SAN FRANCISCO, July 28, 2020 /PRNewswire/ -- The global hard seltzer market size is expected to reach USD 14.5 billion by 2027, expanding at aCAGR of 16.2%, according to a new report by Grand View Research, Inc. The market is expected to experience substantial growth during the forecast period owing to the growing popularity of low content alcoholic beverages among the millennials in the developed economies including the U.S., Canada, and Australia. Furthermore, strong marketing campaigns by alcoholic drinks companies on such products is expected to have a positive impact on the industry.
Key suggestions from the report:
Hard seltzer with 1.0% to 4.9% ABV content is expected to register the fastest growth during the forecast years with a CAGR of 16.6% from 2020 to 2027. Low ABV content of such products is expected to attract health-conscious consumers over the next few years
On-trade is expected to register the fastest growth during forecast years with a CAGR of 16.5% from 2020 to 2027. An increasing number of consumers drinking hard seltzers in bars and restaurants is creating the rising opportunity
Asia Pacific is expected to register the fastest growth during forecast years with a CAGR of 17.0% from 2020 to 2027. A large number of manufacturers focusing on the Australian market is playing a crucial role in the growth of the market
North America dominated the market by contributing over 70.0% in the global revenue in 2019. The wide penetration of the product in the U.S., Canada, and Brazil is acting as a catalyst in creating dominance.
Products launched have played a crucial role in the growing penetration of hard seltzer. In June 2020, Tesco announced to launch dedicated hard seltzer. It will be distributed by Mark Anthony Brands. The launch makes a significant milestone for the category in the U.K. that has been turning into a hotspot for hard seltzer manufacturers. In November 2019, AB InBev's launched Mike's Hard Sparkling Water in the U.K. The increasing demand for the product in the country is attributed to the increasing demand for healthier products with low calorie and sugar and clean labels which are still luxurious.
Similarly, in June 2020, Smirnoff Seltzer also entered the U.K. through various off-trade channels. The product is available in two flavors in the country including Smirnoff Seltzer Orange and Grapefruit, and Smirnoff Seltzer Raspberry and Rhubarb. The product is available in 250ml cans with ABV content of 4.7% and is priced at GBP 1.8 per can.
Australia has been evolving as another major center for the industry. Along with White Claw, Carlton and United Breweries launched Actual Vodka Seltzer in the country in May 2020, in two flavors including pure and lime. The drink contains 4.2% ABV and 100.0% natural ingredients.
Grand View Research has segmented the global hard seltzer market on the basis of ABV content, distribution channel, and region:
Hard Seltzer ABV Content Outlook (Revenue, USD Million, 2016 - 2027)
1.0% to 4.9%
5.0% to 6.9%
Hard Seltzer Distribution Channel Outlook (Revenue, USD Million, 2016 - 2027)
Hard Seltzer Regional Outlook (Revenue, USD Million, 2016 - 2027)
Snus Market– The growing popularity of snus owing to the convenience of the application it offers to its consumers is a key factor driving the market.
Japanese Whisky Market– While product demand continues to remain strong in Japan, interest in this variant has been growing around the globe.
Honey Wine Market– Honey wine, which is also called as mead, is fermented using honey. It has high nutritional content and antimicrobial properties, which drive its demand across the globe.
Gain access to Grand View Compass, our BI enabled intuitive market research database of 10,000+ reports
About Grand View Research
Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.