The global alcoholic beverages market revenue was valued at USD 2,313.2 billion in 2023 and is expected to grow from USD 2,527.0 billion in 2024 to USD 5,716.2 billion by 2032, at a compound annual growth rate (CAGR) of 10.74% during the period from 2024 to 2032. In 2023, the Asia Pacific region dominated the market with a share of 40.44%. The U.S. alcoholic beverages market is also projected to experience significant growth, reaching an estimated value of USD 702.96 billion by 2032, fueled by the rising number of urban consumers opting for alcoholic drinks.
Alcoholic beverages are made through the fermentation of various ingredients such as grains, berries, fruits, and other substances like tubers, plant saps, honey, and milk. These ingredients undergo fermentation, which converts sugars into alcohol. In some cases, the beverage is then distilled to reduce the original watery liquid and increase the alcoholic content, resulting in a beverage with a higher alcohol concentration.
Information Source: https://www.fortunebusinessinsights.com/alcoholic-beverages-market-107439
List of Key Players Mentioned in the Report:
- Anheuser-Busch Inbev (BUD) (Belgium)
- Asahi Group (Japan)
- Bacardi (Bermuda)
- Brown Forman (U.S.)
- Carlsberg (Denmark)
- Constellation Brands (U.S.)
- Diageo (U.K.)
- Heineken (Netherlands)
- Pernod Ricard (France)
- Suntory (Japan)
Segments:
Increasing the Number of Distilleries and Distilled Spirits to Hold the Largest Share and Drive the Market
On the basis of type, the largest share is held by the distilled spirits segment. The factor that is responsible for the market growth is the increasing number of distilleries. Social media exposure has made it convenient for consumers to get to know more about the new spirits category and to identify local distilleries.
Beer holds the second-largest share of the market. The beer industry is divided, with many international and local players challenging each other to mark their position in the market. The U.S. is the major exporter of beer globally. The adoption of western and modern culture has influenced the young generation toward alcoholic beverages, specifically beer. In South Asian nations, beer is the most consumed alcoholic beverage among young adults.
Food Service Segment Holds the Largest Share due to Increase in Socializing
Based on distribution channel, post-pandemic socializing and gathering have increased alcoholic beverage consumption, boosting alcohol consumption and sales in the food service sector. Most people and young adults can switch from beer to brown liquor such as scotch, brandy, rum, and whisky.
Report Coverage:
The report offers:
- Major growth drivers, restraining factors, opportunities, and potential challenges for the market.
- Comprehensive insights into regional developments.
- List of major industry players.
- Key strategies adopted by the market players.
- Recent industry developments include product launches, partnerships, mergers, and acquisitions.
Drivers and Restraints:
Growing Number of Breweries and Wineries among Adults to Drive Market Growth
The increasing demand for alcoholic beverages has led to an increase in micro wineries and some craft, artisanal alcohol producers entering the winery industry. According to the U.S. Bureau of Labor Statistics, the number of U.S. wineries surpassed 4,000 in 2016. There were 5,024 wineries in 2020, four times more than in 2001. There were 13,478 beverage production facilities in 2020, with 38% breweries and 37% wineries making up a significant portion of the industry.
Consumers are becoming more anxious and aware of health issues due to increased health risks, so the beverage demand has decreased. This reason is anticipated to reduce the market growth.
Regional Insights:
Increasing Demand for Alcohol from Working Professionals to Boost Asia Pacific Market
Asia Pacific dominates the alcoholic beverages market share. The working professional's social life has changed drinking and eating habits drastically, a significant factor that accounts for the Asia Pacific market growth. The market's steady growth is also due to the increasing demand for premium alcohol. Rising incomes, increasing purchasing power, and rapid urbanization of middle-class consumers are pushing consumers to try super-premium alcohol, contributing to the market growth. Asia Pacific alcoholic beverage makers, such as Asahi Group and Suntory Holdings Limited, are engaged in mergers, acquisitions, expansions, and product launches to strengthen their market positions.
Competitive Landscape:
Market Players Focus on New Product Launches to Strengthen Market Position
Leading companies in the market are competing to increase their market share by providing solutions that are specific to particular sectors. These players strategically work with and take over local rivals to gain a solid regional footing. These companies prioritize developing innovative products and effective marketing strategies to capture a larger market share. The growing volume of international trade is projected to present lucrative opportunities for market players.
Key Industry Development:
- November 2022: Diageo acquired Balcones Distilling, a noteworthy Texas craft and premium whisky distiller. This acquisition aims to gain high-growth brands in fast-growing segments such as super-premium whiskey.
Comments
0 comment