Canned Alcoholic Beverages Market, By Product (Wine (Still, Fortified, Low-alcohol, Sparkling) RTD Cocktails (Malt based, Spirit based, Wine based) Hard Seltzers (Malt based, Spirit based, Wine based, Sugar based)), By Distribution Channel (On-trade, Liquor Stores, Online, Others), and By Geography (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa)

Published In : Jun 2023

Code : CMI5943

Pages :140

Formats :

Excel and PDF

Industry : Food and Beverages

Market Challenges And Opportunities

Global Canned Alcoholic Beverages Market Drivers:

Growing demand for ready-to-drink products to foster market growth

The growing consumer preference for RTD alcoholic beverages, which offer convenience and a variety of flavors is driving growth of the market. Additionally, these drinks are convenient to store and carry around, making them suitable for busy lifestyles. Moreover, they are available at affordable prices, which make them accessible to a wider range of consumers. Furthermore, the growing number of bartenders who specialize in preparing a variety of cocktails with RTD alcoholic beverages is further propelling market growth.

Premiumization is another major driver factor

Premiumization of the beverages with improved taste, flavors, and creative packaging is expected to create demand for RTD cocktails, thereby fostering market growth. The key players are emphasizing aggressive advertisement and product launches to capture a high market share. For instance, in August 2020, The Coca-Cola Company announced the launch of a hard seltzer in sleek aluminum cans in Mexico and Brazil under the brand Topo Chico. The product is slated to be launched in the U.S. market sometime in 2021.

Global xxxx Market Opportunities:

Growing focus of key manufacturers to introduce alcoholic beverages in different flavors is expected to provide significant market growth opportunities over the forecast period. For instance, in May 2021, Bacardi expanded its range of canned cocktails, in different flavors BACARDÍ Sunset Punch BACARDÍ Bahama Mama, and BACARDÍ Mojito. This gluten-free are produced with real ingredients, natural flavors, and no artificial sweeteners.

Growing popularity of canned beverages due to advantages of convenience and affordability is expected to present lucrative market opportunities. The beverage cans are gaining popularity on the account of increasing demand for packaged drinks, especially among millennials. The popularity of canned drinks is also attributable to the fact that they are light-weight, unbreakable, stackable, and durable. Additionally, metal cans protect the beverage from light and excess oxygen and are easier to transport than glass bottles.

Global Canned Alcoholic Beverages Market Restraints:

Increasing demand for non-alcoholic RTD beverages to hamper market growth

The consumption of non-alcoholic RTD beverages is growing among consumers owing to the growing prevalence of obesity and other lifestyle-related diseases. Consumers are reduce their alcohol consumption and shifting toward healthier drinks which is expected to restrict the growth of alcoholic beverages, thereby negatively impact the canned alcoholic beverages market growth.

Increasing tariffs on alcoholic beverage to hinder market growth

Growing tariffs on the import of alcoholic beverages by governments of various countries is leading to rise in product prices. These high tax and tariff rates, in turn, pose various challenges to the canned alcoholic beverages market. For instance, in October 2019, the U.S. imposed a 25% tariff on beverages like Scotch whisky and wine (not over 14% ABV) made in Germany, France, Spain, and the U.K. In June 2020, the U.S. government introduced another tariff review on imported goods, including beer, vodka, and gin, made in Germany, France, the U.K., and Spain, as part of its trade dispute with the European Union (EU).