Hard Seltzer Market

Global Hard Seltzer Market By ABV Content (1.0-4.9%, 5.0-6.9%, More than 6.9%), By Distribution Channel (Off-trade, On-trade), and Region (North America, Latin America, Europe, Asia Pacific, Latin America and Middle East & Africa)

  • Report ID: FB-66
  • Author: Growth Market Reports
  • Rating: 4.8
  • Total Reviews: 35
  • No. Of Pages: 189
  • Format:
  • Pub. Date: 2020-09-17
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Market Outlook:

The global hard seltzer market was valued at USD 3,544.6 million in 2019 and is projected to reach USD 14,482.0 million by 2027, expanding at a CAGR of 19.2% during the forecast period. In terms of volume, the market is projected to expand at a CAGR of 18.4% during the forecast period. Hard seltzer is a carbonated alcoholic drink that is fermented with sugar. It has low-calories (than other alcoholic beverages) and carbohydrates. Alcohol used in high seltzer can be just fermented cane sugar with added fruit flavors or flavored malt. Hard seltzers are significantly used in developed countries including the US, Japan, and the UK. Moreover, increasing demand for low alcohol content, low carbohydrates beverages, and low calories beverages in developing countries is fueling the hard seltzer market in Asia Pacific, and Latin America and Middle East & Africa (LAMEA). Hard seltzer is a gluten free beverage; therefore, its demand among health-conscious consumers and those with allergies or celiac disease is rising.

Global Hard Seltzer Market Summary

Market Dynamics
The market is driven by factors such as rising preference for hard seltzers over beer among millennial, growing preference for flavored low alcohol beverages, increasing product penetration in on-trade channel, and increasing product advertisement on social media platforms.

Increasing internet penetration in countries across the world has significantly increased the number of people using social media websites and applications. Thus, key players are engaged in advertising their hard seltzers through social media platforms including Instagram, Facebook, and Twitter. Moreover, partnerships between key players and online stores are helping them promote their products online through various platforms. Furthermore, increasing Internet penetration is also increasing product awareness, which is estimated to boost the sales of hard seltzer during the forecast period.

Rising trend of consuming beverages with low alcoholic content by young consumers due to changing consumer choices, rising health concern, and peer influence among consumers are expected to propel the growth of global hard seltzer market. Significant increase in the sales and demand for low alcohol beverages is attributed to the availability of hard seltzer drinks in various tastes, less carbonation, and low calories content. These drinks are preferred by health-conscious consumers, which in turn, drives the growth of the market. For instance, in 2020, Kopparberg, a Sweden-based manufacturer launched a range of hard seltzer drinks in the U.K., in new flavors, packaging and design, based on iridescent graphic bubbles.

Innovations in the packaging of hard seltzers is expected to create opportunities for key players in the market in the near future. Key players in the market are engaged in offering innovative cans for hard seltzers to attract consumers. The development of new innovative flavors in tart and fruity flavors, use of new ingredients and sugars, and the introduction of new fermenting processes by various companies are creating opportunities in the market. Hard seltzers is preferred due to the less sweetness and calories, which has increased its demand among consumers.

However, presence of alternative products and strict government regulations for alcoholic beverages in multiple countries across the world is expected to hinder the market growth. For instance, alcohol prohibition laws, ban on shipping of alcohol beverages, and restriction on their advertisements and promotional activities in some of the countries, including India (some states including Gujarat, Mizoram, and Nagaland), the UAE (Sharjah, Iran, and Kuwait), Iran, Saudi and Arabia, are challenging the growth of the hard seltzers market.
 

Segmental Outlook

In terms of ABV content, the hard seltzers market is categorized as 1.0-4.9%, 5.0-6.9%, and above 6.9%. The 5.0-6.9% ABV content segment holds a significant share of the market due to its high preference among consumers. Increase in shift of consumer preference from alcoholic beverages such as whiskey, beer, and wine to hard seltzer with more than 5% of ABV drives segment growth. Furthermore, hard seltzer with 5% ABV is considered as standard proportion of ingredients, which is majorly produced by the manufactures. The 1.0-4.9% segment is estimated grow at a significant pace during forecast period. Consumer demographic which favors low alcoholic drinks significantly supports the growth of this segment.

