Alcoholic Beverages Market Size is Set to Grow by USD 261.6 Billion from 2024-2028, Increase in Popularity of Craft Segment to Boost the Market Growth

The global alcoholic beverages market size is estimated to grow by USD 261.6 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of 2.09% during the forecast period. Increase in popularity of craft segment is driving market growth, with a trend towards increasing consumption of alcoholic beverages. However, prominence of counterfeit products poses a challenge. Key market players include Anheuser Busch InBev SA NV, Asahi Group Holdings Ltd., Bells Brewery Inc., Campari Group, Carlsberg Breweries AS, Constellation Brands Inc., Deschutes Brewery, D.G. Yuengling and Son Inc., Diageo Plc, FIFCO USA, Heineken NV, Kirin Holdings Co. Ltd., Molson Coors Beverage Co., New Belgium Brewing Co. Inc., Pernod Ricard SA, Stone Brewing Co. LLC, Suntory Holdings Ltd., Treasury Wine Estates Ltd., Victory Brewing Co., and Yanghe Distillery Co. Ltd..

 

Key Market Trends Fueling Growth

In developing economies like India, China, Indonesia, and Singapore, the alcoholic beverages market is experiencing significant growth. The increasing demand for premium alcoholic beverages is a major factor driving this industry. Producers are expanding their sales channels, including online stores and convenience stores, to reach more consumers. New product launches, such as Constellation Brands’ Shyft, a new flavor-changing flavored malt beverage, are also contributing to market growth. These factors will continue to boost the alcoholic beverages industry during the forecast period. 

The alcoholic beverages market is experiencing significant trends with various types gaining popularity. Carbonated alcoholic beverages, such as beer and carbonated drinks, continue to be in demand. Alcoholic liquors, including whiskey and spirits, are also seeing growth. Hearts and distilleries produce a range of alcoholic beverages, including cardiovasculature drinks and distilled spirits. Factories manufacture alcoholic beverages using modern technology. Consumers prefer premium and super-premium brands, driving up market value. The market is competitive with brands competing on taste, price, and marketing strategies. The industry is subject to regulations regarding alcohol content and marketing. Sustainability is a trending concern, with some companies focusing on eco-friendly production methods. Overall, the alcoholic beverages market is dynamic and evolving, with various trends shaping its growth. 

Market Challenges

The alcoholic beverages market faces a significant challenge from the proliferation of counterfeit alcoholic beverages. These fake products, made from substandard raw materials, pose health risks to consumers and result in substantial revenue losses for manufacturers worldwide. Counterfeit alcohol, also known as unrecorded or non-commercial alcohol, harms brand reputation and sales. Vodka is a common target for counterfeiters. Combating the expansion of counterfeit alcoholic beverages is crucial to safeguard consumer health and ensure the growth of the alcoholic beverages industry.

The Alcoholic Beverages market faces several challenges in the modern business landscape. Key areas of concern include regulation and compliance, such as the implementation of stricter drinking age laws and limits on alcohol content. Competition is fierce, with numerous brands and types vying for consumer attention. Urbanization and population growth in some regions create new opportunities, while in others, declining consumption trends pose challenges. Factors like consumer preferences, cultural norms, and economic conditions also impact the market significantly. Additionally, the rise of e-commerce and digital marketing necessitates a strong online presence for brands to succeed. Overall, the Alcoholic Beverages industry must adapt to these challenges to remain competitive and thrive in the dynamic business environment.

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SOURCE: PR Newswire / Technavio (Press Release)
PHOTO CREDIT: Technavio