Publication Month: Jan 2022 | Report Code: TIPRE00014668 | No. of Pages: 158 | Category: Food and Beverages | Status: Published
Hard seltzers are low alcohol-by-volume (ABV) content beverages available in different fruity flavors, including citrus, berries, and tropical fruits. Moreover, to enhance the flavor profile and attract large consumer groups, hard seltzer brands are offering products with the combination of different flavors. For instance, Truly offers raspberry lime hard seltzers containing both citrus and berry flavors.
In 2020, North America held the largest share of the global hard seltzer market, and Asia-Pacific is estimated to register the fastest CAGR in the market during the forecast period. According to ISWR Drinks Market Analysis, the ready-to-drink (RTD) category—including hard seltzers—accounted for the highest rise in consumption in the US in 2020. Due to hectic lifestyles and busy schedules, people in North America prefer products in RTD packaging, which are ideal for on-the-go consumption. Moreover, the rising demand for low-alcohol content and low-sugar content beverages is also propelling the market growth in the region. Further, the high influence of social media platforms and celebrities is projected to open significant growth opportunities for the hard seltzer brands over the coming years.
|Market Size Value in||US$ 2,500.82 million in 2021|
|Market Size Value by||US$ 4,355.46 million by 2028|
|Growth rate||CAGR of 8.2% from 2021 to 2028|
|No. of Pages||158|
|No. of Tables||77|
|No. of Charts & Figures||72|
|Historical data available||Yes|
|Segments covered||Flavor, Packaging Type, and Distribution Channel|
|Regional scope||North America, Europe, Asia Pacific, Middle East & Africa, South & Central America|
|Country scope||US, Canada, Mexico, UK, Germany, Spain, Italy, France, India, China, Japan, South Korea, Australia, UAE, Saudi Arabia, South Africa, Brazil, Argentina|
|Report coverage||Revenue forecast, company ranking, competitive landscape, growth factors, and trends|
|Free Sample Copy Available|
Many sectors, including the food and beverages industry, faced unexpected challenges amid the COVID-19 pandemic. Various restrictions imposed by governments, such as lockdowns, production shutdown, travel bans, and border restrictions, disrupted the global supply chains. This also led to the shortage of raw materials and labor. However, the demand for alcoholic beverages rose significantly during lockdowns. As people were mandated to stay home, they preferred the in-house consumption of beverages. Moreover, due to reduced bar visits, the demand for RTD beverages, such as hard seltzer, grew significantly. As the vaccination rates across different countries are increasing and the manufacturing units are recovering from their losses, the hard seltzer market is also expected to register significant growth during the forecast period.
Ready-to-drink (RTD) beverages are gaining popularity as they are convenient to consume and not restricted to a specific location or time. Owing to the hectic lifestyle and busy schedule of people, they are increasingly preferring products in RTD packaging. RTD beverages are ideal for on-the-go consumption. Moreover, RTD beverages—including hard seltzers—usually come in cans that meet the sustainability concerns of consumers, as cans are easily recyclable. Additionally, cans are sleek and compact, as well as printed in vibrant colors, making them easy to carry and appealing to a wide range of consumers. These factors have significantly increased the popularity of RTD beverages across regions, thereby promoting the growth of the hard seltzers market.
Based on flavor, the hard seltzer market is bifurcated into citrus fruits, berries, tropical fruits, and others. The tropical fruits segment accounted for the largest market share in 2020 is expected to register the highest CAGR in the market during the forecast period. Tropical fruits, including pineapple, watermelon, kiwi, and passionfruit, have vibrant colors and unique flavors. Moreover, they have high nutritional profiles, which is driving their popularity among consumers. As tropical flavors are becoming more popular, manufacturers are launching a wide range of products with enhanced and innovative flavors to expand their clientele. For instance, in August 2021, Vizzy, a Molson Coors Beverage Co. brand, launched new hard seltzer flavor combinations, such as kiwi and watermelon, and passion fruit and watermelon
Based on packaging type, the hard seltzer market is bifurcated into bottles and cans. The cans segment accounted for a larger market share in 2020, and the bottles segment is expected to register a higher CAGR in the market during the forecast period. Cans are cylindrical containers generally made of metals such as tin, steel, and aluminum. They are portable, leak-proof, and require low maintenance than glass cans. Cans are easy to carry and are ideal for grab-and-go or food-on-the-go trends. Moreover, they appear fancy and attractive. The rising awareness of environmental concerns is driving the demand for cans. Manufacturers are also launching innovative cans with attractive prints to differentiate themselves from other brands in the market.
Based on distribution channel, the hard seltzer market is bifurcated into supermarkets and hypermarkets, specialty stores, online retail, and others. The supermarkets and hypermarkets segment accounted for a larger market share in 2020, and the online retail segment is expected to register a higher CAGR in the market during the forecast period. Online retail stores offer a wide range of products and heavy discounts; also, consumers can conveniently buy desirable products remotely. Additionally, home delivery services attract a large group of consumers to shop through e-commerce portals. Moreover, these websites offer comprehensive product information, along with user reviews, which help buyers compare products and make informed decisions.
A few players operating in the hard seltzer market include Anheuser-Busch INBEV; Constellation Brands, Inc; Heineken N.V.; Kona Brewing Co.; Kopparberg; Lift Bridge Brewing Co.; Mark Anthony Brands International; Molson Coors Beverage Company; Oskar Blues; and The Boston Beer Company. These players are launching hard seltzers with innovative flavors to cater to changing customer preferences and to retain their market position.
Based on flavor, the hard seltzer market is segmented into citrus fruits, berries, tropical fruits, and others. Based on packaging type, the market is segmented into bottles and cans. The hard seltzer market, based on distribution channel, is segmented into supermarkets and hypermarkets, specialty stores, online retail, and others.