Craft Beer Market Size, Share, Growth Analysis, By Type(Large, Ale, Others), By Ingredients (Malt, Yeast), By Distribution channel (Off-trade, On-trade), By Region - Industry Forecast 2024-2031

Global Craft Beer Market size was valued at USD 93.69 billion in 2022 and is poised to grow from USD 104 billion in 2023 to USD 243.15 billion by 2031, growing at a CAGR of 11.2% in the forecast period (2024-2031).

Beer remains a highly favored and traditional beverage, deeply rooted in various cultures and associated with numerous health benefits when consumed responsibly. Its popularity continues to thrive, especially among younger drinkers, with craft beer taking center stage. The diverse range of flavors and formulations cater to the evolving tastes of millennials and Gen Z, driving a trend towards organic and innovative infusions. Despite challenges posed by the COVID-19 pandemic, which significantly impacted the craft beer sector, the US craft beer market is poised for sustainable growth, anticipated to exhibit a strong CAGR in the coming forecast period. This trend underscores the resilience of the craft beer industry and its alignment with contemporary consumer preferences.

Top-down and bottom-up approaches were used to estimate and validate the size of the Global Craft Beer market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Global Craft Beer Market Segmental Analysis

Global Craft Beer Market is segmented by Type, by Ingredients, by Distributional Channel and by Region. Based on Type, the market is segmented into Ale, Lager, Pilsner, Others (Sour, fruit and specialty). Based on Ingredients, the market is segmented into Malt, Yeast, Enzymes, Hops. Based on Distributional Channel, the market is segmented into Off-trade, On-trade. Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa.

Driver of the Global Craft Beer Market

The Global Craft Beer market is significantly driven by the rising popularity of diverse and unique beer flavors that captivate consumers. This growing enthusiasm for craft beer, characterized by exciting varieties such as fruity, spicy, and classic premium blends, resonates particularly with younger demographics who view these beverages as essential components of social events and celebrations. As urban lifestyles and modern drinking habits take hold, millennials are increasingly inclined to explore new beer options-approximately 33% of beer drinkers sample a new brew with each outing. This heightened interest, combined with the expanding number of craft breweries, currently estimated at around 9,811 in the US, indicates that the craft beer market is set for substantial growth in the coming years.

Restraints in the Global Craft Beer Market

The global craft beer market faces several restraints that could hinder its growth. One significant challenge is the proliferation of counterfeit products that divert consumer attention and diminish market demand. Additionally, the availability of a wide range of alternative alcoholic beverages, such as gin, whiskey, and rum, poses stiff competition to craft beers. These alternatives may attract consumers seeking different flavor profiles or experiences, further impacting the overall appeal of craft beers. As a result, these factors collectively contribute to slower market growth and may deter potential consumers from choosing craft beer over other options in the alcoholic beverage sector.

Market Trends of the Global Craft Beer Market

The global craft beer market is witnessing a notable surge in demand, driven by an increasing consumer preference for unique, flavorful brews and innovative ingredients. The proliferation of craft breweries, now innovating with CBD (Cannabidiol) infusions, is a key trend, as these non-psychoactive additions offer distinctive taste profiles and align with health-conscious consumers seeking lower-calorie options. This combination of craftmanship and modern wellness trends is enticing a broader audience, elevating the craft beer experience. As breweries explore this burgeoning segment, the market is likely to expand, reflecting a shift towards personalization and experimentation in the beverage industry.