Beer market to reach $688.4 Billion by 2020

beer

According to a new report by Allied Market Research titled, "Global Beer Market - Size, Share, Global Trend, Company Profiles, Demand, Insights, Analysis, Opportunities, Segmentation, and Forecast, 2014-2020," the global beer market is expected to garner $688.4 billion by 2020, registering a compound annual growth rate (CAGR) of 6% over the forecast period, 2015-2020. The significantly growing consumption in developing regions is largely fuelling the market growth.

The types of beer covered in this report are light and strong, of which, strong beer holds a major market share. The largest consumption for strong beer is observed in the Asia Pacific region, especially in India. The market for strong beer is estimated to grow rapidly over the forecast period accounting for a market value of $463.9 billion by 2020, registering a high CAGR of 6.5% during the forecast period. The global increase in the count of female drinkers has considerably supplemented the growth of the beer market. However, stringent government and tax regulations governing the alcoholic beverages industry would restrain the growth of this market.

The market is further segmented into premium, super premium and normal beer category on the basis of pricing, in which normal beer accounts for the largest market share of around 43% of the global beer market. The segment for premium beer is expected to grow at a higher CAGR of 6.4% during the forecast period, as compared to super premium and normal beer. The growth would primarily be driven by the shifting consumer preference towards premium beer, and increasing affordability owing to the rising disposable income. Package Design's editors also note that package design for premium beer is also evolving and no longer is relegated to only glass bottles with text-heavy labeling, and there is growing acceptance of a canned beer as a premium product.

The categories for beer packaging include canned, bottle and draught beer, of which, canned beer accounts for the largest share, in terms of packaging, followed by bottled beer. The demand for canned beer is high due its easy storage and transportation, and the protection that it offers from the external heat.