1 Global Craft Beer Market Insight Analysis
The global craft beer market is valued at USD 88,171.62 million in 2024, with a CAGR of 13.18% from 2024 to 2033.
Craft beer, by definition, refers to beer produced by small-scale breweries that emphasize unique flavors, traditional brewing techniques, and local ingredients. These breweries often focus on creating a diverse range of beer styles, such as ales, pilsners, wild/sour beers, wheat beers, and porters. The distinctive characteristics of craft beers have attracted a growing consumer base that values quality, authenticity, and variety.
Figure Global Craft Beer Market Size (M USD) and CAGR (2024-2033)
2 Craft Beer Market Growth Drivers and Restraints
In terms of driving factors, the change in consumer demand has played a key role. With the improvement of people’s living standards, consumers have a higher pursuit of the taste and quality of beer. Craft beer, with its rich and diverse flavors, such as fruity, malty, and spice flavors, meets the increasingly diverse needs of consumers.
For example, in some developed countries, craft beer has become a popular choice of beverage for consumers in social occasions and leisure time due to its unique flavor. At the same time, the increase in health awareness has also prompted consumers to tend to choose craft beer with high-quality raw materials and traditional brewing technology, because it usually uses high-quality malt, hops and yeast, and less artificial additives.
The development of the craft beer market has also benefited from the rise of emerging markets. In the Asia-Pacific region, such as China and India, with the acceleration of urbanization and the increase in residents’ disposable income, the trend of consumption upgrading is obvious. As a high-quality beverage, craft beer meets the needs of this consumption upgrade, and the market size is expanding rapidly. In China, craft beer has gradually entered bars, restaurants and other places, and is loved by young consumers, which has driven the growth of the market.
In addition, the marketing and promotion activities of the craft beer industry have also contributed to the growth of the market. Many craft beer manufacturers have increased brand awareness and product exposure by holding beer festivals, tastings and other activities. The development of social media and online platforms has also facilitated the promotion of craft beer, allowing consumers to obtain product information more conveniently, thus stimulating the desire to buy.
However, the growth of the craft beer market also faces many limiting factors. From a cost perspective, high raw material and production costs are a major obstacle. Craft beer has high requirements for raw material quality. High-quality malt, hops and other raw materials are relatively expensive, and the brewing process usually adopts a small-scale, manual method, with low production efficiency, resulting in high costs. This makes craft beer prices generally higher than industrial beer, limiting the purchase of some price-sensitive consumers.
Fierce market competition also restricts the development of the craft beer market. As the market is hot, more and more companies are pouring in, including not only newly established craft beer brands, but also craft product lines launched by large beer companies. This has made market competition more intense. In order to compete for market share, brands have invested heavily in price, marketing and other aspects, which has increased operating costs and increased the survival pressure of some small craft beer companies.
The threat of substitutes cannot be ignored. In addition to the advantages of industrial beer in terms of price and market channels, other types of alcoholic beverages, such as wine and spirits, are also competing for consumers’ choices. In different regions, consumers have different preferences for alcoholic beverages, which further disperses the market share of craft beer and affects its market growth rate. Overall, the craft beer market has both growth opportunities and challenges. Enterprises need to make full use of driving factors and deal with limiting factors in order to achieve better development in the market.
3 Technological Innovations in the Craft Beer Market
In the field of technological innovation, the craft beer industry is actively introducing advanced technologies to improve production efficiency and product quality. The application of automated production technology is particularly prominent. Take the canning process as an example. In the past, canning beer required a lot of manpower and high investment. Now, with the help of advanced computing and artificial intelligence technology, the canning production line has been completely innovated.
The components of the modern canning line work together to efficiently remove the air in the can. The use of nitrogen canning and clear air filling technology not only extends the shelf life of beer, but also gives the product a unique taste. At the same time, production software is also constantly upgrading. Some companies use artificial intelligence and machine learning algorithms to analyze user taste preferences, and combine production conditions to accurately produce beer that meets the tastes of specific consumer groups, achieving a close combination of production and market demand.
