Beer - Africa

The Beer market in Africa is experiencing significant growth and development, driven by various factors such as changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. Customer preferences in the Beer market in Africa are shifting towards craft beers and premium offerings. Consumers are becoming more interested in unique and flavorful beer options, as well as products that are locally produced. This trend is driven by a desire for authenticity and a preference for supporting local businesses. Additionally, health-conscious consumers are seeking lighter and low-alcohol options, leading to an increase in the demand for light beers and non-alcoholic beers. Trends in the Beer market in Africa include the rise of microbreweries and brewpubs. These smaller-scale breweries are gaining popularity as they offer a wide range of craft beers and create a unique experience for consumers. They often focus on using locally sourced ingredients and incorporating traditional brewing techniques, appealing to consumers who value quality and authenticity. Furthermore, the growing popularity of beer festivals and events is contributing to the increased visibility and demand for craft beers. Local special circumstances in Africa, such as cultural traditions and regulatory frameworks, also influence the Beer market. In some African countries, beer is deeply ingrained in the local culture and is an integral part of social gatherings and celebrations. This cultural significance drives the demand for beer and supports its continuous growth. Additionally, varying regulations and taxation policies across countries can impact the availability and affordability of beer, affecting consumer choices and market dynamics. Underlying macroeconomic factors play a crucial role in shaping the Beer market in Africa. Economic growth and increasing disposable incomes in many African countries have led to a rise in consumer spending power. As a result, consumers have more discretionary income to spend on leisure activities, including purchasing beer. Furthermore, population growth and urbanization are contributing to the expansion of the consumer base for beer, creating new market opportunities. In conclusion, the Beer market in Africa is evolving and experiencing growth due to changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. Craft beers and premium offerings are gaining popularity, driven by a desire for authenticity and support for local businesses. Microbreweries and brewpubs are on the rise, providing unique beer options and experiences. Cultural traditions and regulatory frameworks influence the market, while economic growth and urbanization contribute to the expanding consumer base. Overall, the Beer market in Africa presents opportunities for both local and international beer companies to cater to the evolving needs and preferences of consumers.

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.