOT channel development. Besides we have compared the beer market of Kazakhstan to neighboring countries. ...
Beer market of Russia 2018
- General market picture
- Foreign trade setting records
- Demography as challenge to branding
- Aged consumer
- Declining of youth brands
- Nostalgia on trend
- DIOT feels at home
- 5.0 Original is the new face of import
- Positions of Market Leaders
- Carlsberg Group
- AB InBev Efes
- AB InBev
Ukrainian beer market 2018
- Better than yesterday
- Performance by value
- Positions of Ukrainian brewers
The beer market dynamics in Russia is approaching zero, yet major brewers are divided into those who developed considerably in 2017 and those who considerably reduced their volumes. For instance, company Efes has managed to substantially extend their sales due to restrained pricing policy and activity in the modern trade. Heineken has also demonstrated an excellent performance promoted by significant increase of advertisement budgets launching a non-alcohol sort of the title brand and unusual activity in the economy market segment. Carlsberg and AB InBev have been focusing on margins and lost a market share of their inexpensive brands. Serious dependence on PET package and mass enthusiasm about Zhigulevskoe have negatively impacted the most of big regional brewers, that have been for the first time pressed by the leaders in the key sales channels, especially in Volga and Central regions. In the small business there has been a noticeable slowdown in appearing of new restaurant breweries, yet the number of craft breweries has been growing rapidly. In 2018, the beer market is likely to grow a little, while the share of AB InBev Efes may decrease due to the integration. ...
China groups thirsty for Heineken asset
“There’s going to be consolidation, but on a smaller scale,” says Jeremy Cunnington, drinks analyst at Euromonitor, the data consultancy.
He points to this week’s acquisition of Wei Xue Beer by Anheuser-Busch InBev, the largest brewer.
“It is a case of as many feet on the ground as possible to capitalise on growth,” Mr Cunnington says.
Despite years of consolidation, China’s industry is fragmented compared with the rest of the world, which is dominated by groups such as ABI, SABMiller, Heineken and Carlsberg.
CR Snow Breweries, China’s biggest brewer, which is jointly owned by China Resources and UK-listed SABMiller, controls about a fifth of the market.
Together, the top four brewers control more than half the market.
The next five have a combined 16 per cent, but there remains a tail of up to 300 bit players, not all of them profitable.
Kingway, which Heineken and its partner Fraser and Neave of Singapore are quitting, is the eighth biggest with a 2 per cent share.
The Rmb1.08bn ($164m) sale of the 21 per cent stake is acknowledgement of Heineken “throwing in the towel” in China, says Ian Shackleton, a Nomura analyst.
The fact that the Dutch brewer failed to parlay its holding up to a controlling stake does not bode well for CR Snow, the putative buyer, he says.
However, it is far from a done deal.
GDH, Kingway’s government-controlling shareholder, has pre-emptive rights.
One theory is that it might exercise these and prevail over an auction, although other analysts remain sceptical and point out that GDH could have done this before CR Snow was brought in.
Any consolidation that occurs will have socialist characteristics.
As Humor Wang, general manager of CR Snow, puts it: “The Chinese consolidation methods are different from other countries. Brewery closures do not always follow acquisitions, even when they are badly located or inefficient.”
Mr Wang offers two reasons: the government’s eagerness to preserve local jobs – “That’s a benefit we can provide to the economy,” he says – and tax receipts for local governments.
His growth strategy is hinged on greenfields expansion.
This means that, unlike the legacy plants that come with acquisitions, the brewer can choose its own sites and build according to its own standards.
This strategy, Mr Wang says, does not go down well with all board members.
He says SABMiller “was very doubtful about the idea of greenfields in China”, in part due to fears over existing competitors operating in the chosen area.
He disputes this on the basis that the Chinese beer drinker is fickle and happy to switch from their traditional brew.
Even where there is overcapacity, a new participant can carve out market share, he says.
“In China everything is changing so rapidly. Everything. The history of drinking beer is no more than 30 years old.
“Minds are changing all the time, on everything. People may want a Japanese car today and an American one tomorrow.”
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20 Мар. 2011