APAC Beer Market Size 2024-2028

The APAC beer market size is projected to increase by USD 61 billion at a CAGR of 4.4% between 2023 and 2028. The evolving landscape of consumer preferences is significantly influenced by the growing demand from Millennials, who increasingly prioritize health, sustainability, and unique experiences over traditional products. This demographic shift is driving companies to innovate and diversify their offerings. As one of the largest demographic segments in the region, millennials exhibit a growing preference for a diverse range of alcoholic beverages, with beer being a prominent choice. Concurrently, the beverage industry is witnessing a surge in mergers and acquisitions, as businesses seek to expand their market share and enhance competitive advantages. Additionally, the prevalence of pubbing, nightlife activities, and social gatherings among millennials contributes significantly to increased beer consumption.  However, this growth trajectory is not without its challenges. Heightened campaigns against alcohol consumption are posing significant obstacles, as public health initiatives raise awareness about the risks associated with excessive drinking. This combination of rising consumer demand, strategic business consolidation, and public health advocacy shapes a complex environment for companies navigating the beverage market today.

Market Overview

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Market Segmentation

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2024-2028, as well as historical data from 2018 - 2022 for the following segments.

• Distribution Channel
  • On-trade
  • Off-trade
• Packaging
  • Bottles
  • Cans
• Geography
  • APAC
    • China
    • India
    • Japan

By Distribution Channel

The market share growth by the on-trade segment will be significant during the forecast period. Small, independent breweries have emerged as key players in the Beer Market, particularly in the fine dining scene. The craft beer movement, spearheaded by pioneers has led to the adoption of beer as a lifestyle choice for young people. 

The on-trade segment accounted for USD 139.20 billion in 2018 and showed a gradual increase during the forecast period.

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In APAC, the expansion of the hospitality industry, including bars, pubs, and restaurants, has fueled the sales of premium beer offerings. Asahi Breweries in APAC have capitalized on this trend by introducing Gose style beers and seasonal brews, respectively. The creative culture surrounding craft beer has also led to the emergence of leadership roles for brewers being notable examples. Moreover, agriculture plays a crucial role in the production of Brown Ale and other craft beer styles. The tourism industry has also contributed to the growth of the market, with Wheat Ale and Mango Lassi being popular choices among travelers. Kokum Sour and other experimental flavors continue to drive innovation in the market, making beer a dynamic and exciting beverage choice for consumers.

Market Dynamic

The market is experiencing a significant shift towards small, independent breweries, particularly in the fine dining sector. Consumers are increasingly preferring premium craft beers, which offer a variety of flavors and regional influences. Innovation is at the heart of the craft beer movement, with breweries experimenting with unique offerings Quality and local ingredients are key priorities for craft breweries, reflecting a creative culture that values self-sufficiency and handcrafted brewing techniques. Consumers are drawn to the individuality and authenticity of craft beer, making it an essential part of modern lifestyles. Seasonal beers and flavors continue to drive consumer adoption of craft beer. Unique flavors and styles, such as mango lassi infused beers, cater to health and wellness trends and the desire for an artisanal drinking experience.  Microbreweries and craft beer breweries have gained popularity, providing consumers with a diverse range of light beers and nonalcoholic options. Traditional methods are being combined with new techniques to create unique and exciting beer experiences. The craft beer market is characterized by its emphasis on innovation and consumer preferences, making it an exciting and dynamic industry to watch. Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Key Market Driver 

The growing demand from Millennials is notably driving market growth. The market in APAC experiences continuous growth, fueled by the rising adoption of beer among millennials. Small, independent breweries are thriving in this landscape, offering a diverse range of fine dining experiences and innovative flavors. The craft beer movement is gaining momentum, with young people embracing the creative culture and exploring new flavors like Kokum Sour and Mango Lassi.

Furthermore, the agricultural sector also plays a significant role in the beer market, with seasonal beers reflecting the region's rich heritage. Tourism contributes to the market's growth, as travelers seek authentic experiences and discover local breweries. The lifestyles of millennials are increasingly influenced by social media, leading to a rise in on-trade spending on beer. Pubbing and nightlife are popular social activities, driving demand for a wide variety of beer styles and premium ones. Craft brewers continue to innovate, offering leadership roles in the industry and contributing to the overall growth of the beer market in APAC. Thus, such factors are driving the growth of the market during the forecast period.

Market Trends 

Increasing number of mergers and acquisitions is the key trend in the market. The market in APAC witnesses an ongoing trend of mergers and acquisitions (M and A) involving major players and small, independent breweries. This strategic move allows companies to expand their market shares, access novel products, and incorporate advanced technologies. The global fascination with beer has fueled this trend, compelling industry pioneers to acquire niche players specializing in craft beer. In the fine dining scene, many brands have gained popularity among young people, who value creativity and innovation in their lifestyles.

Furthermore, these craft brewers have introduced unique flavors like Gose style beer, Brown Ale, and even fusion beers like Mango Lassi and Kokum Sour. Seasonal beers and premium ones have become a staple in the beer market, with offerings catering to diverse consumer preferences. The adoption of beer in various aspects of life, including tourism, has further boosted the market's growth. Leading players continue to explore new opportunities, investing in regional breweries and distributors to capitalize on the tremendous growth potential of the market. Thus, such trends will shape the growth of the market during the forecast period.

