Beer Market Overview
The beer market size is estimated to reach $962 billion by 2027, growing at a CAGR of 2.9% during the forecast period 2022-2027. Beer is delineated as a drink that falls under the category of alcoholic beverages. It is prepared through brewing where cereal grains consisting of starch are marinated in water. Barley is the most common and extensively used cereal grain in the production of beer. Following the steeping fermentation process comes into the picture to confer beer its intoxicating content where yeast is added to alter glucose in ethanol and carbon dioxide. The beer market outlook is exceedingly captivating as the demand for beverages with lower alcoholic content is proliferating. To curve this precipitous rise in demand market players are focusing on wide-scale production which is resulting in the heightened number of breweries. Moreover, the innovative flavor options are proving to be the best thing since sliced bread for firms in their respective market. Elevating purchasing power, and western influence in developing countries like India, China are factors set to drive the growth of the Beer Market for the period 2022-2027.
The report: “Beer Market Forecast (2022-2027)”, by Industry
ARC, covers an in-depth analysis of the following segments of the Beer Market.
By Category: Malt, Ale, Lager, and Others.
By Source: Barley, Wheat, Rice, Corn, and Oats.
By Production: Craft Brewery, Micro and Macro-Brewery.
By Packaging: Glass bottles, and Cans.
By Geography: North America (U.S., Canada, and Mexico), Europe (Germany, UK, France, Italy, Spain, Russia, and Rest of Europe), Asia-Pacific (China, India, Japan, South Korea, Australia & New Zealand, and Rest of Asia-Pacific), South America (Brazil, Argentina, and Rest of South America) and Rest of World (the Middle East and Africa).
- Geographically, the Europe Beer Market accounted for the highest revenue share in 2021. However, Asia-Pacific is poised to dominate the market over the period 2022-2027.
- The broadening number of breweries, pubs, and clubs worldwide is said to be the preeminent driver driving the growth of the Beer Market. Addictive nature and their overuse can erupt many health complications which are said to reduce the market growth.
- Detailed analysis on the Strength, Weaknesses, and Opportunities of the
prominent players operating in the market will be provided in the Beer Market
Beer Market- Geography (%) for 2021
Beer Market Segment Analysis - By Source
The Beer Market based on the source type can be further segmented into Barley, Wheat, Rice, Corn, and Oats. The barley segment held the largest share in 2021. The growth is owing to its enzyme-rich nature. With the broadening trend of craft beer ascribing to its taste and flavor richness the demand for these cereal grains is plunging upward. Barley extents high effectiveness during fermentation of craft beer which gives more alcoholic content to the beverage. Furthermore, the presence of alpha-amylase and beta-amylase helps in the instantaneous breakdown of amylum polymeric carbohydrates into sugars which gives barley an edge over other grains. Furthermore, the barley segment is estimated to be the fastest-growing segment with a CAGR of 3.4% over the forecast period 2022-2027. This growth is owing to health benefits accompanied by such cereal grains as they provide vitamins, minerals, and fibers. Health benefits extended by barley are better metabolism, balanced cholesterol levels, and lower risk of a heart attack.
Beer Market Segment Analysis - By Packaging
The Beer Market based on quality type can be further segmented into Glass bottles, Cans. The glass bottle segment held the largest share in 2021. The growth is owing to several benefits of glass as compared to cans. Glass bottles are hard-wearing, impervious to oxygen, impenetrable. Moreover, they can withstand high temperatures due to their heat-tolerant nature. Ascribing to all these characteristics glass bottles conserve the actual flavor of the beer. Moreover, glass is the most common medium to serve beers in clubs, restaurants, and hotels as beer in an open glass gives confer access to its fragrance and augment the sensory experience. However, the can segment is estimated to be the fastest-growing with a CAGR of 3.6% over the forecast period 2022-2027. This growth is owing to being portable and convenient to use. One of the best advantages of cans over bottles is lower chilling time. Moreover, the eventful lives of people are making cans a better alternative to bottled beers. Furthermore, cans are made of aluminum which is 95% recyclable, thereby helping the companies to place sustainable growth and ecological thinking as the base parameter.
