Alcopops Market Size, Share, Industry Analysis, Trends, Growth, 2032

Alcopops Industry Prospective:

The global alcopops market size was worth around USD 4,510.91 million in 2023 and is predicted to grow to around USD 7,950.80 million by 2032 with a compound annual growth rate (CAGR) of roughly 6.50% between 2024 and 2032.

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Alcopops Market: Overview

Alcopops are classified as sweetened alcoholic drinks or beverages. Their alcohol by volume (ABV) content is between 4% to 8% and they are flavored to provide several tastes including lemonade, punch, pop, and cola. In the most elementary form, the primary difference between beer and alcopops is the taste. At present times, the latter is sold under various trade names and is known by different names across regions. For instance, in some countries, alcopop is more commonly referred to as cooler while European territories prefer the name ‘alcopop’. It is considered a favorite drink among young drinkers since they relatively have a low alcohol content as opposed to other hard drinks.

Furthermore, alcopops are mostly packaged in bright colors to attract new buyers. However, the industry for alcopop has faced several challenges in the last few years including claims of misleading inexperienced drinkers. As per common perception, alcopops contain less alcohol however research indicates that consuming large quantities of alcopop beverages has the same effect as alcohol. The growing rate of innovation adopted by the alcopops market players by launching new solutions in the commercial market is expected to contribute to more expansion possibilities in the coming years.

Key Insights:

• As per the analysis shared by our research analyst, the global alcopops market is estimated to grow annually at a CAGR of around 6.50% over the forecast period (2024-2032)
• In terms of revenue, the global alcopops market size was valued at around USD 4,510.91 million in 2023 and is projected to reach USD 7,950.80 million, by 2032.
• The alcopops market is projected to grow at a significant rate due to the growing population worldwide
• Based on the type, the cans segment is growing at a high rate and will continue to dominate the global market as per industry projection
• Based on the base type, the vodka segment is anticipated to command the largest market share
• Based on region, Europe is projected to dominate the global market during the forecast period

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Alcopops Market: Growth Drivers

Growing population worldwide may generate more demand for alcopops

The global alcopops market is expected to benefit from the increasing population across the globe. As per the United Nations, the world population is expected to reach over 9.7 billion by 2050. In recent times, the average birth rate per year has peaked and continues to grow. This results in a large consumer base for the manufacturers of alcopop drinks since the beverage is mostly targeted toward inexperienced first-time drinkers, especially consumers belonging to the teenage group. As per official findings, alcopops are consumed by at least one-third of teenage girls belonging to 12 to 18 years of age. Moreover, around 1 in every 5 teenage boys has tried alcopop at least once in their lifetime following market research. The modern teenage population has witnessed drastic changes in food & beverage preferences as reports suggest that most young adults are likely to try some form of alcoholic content before reaching the legal drinking age. As per The Recovery Village, around 33% of 15-year-olds have tried drinking at least once. By the time the age group reaches 18 years, the percentage rises to over 60%.

Rising investments in the hotels, restaurants, and cafes (HoReCa) industry may improve the market growth rate

Alcopop manufacturers and distributors are expected to benefit from the growing demand for HoReCa facilities. The changing consumer lifestyle in urban areas across the globe has resulted in commercial food service centers observing excellent returns on investment in the last few years. As per a recent report published by the Netherlands-based The Mission of Statistics, around 6 in every 10 12 to 25-year-old people lead socially active lives. Similar statistics are observed in other parts of the world ranging from emerging to developed nations. HoReCa facilities provide access to a wide range of alcoholic and nonalcoholic beverages thus creating excellent growth avenues for the global alcopops industry.

Alcopops Market: Restraints

Health concerns associated with drinking alcopops could limit the market’s expansion rate

The global industry for alcopops is expected to be restricted due to the several health concerns associated with regular or excess consumption of alcopops. Although these drinks are marked to be made of restricted quantities of alcohol, studies indicate that excess consumption of alcopops can have serious health impacts on children. Furthermore, the drink has been accused of promoting underage drinking which is a major health concern in several countries across the globe. A recent finding suggested that teenage girls binging on alcopops are more likely to think of attempting suicide. In addition to this, alcopops can lead to long-term dependence or addiction to alcoholic beverages. These factors will impact the market’s growth rate during the projection period.

