Beer - Southeast Asia

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

Customer preferences: One of the main reasons for the growth of the Beer market in Southeast Asia is the increasing preference for alcoholic beverages among consumers in the region. Beer is a popular choice for social gatherings and celebrations, and its affordability compared to other alcoholic beverages makes it accessible to a wide range of consumers. Additionally, the younger population in Southeast Asia has shown a growing interest in craft beers and unique flavors, which has further contributed to the expansion of the market.

Trends in the market: One of the key trends in the Beer market in Southeast Asia is the rise of craft breweries. Craft beers are gaining popularity among consumers who are looking for unique and high-quality beer options. These breweries often offer a wide range of flavors and styles, appealing to the adventurous palates of consumers. The craft beer trend has also led to the emergence of beer festivals and events, providing a platform for smaller breweries to showcase their products and connect with consumers. Another trend in the Beer market in Southeast Asia is the increasing demand for low-alcohol and non-alcoholic beers. Health-conscious consumers are seeking alternatives to traditional beers that are lower in alcohol content or completely alcohol-free. This trend is driven by a growing awareness of the negative health effects of excessive alcohol consumption and a desire for healthier lifestyle choices.

Local special circumstances: The Beer market in Southeast Asia is influenced by the diverse cultural and regulatory landscape of the region. Each country in Southeast Asia has its own unique drinking culture and regulations regarding alcohol consumption. For example, in some countries, there are restrictions on the sale and consumption of alcohol during certain religious holidays. These cultural and regulatory factors shape consumer preferences and behavior in the Beer market.

Underlying macroeconomic factors: Several macroeconomic factors contribute to the growth of the Beer market in Southeast Asia. The region has experienced strong economic growth in recent years, leading to an increase in disposable incomes and a growing middle class. As a result, consumers have more purchasing power and are able to afford beer as a regular part of their lifestyle. Additionally, the rapid urbanization in Southeast Asia has created a demand for social activities and entertainment options, with beer being a popular choice for socializing and relaxation. The combination of economic growth and urbanization has created a favorable environment for the expansion of the Beer market in Southeast Asia.

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.