Global Hard Seltzer Market By ABV Content

In terms of distribution channels, the hard seltzers market is bifurcated as off-trade and on-trade. The on-trade segment is anticipated to expand at a significant CAGR during the forecast period due to partnership between manufacturers and restaurants, bars, and other on-trade channels. Moreover, increasing consumer preference for drinking hard seltzers at on-trade shops is expected to drive the market growth. Off-trade distribution channel holds a significant share of the global hard seltzers market. Ease of availability, and retail stores expansion supports the significant share of the off-trade segment in the market. Companies are focused on marketing campaigns and product promotion through wine stores to increasing consumer awareness about hard seltzers.

Global Hard Seltzer Market By Distribution Channel

Regional Outlook

In terms of regions, the global hard seltzers market is fragmented into North America, Europe, Asia Pacific, and LAMEA. North America accounted for a significant market share in 2019 due to high product awareness among consumers. Moreover, new product launches played a vital role in the growth of hard seltzer market across North America. For instance, in May 2020, Sudwerk Brewing Co., launched a product called Life Is Hard Seltzer.

The market in Asia Pacific is projected to expand at a significant CAGR of 20.4% during the forecast period. The reduction in taxes and relaxation in regulations for alcoholic beverages in Asia Pacific is expected to fuel the growth of hard seltzer market in the Asia Pacific region. Furthermore, increasing number of small players offering hard seltzers in the regions supports the growth hard seltzers market in Asia Pacific during the forecast period.

Global Hard Seltzer Market By Region

Competitive Landscape

  • Key players in the market include Anheuser-Busch Companies, LLC. Barefoot Cellars, Ficks & Co, HARD SELTZER BEVERAGE COMPANY, LLC, and Mark Anthony Brands International among others. These companies are considered as key manufacturers of hard seltzer based on their revenue, research & development (R&D) activities, regional presence, and supply chain management system.
  • The players are adopting key strategies such as merger, acquisition, and geographical expansion in order to strengthen their market position.
  • For instance, in May 2020, HIGH NOON SPIRITS COMPANY announced the launch of two flavors of hard seltzers. These flavors (lime and peach) complemented the company’s product portfolio of hard seltzers.
  • In February 2019, Anheuser-Busch Companies, LLC completed the acquisition of Cutwater Spirits. Cutwater Spirits has a product portfolio that includes 14 spirits-based ready-to-drink (RTD) canned cocktails, seven mixers, and 16 spirits spanning vodka, whiskey, rum, and gin.
  • In 2018 and 2019, HARD SELTZER BEVERAGE COMPANY, LLC introduced styles and flavors, which includes Truly Berry Variety Pack and Truly Tropical Variety Pack. The Truly brand family grew significantly during these two years and led to the supply pressures on sleek cans.
  • In March 2018, Ficks & Co introduced a range of ready-to-drink products, namely hard seltzers. This product line is a simple mix of sparkling water, fruit-flavored alcohol, and real fruit juice.

