Light Beer Market Size Scenario - North America Region expected to grow at a steady CAGR of 1.90% up to 2027

December 01, 2023 09:45 AM -03 | By EIN Presswire

WILMINGTON, NEW CASTLE, DELAWARE, UNITED STATES , December 1, 2023 / -- According to a new report published by Allied Market Research, titled, “Light Beer Market by Production, Package, and Distribution Channel: Opportunity Analysis and Industry Forecast, 2021–2027,”the light beer market size was valued at $285.3billion in 2019, and is expected to garner $338.8 billion by 2027, registering a CAGR of 2.9% from 2021 to 2027.

Global Key Players Profiles:-

The key players operating in the light beer industry are the ABInBev, MillerCoors, Heineken USA, Pabst, Diageo-Guinness, Carlsberg, Asahi Breweries, Suntory Beer, Arpanoosh, and ErdingerWeibbrau.

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Beer is one of the most largely consumed alcoholic beverages in the world. Light beer market is prepared using malted cereals, hops, and water. Factors such as cultural changes and penetration of western culture have influenced consumers’ behavior and inclination toward light beer beverages. Light beer companies have recently introduced various flavors, targeting the female audience. Moreover, changing social lifestyle of the working class and growing disposable income, especially in developing Asian economies, have fueled the market growth.

Increase in young population and number of female drinkers directly drive the beer market. Female drinking is being accepted socially, as more number of females are getting at par with men both socially and professionally. Increase in disposable income of people allows them to consume high quality and premium beer and not just the traditional beer and rum. Increment in the number of restaurants and bars have resulted in greater consumption of these beverages, as people increasingly prefer on-premise drinking rather than off-premise drinking. Brewers and distributors across the globe strive to appeal millennials who are known for their binge drinking habits.

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Barriers to entry in this industry are high and steady. These restrictions include reduced costs and other high ongoing capital requirements, such as capital costs of manufacturing facilities and branding. Major companies have pre-existing agreements with distributors, which are heavily regulated and limited on a regional basis, severely limiting the exposure available to new players. In addition, shelf space is limited in retail outlets and major players produce a wide variety of products, which prevent many new players from placing their products in certain stores.

On the basis of production, the craft brewery segment accounted for the maximum light beer market share in 2019. This is attributed to increase in production volume of craft beer in America by 5% in the first two quarters of 2017, however it was slightly less than the growth achieved in the mid of 2016. According to the Chief Economist of the Brewers Association, the growth rate for small craft brewers has been estimated to be progressive in coming five years in the matured beer market. The number of craft breweries in the U.S. and Europe accounted for 86% of total craft breweries, globally. This was mainly due to the growing consumer preference for craft beer.

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On the basis of package, the pet bottle segment accounted for the maximum light beer market share in 2019. This is attributed to the fact that various beer manufacturers have started switching from glass bottles to PET packaging owing to its superior physical properties such as high design flexibility, lightweight, and recyclability. PET bottles are up to 86% lighter as compared to its glass counterpart, which is expected to significantly improve supply chain performance; thereby, reducing packaging related production cost. Moreover, PET bottles provide high impermeability to gases; and thus, provides high resistance to oxygen uptake and carbon dioxide loss thereby providing a shelf life up to six months

On the basis of distribution channel, the hypermarkets and supermarkets segment accounted for the maximum light beer market share in 2019. This is attributed to the availability of a broad range of consumer goods under a single roof, ample parking space, and convenient operation timings. Moreover, increase in urbanization, rise in working class population, and competitive pricing boosts the popularity of hypermarkets in the developed and the developing regions.

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The global light beer market is segmented into production, package, and distribution channel, and region. Based on production, the market is categorized into macro-brewery, micro-brewery, craft brewery, chips, and others. Based on package, the market is categorized into glass, pet bottle, metal can, and others. Based on distribution channel, the market is fragmented into hypermarkets & supermarket, on-trade, specialty stores, convenience store, and others. Based on region, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

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Key findings of the Study:-

On the basis of production, the craft brewery segment was the highest contributor to the light beer market, and is expected to grow at a CAGR of 2.30% from 2021 to 2027.

By package, the PET bottle segment led the market in terms of value in 2019, and is estimated to grow at a CAGR of 2.60% from 2021to 2027.

Depending on the distribution channel, the hypermarkets and supermarkets segment is expected to grow at a steady CAGR of 2.60% from 2021to 2027.

Region wise, North America is expected to grow at a steady CAGR of 1.90% from 2021to 2027.

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David Correa
Allied Analytics LLP
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