Beer - Cambodia

The Beer market in Cambodia has been experiencing significant growth in recent years, driven by changing customer preferences, emerging trends in the market, local special circumstances, and underlying macroeconomic factors.

Customer preferences: Cambodian consumers have been increasingly drawn to the Beer market, with a growing preference for locally produced and craft beers. This shift in consumer preferences can be attributed to a desire for unique and high-quality products, as well as a sense of national pride in supporting local businesses. Additionally, there has been a rise in health-conscious consumers who are seeking low-alcohol or non-alcoholic beer options.

Trends in the market: One prominent trend in the Beer market in Cambodia is the growing popularity of craft breweries. These small-scale, independent breweries offer a wide variety of unique and flavorful beers, appealing to consumers looking for a more artisanal and personalized drinking experience. Craft breweries often emphasize locally sourced ingredients and traditional brewing methods, further enhancing their appeal. Another trend in the market is the increasing demand for premium and imported beers. As Cambodia's economy continues to grow, there is a rising middle class with higher disposable incomes. This has led to an increased willingness to spend on higher-priced and imported beer brands, which are often associated with higher quality and prestige.

Local special circumstances: Cambodia's tourism industry has been a key driver of the Beer market, as the country attracts a large number of international visitors each year. Many tourists are eager to try local beers and experience the unique flavors of Cambodia. This has created a demand for both traditional Cambodian beers and craft breweries that offer a taste of the local culture.

Underlying macroeconomic factors: Cambodia's strong economic growth and increasing urbanization have contributed to the development of the Beer market. As more people move to urban areas, there is a higher concentration of potential customers for beer companies. Additionally, rising incomes and a growing middle class have resulted in increased consumer spending on discretionary items such as beer. Furthermore, Cambodia's favorable regulatory environment has also played a role in the growth of the Beer market. The government has implemented policies that support the development of the alcohol industry, including tax incentives for local breweries and simplified licensing processes. These measures have encouraged investment in the sector and facilitated the entry of new players into the market. In conclusion, the Beer market in Cambodia is experiencing growth due to changing customer preferences, emerging market trends, local special circumstances, and underlying macroeconomic factors. The increasing demand for craft beers, premium and imported brands, as well as the influence of tourism and favorable regulatory environment, are all contributing to the development of the market. As Cambodia's economy continues to grow and consumer preferences evolve, the Beer market is expected to further expand in the coming years.

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.