Beer - Hong Kong

The Beer market in Hong Kong has seen significant growth and development in recent years.

Customer preferences: Hong Kong consumers have shown a growing preference for craft beer and imported beer varieties. This shift in preferences can be attributed to the increasing interest in unique and high-quality beer options. Craft beer, with its emphasis on small-batch production and innovative flavors, has gained popularity among consumers who value authenticity and craftsmanship. Additionally, imported beer brands from countries such as Belgium, Germany, and the United States have also gained traction among Hong Kong consumers, who are seeking a taste of international beer culture.

Trends in the market: One of the key trends in the beer market in Hong Kong is the rise of microbreweries and brewpubs. These establishments offer consumers a wide range of craft beer options, often brewed on-site. The presence of microbreweries and brewpubs has not only increased the variety of beer available to consumers but has also created a sense of community and experiential consumption. Consumers can now visit these establishments to learn about the brewing process, interact with brewers, and participate in beer tasting events. Another trend in the market is the growing popularity of beer festivals and events. These events provide a platform for breweries, both local and international, to showcase their products and engage with consumers. Beer festivals have become a social gathering for beer enthusiasts, offering a unique opportunity to sample different beer styles and flavors in a festive atmosphere. The increasing number of beer festivals in Hong Kong reflects the growing interest and demand for beer-related experiences among consumers.

Local special circumstances: Hong Kong's status as an international city and its diverse population contribute to the development of the beer market. The city's cosmopolitan nature attracts expatriates and tourists from around the world, who bring with them their beer preferences and consumption habits. This diversity of tastes and preferences creates a market for a wide range of beer options, catering to different consumer segments. Additionally, Hong Kong's hot and humid climate also plays a role in shaping consumer preferences. Light and refreshing beer styles, such as lagers and wheat beers, are particularly favored in this climate. These beer styles offer a thirst-quenching and cooling effect, making them popular choices among consumers seeking relief from the heat.

Underlying macroeconomic factors: The strong economic growth and rising disposable incomes in Hong Kong have contributed to the growth of the beer market. As consumers have more purchasing power, they are willing to spend on premium and imported beer options. This trend is further supported by the increasing number of bars, restaurants, and retail outlets that offer a wide selection of beers to cater to consumer demand. Furthermore, the government's efforts to promote tourism and develop the city as a culinary destination have also had a positive impact on the beer market. The presence of international food and beverage establishments, as well as the growing number of food and beer pairing events, has created a favorable environment for the growth of the beer market in Hong Kong. In conclusion, the beer market in Hong Kong is experiencing growth and development driven by changing customer preferences, the rise of microbreweries and beer events, local special circumstances, and underlying macroeconomic factors. As consumers seek unique and high-quality beer options, the market has responded with a wide range of craft and imported beer choices. The presence of microbreweries and brewpubs, as well as the popularity of beer festivals, provide consumers with opportunities for experiential consumption. Hong Kong's diverse population and hot climate further contribute to the development of the beer market, while strong economic growth and government initiatives support consumer demand for premium and international beer options.

Data coverage:
The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on alcoholic beverages, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:
The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level.