Sales volume of craft beer in the United States shrank by *** percent in 2023. Volume growth had rebounded in 2021 after a decline in 2020 due to the COVID-19 pandemic but has been trending down since. As of 2024, the sales volume is projected to further decline by *** percent.
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The Craft Beer Market Report Segments the Industry Into Product Type (Ales, Lagers, and Other Types); by End User (Men and Women); by Packaging (Bottles, Cans, and Others); Distribution Channel (On-Trade, and Off-Trade), and Geography (North America, Europe, Asia-Pacific, South America, and Middle East and Africa). Market Sizing is Presented in USD Value Terms for all the Abovementioned Segments.
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Once viewed as a hobby, craft beer has evolved into one of the fastest-growing and most popular segments in the US alcoholic beverage market. However, the industry has reached a critical juncture over the past decade, with oversaturation and the emergence of numerous substitutes stalling revenue growth. The pandemic coincided with the normalization phase of craft brewery growth, resulting in significant volatility. Craft breweries struggled to maintain consistent growth after the pandemic, unlike some external competitors. Revenue has been declining at a CAGR of 3.8% over the past five years and is expected to drop by 1.9% in 2024 alone, bringing revenue to $7.2 billion.Craft breweries are limited to producing fewer than 6.0 million barrels of beer annually. A result of, even successful craft breweries remain relatively small compared to multinational beverage producers. With this mandated smaller scope, craft brewers depend heavily on in-house sales and demand from on-premise markets such as local bars and restaurants. As more craft brewers enter the market, competition based on price has intensified. While internal price-based competition is expected, few small breweries can effectively match the prices of larger producers. This disadvantage has weakened profit since 2019.Conditions will likely improve over the next five years, but craft breweries may struggle to reach pre-pandemic highs as the craft beer trend settles into normalization. Profitability is expected to plateau as consumers look towards craft spirits and nonalcoholic beverages to satisfy their evolving tastes. This shift will force brewers to reduce prices or climb spending to retain their market share. Brewers will continue introducing ancillary activities at taprooms to encourage in-person sales and build loyalty. Also, rising disposable income levels and decreases in excise taxes on beer will likely entice new breweries to enter the market. Revenue is predicted to climb at a CAGR of 0.7% over the next five years, reaching $7.5 billion by 2029.
China's craft beer industry has witnessed a steady growth in the past years. In 2021, the market size of craft beer in China surpassed 78.5 billion yuan. China's craft beer market is expected to soar to around 210 billion yuan by 2026.
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The North America Craft Beer Market is Segmented by Product Type (Ale, Lager and Other Beer Types), End User (Men and Women), Packaging (Bottles, Cans and Others), Distribution Channels (On-Trade and Off-Trade), and Geography (United States, Canada, Mexico, and Rest of North America). The Market Forecasts are Provided in Terms of Value (USD).
Craft Beer Market Size 2025-2029
The craft beer market size is forecast to increase by USD 123.2 billion at a CAGR of 13.7% between 2024 and 2029.
The market is experiencing significant growth, driven by several key trends. One of the primary factors fueling market expansion is the increasing popularity of craft beer in developing countries. This global phenomenon is being driven by the rising number of consumers seeking unique and authentic beer experiences. The growing demand for unique flavors in the market has led many small-scale breweries to invest in high-quality microbrewery equipment to enhance their production capabilities. Another significant trend is the growing population of millennials, who are increasingly embracing craft beer due to its artisanal appeal and diverse flavors. However, the high price point of craft beer may pose a challenge to market growth. Despite this, the market is expected to continue its upward trajectory, driven by these and other emerging trends.
What will be the Size of the Market During the Forecast Period?
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The market has experienced significant sales growth in recent years, driven by evolving consumer tastes and the proliferation of microbreweries producing artisanal brews. Consumers are increasingly seeking out locally sourced ingredients and premium quality beers, leading to a shift away from mass-produced, bottled beers. This trend is particularly strong among millennials, who view craft beer as a social drink and appreciate the health benefits associated with its consumption. Regulations play a crucial role in the craft beer industry, with brewers navigating complex rules surrounding production, labeling, and distribution. Promotion challenges also exist, as brewers strive to differentiate themselves in a crowded marketplace.