In terms of corporate mergers and acquisitions, there is a clear trend of integration in the industry. Large companies expand their market share and product lines through mergers and acquisitions. For example, Anheuser-Busch InBev acquired Anheuser-Busch in 2008 and SABMiller in 2016 to become the world’s largest brewer. These mergers and acquisitions have enabled it to have a wider brand portfolio and market coverage, enhancing its competitiveness in the global beer market.
Molson Coors is also actively engaged in mergers and acquisitions. After being established in 2005 by the merger of Molson and Coors, it has successively acquired a number of beer companies, such as Mt. Shivalik Brewery in 2015 and Terrapin Beer Co. in 2016, etc., continuously expanding its scale and expanding overseas markets.
4 Global Craft Beer Market Size by Type
Ales are one of the most popular types of craft beers, known for their higher fermentation temperatures, distinct fruit aromas, and fuller body. In 2024, the revenue generated from ales is expected to reach $40,376.35 million USD. This segment holds a significant share of the market, driven by the growing consumer preference for beers with rich flavors and diverse brewing techniques. Ales are particularly popular in regions like the United States and Europe, where craft beer culture is well-established.
Pilseners and pale lagers are another significant segment in the craft beer market. These beers are characterized by their golden color, large amounts of foam, and a strong hop flavor. In 2024, the revenue from pilseners and pale lagers is projected to be $12,518.47 million USD. This segment benefits from the widespread popularity of lager-style beers and the growing demand for craft versions of these traditional brews. The market for pilseners and pale lagers is particularly strong in regions with a strong beer-drinking culture, such as Germany and the Czech Republic.
Wild and sour beers represent a niche but rapidly growing segment of the craft beer market. These beers are characterized by their earthy flavors and sour, acidic taste, resulting from the use of wild yeasts and added bacteria. In 2024, the revenue from wild/sour beers is expected to reach $5,974.51 million USD. This segment is driven by the increasing consumer interest in unique and experimental flavors, particularly among younger consumers and beer enthusiasts. Wild/sour beers are gaining popularity in regions like the United States and Europe, where craft beer consumption is on the rise.
Wheat beers are known for their hazy appearance, citrusy flavors, and full mouthfeel. These beers are brewed using a significant portion of wheat, which contributes to their distinct characteristics. In 2024, the revenue from wheat beers is projected to be $11,196.81 million USD. Wheat beers are particularly popular in regions with a warm climate, such as Southeast Asia and Latin America, where their refreshing qualities are highly appreciated. Additionally, the growing trend of craft beer consumption in these regions is driving the demand for wheat beers.
Porters are dark beers that originated in London in the 1700s. They are brewed using malted barley and often fermented with ale yeast, resulting in a rich and robust flavor. In 2024, the revenue from porters is expected to reach $9,417.19 million USD. Porters are particularly popular among consumers who prefer dark beers with a strong, full-bodied taste. The market for porters is growing in regions like the United States and Europe, where craft beer enthusiasts are increasingly exploring different beer styles.
Table Global Craft Beer Market Size and Share by Type in 2024
Type | Market Size (M USD) 2024 | Market Share 2024 |
|---|---|---|
Ales | 40376.35 | 45.79% |
Pilseners and Pale Lagers | 12518.47 | 14.20% |
Wild/Sour Beer | 5974.51 | 6.78% |
Wheat Beers | 11196.81 | 12.70% |
Porters | 9417.19 | 10.68% |
Others | 8688.30 | 9.85% |
5 Global Craft Beer Market Size by Application
The on-trade application refers to the consumption of craft beer in bars, restaurants, and pubs, where the beer is consumed on the premises. In 2024, the on-trade segment is projected to generate a revenue of $40,948.96 million USD, holding a market share of 46.44% of the total craft beer market. This segment is characterized by a high frequency of consumption and a strong focus on the social and experiential aspects of drinking craft beer.
