Beer - Myanmar

The Beer market in Myanmar has been experiencing significant growth in recent years. Customer preferences have shifted towards beer as a popular alcoholic beverage choice, leading to increased demand and consumption. This trend can be attributed to several factors, including changing social norms, increasing disposable income, and the influence of Western culture.

Customer preferences: Myanmar has a rich cultural heritage, and traditionally, spirits such as rice wine and toddy were the preferred alcoholic beverages. However, in recent years, there has been a noticeable shift in customer preferences towards beer. This can be attributed to the rising popularity of Western-style bars and restaurants, where beer is often the beverage of choice. Additionally, beer is seen as a more socially acceptable drink compared to spirits, which may have contributed to its growing popularity.

Trends in the market: One of the key trends in the beer market in Myanmar is the increasing demand for craft beers. Craft beers are gaining popularity among consumers who are looking for unique flavors and high-quality products. This trend mirrors the global craft beer movement, where consumers are seeking out locally brewed beers with distinct flavors and characteristics. Another trend in the market is the growing presence of international beer brands. As Myanmar opens up to foreign investment and tourism, international beer brands are entering the market to capitalize on the growing demand. These brands offer a wide range of beer styles and flavors, catering to different consumer preferences.

Local special circumstances: Myanmar has a unique set of circumstances that have contributed to the development of its beer market. The country has a young and growing population, with a significant portion of the population under the legal drinking age. As the younger generation reaches legal drinking age, there is a natural increase in the demand for alcoholic beverages, including beer. Additionally, Myanmar has a hot and humid climate, which makes beer a refreshing choice for many consumers. The consumption of beer is often associated with social gatherings and celebrations, further driving the demand for beer in the country.

Underlying macroeconomic factors: The economic growth and increasing disposable income in Myanmar have played a significant role in the development of the beer market. As the economy continues to grow, more people have the financial means to afford beer, leading to increased consumption. Furthermore, the government's efforts to attract foreign investment and promote tourism have also contributed to the growth of the beer market. With the influx of tourists and expatriates, there is a greater demand for beer, both from international brands and local breweries. In conclusion, the beer market in Myanmar is experiencing growth due to changing customer preferences, including a shift towards beer as a preferred alcoholic beverage. The market is also influenced by global trends, such as the demand for craft beers and the presence of international brands. Local special circumstances, such as the young population and the country's climate, further contribute to the development of the market. Finally, macroeconomic factors, including economic growth and increasing disposable income, play a significant role in driving the demand for beer in Myanmar.

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.