Moreover, party culture and collaborations have emerged as effective marketing strategies, with breweries partnering to create innovative flavors using indigenous ingredients and Western cultural influences. Microbreweries are at the forefront of this trend, with many investing in brewing solutions and brewpub equipment to meet growing demand. Brewer associations also play a vital role in advocating for tax breaks and other industry initiatives, helping to support the growth of the market. Beer festivals have become popular events, providing opportunities for consumers to sample new brews and connect with brewers. The beer industry as a whole continues to adapt to these trends, with a focus on delivering high-quality, unique offerings to meet the demands of discerning consumers. The market dynamics of the craft beer industry are constantly evolving, with new breweries and innovative flavors emerging regularly. Overall, the future looks bright for the market, as it continues to capture the imagination and loyalty of consumers around the world.
How is this market segmented and which is the largest segment?
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.
Product
India pale ale
Seasonal craft beer
Pale ale
Amber ale
Others
Distribution Channel
Off-trade
On-trade
Geography
North America
Canada
US
Europe
Germany
UK
France
APAC
China
India
Japan
South America
Brazil
Argentina
Middle East and Africa
By Product Insights
The India pale ale segment is estimated to witness significant growth during the forecast period.
India Pale Ale (IPA), a stronger variant of pale ale with higher alcohol content and distinctive bitter taste, gained popularity through American craft beer revival in the late twentieth century. Originally carried by British colonists to India, IPA had nearly disappeared until its reincreasence. Today, it is the leading craft beer style globally, favored for its diverse exotic flavors. IPA's bitterness results from regular hops addition, making it a preferred choice among consumers worldwide. This beer style's popularity is driven by its unique character and health benefits associated with moderate beer consumption. Local ingredients are increasingly used in brewing IPA, contributing to its authenticity and appeal.
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The India pale ale segment was valued at USD 30.50 billion in 2019 and showed a gradual increase during the forecast period.
Regional Analysis
North America is estimated to contribute 35% to the growth of the global market during the forecast period.
Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
For more insights on the market share of various regions, Re
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The craft beer market has evolved into a dynamic segment of the global beverage industry, reflecting a growing consumer preference for unique, high-quality, and locally produced beers. With an estimated market size of approximately $100 billion, the craft beer sector has witnessed significant growth, driven by an in
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Market Size statistics on the Craft Beer Production industry in United Kingdom
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Vietnam craft beer market size reached USD 570.4 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 1,241.3 Million by 2033, exhibiting a growth rate (CAGR) of 9.02% during 2025-2033. The growing demand for unique and flavorful beer options, increasing focus on sustainable and eco-friendly brewing practices among craft breweries, and rising number of events and festivals represent some of the key factors driving the market.
Report Attribute
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Key Statistics
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Base Year
| 2024 |
Forecast Years
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2025-2033
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Historical Years
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2019-2024
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Market Growth Rate (2025-2033) | 9.02% |
IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2025-2033. Our report has categorized the market based on product type, age group, and distribution channel.
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The Global Brewing market size was USD 35.2 billion in 2022. Brewing Industry's Compound Annual Growth Rate will be 7.20% from 2023 to 2030. How are the Key Driver Affecting the Brewing Market?
Growing Consumer Interest in Craft and Specialty Beers helps in the Growth of the Market
Over the past few decades, there has been a shift in consumer preferences from mass-produced, generic beers to more diverse and flavorful options. This shift has fueled the rise of the craft beer movement and contributed to the growth of the brewing market. Consumers are increasingly seeking unique and innovative flavor profiles in their beverages. Craft breweries often experiment with various ingredients, such as hops, malts, fruits, spices, and even unconventional additives, to create distinctive and exciting beer offerings. Consumers are drawn to the artisanal and locally crafted nature of craft beers. These beers often have a strong sense of place, as they may incorporate locally sourced ingredients and reflect the regional brewing traditions.
Over the past several years, there has been an upsurge in the demand for traditional beer, especially craft beer. On average, small breweries produce 6 million barrels or fewer of beer yearly. The necessity for pricey items for consumption and the rising income of its users are two of the most significant elements in the rising demand. Craft beer is more expensive than conventional beer, increasing demand for greater variety and quality goods among high incomes.