The on-trade channel is particularly dominant in regions with a vibrant nightlife and a strong culture of dining out, such as the United States and Europe. The growth of this segment is driven by the increasing popularity of craft beer in social settings and the growing number of establishments offering a wide variety of craft beers.
The off-trade application includes the purchase of craft beer from liquor stores, supermarkets, and other retail outlets for consumption off the premises. In 2024, the off-trade segment is expected to generate a revenue of $47,222.66 million USD, holding a market share of 53.56% of the total craft beer market. This segment is characterized by convenience and variety, with consumers often purchasing craft beer for home consumption or gatherings.
The off-trade channel is particularly strong in regions with a high demand for convenience and a preference for purchasing beer for home consumption, such as North America and Europe. The growth of this segment is driven by the increasing availability of craft beer in retail outlets and the growing consumer preference for diverse and high-quality beer options.
Table Global Craft Beer Market Size and Share by Application in 2024
Application | Market Size (M USD) 2024 | Market Share 2024 |
|---|---|---|
On-trade | 40948.96 | 46.44% |
Off-trade | 47222.66 | 53.56% |
6 Global Craft Beer Market Size by Region
The United States remains a dominant player in the global craft beer market, with a significant market share and substantial revenue contributions. In 2024, the U.S. craft beer market is projected to generate revenue of approximately USD 33,396.16 million. This growth is attributed to the increasing number of craft breweries and the rising popularity of craft beer among consumers. The market is characterized by a diverse range of products, from IPAs and stouts to seasonal and experimental brews. The Boston Beer Company and D.G. Yuengling and Son are among the leading players, contributing significantly to the market’s growth.
Europe is another key region in the craft beer market, with a rich brewing tradition and a growing consumer base. In 2024, the European craft beer market is expected to achieve revenue of around USD 24,829.07 million. The region’s market is driven by countries like Germany, the United Kingdom, and Belgium, which have a strong beer culture. European consumers are increasingly seeking out craft beers for their unique flavors and high quality. Companies such as Heineken and Asahi Group Holdings (AGH) are prominent in this region, leveraging their brand strength and innovative brewing techniques to capture market share.
China is emerging as a significant market for craft beer, driven by rising disposable incomes and changing consumer preferences. In 2024, the region is projected to generate revenue of approximately USD 6873.93 million. The market is characterized by a blend of traditional and modern brewing techniques, with local flavors and ingredients often incorporated into craft beers.
Latin America is also experiencing growth in the craft beer market, driven by increasing consumer awareness and a growing middle class. In 2024, the region is expected to generate revenue of around USD 2999.30 million. Brazil and Mexico are key markets, with a growing number of craft breweries and a rising interest in craft beer among consumers. The region’s market is characterized by a mix of local and international influences, with craft beers often incorporating regional flavors and ingredients. Molson Coors and Van Pur are among the leading players, focusing on expanding their market presence and targeting the growing consumer base.
The Middle East and Africa region is a smaller but growing market for craft beer, driven by increasing consumer awareness and a growing middle class. In 2024, the region is expected to generate revenue of around USD 2,189.10 million. South Africa and the United Arab Emirates are key markets, with a growing number of craft breweries and a rising interest in craft beer among consumers. The region’s market is characterized by a mix of local and international influences, with craft beers often incorporating regional flavors and ingredients. Asahi Group Holdings (AGH) and Heineken are among the leading players, focusing on expanding their market presence and targeting the growing consumer base.
Figure Global Craft Beer Market Size (M USD) by Region in 2024
7 Global Craft Beer Market Analysis by Major Players
D.G. Yuengling and Son
Company Profile
D.G. Yuengling and Son is one of the oldest and most iconic craft breweries in the United States, established in 1829. Headquartered in Pottsville, Pennsylvania, the company has a rich history and a strong commitment to traditional brewing methods. D.G. Yuengling and Son is known for its dedication to quality and consistency, which has helped it maintain a loyal customer base over nearly two centuries.
