Market Trends of Beer Industry
Preference for Low Alcoholic Beer by Volume (ABV) or Non-Alcoholic Beers
- The brewing industry is witnessing an increased demand for low-alcohol-by-volume beverages, specifically among millennials and baby boomers. The sales of low-alcohol drinks have been rising, with consumers’ growing interest in health-consciousness and the availability of a more comprehensive product portfolio with improved taste, aiding consumers to select products per their preference easily.
- Additionally, beer industry statistics state that low-alcohol beers are becoming more popular, owing to increased consumer knowledge of alcohol unit intake and customers' eagerness to sample new beverages. This shift in beer industry trends may be seen in the demand for low-alcohol and no-alcohol drinks by volume in the United Kingdom, United States, Germany, and Canada, where off-license and supermarket sales have been growing rapidly. For instance, according to the Beer Institute organization, the import volume of non-alcoholic beer in the United States amounted to 12.58 million gallons in 2022, which increased from 11.96 million gallons in the previous year.
- The other beer industry trends supporting the brewing industry growth are the launch of new and innovative products. Low-alcohol beers are now cheaper than their high-alcohol equivalents, especially those with 2.8% alcohol by volume (ABV) and lower. The scenario is more prevalent in European countries, like Sweden, where brewers seek to change the low alcohol-by-volume beer by launching attractive products across wide distribution channels to penetrate the market.
- For instance, in March 2023, Carlsberg Marston’s Brewing Company launched Carlsberg 0.0 across the United Kingdom. The company launched this product in over 300 Tesco stores and Tesco online stores. Such factors are expected to aid ABV or non-alcoholic beers further to grow its market during the forecast period.
Understand The Key Trends Shaping This Market
Download Sample
North America Dominates the Market
- The United States is one of the prominent countries in terms of the beer market share due to its high production and consumption rates. For instance, according to the Brewers Association, the United States produced 24.8 million barrels of beer in 2021, with an 8% growth rate. The United States beer market has also contributed to the increasing preference for alcoholic beverages among consumers. Particularly, millennials are more interested in experiencing a variety of flavored beer and beer mixes for innovative drinking experiences.
- On the other hand, the growing number of brewpubs, microbreweries, and taprooms is the primary factor driving the beer market growth in the country. Based on the Brewery Association data, 202 new brewpubs were opened in the country in 2021. Similarly, 360 taprooms opened in the same year.
- Moreover, beer industry analysis shows that beer has become integral to social gatherings, parties, and celebrations in the United States. Furthermore, the increasing number of microbreweries has surged the popularity of craft beer in the country, which was supported by the shifting consumer demand toward variety and taste for flavor that led to the inclusion of microbreweries into the craft beer industry. According to the Brewers Association, the number of craft breweries in the United States reached 9118 in 2021 from 8391 in 2019.
- Furthermore, with the growing craft beer trend, brewers are focused on launching new products to make a significant beer market share by brand. For instance, in March 2021, Stone Cold Steve Austin partnered with El Segundo Brewing to release a new American lager at Billy Bob’s Texas in Forth Worth, featuring a concert by Texas country-rock outfit Reckless Kelly. Such new segments developing in the brewing industry are expected to expand in the region, thereby aiding the beer companies to grow.
Get Analysis on Important Geographic Markets
Download Sample
