Alcoholic Drinks in Hungary
Euromonitor International's Alcoholic Drinks in Hungary market report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market - be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change.
Get immediate access to strategic market analysis when you buy reports online
Tables: 143 | Publication date: Oct 2007
Why buy this report
- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Product coverage
Beer; Cider/perry; RTDs/High-strength premixes; Spirits; Wine
Executive summary
Stagnation prevails
The alcoholic drinks market saw another year of stagnation in 2006, with volume sales showing a slight decline and sales in current value terms just edging upwards. Volume sales in all sectors declined, particularly in RTDs. Apart from a shrinking and ageing population, the increasing number of cars with the simultaneous zero tolerance of alcohol in the blood for drivers, and the concurrently and dynamically emerging non-alcoholic drinks market continue to be the major reasons for the stagnation in sales of alcoholic drinks.
Increasing unit prices
In addition to the effects of the 7% excise tax increase introduced in September 2006, resulting in a price increase for premium spirits of about 2% and at least 4% for economy products, growing manufacturing and transportation costs are also causing unit prices to increase. The earlier 15% excise tax increase on spirits was only partially offset by a 5% reduction in VAT. Leading companies were also planning to introduce another 10% price increase from January 2007 as a result of growing costs. This was eventually expected to have an impact on all sectors of alcoholic drinks. Since Hungarians are price sensitive, this might result in falling sales for all types of alcoholic drinks.
Economy vs private label
Private label products in alcoholic drinks still almost solely operate in the economy segment, therefore they are the number one competitors of economy brands. With the strengthening of discounters, sales of private label products further increased, especially in the spirits sector. In parallel to this, sales of economy brands were declining or stagnating. Since there is no money for the marketing of economy products, the brands are not known and consumer trust is also low. However, in the case of private label products, the name of the retail chain works as a guarantee for the product.
Abv: the lower, the better
Low alcohol content remained a major trend in all three main sectors, with the average abv of spirits in particular tending to decrease. Long drinks and cocktails are another way of achieving low abv. In spirits lower abv is accompanied by a milder taste, eg honey is used as an ingredient. In wine the same trend can be spotted: presently 11% abv is the average alcohol content for wine, compared to the former figure of 13%. Even in beer, which has a naturally low alcohol content (the average in Hungary is 5%), low-alcohol products with an abv of 2-3% started to appear. This was also a result of companies trying to reduce the excise tax on their economy products by lowering alcohol content.
Constant changes in packaging
Unlike in the past, even long-standing brands now feel it necessary to change their packaging (both bottle and label) every 2-3 years, compared to the former 10-15 year periods. The past few years were years that saw new bottle designs in spirits, beer, still wine and sparkling wine. One-way bottles – in beer and sparkling wine – were also introduced with a more elegant design and proved to be successful due to convenience concerns and improving the collection of selective waste.
Table of contents
ALCOHOLIC DRINKS IN HUNGARY : MARKET INSIGHT
EXECUTIVE SUMMARY
Stagnation prevails
Increasing unit prices
Economy vs private label
Abv: the lower, the better
Constant changes in packaging
KEY TRENDS AND DEVELOPMENTS
Excise tax in focus again
Adverse macroeconomic climate has negative implications for premium alcoholic drinks
Brand and quality protection
Specialist Retailers
Summary 1 Leading Specialist Retailers 2005
Market Merger and Acquisition Activity
Table 1 Sales of Alcoholic Drinks by Sector: Total Volume 2001-2006
Table 2 Sales of Alcoholic Drinks by Sector: Total Value 2001-2006
Table 3 Sales of Alcoholic Drinks by Sector: % Total Volume Growth 2001-2006
Table 4 Sales of Alcoholic Drinks by Sector: % Total Value Growth 2001-2006
Table 5 Company Shares of Alcoholic Drinks by Global Brand Owner 2003-2005
Table 6 On-trade vs Off-trade Sales of Alcoholic Drinks by Sector: Volume 2006
Table 7 On-trade vs Off-trade Sales of Alcoholic Drinks by Sector: Value 2006
Table 8 On-trade vs Off-trade Sales of Alcoholic Drinks by Sector: % Volume 2006
Table 9 On-trade vs Off-trade Sales of Alcoholic Drinks by Sector: % Value 2006
Table 10 Off-trade Sales of Alcoholic Drinks by Sector and Distribution Format: % Volume Analysis 2006
Table 11 Off-trade Sales of Alcoholic Drinks by Distribution Format: % Value Analysis 2006
Table 12 Forecast Sales of Alcoholic Drinks by Sector: Total Volume 2006-2011
Table 13 Forecast Sales of Alcoholic Drinks by Sector: Total Value 2006-2011
Table 14 Forecast Sales of Alcoholic Drinks by Sector: % Total Volume Growth 2006-2011
Table 15 Forecast Sales of Alcoholic Drinks by Sector: % Total Value Growth 2006-2011
MARKET INDICATORS
Table 16 Retail Consumer Expenditure on Alcoholic Drinks 2001-2006
APPENDIX
Legislation
Taxation and Duty Levies
Table 17 Typical Wholesaler and Retailer Off-trade Mark-ups by Selected Sectors 2006
Table 18 Selling Margin of a Typical Beer Brand 2005
Table 19 Selling Margin of a Typical Wine Brand 2005
Table 20 Selling Margin of a Typical Spirits Brand 2005
Operating Environment
Price Band Methodology
Summary 2 Lager by Price Band 2005
DEFINITIONS
LOCAL COMPANY PROFILES - HUNGARY
BORSODI SöRGYáR RT - ALCOHOLIC DRINKS - HUNGARY
STRATEGIC DIRECTION
KEY FACTS
Summary 3 Borsodi Sörgyár Rt: Key Facts
Summary 4 Borsodi Sörgyár Rt: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 5 Borsodi Sörgyár Rt: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 6 Borsodi Sörgyár Rt: Competitive Position 2005
GARRONE MAGYARORSZáG KERESKEDELMI KFT - ALCOHOLIC DRINKS - HUNGARY
STRATEGIC DIRECTION
KEY FACTS
Summary 7 Garrone Magyarország Kereskedelmi Kft: Key Facts
Summary 8 Garrone Magyarország Kereskedelmi Kft: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 9 Garrone Magyarország Kft: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 10 Garrone Magyarország Kft: Competitive Position 2005
TOKAJ KERESKEDöHáZ RT - ALCOHOLIC DRINKS - HUNGARY
STRATEGIC DIRECTION
KEY FACTS
Summary 11 Tokaj Kereskedöház Rt: Key Facts
Summary 12 Tokaj Kereskedöház Rt: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 13 Tokaj Kereskedöház Rt: Competitive Position 2005
TöRLEY PEZSGOPINCéSZETI KFT - ALCOHOLIC DRINKS - HUNGARY
STRATEGIC DIRECTION
KEY FACTS
Summary 14 Törley Pezsgopincészeti Kft: Key Facts
Summary 15 Törley Pezsgopincészeti Kft: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 16 Törley Pezsgopincészeti Kft: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 17 Törley Pezsgopincészeti Kft: Competitive Position 2005
ZWACK UNICUM RT - ALCOHOLIC DRINKS - HUNGARY
STRATEGIC DIRECTION
KEY FACTS
Summary 18 Zwack Unicum Rt: Key Facts
Summary 19 Zwack Unicum Rt: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 20 Zwack Unicum Rt: Production Statistics 2005
COMPETITIVE POSITIONING
Summary 21 Zwack Unicum Rt: Competitive Position 2005
BEER IN HUNGARY
HEADLINES
TRENDS
PRODUCTION, IMPORTS AND EXPORTS
COMPETITIVE LANDSCAPE
PROSPECTS
Table 21 Sales of Beer by Subsector: Total Volume 2001-2006
