The alcoholic beverages market was USD 2,313.2 billion in 2023 and is projected to grow from USD 2,527.0 billion in 2024 to USD 5,716.2 billion by 2032, representing a compound annual growth rate (CAGR) of 10.74% during the forecast period (2024–2032).
Alcoholic beverages are created by fermenting sugars derived from various sources, including fruits, grains, berries, plant saps, milk, tubers, and honey. In some cases, distillation is used to enhance the alcohol concentration by separating it from the original liquid mixture.
This data is sourced from Fortune Business Insights' report titled "Alcoholic Beverages Market, 2024–2032."
List of Key Players Mentioned in the Report:
Anheuser-Busch Inbev (BUD) (Belgium)
Asahi Group (Japan)
Bacardi (Bermuda)
Brown Forman (U.S.)
Carlsberg (Denmark)
Constellation Brands (U.S.)
Diageo (U.K.)
Heineken (Netherlands)
Pernod Ricard (France)
Suntory (Japan)
Information Source: https://www.fortunebusinessinsights.com/alcoholic-beverages-market-107439
Segments:
Distilled Spirits Lead the Market Share, Driven by the Rise in Distilleries
The largest share of the market is held by the distilled spirits segment, propelled by the growing number of distilleries. Social media has played a significant role in helping consumers discover new spirits and locate local distilleries.
Beer ranks second in market share. The beer industry is highly competitive, with numerous international and local players competing for market dominance. The U.S. is a major global beer exporter. Additionally, the influence of Western culture has shaped the preferences of younger generations, particularly towards beer. In South Asian countries, beer is the most consumed alcoholic beverage among young adults.
Food Service Segment Dominates Due to Increased Socializing
Post-pandemic socializing and gatherings have spurred an increase in alcoholic beverage consumption, particularly benefiting the food service sector. Many consumers, especially young adults, are shifting their preferences from beer to brown liquors such as scotch, brandy, rum, and whisky.
Report Coverage:
The report offers:
Major growth drivers, restraining factors, opportunities, and potential challenges for the market.
Comprehensive insights into regional developments.
List of major industry players.
Key strategies adopted by the market players.
Recent industry developments include product launches, partnerships, mergers, and acquisitions.
Drivers and Restraints:
Growing Number of Breweries and Wineries among Adults to Drive Market Growth
The growing demand for alcoholic beverages has fueled the emergence of numerous micro-wineries and craft artisanal alcohol producers within the winery sector. According to the U.S. Bureau of Labor Statistics, the number of wineries in the U.S. surpassed 4,000 in 2016 and increased to 5,024 by 2020, marking a fourfold growth since 2001. In the same year, the U.S. housed 13,478 beverage production facilities, with breweries and wineries accounting for significant shares of 38% and 37%, respectively.
However, rising awareness of health concerns and associated risks has made consumers increasingly cautious, contributing to a decline in beverage demand. This shift in consumer behavior is anticipated to pose challenges to market growth.
Regional Insights:
Increasing Demand for Alcohol from Working Professionals to Boost Asia Pacific Market
The Asia Pacific region dominates the alcoholic beverages market in terms of share. Shifts in the social lifestyles of working professionals have significantly influenced drinking and dining habits, serving as a key driver of market growth. Furthermore, a consistent demand for premium alcohol is fueling this expansion. Factors such as rising incomes, enhanced purchasing power, and rapid urbanization among middle-class consumers are encouraging them to explore super-premium alcohol options.
To capitalize on this growth, leading alcoholic beverage producers in Asia Pacific, including Asahi Group and Suntory Holdings Limited, are focusing on mergers, acquisitions, product launches, and market expansions to strengthen their competitive positions.
Competitive Landscape:
Market Players Focus on New Product Launches to Strengthen Market Position
Leading companies in the market are actively striving to expand their market share by providing tailored, sector-specific solutions. These players often collaborate with or acquire local competitors to solidify their regional presence. Their strategies emphasize the development of innovative products and the execution of impactful marketing campaigns to capture a larger customer base. Moreover, the increasing volume of international trade is anticipated to offer lucrative growth opportunities for market participants.
Key Industry Development:
- November 2022: Diageo acquired Balcones Distilling, a noteworthy Texas craft and premium whisky distiller. This acquisition aims to gain high-growth brands in fast-growing segments such as super-premium whiskey.