Canned Alcoholic Beverages Market Outlook 2024: Navigating the Changing Consumer Preferences

Canned Alcoholic Beverages Market Outlook 2024: Navigating the Changing Consumer Preferences

The global Canned Alcoholic Beverages Market is estimated to be valued at US$ 7.94 Billion in 2024 and is expected to exhibit a CAGR of 14.% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

The canned alcohol industry involves beverages pre-mixed and packaged in cans, allowing for hassle-free and portable alcoholic drinks. Over the past decade, canned beer and seltzer have dominated the segment. However, innovations in flavor profiles and formulations are broadening the market scope. Infused beverages incorporating fruit juices, teas or other mixers alongside distilled alcohol are gaining immense popularity among health-conscious consumers. Likewise, diverse cocktail offerings brewed or distilled then canned are resonating well with millennials and Gen Z who prefer the convenience of canned drinks over bottles. As customer preferences continue transitioning toward all-inclusive ready-to-drink beverages, the canned alcohol segment is poised for robust expansion through 2031.

Major players in the global canned alcoholic beverages market include Diageo plc, Brown-Forman, Pernod Ricard, Bacardi Limited, Suntory Holdings Limited, Asahi Group Holdings, Ltd., Anheuser-Busch InBev, E. & J. Gallo Winery, Constellation Brands, Inc., Treasury Wine Estates, Barefoot Cellars, and Kona Brewing Co. These companies maintain leading market positions owing to their diverse brand portfolios and innovative product launches.

The key market trends driving the canned alcoholic beverages industry include rising experimentation with exotic and unique flavors, surging demand for gluten-free and low-calorie options, and increasing emphasis on sustainability packaging formats like slim cans. As consciousness regarding health, wellness and environmental protection grows stronger, players delivering on these attributes are well-poised to lead category growth over the coming decade.

Future Outlook

The canned alcoholic beverages market is expected to see robust growth in the coming years. Rising millennial population, an increasing demand for convenient packaging and growing socialization using such beverages are likely to drive adoption. Urbanization and westernization of lifestyles are prompting experimentation with new forms of premixed and canned drinks. Greater availability of hard seltzers and innovative flavors in canned format will further bolster market expansion till 2031. Growing health consciousness may lead to reduced sugar or low calorie innovations in canned wine, cocktails and spirits categories. With sustainability being a priority, recyclable and biodegradable can materials could see higher usage. Demand from emerging economies of Asia Pacific and Latin America presents bright prospects as well given rising disposable incomes. Stringent regulations though pose a challenge which players aim to navigate through advanced production processes.

Opportunity

One key opportunity for market participants is the growing demand among millennials and Gen Z consumers. These demographic segments have more relaxed views on alcohol and show higher preference for lighter, flavorful canned beverages over traditional bottles or cans. They are often early adopters of new products as well. Canned cocktails and craft beer inspired drinks matched with bright graphics and vibrant flavors could attract these consumers in greater numbers over the forecast period. Companies aiming their innovations and promotions specifically at urban youth could see accelerated gains.

PEST Analysis

• Political: Regulatory changes regarding alcohol advertising and sales may impact business strategies. Trade policies also exert influence on international movements.
• Economic: Economic growth supports rising consumer spending power. However, downturns weigh on discretionary purchases. Inflation and currency fluctuations are other determinants.
• Social: Evolving social trends like health-consciousness, interest in niche flavors, outdoor activities and casual drinking occasions spur new product innovations.
• Technological: Advanced manufacturing and filling technologies help achieve product consistency and quality at scale. Digital marketing tools facilitate customer engagement and innovative promotion campaigns.

Key Takeaways

Growing demand: With dual income households rising across regions, discretionary spending capacities are increasing for premium packaged drinks. Various social occasions now involve canned wines, cocktails and beers which was previously dominated by bottled versions alone indicating market potential.

Global expansion: Leading players are strategizing entry into high growth ASEAN and African countries to tap rising middle class populations with apparent shift towards Western lifestyles. This will strengthen their worldwide footprint.

Technological advancements: Adoption of technologically advanced automated filling lines, digital identification solutions and blockchain enabled anti-counterfeiting methods point towards enhanced production efficiency, quality control and supply chain transparency in the industry going forward.