Beer - Bolivia

The Beer market in Bolivia has been experiencing significant growth in recent years.

Customer preferences: Bolivian consumers have shown a growing preference for beer over other alcoholic beverages. This can be attributed to the social and cultural significance of beer in Bolivia, where it is often consumed during social gatherings and celebrations. Additionally, the affordability and availability of beer have made it a popular choice among consumers.

Trends in the market: One of the key trends in the beer market in Bolivia is the increasing demand for craft beer. Craft breweries have been emerging in the country, offering a wide variety of unique and flavorful beers. This trend can be attributed to the growing interest in artisanal and locally-produced products, as well as the desire for more diverse and premium beer options. Craft beer has gained a loyal following among beer enthusiasts and is seen as a symbol of quality and innovation. Another trend in the market is the rise of low-alcohol and non-alcoholic beers. Health-conscious consumers are increasingly seeking alternatives to traditional alcoholic beverages. Low-alcohol and non-alcoholic beers provide a lighter option for those who want to enjoy the taste of beer without the effects of alcohol. This trend is also driven by changing lifestyles and a desire for healthier choices.

Local special circumstances: Bolivia's beer market is influenced by its unique cultural and geographical factors. The country has a rich brewing tradition, with many local breweries producing traditional beers that are deeply rooted in Bolivian culture. These breweries often use locally-sourced ingredients and traditional brewing methods, which give their beers a distinct flavor and character. Additionally, Bolivia's diverse geography and climate provide favorable conditions for growing barley and hops, the key ingredients in beer production.

Underlying macroeconomic factors: The growth of the beer market in Bolivia can also be attributed to favorable macroeconomic factors. The country has experienced steady economic growth in recent years, which has led to an increase in disposable income and consumer spending. This has allowed consumers to have more purchasing power and to afford beer as a regular part of their lifestyle. Additionally, the government's efforts to promote tourism and attract foreign investments have contributed to the growth of the beer market, as tourism and foreign investment often lead to increased demand for alcoholic beverages. In conclusion, the beer market in Bolivia is experiencing growth due to changing customer preferences, including the increasing demand for craft beer and low-alcohol/non-alcoholic options. The market is also influenced by local special circumstances, such as Bolivia's brewing tradition and favorable geography for beer production. Favorable macroeconomic factors, including steady economic growth and government initiatives, have also contributed to the market's development.

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.