Global Hard Seltzer Market By Manufacturer

Key Benefits for Industry Participants & Stakeholders

  • In-depth Analysis of the Global Hard Seltzer Market
  • Historical, Current and Projected Market Size in terms of Value and Volume (‘000 Units)
  • Potential & Niche Segments and Regions Exhibiting Promising Growth Covered
  • Industry Drivers, Restraints and Opportunities Covered in the Study
  • Recent Industry Trends and Developments
  • Competitive Landscape & Strategies of Key Players
  • Neutral Perspective on Global Hard Seltzer Market Performance
Chapter 1 Executive Summary
Chapter 2 Assumptions and Acronyms Used
Chapter 3 Research Methodology
Chapter 4 Hard Seltzer Market Overview
   4.1 Introduction
      4.1.1 Market Taxonomy
      4.1.2 Market Definition
      4.1.3 Macro-Economic Factors Impacting the Market Growth
   4.2 Hard Seltzer Market Dynamics
      4.2.1 Market Drivers
      4.2.2 Market Restraints
      4.2.3 Market Opportunity
   4.3 Hard Seltzer Market - Supply Chain Analysis
      4.3.1 List of Key Suppliers
      4.3.2 List of Key Distributors
      4.3.3 List of Key Consumers
   4.4 Key Forces Shaping the Hard Seltzer Market
      4.4.1 Bargaining Power of Suppliers
      4.4.2 Bargaining Power of Buyers
      4.4.3 Threat of Substitution
      4.4.4 Threat of New Entrants
      4.4.5 Competitive Rivalry
   4.5 Global Hard Seltzer Market Size & Forecast, 2017-2027
      4.5.1 Hard Seltzer Market Size and Y-o-Y Growth
      4.5.2 Hard Seltzer Market Absolute $ Opportunity
   4.6 Global Hard Seltzer Market: Impact Of Key Regulations
Chapter 5 Global Hard Seltzer Market Analysis and Forecast By ABV Content
   5.1 Introduction
      5.1.1 Key Market Trends & Growth Opportunities By ABV Content
      5.1.2 Basis Point Share (BPS) Analysis By ABV Content
      5.1.3 Absolute $ Opportunity Assessment By ABV Content
   5.2 Hard Seltzer Market Size & Volume Forecast By ABV Content
      5.2.1 1.0-4.9%
      5.2.2 5.0-6.9%
      5.2.3 More than 6.9%
   5.3 Market Attractiveness Analysis By ABV Content
Chapter 6 Global Hard Seltzer Market Analysis and Forecast By Distribution Channel
   6.1 Introduction
      6.1.1 Key Market Trends & Growth Opportunities By Distribution Channel
      6.1.2 Basis Point Share (BPS) Analysis By Distribution Channel
      6.1.3 Absolute $ Opportunity Assessment By Distribution Channel
   6.2 Hard Seltzer Market Size & Volume Forecast By Distribution Channel
      6.2.1 Off-trade
      6.2.2 On-trade
   6.3 Market Attractiveness Analysis By Distribution Channel
Chapter 7 Global Hard Seltzer Market Analysis and Forecast by Region
   7.1 Introduction
      7.1.1 Key Market Trends & Growth Opportunities by Region
      7.1.2 Basis Point Share (BPS) Analysis by Region
      7.1.3 Absolute $ Opportunity Assessment by Region
   7.2 Hard Seltzer Market Size Forecast by Region
      7.2.1 North America
      7.2.2 Europe
      7.2.3 Asia Pacific
      7.2.4 Latin America and Middle East & Africa (LAMEA)
   7.3 Market Attractiveness Analysis by Region
Chapter 8 Coronavirus Disease (COVID-19) Impact
   8.1 Introduction
   8.2 Current & Future Impact Analysis
   8.3 Economic Impact Analysis
   8.4 Government Policies
   8.5 Investment Scenario
Chapter 9 North America Hard Seltzer Analysis and Forecast
   9.1 Introduction
   9.2 North America Hard Seltzer Market Size Forecast by Country
      9.2.1 U.S.
      9.2.2 Canada
   9.3 Basis Point Share (BPS) Analysis by Country
   9.4 Absolute $ Opportunity Assessment by Country
   9.5 Market Attractiveness Analysis by Country
   9.6 North America Hard Seltzer Market Size & Volume Forecast By ABV Content
      9.6.1 1.0-4.9%
      9.6.2 5.0-6.9%
      9.6.3 More than 6.9%
   9.7 Basis Point Share (BPS) Analysis By ABV Content
   9.8 Absolute $ Opportunity Assessment By ABV Content
   9.9 Market Attractiveness Analysis By ABV Content
   9.10 North America Hard Seltzer Market Size & Volume Forecast By Distribution Channel
      9.10.1 Off-trade
      9.10.2 On-trade
   9.11 Basis Point Share (BPS) Analysis By Distribution Channel
   9.12 Absolute $ Opportunity Assessment By Distribution Channel
   9.13 Market Attractiveness Analysis By Distribution Channel
Chapter 10 Europe Hard Seltzer Analysis and Forecast
   10.1 Introduction
   10.2 Europe Hard Seltzer Market Size Forecast by Country
      10.2.1 Germany
      10.2.2 France
