Dmitry Nekrasov’s Philosophy — on the Past, Present and Future of Ukrainian Brewing IndustryA meeting with Dmitry Nekrasov always turns into a training course: “Introduction to brewing business“. We are talking to a clever “playing trainer“ a person that can be called a godfather of the Ukrainian craft. He has a dozen of successful projects to his name. Dmitry told us about craft beer in Ukraine, on market cycles, on specifity of operating in retail and HoReCa, on union of Ukrainian brewers and certainly, how a brewery of his own, First Dnipro Brewery is doing.
The market of import beer in Russia: review and databasesThe market of import beer is rapidly growing and changing. But while in the past years it was growing due to brands variety, in 2019 major and affordable brands from TOP-10 were developing actively. It seems that the fact of a brand origin from far abroad counties, even if it is not well known but has moderate price and good distribution provides for million liters of sales in the territory of Russia. Among distributors AB InBev Efes was far behind, yet the role of Baltika and suppliers of the second row got more important. The boom of German brands was followed by stagnation of import from other traditional regions (and Belarus) instead the supplies from Mexico, Lithuania and Asian countries grew considerably.
Russia: Positions of Brewing CompaniesThe review contains an analysis of interim performance of brewers in the first half of 2019. There are rather dynamic changes behind a modest industry growth. Baltika is again experiencing a stage of volumes and market share slid due to competition with AB InBev Efes. Because of the price competition and presence expansion in the modern trade company #2. has come close to the leading position. At the same time sales of Heineken Russia have continued growing which makes the premium part of the portfolio heavier. The market premiumization trend had been also confirmed by import brands. MBC and Zavod Trekhsosenskiy have been the most successful among federal market players. The market share of independent regional brewers and Ochakovo have continued falling as they are being squeezed out by the market leaders at their competitive fields.
Ukrainian beer market 2019: companies and brandsIn 2019 beer production and market have been still fluctuating about zero point. However, the past season was successful for brewers judging by the sales profitability. The price mix has improved due to rapid general market premiumization, as well as its particular aspect, the growth of import beer sales. By the season end AB InBev Efes improved its positions considerably. It turned out that consumers had not forgot Efes brands that had to leave the market, but started to recover rapidly. Against the stagnating market that meant sales decline of other companies, in the first place Carlsberg Group that most of all beneficiated from Efes exiting the market. PPB turned out to be stable to branding activity of its competitor and Obolon kept the same volumes and at the moment it is the absolute leader of the economy segment. The share growth of independent producers took place thanks to leading craft breweries, that so far do not have a big market weight, but they are rapidly gaining it.
Brewing industry in Kazakhstan 2019During the first half of 2019, the majority of Kazakh brewers made their contribution into positive dynamics. Yet it was companies of the lower division, not the two transnational leaders that raised their production and sales. The shares of draft beer and aluminum can which is rapidly squeezing glass bottle out of the market, have been growing. The price segmentation has remained stable despite the substantial rise of retail prices and fluctuations of brand market shares, while the borders between segments have become blurred. The main events in the industry have been: the announced revision of the beer excise policy, launch of BeerKhan brand in the strong beer segment, and most important – purchasing assets of Shymkentbeer by Arasan.
The trend of complication of Russian beer market is going on and in several directions at the same time. The range has got wider, the import and small segments are growing, namely craft beer, alcohol-free beer and special flavor beer. At the same time, all ex-mega brands and light lagers by Russian brewers are experiencing a decline of their shares. AB InBev Efes, Heineken, MBC and Pivzavod Trekhsosenskiy have exceeded the market, Carlsberg was developing slower than the market and Ochakovo as well as some other mid-sized breweries have been cutting down their volumes. To a big extent brewers’ performance was connected to their ability to reach agreement with networks, sacrifice their margin and enter new markets. Craft brewers are facing a serious danger of producers’ registration introduction – de facto licensing. ...
Premium beers set to drive growth in the off trade Brazilian beer market, reports Mintel
The off trade strong and premium beer market was valued at R$ 5.29 billion in 2011. Showing just how popular these beers are becoming, in 2011 this segment managed to gain a 0.6% share from the standard segment in value, rising from 11.4% market share in 2010 to 12% in 2011. In contrast, the standard beer segment lost market share, going from 87.6% in 2010 to 87% in 2011.
