Global Beer Market

Description

Beer has been the oldest beverage to be brewed ad consumed and has always been most popular amongst other alcoholic beverages. The Global Beer Business has been accounted for US$XX Million and is expected to grow to US$XX Million by 2022, at a CAGR of XX% during the forecast period. There has also been a considerable increase in production over the last two decades that have helped the industry to expand and have extra-ordinary turnovers. Increased health awareness, changing lifestyle and the changing habits of alcohol consumption have shaped the industry over the years. The expansion of market has been is mainly attributed to the growing popularity of speciality beers and new varieties of low-alcohol beers.

Market Dynamics:

Increased disposable incomes and an increasing population of adults in the age group 18-39, with a taste for beer have been the fundamental reasons behind the growth of the industry. Also, increased awareness regarding the health benefits of consuming beer, such as improved digestion and better cardiovascular health has made beer even more popular amongst the health-conscious customers. The health concerns have also made new innovations like gluten-free and low-calorie alcohols more popular.In fact, low-alcohol and alcohol-free beers are being preferred only because of their health benefits. A trend of premiumisation has also stepped in, where consumers are more interested in the quality, taste and origins of beer. This has also helped the authentic luxury beers to stay popular and become a standard for excellence.

Although the European market, in particular is highly fragmented, due to a presence of large number of local brewers, Market Giants have succeeded in maintaining their brand value across the globe. Various marketing strategies like sponsorships and T.V. shows have helped them to create their brand image in emerging markets.

Market Segmentation:

The beer business can be divided on the basis of product type, packaging, category and geography. On the basis of product type, Beer can be classified into light and strong beer. The Light beer market is expected to show better growth than Strong beer. By category, it is divided into premium, super premium and standard beer. Standard Beer forms the biggest market segment. On the basis of packaging, canned, bottled and drought beer are the major categories.

Geographical analysis:

Currently, the Asia-Pacific region has the largest market share of beer consumption and is expected to grow at the fastest pace. The regional beer market growth is supported by a large population,growing middle class, more youngsters, and disposable incomes. North America and Europe have a saturated market, with little scope for market expansion. Europe is the second largest consumer of beer, and its market growth rate is steady, currently. North America is the only region that recorded a drop in overall beer consumption, annually. South America and Africa are other developing regions and recorded a significant pace in the beer consumption.

Some of the key players in the industry include Heineken N.V. (Dutch), Carlsberg (Danish), Breckenridge Brewery (American) and Anheuser-Busch InBev (Belgian).