(Source:hospitality.economictimes.indiatimes.com/news/speaking-heads/craft-beer-market-potential-growth-and-challenges/84560601#:~:text=As%20per%20the%20volume%2C%20the,be%20the%20fastest%20growing%20segment.)
The Factors are Restricting Growth of Brewing Market
Regulatory Obstacles and Standards for Compliance Hinder Market Growth
Regulatory challenges and compliance requirements can hinder the growth and expansion of breweries, especially smaller and newer ones. The need to allocate resources for understanding, interpreting, and adhering to various regulations can divert time and funds from other business activities. Moreover, these challenges can impact innovation, product development, and market entry for breweries seeking to enter new regions or markets. Addressing regulatory challenges often requires legal expertise, resources, and ongoing diligence to ensure that breweries remain compliant with evolving laws and policies, which can sometimes hinder market growth and expansion.
Impact Of COVID-19 on the Brewing Market
Restrictions on movement, lockdowns, and border closures disrupted supply chains for brewing ingredients, packaging materials, and equipment. This led to challenges in sourcing raw materials and maintaining production levels. Many countries implemented lockdowns and restrictions on public gatherings, closing bars, restaurants, and taprooms. This led to a sharp decline in on-premises consumption and revenue loss for breweries heavily reliant on these channels. With the closure of on-premises venues, there was a shift in consumer behavior towards off-premises consumption, including purchasing beer from liquor stores and online platforms. Breweries adapted by focusing on packaged products for retail distribution. Introduction of Brewing
Brewing is the process of producing alcoholic beverages, primarily beer, through the fermentation of various ingredients, typically including water, malted barley or other grains, hops, and yeast. The brewing process involves combining these ingredients in specific proportions, followed by controlled fermentation, which converts the sugars in the malted grains into alcohol and carbon dioxide, resulting in the final beer product. The rise of the brewing market is driven by a combination of consumer preferences for variety and quality, a focus on local and artisanal products, and the spirit of innovation and collaboration. The brewing industry's ability to adapt to changing trends and cater to evolving consumer demands has positioned it as a dynamic and growing sector within the broader beverage landscape.
For instance, in August 2023, the Brewers Association (BA), the trade group for small and independent American craft brewers, announced the findings of its midyear poll, providing insight into the sector's status and signaling confidence for the remainder of the year. The industry is leveling out after years of exp...
Craft beer production increased from *** million barrels in 2009 to **** million in 2019. Production has been trending down since then with **** million in 2024.
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The report covers European Beer Market Size and is segmented by Product Type (Ales, Pilsners & Pale Lagers, Specialty Beers, and others); by Distribution Channel (On-trade and Off-trade); by Geography(Germany, France, Italy, Spain, the United Kingdom, and the Rest of Europe).
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South Korea craft beer market size is projected to exhibit a growth rate (CAGR) of 8.46% during 2025-2033. The rising consumer demand for unique flavors, increasing disposable incomes, a growing number of microbreweries, supportive government regulations, and the influence of global craft beer trends are bolstering the market growth.
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Key Statistics
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Base Year
| 2024 |
Forecast Years
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2025-2033
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Historical Years
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2019-2024
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Market Growth Rate (2025-2033) | 8.46% |
IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and regional levels for 2025-2033. Our report has categorized the market based on product type, age group, and distribution channel.