Alcopops Market: Opportunities

Rising entry of new alcopop-based solutions in the commercial market will generate exceptional growth opportunities

The global alcopops market is projected to generate growth opportunities in the coming years due to the rising number of new alcopop-based solutions. The launch of new beverages with more attractive packaging and renewed flavors may help the industry flourish. In May 2024, Surfside, a leading producer of alcopops, launched 5 new flavors containing 4% ABV. The new vodka-based flavors include Strawberry Lemonade, Raspberry Lemonade, Raspberry Tea, Black Cherry Lemonade, and Green Tea. Furthermore, the company is also investing in revamping its distribution strategy to reach a broader consumer group. In February 2024, popular US celebrities Snoop Dogg and Dr. Dre announced the launch of a new range of ready-to-drink products under their spirits company. The latest offerings are delivered under the name Gin & Juice By Dre and Snoop and are available for customers in canned forms.

Expansion into new territories may generate comprehensive results for the market players

The global alcopops industry players must invest in expanding their presence across regions to tap into a larger consumer pool. Global expansion helps companies survive the changing and highly volatile global economy. In December 2023, F&B giant Coca-Cola entered India’s liquor segment with the launch of Lemon Dou, an alcoholic ready-to-drink (RTD) beverage by the company. Lemon Dou was initially launched in Japan in 2018. The drink consists of distilled liquor and lime. The product is currently available only in limited countries as of current times. In February 2024, Suntory Holdings, a Tokyo-based alcopops player, announced the global expansion of its RTD brand -196. It is a fruit-flavored ready-to-drink beverage made using Vodka. The company has now expanded its services across 21 states in the US influenced by the rising regional sale of alcopops.

Alcopops Market: Challenges

Regulatory hurdles and competition from alternate beverages may segment the industry’s overall revenue

Alcoholic drinks including the offerings of the global alcopops market are widely regulated across the globe. The commercial production and distribution of the drinks is largely dependent on stringent regulatory protocols thus limiting the global expansion trend. Additionally, alcopops face several challenges due to the presence of a large number of alternate alcoholic and fruit-flavored beverages leading to severe market segmentation.

Alcopops Market: Segmentation

The global alcopops market is segmented based on type, base type, and region.

Based on the type, the global market segments are cans, bottles, and others. In 2023, the highest growth was witnessed in the cans segment. The recent alcopops launches are mostly in canned forms since this type of packaging offers several advantages for the producers and the consumers. Canned alcopops are easy to carry and store while bottles are more prone to damage. In addition to this, canned versions also cater to the growing demand for aesthetically pleasing food and beverage items since they are more attractive to the younger audience. The growing focus on using 100% recyclable cans may help the market players gain an edge over other competitors.

Based on the base type, the global market divisions are rum, whiskey, beer, vodka, and others. In 2023, the highest demand was observed in the vodka segment. The growth rate is mainly driven by most companies choosing vodka base as the alcohol has a neutral flavor profile thus making it an ideal candidate for adding other flavors. Furthermore, Vodka is extremely versatile and can be added to a large number of flavors for an improved drinking experience. The average vodka content in an RTD drink is around 4.5%.

Alcopops Market: Report Scope

Alcopops Market: Regional Analysis

Europe to lead the market growth rate during the projection period

The global alcopops market will be led by Europe during the projection period. A leading reason for the higher regional market demand is the presence of a proliferating consumer base of alcopops in a large number of European territories including the UK and Netherlands. In March 2021, Asahi Europe & International announced the launch of Viper Hard Seltzer in the European alcohol market. It contains a hint of fruit flavor and alcoholic sparkling water. The total alcohol content in the drink is around 4%. The North American market is expected to emerge as one of the highest revenue-generating segments driven by the high popularity of alcopops in the US. The drink has undergone several changes and reintroduction in the regional market and at present times, alcopops continue to emerge as a preferred alcoholic drink for first-time drinkers or the teenage population. In December 2023, Coca-Cola announced that it would launch ready-to-serve flavored wine cocktails under the Minute Maid juice brand. Each bottle will have around 13.9% ABV content. Asia-Pacific may emerge as a significant player during the projection period. Japan, India, and other Asian territories with changing consumer lifestyles are expected to impact the regional market demand.

Alcopops Market: Competitive Analysis

The global alcopops market is led by players like:

• Brown-Forman Corporation
• Anheuser-Busch InBev
• Suntory Holdings Limited
• Bacardi Limited
• Red Bull GmbH
• Mike’s Hard Lemonade Co. (part of Mark Anthony Brands)
• Molson Coors Beverage Company
• Constellation Brands
• Diageo plc
• Boston Beer Company
• Halewood International Ltd.
• Pernod Ricard
• Asahi Group Holdings Ltd.
• Heineken N.V.
• Beam Suntory Inc.

The global alcopops market is segmented as follows:

By Packaging Type

• Cans
• Bottles

By Base Type

• Rum
• Whiskey
• Beer
• Vodka

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa