One of the most prominent players in the Ukrainian alcohol industry is BAYADERA GROUP, which, according to its data, covers 35% of the domestic market. Despite the difficulties of doing business in the face of a full-scale invasion, the Group continues to develop in all areas: both in the domestic market and in exports. The company's portfolio includes its own brands Hlibny Dar, Kozatska Rad, Koblevo, Marengo, etc.
BAYADERA GROUP products are represented in 30 countries, including Germany, Italy, Spain, Poland and Latvia. In addition, the company is the exclusive distributor of products of global brands, including Captain Morgan, Johnnie Walker, and Bailey’s, Moët & Chandon, Metaxa, Hennessy, Koskenkorva, Jägermeister, Becherovka and many others. Anatoliy Korchynsky, CEO of BAYADERA GROUP, and Vitaliy Pichkur, Head of Bayadera Elite business unit, spoke to Forbes BrandVoice about increasing imports and leaving the Russian market.
Three pillars of business
Since its establishment in 1991, BAYADERA GROUP's focus has been on the distribution of domestic alcoholic beverages, construction of its own production facilities, creation of its own brands of alcoholic beverages, and in the early 2000s, the company began to develop imports. As a result, today the Group has three separate business units: Bayadera Logistic - national production and distribution of alcoholic beverages, Bayadera Elite - import and distribution of global alcohol brands, and Bayadera Export. “The main advantage of such a structure is multi-segmentation,” says Anatoliy Korchynsky,”This synergy of businesses, like a powerful engine, will drive the business forward in today's turbulent environment.
After the start of the full-scale invasion, BAYADERA GROUP had to build business processes in a new paradigm. Since mid-2022, a new stage in the development of the Ukrainian alcohol industry has begun, namely, imports, exports, and most importantly, national production have increased. In 2024, the sales volume of all the Group's business units amounted to UAH 15billion, which is 18% more than in 2023.
Selection of partners
The company has been developing the import business for over 20 years. “Having the most developed and powerful national distribution network in the country, we decided to open an import business, offering our business development and distribution services to international alcohol companies,” Anatoliy Korchynskyi recalls. ”On the other hand, there was a counter demand for a strong and reliable partner for the Ukrainian market, so the import business of BAYADERA GROUP received a rapid impetus for development and continues to move forward dynamically.
BAYADERA GROUP takes a comprehensive approach to the selection of international partners. The basic criteria are the availability of a quality product, balanced price and competitive positioning. “If we have an unfilled niche in the portfolio and know a worthy product to fill it, we initiate a dialogue with the manufacturer,” says Vitaliy Pichkur, Head of the Bayadera Elite business unit,”But the reputation of a potential partner and the values we share with him are also important. All our international partners are, first and foremost, leaders in their market, geographic and product clusters.”
For example, the global French company Moët Hennessy with its flagship brands Moët & Chandon, Hennessy, and Glenmorangie. “We signed a distribution agreement with Moët Hennessy more than 10 years ago, in 2014; the volume of imports of this company's products is growing every year. For example, last year we imported a total of about 220 thousand liters of products,” Vitaliy Pichkur cites the figures.
Another regional company is the Polish Maspex Group with the brands Żubrówka, Soplica, and Becherovka, with which we started cooperation in 2022. Last year, thanks to BAYADERA GROUP, more than 2.6 million liters were imported to Ukraine. “All of these brands have been quite recognizable and popular among consumers in the Ukrainian market for many years, regardless of the scale of the manufacturing company,” says Vitaliy Pichkur.
Import development plans
The company is constantly developing Bayadera Elite's import portfolio, and every year the group's representatives sign exclusive distribution agreements with both small manufacturers and large companies. “Our goal is to have the most balanced and diversified offer possible, which makes it possible to offer the Ukrainian consumer the best choice of quality products in all product and price subcategories,” Vitaliy Pichkur emphasizes.
While before the war, in 2021, the company's imports amounted to UAH 3.2billion, last year the Bayadera Elite division finished with a figure of UAH 5.7billion. Today, BAYADERA GROUP covers a 15% share of the Ukrainian import market of alcoholic beverages.
In the postwar period, the company plans both intensive and extensive development vectors. “On the one hand, we see a great potential for the development of our existing large portfolio, and on the other hand, we are in long-term negotiations with a number of potential partners who are interested in our cooperation - from large global companies to small family-run businesses,” says the head of the Bayadera Elite business unit. According to him, the company's global goal is to maintain a leading position among importers of alcoholic beverages, continuing the stable development and growth of the business.
On leaving the Russian market
Today, BAYADERA GROUP does not own any assets directly or indirectly and does not operate in Russia. “The vast majority of messages from representatives of law enforcement agencies that have recently appeared in the Russian media regarding Ukrainian assets are, to put it mildly, unreliable,” says Korchinsky. ”Accordingly, the information about the confiscation of the Group's alleged assets has nothing to do with our company, and certainly does not affect its financial condition or any other indicators”.
Humanitarian projects of the company
In the first days of the Great War, BAYADERA GROUP's international partners donated EUR 5.5 million to humanitarian support for Ukraine. In particular, Diageo, LVMH, Anora Group, Jägermeister and many others, provided financial support.
In addition, over the three years of the full-scale war, BAYADERA GROUP has provided more than UAH 85million to support the Armed Forces of Ukraine, focusing on helping the army, rehabilitating the military, and social and humanitarian projects. “The holding buys and transfers cars, drones, quadcopters, diesel generators, thermal imagers, medicines, medical supplies, and equipment to the front,” the holding's top manager gives examples.
About business responsibility
Since the beginning of the full-scale invasion, BAYADERA GROUP has paid UAH 12.5billion in taxes and fees. According to the State Tax Service, the company is among the largest taxpayers in the country's alcohol industry. “In our opinion, the understanding of ethical business is based on several pillars - publicity, compliance with legal norms and mutual trust - on the part of the state, partners, consumers, and the team,” says Anatoliy Korchynsky.
”As a responsible business, we openly call for responsible consumption of any alcoholic beverage. As for our partners, we have been working with some of them for more than 20 years. Our goal is to continue to develop our business both in Ukraine and abroad, creating a positive image of high-quality Ukrainian products and our homeland.”
