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. ...
Technology show drinktec is also a marketing platform
Networking in the Innovation Flow Lounge
Brand new at drinktec: The Innovation Flow Lounge, located at the West Entrance. This is a
place where marketing experts can come to talk to professionals from the technology and
research side – and vice versa. Organized here, under a different theme each day, are short
presentations, informal round-table talks and panel discussions with a presenter – and, of
course, there is plenty of time to unwind and chat with fellow professionals at the Beverage
World Bar after a busy day at the show. Making new contacts, discussing ideas and
strategies, meeting up with like-minded people from technology and marketing – all
of this is what you get at the Innovation Flow Lounge (see also Press Release No.
"What happens in Munich is truly unique"
Just walking round the twelve exhibition halls and looking at the exhibitors'
presentations is very inspiring, prompting many new ideas and thoughts. G?nther Nessel
Managing Director of taste! Food & Beverage Communication/Offenbach, for example, has
many answers to the question of just why drinktec should be of interest to a food agency:
"Well, first of all, it?s an opportunity to get a unique overview of a truly international sector. Of
course there are many other trade shows, again and again, and at different intervals, but
what happens at drinktec in Munich, on this longer cycle, is truly unique. As a marketing
professional with connections to these sectors, this event is a must. Here I can hone my own
knowledge and gather inspiration. And a walk round the show reveals lots of packaging ideas
I can apply in my own work, whether it be in the form of glass or PET containers, cans, or
whatever. Plus of course there are lots of things to learn about what?s happening in labeling
technology, seeing just what can be done and what?s in the pipeline. In the supporting
program you can find interesting forums with lectures and discussions, many featuring
leading representatives from the sector, from whom you most certainly can pick up some
useful hints and knowledge. Here and there you have the chance to engage in conversation
with marketing colleagues. It?s always exciting to see just who you meet there, and how easy
it is to start talking to them about business."
Packaging design follows trend research
What is critical in successful marketing today is to identify the diverse needs of the
customers and to incorporate the current key trends in the packaging design. A report
by the trend and future researchers Zukunftsinstitut of Kelkheim, for example,
highlights the customer?s desire to engage more closely with the producer. What he or
she expects is a real exchange, and to have the feeling that his or her needs are being
taken seriously. Future researcher Matthias Horx sees this as being not so much about
meeting a short-term need, but about making the customer feel better. The product
and its packaging design have therefore to appeal to the senses and the feelings, and
be associated with a positive message. Communicating a responsible use of
resources is another growing theme today, including on packaging. Demographic
changes also need to be taken into account: an ageing society, for example, calls for
more practical packaging with easily readable text. Gaining insight into current and
future trends is essential for the beverages industry and its suppliers, and drinktec
2013 is the ideal place to gear up for that future.
drinktec Forum: Packaging and marketing
Visitors to drinktec 2013 can find out more about the ideal symbiosis of packaging and
marketing on Thursday, September 19, in the drinktec Forum in Hall A2. Here the focus is
entirely on packaging and marketing. Jean Schrurs, consultant for packaging themes and
customized business concepts in the beverage industry, is chairing a session on innovative
ways to open up new markets via packaging diversity. In his lecture, Steve Lannon from
Miller Coors, will be talking about 'Brewers like packaging – a core business for innovation.
Beers differentiate through packaging'. Following this, the trends and their meaning for
beverages packaging will be spotlighted by Dominic Cakebread and Ulrich Eisenbl?tter from
Canadean, global market researchers in the beverage and food industry. Their lecture is
entitled: 'Global market zrends, Development & drivers in beverage packaging'. Another
marketing approach will be presented in the same place on Tuesday, September 17, in the
shape of the subject of 'audio branding'. Here the question is how sound concepts can be
used to draw consumers attention to products and to influence brands.
Digital meets packaging
QR codes are the latest trend tool in product marketing. Experts believe there is still much
potential to exploit here. The rapid rise in the use of smartphones is making things much
easier. But what people find when they make use of the QR code should not just be the
standard website of the manufacturer. It is critical to offer the consumer real added value,
for example, in the form of suitable uncomplicated offers with interactivity potential. With
today?s consumers looking for a closer dialog, there is tremendous potential here to tap into
– and labeling and packaging manufacturers can meet this need, as will be shown at
It?s all in the mix – 'multisensorics'
Successful packaging concepts – and marketing professionals know this very well – are a
blend of wide variety of components. There are virtually no limits when it comes to creative
and sophisticated decoration. A core function of packaging, however, is to engender in the
consumer a desire to buy, through a design that is tuned specifically to the target group and
the product. Of course, this is a highly complex undertaking, and one that requires great
creativity. A tour round the exhibition halls at drinktec 2013 will deliver lots of input on how
to achieve this. A whole host of exhibitors will be demonstrating just what is possible using
the latest technologies. An optimum packaging solution should appeal to the consumer
through as many of his senses as possible: sight, hearing, smell, taste and touch.
Innovative ways to do this include using gold foil to signify luxury, simulated water drops as
a promise of freshness, and colors which the customer can rub to release the scent.
Packaging that takes its cue from the product itself is also very much in vogue – the way it
feels is a highly effective communication tool in packaging marketing.
Social media – what are the customers saying?
Companies these days will increasingly need to keep track of discussions on social media
about their products. Here the consumers say directly and honestly just what they are
thinking. By analyzing these comments, producers can gain valuable insights into how to
make improvements to their products. The next step would then be to actively engage in that
communication, by building up a direct dialog with customers. Taking part in drinktec 2013
will be professional suppliers who can help in this area. And, anyone wanting to engage in
discussion on this and other subjects ahead of the show, can do just that on the Facebook
page of drinktec.
Packaging, and lots more…
Packaging and labeling are not the only areas in which visitors to drinktec 2013 will be able
to find optimum solutions and exciting new ideas. An absolute 'must' for marketing experts is
also Hall B1, an 11,000 m? showcase of raw materials, agents and additives. The highlight
here is the 'Special Area New Beverage Concepts', in which new sweetening, coloring and
aroma strategies are presented and explained by the corresponding manufacturers. Halls A1
(restaurant and catering equipment and advertising tools of all kinds) and A2 (packaging
technology, 'World of Labels') will also be of great interest to trade visitors from the areas of
marketing and communication.
Further information: www.drinktec.com
12 Апр. 2013