Beer Market Trends, Size, Share, Development, Growth and Demand Forecast to 2020

Global industry of beer has experienced a huge growth over the past few years due to the fact that emerging market has shown a significant growth in overall sales volume. Also the beer market is well supported by the fact that developed countries possess a greater purchase power for high-margin craft beer products. Moreover, acquisition and merging programs has resulted in the expansion of key brands, thus propelling the growth of the beer market. The industry’s four key player accounts for the major market share. In addition, it is expected that beer industry will hold its presence in the market as the drink of choice throughout and there will be a rise in demand of premium as well as specialty beers.

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Some of the key drivers impelling the growth of beer market include creative marketing, growing disposables income of the people and innovative promotional strategies. In addition, there is a rise in demand for beer due to its increased popularity among individuals, especially the youth. Therefore beer market has experienced a constant rise over the years owing to a continuous rise in the number of beer consumers. New innovation of the technology which may improve the quality of beer consumed is a growth opportunity which is likely to fuel the demand for beer in the years to come. On the other hand, some of the factors restraining the growth of the beer market include demographics, climatic conditions, stringent government regulations, tax duties and seasonality.

The global beer market is greatly dominated by Europe, which is further followed by North America. It is expected that there will be a moderate growth in the Europe and the United States owing to the fact that these regions have already reached maturity. Asia pacific region is showing the fastest growth in the beer market due to growing youth population, increasing disposable income of the people. However, presence of various other alcoholic drinks such as spirits and wine are hindering the growth of beer market at some extent.

Barriers to entry differ across various countries and regions. Some of the barriers to entry which forbid the entry of a new player include replacement cost, high installation cost and a number of government regulations. Even though the installation cost is relatively high, technological improvements have lowered the cost of installing an efficient brewery. Also small producing facilities used currently may attain economies of scale at some extent.

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Some of the competitors in the market are Asia Pacific Breweries, Grupo Modelo, Carlsberg Breweries A/S, Heineken N.V., Molson Coors Brewing Company, Kirin Brewery Company Limited, Tsingtao Brewery Company Limited and Yanjing Brewery, Anheuser-Busch InBev, Sapporo Breweries, Asahi Breweries, SABMiller, Scottish & Newcastle and Anheuser-Busch Companies Inc.

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