Beer Market To Perceive Extensive Gains Owing To New Product Developments

Market Research Future (MRFR) has published on the “Global Beer Market”.

Global Beer Market

The global beer market has witnessed significant growth over the past few years, with an increasing number of consumers turning to low-alcohol and non-alcoholic beer. This trend can be attributed to growing health consciousness among consumers who are looking for beverages with lower alcohol content. Additionally, the rising popularity of low-alcohol and non-alcoholic beer can be attributed to changing consumer preferences and the availability of new products in the market.

However, there are several restraints that could potentially hamper the growth of the global beer market. One such restraint is the high taxes imposed on beer in certain countries. This has made beer an expensive luxury item in some regions, leading to reduced demand for the product. Additionally, stringent regulations regarding the marketing and advertising of beer in several regions of the world have also hampered growth, making it difficult for beer manufacturers to reach their target audience. Another driver of the global beer market is the expansion of beer manufacturers into emerging markets. With the growing demand for beer in countries like China, India, and Brazil, beer companies are looking to capitalize on the potential for growth in these markets. As a result, many beer companies are investing in production facilities in these countries, as well as marketing and advertising campaigns to increase awareness of their brands.

Market Synopsis

The global beer market was estimated at USD 646.01 billion in 2022 and is anticipated to grow at a CAGR of 6.64% to reach USD 1,080.18 billion by 2030.

The global beer market is split based on packaging type, production, consumer group, category, price, distribution channel, and region. The global beer market is poised for continued growth, driven by changing consumer preferences and the expansion of beer companies into emerging markets. However, to capitalize on this growth, beer manufacturers must navigate the challenges of high taxes, regulations, and intense competition, while also investing in R&D and creating innovative products to stand out in a crowded market. 

COVID-19 Impact on Beer Market

The pandemic, which is impacting numerous countries worldwide, has already influenced the world economy and is expected to produce turmoil and global catastrophe. Different industries are affected by COVID-19 differently. Every industry across the globe experienced a surge in the growth after pandemic. This covid-19 pandemic has impacted the commodity market in various ways.

Competitive Landscape

Major market companies are attempting to increase their product lines through mergers, acquisitions, and research, which will help the beer industry grow even more. To increase their market position and attract a wide consumer base, the businesses are focusing on minimizing their environmental impact and investing in research & development, as well as strategic expansion efforts such as acquisitions and product launches.

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By Packaging Type

  • Cans: The packaging of beer in cans provides a myriad of benefits and one such advantage is sustainability as the cans are made mostly with aluminum and metal that can be recycled easily compared to glass bottles.

  • Bottles: The majority of bottled beers can be found in glass and are perceived as of higher quality and also factors like aesthetics and hygiene add to their prevalence of use in the industry. Presently 12 ounce green and brown bottles are used widely for the packaging of bottled beers. 

By Type

  • Alcoholic: The alcoholic beer comprises ale, lager, stout, ale, and every other beer that is produced using malt fermentation. Owing to the long-term consumption of alcoholic beer, people tend to conceive that alcoholic beer has a better taste than non-alcoholic beer. However, there’s not much difference between both and is mainly attributed to the individual’s perception. The constant product launch by the players in the market is driving the growth of the market.

  • Non-Alcoholic: Non-alcoholic beers are generally considered a healthy alternative to alcoholic beverages owing to their health benefits including reduced risk of health, lower calorie intake, can improve bone density due to the presence of silicon, can improve blood circulation, etc. 

By Production

  • Microbrewery: Microbrewery also known as the traditional brewery is a large type of brewery that is involved in the mass production of beer and generally helps in reducing production costs through economies of scale, as a result, these breweries are priced at a lower cost compared to craft beer.

  • Microbrewery: Microbrewery is the type of brewery that produces a maximum of 15,000 barrels annually and they use adjuncts as a tool for cost-cutting. It has of good quality and is generally yellow-colored. Microbreweries are priced lesser than microbreweries and are higher than craft breweries due to low operating costs.

