From sporting events to pub nights with friends, beer has become deeply ingrained in the lives of people across Australia. Over the years,
due to their preference for unique pints in various styles and flavors. Nevertheless, imported beers and popular mainstream brands like Coopers, XXXX, VB, Tooheys, and Carlton remain some of the most consumed beers in the country. While full-strength beer endures as the most highly consumed type among Australia’s beer drinkers, the country’s beer industry is entering a new era. Companies are witnessing a gradual shift away from high-strength beers to mid-strength and low-strength alternatives fueled by a rise in consumer alcohol moderation and
. With more consumers reaching for non-alcoholic products, the proportion of Australians drinking beer is falling, with less than a third
as of March 2023 compared to over 37 percent pre-pandemic.
Australia’s love of craft beer
The craft beer industry has become an ever-expanding segment of Australia’s beer market, long dominated by big beer brands and major breweries. Australians have developed a taste for locally owned and brewed beers, with Black Hops Brewing voted Australia’s best craft beer brewery in 2022. Over the past decade,
the number of independent and craft breweries in Australia has soared, and their success has not gone unnoticed. Many multinational beverage companies now sell their own brands of craft beer in the Australian market or have acquired independent breweries as part of their market portfolio.
New South Wales and Victoria are home to the largest craft beer consumer bases across Australia, with the two states also boasting the highest concentrations of breweries and retail outlets.
The largest share of craft beer consumers are aged between 30 and 39, with a significantly higher proportion of males. Craft beer consumers typically reach for pale ales, lagers, and IPAs, with pale ale on top as the
most consumed beer style among Australia’s craft beer drinkers. Australia’s craft beer lovers have also exhibited a preference for full-strength beer; nevertheless, low- and non-alcoholic offerings are becoming more popular.
Is Australia’s beer market sobering up?
Australia’s zero-alcohol beer market is gaining traction and popularity with no-alcohol versions of popular brands like Carlton Zero. While non-alcoholic beer consumption remains relatively low across Australia, consumption frequency has risen significantly since 2020. In 2020, only around 15 percent of
craft beer drinkers reported drinking alcohol-free beer, increasing to over 30 percent in 2022.
Low-carb and zero-carb beer have also hit the Australian craft beer scene, with fast-growing brand Better Beer off to a flying start since its launch in October 2021. With consumers welcoming new and exciting products within the Australian beer market, non-alcoholic beers, as well as craft ciders and hard seltzers, are becoming serious contenders that could disrupt the commercial beer market and threaten the market share of established mainstream brands.
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