Hard Seltzer Global Market Report 2024

The hard seltzer market size has grown rapidly in recent years. It will grow from $14.37 billion in 2023 to $16.83 billion in 2024 at a compound annual growth rate (CAGR) of 17.1%. The expansion observed in the historical period can be attributed to factors such as a rise in disposable income, increased online sales of beverages, growth in the tourism industry, and advancements in brewing technology.

The hard seltzer market size is expected to see rapid growth in the next few years. It will grow to $32.53 billion in 2028 at a compound annual growth rate (CAGR) of 17.9%. The anticipated growth in the forecast period can be attributed to factors such as rapid urbanization, an increase in the consumption of alcoholic drinks, a rising demand for gluten-free beverages, and the growing popularity of keto and vegan diets. Noteworthy trends expected in the forecast period include the offering of hard seltzers based on natural ingredients, the availability of multiple flavored hard seltzers, a strategic focus on expanding stores or increasing product availability, an emphasis on product innovations, the launch of innovative marketing campaigns, and a concentration on forming strategic partnerships.

The anticipated rise in consumer preference for carbonated beverages with reduced alcoholic content is poised to drive the growth of the hard seltzer market in the foreseeable future. These beverages, which feature carbon dioxide dissolved in water, creating fizziness and bubbles, are crafted by blending carbonated water with alcohol and fruit flavors. For instance, PepsiCo, a prominent US-based carbonated beverages company, reported an 84-bottle increase in India's annual per-capita bottle consumption of beverages in 2021, with carbonated drinks contributing to 51% of PepsiCo's total sales in the country. Thus, the growing consumer inclination toward carbonated beverages serves as a catalyst for the expansion of the hard seltzer market.

The increasing demand for gluten-free beverages is expected to be a significant driver for the hard seltzer market in the coming years. Gluten-free drinks, devoid of gluten or protein, are increasingly favored, especially in the domain of alcoholic beverages. Hard seltzers, being naturally gluten-free with low alcohol content, calories, and sugars, align with the preferences of consumers seeking gluten-free options. Notably, the gluten-free goods market, as indicated by Eat Pallet, a US-based restaurant chain, was valued at $5.9 billion in 2021, with a projected CAGR of 9.8% from 2022 to 2030. Hence, the surging demand for gluten-free beverages is set to propel the hard seltzer market forward.

A noteworthy trend in the hard seltzer market is the emphasis on product innovations, as companies strive to stay competitive and cater to evolving consumer needs. Product innovation not only generates excitement and buzz but also enhances brand awareness, ultimately driving sales. Leading companies in the hard seltzer market are actively pursuing product innovations, introducing new solutions to solidify their market standing. In October 2022, Truly Hard Seltzer, a US-based innovator, introduced Truly Vodka Seltzer, an innovative spirits-based hard seltzer featuring six-times-distilled premium vodka and real fruit juice, available in four distinct flavors. Truly Vodka Seltzer aims to elevate the consumer drinking experience with its 5% ABV, 110 calories, 2 grams of sugar, and gluten-free composition.

A key trend gaining traction in the hard seltzer market is the increased investment by market players in research and development (R&D) to launch innovative products. Major companies are channeling their efforts and resources into R&D investments, focusing on creating products with unique attributes to strengthen their market positions. In 2021, Anheuser-Busch, a major US-based brewing company, announced a substantial investment exceeding $1 billion in hard seltzer plants in the United States over the next two years. Additionally, brewing giant Molson Coors Beverage Company committed to a $100 million investment by early 2022 to enhance the production of spirit and malt-based hard seltzers.

In March 2021, Diageo, a prominent UK-based alcohol beverage company, successfully acquired Far West Spirits LLC for an undisclosed amount. This strategic acquisition is anticipated to bolster Diageo's portfolio in the hard seltzer industry. Far West Spirits LLC, a US-based company specializing in hard seltzer beverages, aligns with Diageo's efforts to expand its presence in this growing market segment.

Major companies operating in the hard seltzer market report are Mark Anthony Group, Anheuser-Busch InBev, The Boston Beer Company, Diageo PLC, E. & J. Gallo Winery, Heineken N.V., Molson Coors Beverage Company, Constellation Brands Inc., Kona Brewing Company, San Juan Seltzer Inc., Qalbstore, Corner Art Store, Glasstick, Liquid AI, BeaconsTalk Technologies Pvt Ltd., Cool Story, Moonshine Meadery, Bind Beverages, Kweichow Moutai, Wuliangye Yibin, Foshan Haitian Flavouring and Food Company, Shanxi Xinghuacun Fen Wine Factory, Luzhou Laojiao, Jiangsu Yanghe Brewery Joint-Stock, Inner Mongolia Yili Industrial Group, Tsingtao Brewery Company, Casso Cocktails, Bodega Bay, CD Corp Limited, Clubby, Niyte, Endangered Brewing, Wise Bartender, White Claw, Kopparberg Brewery AB, Féfé drinks, Defy Wine, Silesia Consulting Ltd., Polmos Lublin S. A, Jax Holding Ltd., Vito-House Llc, Kursk brewery llc, Yaroslavsky Distillery, Ip Selivanenko, Truly Hard Seltzer, Barefoot Hard Seltzer, Bud Light Seltzer, Bon & Viv Spiked Seltzer, High Noon Sun Sips Hard Seltzer, Smirnoff Spiked Sparkling Seltzer, Henry's Hard Sparkling Water, Corona Hard Seltzer, Cervecería y Maltería Quilmes, Ambev, Cervecería Nacional (Ecuador), International Beverage & Filling Industries LLC, Vizzy Hard Seltzer, Dubai Refreshments PJSC, Komari Beverages, Coca-Cola Company, PURA Beverage Company, SpikedSeltzer.

North America was the largest region in the hard seltzer market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the hard seltzer market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the hard seltzer market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The primary classifications of hard seltzer are based on the alcohol by volume (ABV), with distinctions made for those exceeding 5% ABV and those with less than 5% ABV. Brands such as Barefoot, for instance, produce hard seltzers with an ABV content below 5%, offering a variety of flavors such as peach and nectarine, cherry and cranberry, pineapple and passion fruit, strawberry and guava, as well as watermelon and lime. Flavor options extend to cherry, grapefruit, mango, lime, and others, and these beverages are packaged in various formats such as cans, glass bottles, among others. They are made available through different distribution channels including off-trade (retail) and on-trade (bars and restaurants).

The hard seltzer market research report is one of a series of new reports that provides hard seltzer market statistics, including hard seltzer industry global market size, regional shares, competitors with a hard seltzer market share, detailed hard seltzer market segments, market trends and opportunities, and any further data you may need to thrive in the hard seltzer industry. This hard seltzer market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The hard seltzer market consists of sales of cherry, grapefruit, mango, and lime. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.