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The craft beer market, populated by established players like Budweiser, Yuengling, and Boston Beer alongside a vibrant landscape of smaller breweries such as Sierra Nevada and Lagunitas, is experiencing robust growth. While precise market size figures are unavailable, a reasonable estimation based on publicly available data for similar markets suggests a 2025 market value of approximately $25 billion USD. Considering a moderate CAGR (Compound Annual Growth Rate) of 5%—a figure supported by pre-pandemic growth rates and the enduring popularity of craft beers—the market is projected to reach around $33 billion by 2033. Key drivers include increasing consumer demand for premium and unique beer experiences, the growing popularity of craft beer festivals and tasting rooms, and a steady rise in per capita consumption in key markets such as North America and Europe. Emerging trends include the rise of innovative brewing techniques (e.g., sour beers, hazy IPAs), sustainable brewing practices, and the increasing adoption of direct-to-consumer sales models (e.g., online ordering and brewery taprooms). However, restraints include increased competition from established macrobreweries expanding into the craft beer segment, rising raw material costs (especially hops and barley), and fluctuating consumer preferences within a constantly evolving market. Market segmentation continues to refine, with categories like IPAs, stouts, and lagers remaining dominant, while new styles consistently emerge. The success of individual breweries within this competitive landscape hinges on factors such as brand recognition, product differentiation, effective marketing strategies, and efficient distribution networks. Strong branding and a compelling story are crucial for smaller breweries to compete effectively. Geographic variations exist, with North America and Western Europe currently dominating the market. However, regions in Asia and South America are showing signs of significant growth potential as consumer tastes evolve and disposable incomes rise. The continued success of the craft beer market relies on the ability of breweries to innovate, adapt to changing consumer preferences, and maintain a balance between quality, affordability, and sustainability. Future projections indicate a sustained period of growth, particularly if the industry successfully addresses challenges related to production costs and distribution efficiency.
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South East Asia craft beer market size reached USD 5.3 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 31.6 Billion by 2033, exhibiting a growth rate (CAGR) of 21.85% during 2025-2033. The increasing proliferation of microbreweries and brewpubs, which provide unique experiences for consumers, allowing them to enjoy freshly brewed and locally crafted beer, is driving the market.
Report Attribute
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Key Statistics
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Base Year
| 2024 |
Forecast Years
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2025-2033
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Historical Years
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2019-2024
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Market Size in 2024 | USD 5.3 Billion |
Market Forecast in 2033 | USD 31.6 Billion |
Market Growth Rate (2025-2033) | 21.85% |
IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the regional and country level for 2025-2033. Our report has categorized the market based on product type, age group, and distribution channel.
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According to Cognitive Market Research, the global Beer Market size will be USD 692840.1 million in 2025. It will expand at a compound annual growth rate (CAGR) of 3.50% from 2025 to 2033.
North America held the major market share for more than 37% of the global revenue with a market size of USD 3845.2623.63 million in 2025 and will grow at a compound annual growth rate (CAGR) of 1.3% from 2025 to 2033.
Europe accounted for a market share of over 29% of the global revenue with a market size of USD 256350.84 million.
APAC held a market share of around 24% of the global revenue with a market size of USD 166281.62 million in 2025 and will grow at a compound annual growth rate (CAGR) of 5.5% from 2025 to 2033.
South America has a market share of more than 3.8% of the global revenue with a market size of USD 26327.92 million in 2025 and will grow at a compound annual growth rate (CAGR) of 2.5% from 2025 to 2033.
Middle East had a market share of around 4% of the global revenue and was estimated at a market size of USD 27713.60 million in 2025 and will grow at a compound annual growth rate (CAGR) of 2.8% from 2025 to 2033.
Africa had a market share of around 2.2% of the global revenue and was estimated at a market size of USD 15242.48 million in 2025 and will grow at a compound annual growth rate (CAGR) of 3.2% from 2025 to 2033.
Craft Ale type is the fastest growing segment of the Beer Market industry
Market Dynamics of Beer Market
Key Drivers for Beer Market
A shift in demand towards premium and craft beers is driving the market growth
The popularity of premium and craft beers in the global market, with diverse styles, innovative brewing techniques and unique flavors is driving market growth. Consumers are now seeking enhanced and unique drinking experiences, leading the popularity of this segment of drinks. Social media platforms are playing a significant role in promoting craft beer brands, increasing consumer awareness and interest. The rise in microbreweries offering unique artisanal flavors and the rise of beer tourism and experiential consumption are attracting beer enthusiast globally.
Growth of organized retail and e-commerce alcohol delivery
The expansion of organized retail chains and online alcohol delivery platforms is reshaping the beer distribution landscape. Consumers now enjoy greater access to diverse beer products through supermarkets, convenience stores, and mobile apps, improving both availability and purchase convenience. Regulatory changes in many regions are enabling home delivery of alcoholic beverages, especially post-pandemic. This shift is encouraging breweries to adopt direct-to-consumer strategies and invest in digital infrastructure, enhancing customer reach and driving overall market growth in urban and semi-urban areas.
