Market Trends of North America Craft Beer Industry
This section covers the major market trends shaping the North America Craft Beer Market according to our research experts:
Growing Number of Micro-Breweries in the Craft Beer Industry
In North America, craft beer is becoming more and more popular, particularly among the younger demographic. The involvement of microbreweries in the craft beer business is also a result of changing customer preferences for variety and flavor and increased production in the region. According to the brewers' association, the production volume of craft beer in 2021 increased up to 7.9% with the contribution of 18.4% by the microbreweries in the region. And it also claimed that rising small and independent brewers contributed heavily to this increase in production. Also, In 2021, there were a total number of 9,118 craft breweries in the United States, based on the latest data from the Brewers Association. Additionally, craft breweries, such as Lost Abbey and Evil Twin Brewing Co., have been emboldened by what they see as a shifting American palate and are releasing more of the in-vogue, high-alcohol content beers, like double and triple IPAs, export stouts, Belgian-style beers, and imperial ales, which have become popular with the growing craft beer movement. Moreover, the increased presence of higher income groups in the area supports growth in demand for more expensive and diverse products, which opens the door for the expansion of the craft beer market in the area. Hence, such factors like increased number of micro-breweries and their production is boosting the growth of the market.
United States Dominates the Market
The major element influencing the industry in the country is the availability of more beer brands and styles than in any other nation around the globe. India Pale Ale, Session Beer, Imperial Porter, and Blonde Ale are just a few of the many craft beer variants available in the nation. Craft beer is still the sector of the beer brewing industry that is growing, despite being severely damaged by the coronavirus outbreak. Microbreweries are reviving and recreating craft beer from Seattle to Miami. A few popular craft brewers in the United States include Fargo Brewing in North Dakota, Bells in Michigan, and Shipyard in Maine. In terms of brands, Blue Moon, Sierra Nevada, and New Belgium were the top three craft beer brands in the United States. Additionally, according to the Brewers Association, the nation's largest craft brew trade organization, an American craft brewer is "small, independent and traditional". Despite the pandemic, the number of operating craft breweries reached all-time highs in 2020 and 2021, with 9,118 craft breweries throughout the country. In 2020, California boasted over 900 craft breweries, the most of any state in the United States. Moreover, craft beer is being advertised as being sustainably made which is attracting consumers in the region. To back up the sustainability story, craft beer fans are increasingly looking for some background information on the beer, like its ingredients or history. Such factors are supporting the growth of the craft beer market to move at a faster pace in the country.