Business Overview
D.G. Yuengling and Son primarily operates in the United States, where it has a significant market presence. The company’s business strategy focuses on leveraging its long-standing brand reputation and expanding its product portfolio to meet the evolving tastes of consumers. In recent years, D.G. Yuengling and Son has also explored opportunities for geographic expansion, including partnerships and new market entries, such as its collaboration with Molson Coors to expand its footprint in the Western United States.
Product Offered
D.G. Yuengling and Son offers a diverse range of craft beers that cater to a wide array of consumer preferences. Their flagship product, Yuengling Traditional Lager, is a classic American lager known for its smooth, crisp taste and balanced flavor profile. The company also produces Yuengling Light Lager, which is designed to appeal to health-conscious consumers without compromising on taste. Another popular offering is Yuengling Black & Tan, a unique blend of porter and lager that combines the rich, malty flavors of a porter with the crispness of a lager.
Additionally, Yuengling Golden Pilsner provides a refreshing option with its golden color and crisp, clean taste. These products are marketed through a combination of traditional and digital channels, with a strong emphasis on maintaining the brand’s heritage and quality standards.
The Boston Beer Company
Company Profile
The Boston Beer Company, founded in 1984, is one of the leading craft breweries in the United States. Headquartered in Boston, Massachusetts, the company is best known for its Samuel Adams brand, which has become synonymous with high-quality craft beer. The Boston Beer Company has a reputation for innovation and a commitment to using the finest ingredients in its products.
Business Overview
The Boston Beer Company operates primarily in the United States, where it has a strong market presence and a loyal customer base. The company’s business strategy focuses on expanding its product portfolio through innovation and marketing initiatives. In recent years, The Boston Beer Company has also ventured into the hard cider market with the launch of the Angry Orchard brand, further diversifying its product offerings.
Product Offered
The Boston Beer Company offers a wide range of craft beers and other alcoholic beverages. Their flagship product, Samuel Adams Boston Lager, is a classic American lager with a deep amber color and a balanced flavor profile, featuring a blend of spicy hops and slightly sweet roasted malts. The company also produces seasonal beers such as Samuel Adams Octoberfest, which is brewed in the traditional German style and offers a rich, malty flavor with a smooth finish.
Another notable offering is Samuel Adams Cherry Wheat, a refreshing wheat beer infused with natural cherry flavor, providing a sweet and fruity taste. Additionally, The Boston Beer Company has expanded into the hard cider market with Angry Orchard, which offers a range of flavors including Crisp Apple, Green Apple, and Cherry. These products are marketed through a combination of traditional and digital channels, with a strong emphasis on quality and innovation.
Anheuser-Busch InBev
Company Profile
Anheuser-Busch InBev is a global brewing giant with a significant presence in the craft beer market. Established in 2004 through the merger of Belgium-based Interbrew and Brazilian brewer AmBev, the company has a vast international footprint and a diverse product portfolio. Headquartered in Anderlecht, Belgium, Anheuser-Busch InBev is known for its extensive range of beers, including both mainstream and craft brands.
Business Overview
Anheuser-Busch InBev operates globally, with sales in over 130 countries. The company’s business strategy focuses on leveraging its extensive distribution network and brand portfolio to capture market share in both mainstream and craft beer segments. In recent years, Anheuser-Busch InBev has made strategic acquisitions and launched new products to strengthen its position in the craft beer market.
Product Offered
Anheuser-Busch InBev offers a wide range of craft beers and other alcoholic beverages. Their product portfolio includes Stella Artois, a Belgian lager known for its crisp, refreshing taste and high-quality ingredients. Another popular craft beer is Leffe, a Belgian abbey ale with a rich, malty flavor and a smooth finish. The company also produces Hoegaarden, a Belgian witbier with a refreshing, citrusy flavor and a hint of coriander. Additionally, Anheuser-Busch InBev supports local craft breweries through its “Brewers Collective” initiative and offers craft beer variants under the Budweiser brand. These products are marketed through a combination of traditional and digital channels, with a strong emphasis on brand strength and global reach.