The report also reveals the appeal that international brands have for consumers in Brazil, especially young and upper-class adults. Today, a quarter (25%) of upper-class Brazilians (AB) claim to drink international brands, compared to 18% in the C1 group, 11% in the C2 group and 7% in the D and E social segments. Similarly, international brands have also been successful among a younger audience in Brazil, with 26% of those aged 18-24 claiming to drink them. This number continues to be high among adults aged 25-34 (23%) but sees a marked decline for those aged 35 or older: with 13% of those aged 35-44 drinking them, 12% of those aged 45-54 and just 7% of those aged over 55.
Sebastian Concha, research director, Latin America at Mintel, said:
"The fact that premium beers are gaining more market share from the standard beer sector highlights the changing consumer mindset in Brazil and how beverage habits relate to this. Huge opportunities lie with Brazil's hosting of key live sports events in the coming years. With a strong sporting prowess in Brazil and a product closely linked with sporting culture, beer manufacturers who can capitalize on local enthusiasm and blend this to ensure a premium product positioning stand to benefit."
"International beer brands also hold great potential for growth in the next year in Brazil. They enjoy the glamour of a cosmopolitan allure, have strong marketing prowess and can help this high volume market achieve much more lucrative profit margins," Sebastian Concha continues.
With volume sales of 12.7 billion liters in 2011 (equivalent to 67 liters per capita) up 22% from 10.4 billion liters in 2007—Brazil is the third largest market in the world in terms of volume consumption, with only China and the US ahead. This year the market is set to break the 13 billion mark to reach 13.3 billion liters. And the appeal of beer appears set to continue in Brazil, as Mintel forecasts volume growth of 15% over the next five years to reach 15.3 billion liters in 2017. With a retail value of $23 billion USD in 2012, up from $13.7 billion USD in 2007 the future also looks positive with total retail value set to hit $33 billion USD by 2017.
"The premiumization of the industry will be a key driver for market growth over the next five years - representing significant opportunities for the sector," Sebastian Concha continues.
Mintel's report also reveals that low temperature is a key selling point of beer in Brazil. While in many countries, cold beer suffices to quench consumer thirst, super cold beers are a must for almost all Brazilians. Some 95% of beer drinkers claim to only like their beer served very cold, with 84% of consumers strongly agreeing with this statement.
"The high level of consumer demand for super cold beers has led to innovation in NPD in the market, including color-changing packaging and cold filtering. Some brands have launched a 4-litre barrel-shaped pack with a temperature gauge that indicates when a beer is ready to be consumed. Another brand has introduced packaging with a color-changing label that turns blue when the beer gets cold," Sebastian Concha notes.
Meanwhile, the gender gap within beer consumption is still apparent in the Brazilian market place. Mintel's research shows that in Brazil, 65% of men drink beer, compared to 38% of women. And while manufacturers have invested in trying to re-address this balance, it appears that perceived gender related attributes will not be the way to success. Indeed, Mintel's research reveals that women have only limited interest in low-calorie formulations. While 27% of women that consume beer say they try to avoid it because it makes you gain weight, it is not a significant difference from the 23% of men claiming the same. In addition, women seem to be more conservative in the types of beer they are drinking. While 57% of male beer drinkers claim to like trying new types of beer, this number reduces to 45% when the question is asked to women.
"The most successful strategies to attract more women will be the ones that appeal to universal tastes and stress key selling points of the beer itself. International beer brands in particular are in a great position to redefine beer as a genderless category, having an especially receptive segment among younger and wealthier women," Sebastian Concha concludes.
Mintel is a leading global supplier of consumer, product and media intelligence. For 40 years, Mintel has provided insight into key worldwide trends, offering exclusive data and analysis that directly impacts client success. With offices in Chicago, New York, London, Sydney, Shanghai, Tokyo, and now India, Malaysia and Singapore, Mintel has forged a unique reputation as a world-renowned business brand. For more information on Mintel, please visit www.mintel.com.
27 Ноя. 2012