Trends in Beer Market

Market Overview

The global beer market size was valued at USD 703.8 billion in 2022. It is projected to reach USD 959.21 billion by 2031, growing at a CAGR of 3.5% during the forecast period (2023–2031)

All types of beers such as, lager, ale, and craft are gaining popularity across the globe with rising young-adult population demographics. Beer mostly consists of malted cereal grains, hops, and yeast together fermented with slow fermentation process. Nutritional value of beer differs from company wise but generally it comprises of 0.5 g protein, 4 mg sodium, 27 mg potassium, and approximately 43 calories per 100 ml.

Growing number of breweries across the globe and rising demand for beer worldwide are some of the major factors driving the global beer market. 415.5 million hectoliter of beer was produced in Europe in 2016 with 2.9% increase in the production of beer since 2010. Other factors supporting the market growth are launch of new and innovative products across the globe. Changing taste preferences among people with the launch of new products is also expected to positively influence the market growth during the forecast period 2019–2026. In 2016, Heineken N.V. launched a new product in the beer segment in Australia named Heineken 3, which is a low carbohydrate, low calorie, and a mid-strength beer. Heineken N.V. has launched a new product after 20 years which is expected to affect the global beer market in the near future.

However, side effects of beer such as, alcohol abuse, addiction, and rising crime rates worldwide due to alcohol consumption are some of the factors likely to restrain the market growth. Surge in the number of health conscious people is the other factor which may hamper the market growth in the near future. According to the Brewers Association, overall sales of beer in the U.S. declined by -1.2% in 2017 as compared to 2016.

Segmental Analysis

The global beer market is segmented on the basis of type, category, production, packaging, distribution channel, and region.

Based on type, the global beer market is segmented into ale, lager, malt, stout & porter, and others. Amongst type, lager segment is expected to account for major share of the market owing to leaning trend towards to on premises serving of beer and subsequently rise in the number of beer cafe’s, lounges, and party clubs across the globe. The number of bars and pubs increased by more than 23.5% and beer cafe’s increased by more than 21.6% during 2014–2016. Ale segment is expected to experience significant growth followed by malt segment and stout & porter segment.

Based on category, the market is segmented into popular priced, premium, and super-premium. Premium segment is forecasted to account for largest share of the global beer market. Growing number of people favoring premium beer segment and surge in the per capita income across globe are some of the factors driving the segment. Popular priced segment is expected to grow significantly with highest CAGR during the forecast period 2019–2026.

Based on production, the global beer market is divided into micro-brewery, macro-brewery, craft-brewery, and others. Amongst production, macro-brewery segment is anticipated to account for largest share of the global beer market. Craft-brewery segment is expected to grow at highest CAGR during the forecast period 2019–2026.

Based on packaging, the global beer market is divided into PET bottle, glass, metal can, and others. Glass segment is expected to account for prime share of the market owing to the rise in the use of glass for the production of glass bottles due to ease of recycling. Metal can segment and PET bottle segment are expected to grow significantly.

Based on distribution channel, the beer market is segmented into supermarkets, liquor stores, convenience stores, on premises, and internet retailing. Supermarkets segment is expected to account for major share of the global beer market owing to the increasing number of supermarkets across the globe and worldwide leaning trend towards supermarket culture. Convenience store and on premises segments are expected to grow subsequently owing to the rise in the number of bars and pubs across the globe.

Regional Analysis

In terms of region, the global beer market is segmented into North America, Europe, Asia Pacific, the Middle East & Africa, and Latin America.

Asia Pacific is expected to lead the global beer market owing to the countries higher consumption of beer in China, Japan, and India. In 2016, total consumption of beer was 41.8 million kiloliter and accounted for 22.4% share of the global beer consumption. Moreover, beer consumption in Japan and India was 5.6 million kiloliter and 2.7 million kiloliter respectively and both the countries accounted for 2.8% and 1.4% share of the global beer consumption in 2016.

Europe is expected to account for significant share of the global beer market owing to the presence of major global brewers in the region. According to the Brewers of Europe, there are around 8,500 breweries operating in Europe and 20 new breweries are starting operations every week.

North America is expected to grow significantly with highest CAGR during the forecast period 2019–2026. Growing young-adult demographics in the region and rise in demand for beer with rising population are some of the factors expected to escalate the North America beer market.

The Middle East & Africa is expected to grow swiftly owing to the rise in tourism in the region and increase in the favorable government regulations regarding consumption of alcohol.

Latin America is expected to account for significant share of the global beer market owing to the entry of new breweries in the region.

Trends in Beer Market Segmentation

By Type

• Ale
• Lager
• Malt
• Stout & Porter
• Others

By Category

• Popular Priced
• Premium
• Super-Premium

By Production

• Micro-Brewery
• Macro-Brewery
• Craft-Brewery
• Others

By Packaging

• PET Bottle
• Glass
• Metal Can
• Others

By Distribution Channel

• Supermarkets
• Liquor Stores
• Convenience Stores
• On Premises
• Internet Retailing

By Region

• North America (U.S and Canada)
• Europe (Germany, France, Italy and Rest of Europe)
• Asia-Pacific (China, Japan, India, South Korea and Rest of Asia-Pacific)
• MEA (Saudi Arabia, UAE, South Africa, and Rest of MEA)
• Latin America (Brazil, Argentina, and Rest of Latin America)