Market Size of Premium Alcoholic Beverages Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 8.43 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Europe |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Premium Alcoholic Beverages Market Analysis
The Global Premium Alcoholic Beverages Market is projected to register a CAGR of 8.43% over the next five years.
The increased demand for alcoholic beverages, especially among millennials, as well as the rising global consumer desire for premium/super-premium goods, are the main drivers of the premium alcoholic beverage market. The public demand for premium alcoholic beverages is also rising due to the rising preference for low-alcohol beers. It is attributed to consumers' increased willingness to explore new drinks and advanced knowledge of alcohol unit intake. Additionally, the premium alcoholic beverages market growth rate is positively impacted by rising disposable income, a growing young adult population around the world, and rising consumer demand for a premium or super-premium products. It is due to the appealing packaging of these beverages in various sizes and containers (bottles and cans). For instance, according to the World Bank, in 2021, about 67.45% of the Indian population fell into the 15-64 age group. It increased from 67.27% in 2020 and accounted for the largest share in the country.
In most mature and emerging markets, consumers are starting to drink 'le's-but-better' alcohol, generally with higher barley and malt contents. Moreover, the shifting inclination toward online sales channels is also providing a way into the premium beverage and is supporting its growth. Owing to this trend, players in the market are also making product launches accordingly. For instance, in October 2022, Square 6 High-Rye Rye Whiskey was released by Heaven Hill Distillery, which claimed it was the latest cutting-edge offering from the Evan Williams Bourbon Experience. They stated that the Square 6 High-Rye Rye Whiskey mash bill, a new recipe under the Heaven Hill portfolio, contains 63% rye, 24% corn, and 13% malted barley. Hence, such developments in the market are expected to attract and increase the demand for premium alcoholic beverages, thus boosting the market's growth during the forecast period.
Premium Alcoholic Beverages Industry Segmentation
Premium alcoholic beverages are commodities, including beer, spirits, and others, that utilize packaging and ingredients to increase the perceived value of beverages. The global premium alcoholic beverages market is segmented by type, distribution channel, and geography. By type, the market is classified as beer, wine, and spirits. By distribution channel, the market is segmented into on-trade and off-trade. Moreover, the study analyzes the premium alcoholic beverages market in emerging and established markets worldwide, including North America, Europe, Asia-Pacific, South America, Middle East & Africa. For each segment, the market sizing and forecasts have been done based on value (in USD million).
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Premium Alcoholic Beverages Market Size Summary
The premium alcoholic beverages market is experiencing robust growth, driven by increasing consumer demand for premium and super-premium products, particularly among millennials. This trend is fueled by a rising interest in low-alcohol options and a growing willingness to explore new drink experiences. The market is further bolstered by rising disposable incomes and a burgeoning young adult population globally, which is attracted to the appealing packaging and innovative offerings in various sizes and containers. The shift towards online sales channels is also contributing to market expansion, with companies launching new products to cater to this trend. The introduction of unique recipes and ingredients, such as CBD-infused beers, is enhancing the appeal of craft beers, which are gaining popularity in emerging markets like India and China.
Asia-Pacific is witnessing significant growth in the premium alcoholic beverages market, driven by a large millennial consumer base and a preference for varied flavors in spirits, beer, cider, and wine. China, in particular, is seeing a rise in premium beverage consumption due to increased exposure to Western culture and lifestyle changes. Major players in the market are expanding their geographical presence and product portfolios through strategic acquisitions and innovative product launches. The competitive landscape is dominated by key players such as The Brown-Forman Corporation, Pernod Ricard SA, Gruppo Campari, Diageo plc, and Bacardi Limited, who are leveraging advanced distribution networks and focusing on research and development to drive innovation and capture emerging market opportunities.
Premium Alcoholic Beverages Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Drivers
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1.2 Market Restraints
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1.3 Porter's Five Forces Analysis
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1.3.1 Bargaining Power of Suppliers
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1.3.2 Bargaining Power of Buyers/Consumers
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1.3.3 Threat of New Entrants
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Type
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2.1.1 Beer
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2.1.2 Wine
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2.1.3 Spirits
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2.2 Distribution Channel
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2.2.1 On-Trade
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2.2.2 Off-Trade
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2.3 Geography
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2.3.1 North America
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2.3.1.1 United States
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2.3.1.2 Canada
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2.3.1.3 Mexico
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2.3.1.4 Rest of North America
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2.3.2 Europe
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2.3.2.1 United Kingdom
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2.3.2.2 Germany
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2.3.2.3 France
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2.3.2.4 Russia
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2.3.2.5 Italy
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2.3.2.6 Spain
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2.3.2.7 Rest of Europe
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2.3.3 Asia-Pacific
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2.3.3.1 India
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2.3.3.2 China
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2.3.3.3 Japan
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2.3.3.4 Australia
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2.3.3.5 Rest of Asia-Pacific
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2.3.4 South America
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2.3.4.1 Brazil
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2.3.4.2 Argentina
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2.3.4.3 Rest of South America
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2.3.5 Middle-East and Africa
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2.3.5.1 South Africa
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2.3.5.2 United Arab Emirates
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2.3.5.3 Rest of Middle-East and Africa
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Premium Alcoholic Beverages Market Size FAQs
What is the current Premium Alcoholic Beverages Market size?
The Premium Alcoholic Beverages Market is projected to register a CAGR of 8.43% during the forecast period (2024-2029)
Who are the key players in Premium Alcoholic Beverages Market?
Pernod Ricard SA, Diageo plc, Bacardi Limited, The Brown-Forman Corporation and Gruppo Campari are the major companies operating in the Premium Alcoholic Beverages Market.
