Beer Market Report: Trends, Growth Drivers, and Forecast 2024-2032

According to the report by Expert Market Research (EMR), the global beer market is projected to grow at a CAGR of 3% between 2024 and 2032. Fueled by increasing consumer preference for craft beer, premium offerings, and diverse beer experiences, the market is expected to witness significant expansion over the next decade. The rise of health-conscious drinking, product innovations, and the increasing popularity of beer in emerging markets are expected to play a pivotal role in shaping the future of the industry.

Beer has long been a staple of social gatherings and celebrations, and its role in modern consumer culture continues to evolve. The market is undergoing a shift as consumers seek more personalized and sophisticated beverage options. Craft beer, in particular, has experienced an explosive surge in demand, driven by a growing number of microbreweries and independent beer makers catering to diverse taste preferences. With increasing disposable income and changing lifestyles, particularly in emerging markets like Asia Pacific and Latin America, the demand for high-quality, unique beers is on the rise.

Moreover, as consumers become more health-conscious, there has been a notable shift toward low-alcohol, non-alcoholic, and organic beer variants. The growing trend of wellness and sustainability has prompted beer producers to introduce healthier options such as gluten-free and low-calorie beers, which appeal to a broader range of consumers, including those with dietary restrictions.

In addition, premiumization is another significant trend driving the beer market. High-end beers, often characterized by unique ingredients, packaging, and brewing techniques, are gaining popularity. This trend reflects the broader shift in consumer preferences toward premium, craft, and artisanal products across multiple sectors, from food and beverages to beauty and wellness.

The global beer industry is also benefiting from the continued expansion of e-commerce platforms, where consumers can purchase craft and specialty beers with ease. The availability of beers from global brands and small independent brewers through online retail channels has provided significant growth opportunities. Additionally, social media marketing and digital campaigns have allowed beer companies to engage directly with younger, tech-savvy consumers.

While the beer market is poised for substantial growth, it is essential for brands to address challenges such as fluctuating raw material prices, environmental sustainability concerns, and the rising competition from alternative alcoholic beverages like wine, spirits, and ready-to-drink cocktails. By leveraging innovation, sustainable production practices, and adapting to shifting consumer demands, beer brands can ensure long-term relevance in a dynamic marketplace.

Get a Free Sample Report with a Table of Contents

Market Segmentation

The global beer market can be segmented based on product type, distribution channel, and region.

Market Breakup by Product Type

• Lager
• Ale
• Stout & Porter
• Pilsner
• Non-Alcoholic Beer
• Craft Beer

Market Breakup by Distribution Channel

• Off-trade (Retail): This includes supermarkets, convenience stores, hypermarkets, and liquor stores, where consumers buy packaged beer for off-premise consumption.
• On-trade (HoReCa): Pubs, bars, restaurants, and other food service establishments, where beer is consumed on-site.

Market Breakup by Region

• North America: The U.S. and Canada are prominent beer markets, driven by the craft beer revolution, a diverse consumer base, and premiumization trends.
• Europe: Home to some of the world's largest beer producers, including Germany, Belgium, and the UK. The region is witnessing a strong shift toward artisanal and craft beers.
• Asia Pacific: With emerging economies such as China, India, and Japan, this region is becoming a key player in the global beer market due to changing drinking habits, increasing disposable income, and growing beer culture.
• Latin America: Countries like Mexico, Brazil, and Argentina are experiencing growing beer consumption driven by a young, urban population and increasing beer export demand.
• Middle East and Africa: Although alcohol consumption is regulated in certain countries, beer is becoming popular in emerging markets, especially in South Africa and parts of the Middle East.

