Annual Report 2010 - Baltika Breweries

Beer Market. The Company’s Position
Russian market shares for major beer producers
13.2 % 14.7 %
6.9 % 7.0 %
39.8 % 39.7 %
2009 2010
9.7 % 10.7 %
14.4 % 11.7 %
16.0 % 16.2 %
Baltika Inbev Heineken
Efes SABMiller Others
Source: AC Nielsen (Urban Russia)*
*Urban Russia includes towns with a population of more than 10,000 (excluding rural populations).
2010 Economic Development and Consumer Trends
According to data from Rosstat (the Russian Statistics Service), 2010
macro-economic indices looked healthier than 2009 numbers with an 8 %
industrial production increase. GDP and disposable income and retail sales
increased 4 %. The unemployment rate fell 11 %.
The impact of the economic downturn on consumer behavior
was considerable, with the majority of consumers switching their preferences
to less expensive beer and packaging in H1 2010. The significance of the
modern trade channel also grew. Nonetheless, statistical data for H2 2010
illustrates consumers growing interest in premium offers and customary
consumer standards. The modern trade tendency gained strength during the
year.
The Company continued to develop non-beer products in 2010, entering
a number of new categories (see the “Brand Portfolio” section). As of the
end of 2010, total sales of non-beer products in Russia grew 42 %.
2007–2010 dynamics for the Company’s share of the beer market, %
2007
2008
2009
2010
37.4
38.4
39.8
39.7
Source: AC Nielsen (Urban Russia)
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