Significant Market Challenge 

Campaigns against alcohol consumption is the major challenge that affects the growth of the market. In the small, yet vibrant beer market of APAC, independent breweries and fine dining establishments are spearheading the craft beer movement. Asahi Breweries APAC is among the pioneers in this sector, introducing innovative flavors and creative culture to the region. In Fujian province, many breweries are gaining popularity with its Gose style beer, while Goose Island and Boxing Cat breweries are known for their premium Brown Ale and Wheat Ale offerings. The adoption of beer as a lifestyle choice is on the rise, with young people embracing seasonal beers and unique flavors such as Kokum Sour and Mango Lassi.

Furthermore, agriculture plays a significant role in the production of these beers, with brewers focusing on sustainability and local ingredients. Despite the challenges posed by campaigns against alcohol consumption, the beer market continues to thrive. Leadership roles are being taken up by breweries that prioritize social responsibility, with initiatives against drunken driving and underage drinking. The tourism industry also plays a crucial role in promoting beer consumption, with many destinations offering beer tastings and brewery tours. In conclusion, the beer market in APAC is a dynamic and innovative space, with craft brewers leading the way in creating unique and premium beer offerings. Despite the regulatory and social challenges, the sector continues to grow, driven by consumer demand and a creative and responsible approach to beer production.

Key Companies & Market Insights

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market forecasting growth and analysis.

• Anheuser Busch InBev SA NV - The company offers beer under the brands Aguila, Brahma, and Budweiser.
• Asahi Group Holdings Ltd. - The company offers beer under the brands Super Dry, Pilsner Urquell, and Kozel.

The  market growth and forecasting report also includes detailed analyses of the competitive landscape of the market and information about Key companies, including:

Anheuser Busch InBev SA NV, Asahi Group Holdings Ltd., Beijing Yanjing Beer Group Corp., Carlsberg Breweries AS, Constellation Brands Inc., Coopers Brewery Ltd., D.G. Yuengling and Son Inc., Diageo PLC, Heineken NV, Kirin Holdings Co. Ltd., Lion Pty. Ltd., Molson Coors Beverage Co., Sapporo USA Inc., Sierra Nevada Brewing Co., Squatters Pub Brewery, Stone and Wood Brewing Co., The Boston Beer Co. Inc., The Gambrinus Co., Tsingtao Brewery Co. Ltd., and Vam Distilleries and Beverages

The market analysis and report of qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Market Analyst Overview

The beer industry is a significant market segment, driven by the increasing consumer preference for alcoholic beverages. Beer is the most widely consumed alcoholic beverage globally, with a large consumer base in regions like Europe and North America. The industry dynamics are influenced by various factors such as consumer demographics, economic conditions, and government regulations. Breweries adopt various marketing strategies to cater to diverse consumer segments. They focus on product innovation, pricing strategies, and distribution channels to expand their reach. Beer is often marketed as a social beverage, and breweries leverage this perception to build brand loyalty and customer engagement. Furthermore, the beer industry is adapting to changing consumer preferences, with a rising demand for low-sugar and gluten-free craft beers to accommodate health-conscious consumers.  The beer market is characterized by intense competition, with numerous players vying for market share. Breweries invest in research and development to introduce new product offerings and improve production efficiency.

The beer market is a significant segment of the alcohol sector, with social lifestyle and working population driving its growth. Bentspoke brewing companies are innovating with premium beers, including those with lower alcohol by volume (ABV), catering to health and wellness trends. Anheuser-Busch InBev is a major player in this industry, with Kloud Beer Brand and other non-alcoholic options expanding their portfolios to meet local special circumstances and macroeconomic factors. Predefined factors, such as urbanization and Westernization, influence the beer market. Traditional drinking culture remains strong, particularly in meals, while nonalcoholic beverages gain popularity. Beer options continue to evolve, with consumers seeking variety and unique flavors.

Retail sales dominate the beer market, with super and hypermarkets, ecommerce, convenience stores, and out-of-home venues like hotels, cafes, and bars contributing significantly. Trade associations play a crucial role in shaping industry regulations and promoting responsible drinking. Macroeconomic factors, such as inflation, taxes, and economic conditions, impact beer sales. The at-home market also influences beer consumption, with consumers increasingly opting for convenience and affordability. As the beer market continues to evolve, it faces both challenges and opportunities, requiring adaptability and innovation from players.

Furthermroe, they also collaborate with other industry players to expand their product portfolio and reach new markets. The beer industry is expected to grow steadily in the coming years, driven by the increasing consumer demand for premium and craft beers. Breweries are also exploring new markets in regions like Asia Pacific and South America to tap into untapped potential. Innovation is a key driver in the beer industry, with breweries constantly introducing new flavors and product offerings to cater to evolving consumer preferences. The industry is also witnessing a trend towards sustainable and eco-friendly production methods, as consumers become more conscious of the environmental impact of their choices. In conclusion, the beer industry is a dynamic and evolving market, driven by consumer preferences, innovation, and competition. Breweries adopt various marketing strategies to cater to diverse consumer segments and expand their reach, while also investing in research and development to introduce new product offerings and improve production efficiency.

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What are the Key Data Covered in this Market Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the growth of the market between 2024 and 2028
• Precise estimation of the size of the market and its contribution of the market in focus to the parent market
• Accurate predictions about upcoming market  trends and changes in consumer behavior
• Market research and growth of the market across APAC
• Thorough market growth analysis of the market's competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the growth of market companies

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