Challenge, context & objectives

Over the last few years the demand for beer in Eastern European markets has fallen.

Economic challenges, decreasing willingness to pay among the population, and the introduction of the grey market in 2014 led to an annual decline of about 10% of the market volume in Moldova and Ukraine.* On top, recent weather changes affected the appeal of the whole category.

Revenues and sales volumes of the beer companies are highest during the summer months, from May to August, when approximately 70% of the company's profits are gained**.

But due to climate changes the warm seasons shifted and May, which usually opens the beer season, became colder and rainier over the years: in different regions of the Ukraine and Moldova the average temperature in May has fallen by 2 C° from 2013 to 2017 and the average precipitation for that period was even twice as high, as in the period from 2009 to 2013***. The decrease of beer sales in May 2016 vs May 2015 reached -29 %****. In fact, the season entry shifted from May to June and the most profitable period was reduced by a quarter.