Restraint Factor for the Beer Market
Strict government regulations in the beer industry pose a challenge
The global beer market faces several restraints. Government regulations and restrictions is one such restraint that adversely affects the growth of the market by limiting advertising, restricting sales and impacting consumer behavior. Governments across many regions restrict the advertising of alcohol, given the concerns about public health and addiction. Such restrictions limit the effectiveness of marketing campaigns, making it harder for alcohol brands to reach consumers.
For instance, the alcohol industry in India operates within one of the most complex regulatory frameworks in the world. Regulations vary from state to state, making the sector a challenging arena for alcohol brands This makes it difficult to move production between states and navigate different tax structures and duties.
Some regions, like the Middle East have strict laws which limits alcohol consumption and drives demand for non-alcoholic alternatives instead.
Increasing popularity of non-alcoholic and low-alcohol alternatives
Non-alcoholic and low-alcohol beers are gaining strong traction as health-conscious consumers seek lighter, guilt-free options without compromising on taste. This trend is being driven by a shift in social preferences, where moderation is favored over indulgence. Breweries are responding with high-quality alternatives that closely mimic the f...
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The global craft beer market, a dynamic segment within the broader alcoholic beverage industry, is experiencing robust growth fueled by increasing consumer demand for unique flavors, higher-quality ingredients, and locally sourced products. The market, estimated at $80 billion in 2025, is projected to expand at a compound annual growth rate (CAGR) of 5% from 2025 to 2033, reaching approximately $115 billion by 2033. This growth is driven by several factors including the rising popularity of craft beer festivals and events, increased consumer disposable income in key markets, and the expansion of craft breweries into new geographical areas. The segment is further fueled by innovative brewing techniques and the introduction of new styles and flavors catering to evolving consumer preferences. While the market enjoys significant growth, challenges such as increased competition from established breweries and rising raw material costs pose some restraints. The market is segmented by application (bar, food service, retail) and type (ales, lagers), with ales currently holding a larger market share due to their diverse flavor profiles. North America, particularly the United States, remains the largest regional market, followed by Europe, driven by a strong craft beer culture and established distribution networks. The strong performance of leading players such as Budweiser, Yuengling, Boston Beer, and Sierra Nevada, alongside the emergence of smaller, niche breweries, creates a vibrant and competitive landscape. The competitive landscape is characterized by both large established players and numerous smaller, independent breweries. The success of these breweries hinges on their ability to innovate, differentiate their offerings, and cultivate strong brand loyalty. Growth opportunities exist in emerging markets where the craft beer culture is still developing, as well as through strategic partnerships, acquisitions, and expansion into new distribution channels. Furthermore, the growing interest in sustainable and eco-friendly brewing practices presents an opportunity for breweries to appeal to environmentally conscious consumers. Continued innovation in flavor profiles, packaging, and marketing strategies will be crucial for breweries to maintain a competitive edge and capture market share in this dynamic and rapidly evolving sector.
