Increasing Demand of Alcoholic Products and Continuous Merger and Acquisition on Large Scale are Driving Asia-Pacific Alcoholic Beverages Markets in the Forecast Period 2018 to 2025

Asia-Pacific Alcoholic Beverages market is expected to reach USD 758.41 billion by 2025 and expected to grow with the healthy CAGR in the forecast period 2018 to 2025. The new market report contains data for historic years 2016, the base year of calculation is 2017 and the forecast period is 2018 to 2025.Access Full Report: https://databridgemarketresearch.com/reports/asia-pacific-alcoholic-beverages-market/

Segmentation: Asia Pacific Alcoholic Beverages Market

Asia Pacific Alcoholic Beverages Market, By Type (Beer {Lager, Ale, Hybrid}, Distilled Spirits {Vodka, Gin, Whiskey, Rum, Liqueur, Tequila}, Wine, Brandy, Champagne, Ciders), Packaging (Bottles {Glass, Plastics}, Cans, Others), Product Type (Flavored, Unflavored), Distribution Channel (Speciality Stores, Off Trade, On Trade, Online Retailers), Geography (Asia Pacific, Middle East and Africa)–Industry Trends and Forecast to 2025

Drivers: Asia Pacific Alcoholic Beverages Market

Increasing consumption of alcohol by young-adult demographic, increasing demand of alcoholic products and continuous merger and acquisition on large scale are driving the market.  

INCREASED CONSUMPTION OF ALCOHOL BEVERAGES

Now days, the consumption of alcohol is increasing in Asia-Pacific due to changing lifestyles, rising disposable income, and relatively young population who are embracing the party scene. They are on their own, allowed to settle on their own choices which also includes the choice to drinking liquor. Issues related to school, work stress and disappointment is one of the factors which can lead an assortment of unfortunate practices, including expanded drinking. Also, adoption of western culture, considered as social and leisure activity and increasing parties and celebrations are contributing to the increase in consumption of alcohol. Asia has a young population and a growing economy. Also, adults and teenagers both cannot run away from the big commercial labels such as Guinness, Carlsberg, Heineken, and Anchor beer adverts. In Malaysia, beer and stout are sold and consumed without a license in coffee shops. All these situations are seen in many parts of Asia.

Previously, countries like China and India along with some smaller markets in South-East Asia such as Singapore, Thailand and Vietnam consumption of alcoholic beverages such as beer is becoming a popular past time. In last few years it has been noticed that the consumption of alcoholic beverages has also increased in smaller nations such as South Korea, Vietnam and Thailand. According to World Health Organization (WHO), South Korean people were considered the most prolific drinkers in Asia. For instance, according to globalnation, in South Korea each year consumers on an average drinks 10.9 liter of alcohol over the age of 15 years. Followed by second and third as Vietnam and Thailand due to increasing consumption and tourism. Also, the China faced large competitions from these countries and stood at fourth as increasing alcohol consumption as drinking with colleagues is seen as vital to career.

INCREASING MERGER AND ACQUISITION ON LARGE SCALE

In the past few years mergers and acquisitions has increased significantly between countries largest wholesalers and retailers. Many of the alcohol transnationals have merged and some of them are now involved in the supply of bulk demand globally. As the number of local players is increasing it is getting difficult for the foreign players to expand their business. Also, the tax applied while import and export of alcohol is also very high in some of the countries, so the producers are alcoholic beverages are trying to merge or acquire the local players so as to increase their foot hold in other countries. On the other hand, beverage companies are facing slow sales in matured market such as Europe, Japan and the US the number of mergers has increased in the developing nations such as Asia-Pacific.

Various product launches are taking place with respect of different alcoholic beverages due to which companies are making different investment. Rising high preference for premium brands in alcoholic beverages has provided opportunities to invest hugely in alcoholic beverages in the form of product launch, innovations as well as merger and acquisition. For instance, big companies such as Diageo Plc. and Kirin Holdings Co. Ltd (Japan) are adopting multi-pronged strategies which include mergers and acquisitions and partnerships with local firms to have strong footholds in markets like India and China which are dominated mostly by domestic players.

  • In April 2018, the U.S. equity firm Carlyle Group agreed to buy the Australian wine producer behind the Hardys and Echo Falls labels for A USD 1.00 billion. This acquisition will help the company to capitalise on China’s market due to its growing thirst for wine.
  • In March 2018, China Resources Beer (Holding) Co Ltd (CR), planned to acquire Heineken NV’s Chinese business as it plans to exit the China market. This will help the company to expand its product portfolio and also its consumers.

Major Players: Asia Pacific Alcoholic Beverages Market

SUNTORY HOLDINGS LIMITED., BROWN-FORMAN, Anheuser-Busch InBev, UNITED BREWERIES LTD., Molson Coors Brewing Company, Accolade Wines, Heineken Holding N.V., Asahi Group Holdings, Ltd. Pernod Ricard, Carlsberg Breweries A/S, Diageo, Kirin Holdings Company, Limited among others.