Table 22 Sales of Beer by Subsector: Total Value 2001-2006
Table 23 Sales of Beer by Subsector: % Total Volume Growth 2001-2006
Table 24 Sales of Beer by Subsector: % Total Value Growth 2001-2006
Table 25 On-trade vs Off-trade Sales of Beer: Volume 2001-2006
Table 26 On-trade vs Off-trade Sales of Beer: Value 2001-2006
Table 27 On-trade vs Off-trade Sales of Beer: % Volume Growth 2001-2006
Table 28 On-trade vs Off-trade Sales of Beer: % Value Growth 2001-2006
Table 29 Beer: Production, Imports and Exports: Total Volume 2001-2005
Table 30 Beer Exports by Country of Destination: Total Volume 2001-2005
Table 31 Beer Exports by Country of Destination: Total Value 2001-2005
Table 32 Beer Imports by Country of Origin: Total Volume 2001-2005
Table 33 Beer Imports by Country of Origin: Total Value 2001-2005
Table 34 Company Shares of Beer by National Brand Owner 2001-2005
Table 35 Company Shares of Beer by Global Brand Owner 2001-2005
Table 36 Brand Shares of Beer 2002-2005
Table 37 Forecast Sales of Beer by Subsector: Total Volume 2006-2011
Table 38 Forecast Sales of Beer by Subsector: Total Value 2006-2011
Table 39 Forecast Sales of Beer by Subsector: % Total Volume Growth 2006-2011
Table 40 Forecast Sales of Beer by Subsector: % Total Value Growth 2006-2011
CIDER/PERRY IN HUNGARY
HEADLINES
TRENDS
PROSPECTS
RTDS/HIGH-STRENGTH PREMIXES IN HUNGARY
HEADLINES
TRENDS
PRODUCTION, IMPORTS AND EXPORTS
COMPETITIVE LANDSCAPE
PROSPECTS
Table 41 Sales of RTDs/High-strength Premixes by Subsector: Total Volume 2001-2006
Table 42 Sales of RTDs/High-strength Premixes by Subsector: Total Value 2001-2006
Table 43 Sales of RTDs/High-strength Premixes by Subsector: % Total Volume Growth 2001-2006
Table 44 Sales of RTDs/High-strength Premixes by Subsector: % Total Value Growth 2001-2006
Table 45 On-trade vs Off-trade Sales of RTDs/High-strength Premixes: Volume 2001-2006
Table 46 On-trade vs Off-trade Sales of RTDs/High-strength Premixes: Value 2001-2006
Table 47 On-trade vs Off-trade Sales of RTDs/High-strength Premixes: % Volume Growth 2001-2006
Table 48 On-trade vs Off-trade Sales of RTDs/High-strength Premixes: % Value Growth 2001-2006
Table 49 Company Shares of RTDs/High-strength Premixes by National Brand Owner 2001-2005
Table 50 Company Shares of RTDs/High-strength Premixes by Global Brand Owner 2001-2005
Table 51 Brand Shares of RTDs/High-strength Premixes 2002-2005
Table 52 Forecast Sales of RTDs/High-strength Premixes by Subsector: Total Volume 2006-2011
Table 53 Forecast Sales of RTDs/High-strength Premixes by Subsector: Total Value 2006-2011
Table 54 Forecast Sales of RTDs/High-strength Premixes by Subsector: % Total Volume Growth 2006-2011
Table 55 Forecast Sales of RTDs/High-strength Premixes by Subsector: % Total Value Growth 2006-2011
WINE IN HUNGARY
HEADLINES
TRENDS
PRODUCTION, IMPORTS AND EXPORTS
COMPETITIVE LANDSCAPE
PROSPECTS
Table 56 Sales of Wine by Subsector: Total Volume 2001-2006
Table 57 Sales of Wine by Subsector: Total Value 2001-2006
Table 58 Sales of Wine by Subsector: % Total Volume Growth 2001-2006
Table 59 Sales of Wine by Subsector: % Total Value Growth 2001-2006
Table 60 On-trade vs Off-trade Sales of Wine: Volume 2001-2006
Table 61 On-trade vs Off-trade Sales of Wine: Value 2001-2006
Table 62 On-trade vs Off-trade Sales of Wine: % Volume Growth 2001-2006
Table 63 On-trade vs Off-trade Sales of Wine: % Value Growth 2001-2006
Table 64 Volume Sales of Still Red Wine by Price Segment 2004-2006
Table 65 Volume Sales of Still White Wine by Price Segment 2004-2006
Table 66 Volume Sales of Still Rosé Wine by Price Segment 2004-2006
Table 67 Volume Sales of Other Sparkling Wine by Price Segment 2004-2006
Table 68 Sales of Still Red Wine by Grape/Varietal Type 2004-2006
Table 69 Sales of Still White Wine by Grape/Varietal Type 2004-2006