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Report Attribute/Metric | Details |
---|---|
Market Value in 2025 | USD 130 billion |
Revenue Forecast in 2034 | USD 330 billion |
Growth Rate | CAGR of 10.9% from 2025 to 2034 |
Base Year for Estimation | 2024 |
Industry Revenue 2024 | 117 billion |
Growth Opportunity | USD 213 billion |
Historical Data | 2019 - 2023 |
Forecast Period | 2025 - 2034 |
Market Size Units | Market Revenue in USD billion and Industry Statistics |
Market Size 2024 | 117 billion USD |
Market Size 2027 | 160 billion USD |
Market Size 2029 | 196 billion USD |
Market Size 2030 | 218 billion USD |
Market Size 2034 | 330 billion USD |
Market Size 2035 | 366 billion USD |
Report Coverage | Market Size for past 5 years and forecast for future 10 years, Competitive Analysis & Company Market Share, Strategic Insights & trends |
Segments Covered | Product Type, Ingredient Type, Taste Profile, Brewing Process, Consumer Preferences |
Regional Scope | North America, Europe, Asia Pacific, Latin America and Middle East & Africa |
Country Scope | U.S., Canada, Mexico, UK, Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Mexico, Argentina, Saudi Arabia, UAE and South Africa |
Top 5 Major Countries and Expected CAGR Forecast | U.S., UK, Germany, Belgium, China - Expected CAGR 8.0% - 11.4% (2025 - 2034) |
Top 3 Emerging Countries and Expected Forecast | Brazil, India, South Africa - Expected Forecast CAGR 10.5% - 13.6% (2025 - 2034) |
Top 2 Opportunistic Market Segments | Wheat and Fruit-based Ingredient Type |
Top 2 Industry Transitions | Emergence of Microbreweries, Implementation of Digital Marketing Strategies |
Companies Profiled | Anheuser-Busch InBev, China Resources Snow Breweries, Heineken, Carlsberg Group, Molson Coors Brewing Co., Tsingtao Brewery, Kirin Holdings, Yanjing Brewery, Asahi Breweries Ltd, Constellation Brands, Samuel Adams and Sierra Nevada Brewing Co. |
Customization | Free customization at segment, region, or country scope and direct contact with report analyst team for 10 to 20 working hours for any additional niche requirement (10% of report value) |
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The global beer market, valued at $724.55 million in 2025, is projected to experience robust growth, driven by increasing disposable incomes, particularly in emerging economies, and evolving consumer preferences towards premium and craft beer varieties. The Compound Annual Growth Rate (CAGR) of 4.76% from 2025 to 2033 indicates a substantial market expansion. Key drivers include the rising popularity of craft beers and innovative flavor profiles, alongside the increasing demand for premium segments. The on-trade channel (bars, restaurants) remains a significant distribution avenue, although the off-trade channel (supermarkets, convenience stores) is witnessing considerable growth due to e-commerce penetration and home consumption trends. Market segmentation by product type (lager, ale, others) and category (standard, premium) further highlights diverse consumer preferences and provides opportunities for targeted marketing strategies. Regional variations are expected, with North America and Europe maintaining significant market share while Asia Pacific is anticipated to witness substantial growth owing to its expanding middle class and rising beer consumption. Competitive pressures are intense, with established multinational brewers like Anheuser-Busch InBev, Heineken, and Carlsberg facing competition from regional breweries and craft beer makers focusing on niche segments and unique branding. Successful players will need to adapt to shifting consumer demands, invest in marketing and distribution networks, and leverage technological advancements to maintain a competitive edge. The market's restraints primarily stem from increasing health concerns related to alcohol consumption, leading to government regulations and public health campaigns promoting moderation. Fluctuations in raw material prices, particularly barley and hops, can also affect production costs and profitability. Furthermore, economic downturns can negatively impact consumer spending on discretionary items like beer, posing challenges for the industry. However, the increasing sophistication of brewing techniques and the ongoing innovation in product offerings, catering to a broad range of tastes, are expected to mitigate these challenges and contribute to continued market growth in the coming years. The forecast period of 2025-2033 presents promising prospects for industry players who effectively adapt to the evolving landscape and capitalize on emerging opportunities. Recent developments include: October 2022: VictoriaTM unveiled Vicky Chamoy, a Mexican-imported beer infused with chamoy flavors, offering a unique blend of sweet, salty, spicy, and sour notes. This distinctively flavored beer is available in a convenient single-serve 24-ounce can., September 2022: Heineken Group's United Breweries launched Heineken Silver, a part of the renowned Amsterdam-based Heineken brand lineup. Brewed by experienced master brewers, Heineken Silver boasts natural ingredients like A-yeast and pure malt for an exceptional taste., May 2022: Anheuser-Busch InBev introduced Seven Rivers, a new beer in the Indian market akin to renowned brands like Budweiser, Corona Extra, and Hoegaarden. Initially available in select areas of Karnataka and Maharashtra, it's set to expand its presence to regions including Delhi, Goa, Haryana, and Uttar Pradesh in the near future.. Key drivers for this market are: Growing preference for low alcoholic beer by volume (abv) or non-alcoholic beers, Rising number of breweries leading to high prominence of craft beer. Potential restraints include: Demand for other alcoholic beverages. Notable trends are: Preference for Low Alcoholic Beer by Volume (ABV) or Non-Alcoholic Beers.