      10.2.3 U.K.
      10.2.4 Rest of Europe
   10.3 Basis Point Share (BPS) Analysis by Country
   10.4 Absolute $ Opportunity Assessment by Country
   10.5 Market Attractiveness Analysis by Country
   10.6 Europe Hard Seltzer Market Size & Volume Forecast By ABV Content
      10.6.1 1.0-4.9%
      10.6.2 5.0-6.9%
      10.6.3 More than 6.9%
   10.7 Basis Point Share (BPS) Analysis By ABV Content
   10.8 Absolute $ Opportunity Assessment By ABV Content
   10.9 Market Attractiveness Analysis By ABV Content
   10.10 Europe Hard Seltzer Market Size & Volume Forecast By Distribution Channel
      10.10.1 Off-trade
      10.10.2 On-trade
   10.11 Basis Point Share (BPS) Analysis By Distribution Channel
   10.12 Absolute $ Opportunity Assessment By Distribution Channel
   10.13 Market Attractiveness Analysis By Distribution Channel
Chapter 11 Asia Pacific Hard Seltzer Analysis and Forecast
   11.1 Introduction
   11.2 Asia Pacific Hard Seltzer Market Size Forecast by Country
      11.2.1 China
      11.2.2 Japan
      11.2.3 South Korea
      11.2.4 Oceania
      11.2.5 Rest of Asia Pacific (APAC)
   11.3 Basis Point Share (BPS) Analysis by Country
   11.4 Absolute $ Opportunity Assessment by Country
   11.5 Market Attractiveness Analysis by Country
   11.6 Asia Pacific Hard Seltzer Market Size & Volume Forecast By ABV Content
      11.6.1 1.0-4.9%
      11.6.2 5.0-6.9%
      11.6.3 More than 6.9%
   11.7 Basis Point Share (BPS) Analysis By ABV Content
   11.8 Absolute $ Opportunity Assessment By ABV Content
   11.9 Market Attractiveness Analysis By ABV Content
   11.10 Asia Pacific Hard Seltzer Market Size & Volume Forecast By Distribution Channel
      11.10.1 Off-trade
      11.10.2 On-trade
   11.11 Basis Point Share (BPS) Analysis By Distribution Channel
   11.12 Absolute $ Opportunity Assessment By Distribution Channel
   11.13 Market Attractiveness Analysis By Distribution Channel
Chapter 12 Latin America and Middle East & Africa (LAMEA) Hard Seltzer Analysis and Forecast
   12.1 Introduction
   12.2 Latin America and Middle East & Africa (LAMEA) Hard Seltzer Market Size Forecast by Country
      12.2.1 Brazil
      12.2.2 Mexico
      12.2.3 GCC
      12.2.4 Rest of Latin America and Middle East & Africa (LAMEA)
   12.3 Basis Point Share (BPS) Analysis by Country
   12.4 Absolute $ Opportunity Assessment by Country
   12.5 Market Attractiveness Analysis by Country
   12.6 Latin America and Middle East & Africa (LAMEA) Hard Seltzer Market Size & Volume Forecast By ABV Content
      12.6.1 1.0-4.9%
      12.6.2 5.0-6.9%
      12.6.3 More than 6.9%
   12.7 Basis Point Share (BPS) Analysis By ABV Content
   12.8 Absolute $ Opportunity Assessment By ABV Content
   12.9 Market Attractiveness Analysis By ABV Content
   12.10 Latin America and Middle East & Africa (LAMEA) Hard Seltzer Market Size & Volume Forecast By Distribution Channel
      12.10.1 Off-trade
      12.10.2 On-trade
   12.11 Basis Point Share (BPS) Analysis By Distribution Channel
   12.12 Absolute $ Opportunity Assessment By Distribution Channel
   12.13 Market Attractiveness Analysis By Distribution Channel
Chapter 13 Competition Landscape
   13.1 Hard Seltzer Market: Competitive Dashboard
   13.2 North America, Europe, Asia Pacific and Latin America and Middle East & Africa (LAMEA) Hard Seltzer Market: Market Share Analysis, 2019
   13.3 Company Profiles (Details – Overview, Financials, Developments, Strategy)
      13.3.1 Anheuser-Busch Companies, LLC.
      13.3.2 Barefoot Cellars
      13.3.3 Blue Marble
      13.3.4 Ficks & Co
      13.3.5 HARD SELTZER BEVERAGE COMPANY, LLC
      13.3.6 HIGH NOON SPIRITS COMPANY
      13.3.7 Kona Brewing Co.
      13.3.8 Lift Bridge Brewing Co.
      13.3.9 Mark Anthony Brands International
      13.3.10 Mass Bay Brewing Co. (Arctic Chill)
      13.3.11 Diageo
      13.3.12 Future Proof Brands LLC
      13.3.13 Nude Beverages
Key Segments Covered
By ABV Content
  • 1.0-4.9%
  • 5.0-6.9%
  • More than 6.9%
By Distribution Channel
  • Off-trade
  • On-trade
By Region
  • North America
    • U.S.
    • Canada
  • Europe
    • Germany
    • France
    • U.K.
    • Rest of the Europe
  • Asia Pacific
    • China
    • Japan
    • Oceania
    • South Korea
    • Rest of Asia Pacific
  • Latin America and Middle East & Africa (LAMEA)
    • Brazil
    • Mexico
    • GCC
    • Rest of LAMEA

