Beer is one of the most consumed alcoholic beverages in the world. Beer is typically brewed from barley. During production, the grain is sprouted and roasted into malt, after which it is cooked with water and fermented with yeast followed by flavoring with the flowers of hops plant. The alcohol content of beer is generally between 3% and 6%.

The global beer market revenue is expected to reach $739.72 billion by 2027, growing healthily, during the forecast period at a CAGR of 1.89%. The base year considered for the market study is 2018 & the estimated period is between 2019 & 2027.

The global beer market is driven by factors such as:

• Premiumization
• The proliferation of craft beer
• Launch of new & innovative products
• Increasing young population and number of female drinkers

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The market is driven by the premiumization of beer products, and the growing popularity of craft beers. Craft beer has gained popularity among large sections of the consumers. The factors affecting the shift towards craft beer consumption are, demand for variety, higher disposable income, taste for flavor, and beer quality, among others. According to the Brewers Association, A craft brewer registers an annual production of six million barrels of beer. Craft breweries are coming up with new products to increase their presence in the market. The number of breweries is also increasing globally. The number of craft breweries in the US increased by 13.2% in 2018 to reach 7,346 compared to 6,490 in 2017.

The macro brewery holds a dominant position in the global beer market by production in 2018, with a revenue share of 62.91%. Macro brews are international beer brands produced in larger quantities. Macro brewers must maintain consistency in the taste of beers, as they are marketed across the globe. Several companies offer a wide range of branded beers in the market. Budweiser and Budweiser Black Crown come from the house of Anheuser Busch. Heineken offers Icon brand, and provides DraughtKeg beer, which remains fresh even up to 30 days after it is opened. Anheuser-Busch InBev launched Tequila-flavored beer, Oculto, in the U.S. Oculto was targeted at younger consumers who prefer Mexican beer and liquor. Oculto does not contain tequila, but has 6% alcohol content. However, the craft brewery segment is anticipated to witness the highest growth rate over the forecast period. The craft brewery segment generally consists of relatively small and independently-owned commercial breweries, which deploys the traditional brewing process, and emphasize more on quality and flavor.

However, beer vendors face tough competition from other alcoholic beverages such as wine and spirits. Regulations on alcohol advertising, as well as the campaigns against alcohol beverages, pose a challenge for the market. Also, the rising price of raw materials affect the profit margins of vendors. The main raw materials used for the production of beer drinks are hops and barley. Climatic changes are the main reason for the increase in the price of raw materials. For example, the Bavarian region of Hallertau in Germany is the largest hop-growing area globally. The region has experienced about five hail storms in the past few years. This has affected the supply of hops, which has led to increases in the price of beer.

The report on the global beer market includes segmentation on the basis of product type, production technique, packaging, and distribution channels.

Market by Type:

• Lager
• Malt
• Stout & Porter
• Ale
• Other Types

Market by Production:

• Macro brewery
• Microbrewery
• Craft Brewery
• Others Production

Market by Packaging:

• Glass
• PET Bottle
• Metal Can
• Other Packaging

Market by Distribution Channels:

• Hypermarket & Supermarket
• Liquor Specialist Stores
• Duty-Free Stores
• Online Retailing
• Other Distribution Channels

Geographically, the global beer market has been segmented on the basis of four major regions, which includes:

• Beer North America Market: the United States & Canada
• Beer Europe Market: United Kingdom, Germany, France, Spain, Italy, Russia, and the Rest of Europe
• Beer Asia Pacific Market: China, India, Japan, Australia, South Korea, Thailand, and the Rest of Asia Pacific
• Rest of World: Latin America, the Middle East, Africa

The Asia Pacific market is anticipated to be the fastest, as well as the largest market. In 2018, it accounted for around 33.61% of the revenue share of the market. The Asia-Pacific region is a highly attractive growth region for the beer market due to the high growth in population, where the young population is high. Furthermore, the rising income levels and urbanization has been the key driver for the beer market in the region. The price of beer is also evolving, hence making it more affordable for the consumers. The demand for premium beer is increasing in this region, owing to the changing preferences of consumers paired with the growing interest in better quality beer brands. The rapid penetration of the retail industry has enabled brewers in tapping the provincial consumer base, which was earlier beyond their reach, thereby pushing the beer sales in this region. The companies are also investing in the region to increase their presence and market share in the growing beer market in the region. For instance, AB InBev opened a new brewery in Ho Chi Minh City in Vietnam and, Heineken opened a new brewery in Yangon, Myanmar, with an estimated investment of $60 million.

The global beer market has been segmented on the basis of type, packaging, distribution channels, and production. The market is classified based on type into lager, malt, ale, stout & porter, and others. The market by production includes, macro brewery, microbrewery, craft brewery, and others. The most common forms of packaging include, glass bottles, PET bottles, metal cans, and others. Based on the distribution channel, the market is segmented into hypermarket & supermarkets, liquor specialist stores, duty-free stores, online retailing, and other distribution channels.

The market has numerous players, and some of the key players involved in the global beer market are:

• Heineken NV
• Boston Beer Company
• Constellation Brands
• Diageo Plc
• Anheuser-Busch Inbev
• United Breweries Group (UB Group)
• Other Companies

Company profiles of the key companies are discussed in detail. Most of the companies look for strategies such as merger & acquisition, partnership, contracts, agreements, or new product launches to gain a competitive edge over each other. For instance, in September 2019, Bud Light introduced an alien-themed Bud Light Can in order to gain the benefit of the trend of ‘Storm Area 51’.  In August, 2019, Platform Beer Co., agreed to be the newest craft partner of Anheuser-Busch’s Brewers. In May, 2019, a merger agreement was successfully signed between Boston Beer Company, Inc. and Dogfish Head Brewery. Similarly, in January, 2018, Molson Coors Brewing Company acquired Aspall Cyder Limited.

Key findings of the global beer market:

• Adoption of western culture and rapid modernization have resulted in an increased number of female drinkers.
• The Asia Pacific market is the largest & the fastest growing market in all the regions. It accounted for 33.61% of the total market share in 2018 in terms of revenue, and is likely to grow further during the forecast period.
• Low-alcoholic beer is becoming more popular among young consumers, owing to the prevalence of a healthier lifestyle.
• The online retailing or e-commerce segment is expected to be a prominent emerging distribution channel, and will increase its market share during the forecast period.