Beer Market Segment Analysis - By Geography
The Beer Market based on Geography can be further segmented into North America, Europe, Asia-Pacific, South America, and the Rest of the World. Europe held the largest share with 41% of the overall market in 2021. The growth in this segment is owing to the factors such as the presence of alcohol loving population in European countries. The Czech Republic is the biggest consumer of beers with 188.6 liters per capita consumption Similarly, many other nations like Spain, Ireland, Romania, Austria, and others have their per capita consumption rates near to 100 liters. Besides, due to developed economies people in these nations enjoys a high standard of living and increased demand for alcoholic beverages. However, Asia-Pacific is expected to be the fastest-growing segment over the forecast period 2022-2027. This growth is owing to growing disposable income in developing nations. Additionally, youngster favors beer more than other beverages and the Asian nations hold a vast percentage of the young age population which is stimulating the overall demand in the beer market.
Beer Market Drivers
Elevation in the number of breweries, per capita income, is Anticipated to Boost Product Demand
With swift modernization and industrialization purchasing capacity of consumers worldwide is swelling. If we talk about the developed world then the majority of European nations have more than $60,000 GDP per capita. Nevertheless, developing nations are also witnessing a surge in purchasing powers too. For instance, India’s per capita income is anticipated to reach $1850 by the year 2023. Therefore, with rising purchasing capacity, and growing western influences worldwide people especially youngsters are making more demand. Therefore, market players are setting more breweries to curve this soaring demand. According to a report, with a slight increase than the previous year number of breweries in the US has reached over 9000 in 2021.
Blooming trends of nightlife, Speedy modernization augmenting the number of wine shops, pubs, and discos are Anticipated to Boost Product Demand
With swift modernization number of wine shops and clubs is on the rise
to tap the proliferating demand for alcoholic beverages. With a 1.3% expansion,
the number of wine shops in the US has reached over 43000 in 2021. Moreover,
the exuberant nightlife of countries like the US, UK, Spain is a sight to hold.
A report claimed that there are more than 60,000 bars and nightclubs in the US
as of 2021. The number is expected to rise further in foreseeable future.
Beer Market Challenges
Health complications and restricted advertisement is Anticipated to Hamper Market Growth
Beer Market Competitive Landscape:
Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Beer Market. The top-10 Beer Market companies of this market are-
- The Boston Beer Company
- Heineken N.V
- Carlsberg Group
- Constellation Brands
- Anheuser-Bush InBev
- Beijing Enterprises Holdings
- Dogfish Head Craft Brewery
- Nited Brewery
- Sierra Nevada Brewing Co.
- June 23, 2021, Netherlands-based famous beer company “Heineken” has
raised its shareholding by 14.9% in “UBL”, which is the beer division of
India-based leading brewing company “UB Group.” In the process, Heineken bought
an extra 39.6 million and now the company has control over a 61.5% stake in
UBL. Owing to the following strategy, Heineken would now hold the Indian market
by market capitalization and product control as separate parameter, which
would allow effective synergies.
- April 14, 2021, England-based multinational firm Diageo that
manufactures alcohol beverages successfully acquired “Loyal 9 Cocktails”, a
US-based company that manufactures ready-to-drink spirits. The step is
anticipated to be a complete banger as demand for ready-to-drink cocktails is soaring
in the US. The ready-to-drink cocktails sales witnessed a 79% increase and
reached $664 million in 2020.
- May 2, 2019, Heineken, a leading Dutch beer company based in Amsterdam, Netherland announced the acquisition of “Biela y Bebidas del Ecuador S.A” commonly known as “Beila Ecuador.” With this move, Heineken has set its foot in the profitable 6 million hectolitres beer market of Ecuador. HEINEKEN also plans to brew Heineken® beer locally in due course.
Craft Beer Market-Forecast (2022-2027)
Report Code: FBR 57909
South America Alcoholic Beverages
Market – Forecast (2022 - 2027)
Report Code: CPR 0040
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