Key Market Players Profiled in the Report
  • Anheuser-Busch Companies, LLC.
  • Barefoot Cellars
  • Blue Marble
  • Ficks & Co
  • HARD SELTZER BEVERAGE COMPANY, LLC
  • HIGH NOON SPIRITS COMPANY
  • Kona Brewing Co.
  • Lift Bridge Brewing Co.
  • Mark Anthony Brands International
  • Mass Bay Brewing Co. (Arctic Chill)
  • Diageo
  • Future Proof Brands LLC
  • Nude Beverages

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FAQ Section

Some frequently asked quetions about this report!

Additional company profiles can be provided on request.

Yes, the report covers product specific information such as hard seltzer.

According to the Growth Market Reports report, the market from hard seltzer is likely to register a CAGR of 19.2% during forecast period 2020-2027, with an anticipated valuation of USD 14,482.0 million by the end of the 2027.

The global hard seltzer market report also provides the overview of the U.S. spirit industry; along with company market share analysis and volume data (million case).

The market is driven by factors such as rising preference for hard seltzers over beer among millennial, growing preference for flavored low alcohol beverages, increasing product penetration in on-trade channel, and increasing product advertisement on social media platforms.

Factors such as competitive strength and market positioning are key areas considered while selecting top companies to be profiled.

The market is expected to witness slow year on year growth from 2019 to 2020 owing to the slight negative impact of COVID-19 pandemic on the global hard seltzer market.

The base year considered for the global hard seltzer market report is 2019. The complete analysis period is 2017 to 2027, wherein, 2017 & 2018 are the historic years and the forecast is provided from 2020 to 2027.

Adults, elderly population, and young generation are the key end-users that are driving the growth of hard seltzer market.

Major Manufactures include Anheuser-Busch Companies, LLC. Barefoot Cellars, Ficks & Co, HARD SELTZER BEVERAGE COMPANY, LLC, and Mark Anthony Brands International.