Beer Market Size 2025-2029
The beer market size is forecast to increase by USD 152.3 billion at a CAGR of 3.7% between 2024 and 2029.
The market is experiencing significant growth, driven by the increasing consumption trend in emerging economies. The rising disposable income and changing lifestyle preferences in these regions are fueling the demand for alcoholic beverages, particularly beer and gluten-free beer. Additionally, the market is witnessing an increasing number of mergers and acquisitions, as global players seek to expand their footprint and strengthen their market position. However, the market growth is not without challenges. Stringent regulations and high taxes on alcoholic beverages pose significant hurdles for market players. These factors necessitate strategic planning and innovation to navigate the complex regulatory landscape and maintain competitiveness.
Companies seeking to capitalize on market opportunities must focus on product differentiation and cost optimization, while also adhering to regulatory requirements and managing tax implications effectively. In summary, the market presents significant growth opportunities, driven by increasing demand in emerging economies, but also poses challenges in the form of stringent regulations and high taxes. Companies must navigate these challenges through strategic planning, product innovation, and regulatory compliance to effectively capitalize on market opportunities.
What will be the Size of the Beer Market during the forecast period?
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The alcoholic beverage market, with a significant focus on beer, continues to evolve, driven by consumer preferences for unique flavors and diverse options. The market, fueled by the rise of craft breweries and small-batch production, has seen growth. This trend is reflected in the increasing popularity of craft beers, which often offer distinctive tastes and limited-edition releases. Additionally, the market is witnessing the emergence of non-alcoholic beer, catering to health-conscious consumers and those abstaining from alcohol. The millennial and Gen Z demographics are leading this shift, with a growing preference for beverage options that align with their lifestyles and values.
Retail stores and direct-to-consumer (DTC) channels are adapting to meet this demand, providing consumers with greater access to a wide range of beer choices. Overall, the market remains dynamic, with a focus on innovation, quality, and consumer experience.
How is this Beer Industry segmented?
The beer industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.PackagingBottlesCansDistribution ChannelOn-tradeOff-tradeProduct TypeLagerAleOthersCategoryStandard BeerPremium BeerCraft BeerNon-Alcoholic BeerGeographyNorth AmericaUSCanadaEuropeGermanyRussiaUKMiddle East and AfricaAPACAustraliaChinaJapanSouth AmericaBrazilRest of World (ROW)
By Packaging Insights
The bottles segment is estimated to witness significant growth during the forecast period. Beer, a popular alcoholic beverage, is packaged predominantly in glass bottles, with the 600-ml brown-glass bottle being a preferred choice due to its traditional appeal and ability to serve multiple people. However, consumer preferences have shifted towards lightweight metal cans, which offer convenience and adaptability to various social settings. Alternative packaging materials, including PET bottles and wooden containers, are also utilized. Health concerns have led some consumers to opt for glass bottles, as they are free from bisphenol A (BPA), a substance linked to hypertension and decreased heart rate. Traditional breweries often prefer bottled products to maintain the authenticity of the brewing process.
The market caters to diverse consumer preferences, offering both alcoholic and non-alcoholic options. Craft product movement and independent breweries have gained significant traction, leading to an increase in specialty stores and online retail sales. Global audience engagement is fostered through personalized recommendations, targeted marketing, and artisanal experiences. Environmental concerns have influenced the use of eco-friendly packaging, such as PET bottles and metal cans. The market continues to expand, with innovations in flavor, brewing techniques, and beer styles, catering to health and wellness trends and local special circumstances. The regulatory environment, demographic factors, and macroeconomic factors, including disposable income levels and consumer confidence, influence market dynamics.
Super- and hypermarkets, out-of-home data, and hospitality service establishments are significant sales channels. The market is characterized by a diverse range of players, from macro breweries to microbreweries, utilizing various
Sales volume of craft beer in the United States shrank by *** percent in 2023. Volume growth had rebounded in 2021 after a decline in 2020 due to the COVID-19 pandemic but has been trending down since. As of 2024, the sales volume is projected to further decline by *** percent.