  • Craft Brewery: A craft brewery is involved in the production of 2 million gallons annually that are generally brewed in small batches. They tend to focus on procuring high-quality and traditional ingredients that help in achieving premium quality and better flavor, aroma, and hazy. Also, by definition, craft breweries cannot use adjuncts in production and can be used to improve flavor and aroma and not as a cost-cutting strategy followed by macro breweries

By Price

  • Popular Priced: Popular-priced are defined as the price point that people are willing to pay and are generally priced at the lower range. It includes an average price range of USD 0.7 to USD 11.60 per pint.

  • Premium: Premium beers are those beer products that fall in the price range from a minimum of USD 44 per 720 ml to a maximum of USD 1815 per 500 ml. Some of the famous premium beers are Nail Brewing’s Antarctic Nail Ale, Pabst’s Blue Ribbon, BrewDog’s End of History, Carlsberg’s Jacobsen Vintage, Schorschbrau’s Schorshbock 57, Samuel Adams’ Utopias.

By Consumer Group:

  • Gen Z: Gen Z, the youngest consumer group consisting of individuals born between 1997 and 2012, also includes a proportion of the legally permitted population that can consume alcoholic drinks including beer in various parts of the world.

  • Millennials: Millennials are those population that are born between 1981 and 1996, one of the largest consumer groups that are engaged in the workforce compared to other groups.

  • Gen X: Gen X comprises the population that is born between 1965 and 1981, one of the largest consumer groups that on average has more household income, accounts for around 33% of the sales of alcohol and 13% of beers on Drizly, an online alcohol retailer.

  • Boomers: Boomers, the population born between 1946 to 1964, presently constitute the senior citizen category of the population. They account for the second largest population next to millennials in the majority of countries.

By Distribution Channel:

  • On-Premises: On-premises sales of beer are the distribution strategy that involved the direct sales of beer to consumers within the premises of the brewery or place of manufacturing.

  • Supermarkets & Hypermarkets: Supermarkets & Hypermarkets play a significant role in the sales of beers especially non-alcoholic beverages as they stock a wide range of grocery items, snacks, beverages, and other food items of various brands.

  • Specialty Stores: G Specialty Stores include liquor shops, pubs, restaurants, and bars. These stores offer niche and a wide range of unique beer products which serves as a unique proposition for its sales.

  • Online: During the projected period, the online sales channel is one of the fastest-growing sub-segments in the global beer market's sales channel segment. E-commerce websites and the company's online platforms, where buyers may buy things with a single click, are examples of internet-based retail formats.

By Region

  • North America: The global beer market has been growing steadily in recent years, with North America being one of the key regions contributing to this growth. The increasing popularity of craft beer and the growing demand for premium and super-premium beer are some of the key factors driving the growth of the beer market in the US. The increasing popularity of low-alcohol beer and the rising trend of health and wellness are also expected to contribute to the growth of the beer market in the US. Additionally, the growing population of youth coupled with the ever-changing consumer preferences towards the variety of beverages has made beer popular in the region for decades.

  • Europe: Europe is one of the largest beer markets in the world, with a rich history and a diverse range of beer cultures. Major countries in the European region such as France, Germany, Ireland, the UK, and Russia have witnessed the key contributing countries as part of the consumption of alcoholic & non-alcoholic beers. Beer plays an important role in all European countries and is an integral part of culture, heritage, and nutrition.

  • Asia-Pacific: The Asia-Pacific region which is comprised of the countries like China, India, and Japan is considerable, one of the fastest-growing regions in the world. The region has massive potential for beer manufacturers and their products across the world. The regional market is led by countries such as India, Australia, and China where consumers are increasingly seeking to drink beer.

  • Rest of the World: The rest of the world which includes South America, the Middle East, and Africa is a significant market for beer. The region represents a significant portion of the global beer market. This region is characterized by a diverse range of cultures, economic conditions, and consumer preferences, which present both challenges and opportunities for brewers. The global beer market is constantly evolving, with several factors affecting its growth and development. Additionally, South America is home to several major beer markets, including Brazil, Argentina, and Colombia.

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