Competitive Landscape

The report delves into the market shares, production capacities, technological advancements, and other key developments of leading players in the global beer market. The growing popularity of craft beers has led to the emergence of several small breweries, contributing to the market fragmentation. However, large multinational beer companies continue to dominate the market. Some of the key players explored in the report by Expert Market Research include:

• Anheuser-Busch InBev
• Heineken N.V.
• Carlsberg Group
• Molson Coors Beverage Company
• Diageo PLC
• China Resources Snow Breweries
• SABMiller (now part of AB InBev)
• Asahi Group Holdings
• Kirin Holdings Company
• Boston Beer Company
• Beavertown Brewery
• BrewDog
• Guinness (Diageo)
• Others

Key Trends and Drivers

1. Craft Beer Movement: One of the most notable trends in the beer industry is the growth of craft beer, characterized by small, independent breweries producing unique, high-quality beers. This movement has seen a surge in demand, with consumers looking for distinctive flavors and experiences. Craft beer enthusiasts are also driving the trend of local beer consumption, where people prefer beers made by local breweries over mass-produced options.
2. Non-Alcoholic Beer: The non-alcoholic beer segment is growing rapidly as more consumers seek healthier alternatives to traditional alcoholic beverages. This trend is driven by a focus on wellness and reducing alcohol consumption, particularly among younger generations.
3. Premiumization: Premium beers are gaining popularity, especially in mature markets such as Europe and North America. Consumers are willing to pay a premium for beers that offer superior quality, unique ingredients, and artisanal craftsmanship.
4. Health-Conscious Drinking: Rising health awareness has contributed to the increased demand for low-calorie, gluten-free, and organic beers. As a result, brewers are increasingly focusing on developing beers that cater to these demands.
5. Sustainability and Environmental Concerns: Consumers are becoming more environmentally conscious, and this is influencing their beer purchasing decisions. Many beer brands are now focusing on sustainability, such as using renewable energy in production, reducing water consumption, and using eco-friendly packaging.
6. Technological Innovation: The use of advanced brewing technology is enabling brewers to create more consistent and high-quality beer. Innovations in packaging, such as aluminum cans with better insulation, are also helping to preserve the flavor and freshness of beer for longer periods.
7. Digital and E-commerce Growth: Online sales of beer are rapidly growing, particularly in regions with high internet penetration. Beer companies are increasingly using digital platforms and social media marketing to engage with their target audience and drive sales.
8. Globalization of Beer Culture: As global travel becomes more accessible, consumers are exposed to a wider variety of beers from different cultures and regions. The growing interest in international beer brands is further driving the market, particularly in regions like Asia Pacific and Latin America.

Challenges and Restraints

While the beer market is growing, it faces several challenges:

1. Regulatory Issues: In some regions, alcohol consumption is highly regulated, with restrictions on advertising, pricing, and availability. These regulations can limit market growth, particularly in the Middle East and parts of Asia.
2. Raw Material Price Volatility: Fluctuations in the prices of key ingredients, such as barley, hops, and water, can affect the profitability of beer producers. These price changes can also impact production costs and ultimately the final price of beer.
3. Competition from Alternative Alcoholic Beverages: Beer faces stiff competition from other alcoholic beverages, such as spirits and wine, which are growing in popularity, especially among younger consumers. Additionally, ready-to-drink cocktails are gaining traction in many markets.
4. Changing Consumer Preferences: The beer market is being influenced by shifting consumer preferences, including the demand for healthier beverages and low-alcohol options. Beer producers need to continuously innovate to meet these evolving tastes.

The global beer market is on track for sustained growth between 2024 and 2032. Driven by trends such as craft beer, non-alcoholic options, premiumization, and health-conscious choices, the industry is experiencing a significant transformation. Additionally, emerging markets in Asia Pacific and Latin America offer ample opportunities for expansion. However, beer producers must navigate challenges related to regulation, raw material volatility, and competition from other alcoholic beverages. By focusing on sustainability, innovation, and consumer preferences, companies can thrive in an increasingly dynamic beer landscape.

The global beer market is expected to continue evolving in response to changing consumer demands, technological advancements, and the ongoing growth of new beer styles and categories. The key to success will be for breweries, both large and small, to remain agile and responsive to market trends while ensuring they deliver high-quality, unique products to consumers worldwide.