Table 70 Sales of Still Rosé Wine by Grape/Varietal Type 2004-2006
Table 71 Sales of Still Red Wine by Quality Classification 2001-2006
Table 72 Sales of Still White Wine by Quality Classification 2001-2006
Table 73 Sales of Still Rosé Wine by Quality Classification 2001-2006
Table 74 Wine Production, Imports and Exports: Total Volume 2001-2005
Table 75 Wine Exports by Country of Destination: Total Volume 2001-2005
Table 76 Wine Exports by Country of Destination: Total Value 2001-2005
Table 77 Wine Imports by Country of Origin: Total Volume 2001-2005
Table 78 Wine Imports by Country of Origin: Total Value 2001-2005
Table 79 Company Shares of Still Light Grape Wine by National Brand Owner 2002-2005
Table 80 Company Shares of Still Light Grape Wine by Global Brand Owner 2002-2005
Table 81 Brand Shares of Still Light Grape Wine 2002-2005
Table 82 Company Shares of Champagne by National Brand Owner 2003-2005
Table 83 Company Shares of Champagne by Global Brand Owner 2003-2005
Table 84 Brand Shares of Champagne 2003-2005
Table 85 Company Shares of Other Sparkling Wine by National Brand Owner 2002-2005
Table 86 Company Shares of Other Sparkling Wine by Global Brand Owner 2002-2005
Table 87 Brand Shares of Other Sparkling Wine 2002-2005
Table 88 Company Shares of Fortified Wine and Vermouth by National Brand Owner 2003-2005
Table 89 Company Shares of Fortified Wine and Vermouth by Global Brand Owner 2003-2005
Table 90 Brand Shares of Fortified Wine and Vermouth 2003-2005
Table 91 Forecast Sales of Wine by Subsector: Total Volume 2006-2011
Table 92 Forecast Sales of Wine by Subsector: Total Value 2006-2011
Table 93 Forecast Sales of Wine by Subsector: % Total Volume Growth 2006-2011
Table 94 Forecast Sales of Wine by Subsector: % Total Value Growth 2006-2011
SPIRITS IN HUNGARY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
Table 95 Sales of Spirits by Subsector: Total Volume 2001-2006
Table 96 Sales of Spirits by Subsector: Total Value 2001-2006
Table 97 Sales of Spirits by Subsector: % Total Volume Growth 2001-2006
Table 98 Sales of Spirits by Subsector: % Total Value Growth 2001-2006
Table 99 On-trade vs Off-trade Sales of Spirits: Volume 2001-2006
Table 100 On-trade vs Off-trade Sales of Spirits: Value 2001-2006
Table 101 On-trade vs Off-trade Sales of Spirits: % Volume Growth 2001-2006
Table 102 On-trade vs Off-trade Sales of Spirits: % Value Growth 2001-2006
Table 103 Sales of Blended Scotch Whisky by Premium/Super-premium Split 2004-2006
Table 104 Sales of Gin by Premium/Super-premium Split 2004-2006
Table 105 Sales of Vodka by Premium/Super-premium Split 2004-2006
Table 106 Sales of Vodka by Flavoured vs Non-flavoured 2004-2006
Table 107 Spirits Production, Imports and Exports: Total Volume 2001-2005
Table 108 Whisk(e)y Production, Imports and Exports: Total Volume 2001-2005
Table 109 Brandy & Cognac Production, Imports and Exports: Total Volume 2001-2005
Table 110 Vodka Production, Imports and Exports: Total Volume 2001-2005
Table 111 Gin Production, Imports and Exports: Total Volume 2001-2005
Table 112 Rum Production, Imports and Exports: Total Volume 2001-2005
Table 113 Tequila Production, Imports and Exports: Total Volume 2001-2005
Table 114 Liqueurs Production, Imports and Exports: Total Volume 2001-2005
Table 115 Other Spirits Production, Imports and Exports: Total Volume 2001-2005
Table 116 Company Shares of Spirits by National Brand Owner 2001-2005
Table 117 Company Shares of Spirits by Global Brand Owner 2001-2005
Table 118 Brand Shares of Spirits 2002-2005
Table 119 Forecast Sales of Spirits by Subsector: Total Volume 2006-2011
Table 120 Forecast Sales of Spirits by Subsector: Total Value 2006-2011
Table 121 Forecast Sales of Spirits by Subsector: % Total Volume Growth 2006-2011
Table 122 Forecast Sales of Spirits by Subsector: % Total Value Growth 2006-2011