Zenith Global Report 2021
Hard Seltzers Market Report
© Zenith Global Ltd 2021
Copyright All copyright in this document is reserved. Liability This document contains information and may contain conclusions and recommendations. Every effort has been made to ensure that the information is accurate and that the opinions expressed are sound. However, Zenith Global Ltd cannot be made liable for any errors or omissions or for any losses or consequential losses resulting from decisions based on the information.
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Contents Section
1. Introduction and scope 2. Executive summary 3. Hard Seltzers category overview 4. Regional market trends 4.1 North America 4.2 Europe
4.3 Asia Pacific 4.4 Rest of World 5. Market landscape 6. Brand profiles
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Introduction and scope
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Introduction and scope Introduction
Scope
The development of hard seltzers has been the biggest new trend in the alcoholic beverage market in recent years. Success has primarily come in the USA despite fierce competition from well established alcoholic beverages and brands.
Global coverage of the hard seltzer market, including past performance to 2020 and future outlook of the market to 2025.
Consumer demand for alcoholic products which taste better and are also better-for-you than t raditional alcoholic beverages has been instrumental in raising demand for hard seltzers across the globe.
Flavour, a low-calorie count and the lack of added sugars have all become key selling points of hard seltzers. This particular beverage market is travelling along a healthy growth track as customers are becoming more ingredient-savvy while seeking healthier alternatives to sugary drinks. Beyond North America, the hard seltzer market has been receiving traction in Europe, Asia and the Pacific regions after new start-ups began to appear across the globe and well-established brands diversified int o this new market. Some experts are sceptical about the hard seltzer market’s ability to replicate the boom that it saw in the United States across the rest of the world, however, growth prospects remain positive. In this timely and topical report, Zenith Global explores the factors that are expected to drive potential growth in this space and presents commercial recommendations for any business with an interest in breaking into the hard seltzers market in the future.
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Quantitative data presented includes market size and growth by volume and value, as well as qualitative analysis of key developments, new product launches and brand profiles.
Regions covered in this report: •
North America
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Europe
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Asia Pacific
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Latin America
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Middle East & Africa
Introduction and scope Definitions and key terms For the purpose of measuring what lies in scope this report, Zenith Global finds it important to provide its own definition of ‘hard seltzers’, and how it is should be distinguished from other industry terms.
Hard Seltzer (sometimes spiked seltzer) •
A hard seltzer is an alcoholic flavoured sparkling water that is commonly understood to have a number of attributes and features that classify it as a ‘hard seltzer’ rather than another type of malt alcoholic beverage or alcopop.
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Hard seltzers, sometimes also called ‘spiked seltzers’, tend to be low calorie and low ABV, generally under 30kcal per 100ml or under 2 grams of sugar per 100ml with 4-6% added alcohol.
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The brewing process of hard seltzers differs by region but there are two main methods of production. In the United States hard seltzers are made by fermenting cane sugar or using malted barley and are often subcategorised as ‘flavoured malt beverages’ (FMBs). Hard seltzer beverages made in other regions like Europe and Asia Pacific are made using a neutral spirit or the fermentation of fruit.
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For the purposes of this report, only ready to drink (RTD) hard seltzers have been quantified.
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Japanese shōchū highball or chūhai, drinks which combine shōchū or vodka respectively with carbonated water and flavouring, will be included in this report due to their similarity with the brewing process and end product of hard seltzers.
Seltzer (sometimes soft seltzer or seltzer water) •
A seltzer is non-alcoholic RTD flavoured sparkling water without added sugar or sweetener.
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Soft seltzers do not contain alcohol and therefore do not require any brewing or fermentation process. Natural water is carbonated and then flavours are added to create the end product.
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Non-alcoholic seltzers will not be considered in scope for this report.
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Executive summary
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Executive summary Key findings •
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Commentary
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Hard Seltzers category overview
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Hard Seltzers category overview Global hard seltzers market insights •
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Commentary
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Hard Seltzers category overview Global hard seltzers market volume •
Commentary
Global hard seltzers market volume, 2017-20
Volume (million litres)
CAGR %
2017
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2018
2019
2020
Hard Seltzers category overview Global hard seltzers market volume
Volume (million litres)
Global hard seltzers market volume by region, 2017-20
2017
2018 North America
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2019 Europe
Asia Pacific
Rest of world
2020
Hard Seltzers category overview Global hard seltzers market value Commentary
Global hard seltzers market value, 2020
Value (US$ million)
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North America
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Europe
Asia Pacific
Others
Total
Hard Seltzers category overview Global hard seltzers pricing and revenue structure •
Commentary
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Hard Seltzers category overview On premise and off premise trends: 2020 On premise
Off premise
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•
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Commentary
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Commentary
Hard Seltzers category overview Global hard seltzers market volume forecast •
Commentary
Global hard seltzers market volume forecast, 2020-27
Volume (million litres)
CAGR %
2020
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2021f
2022f
2023f
2024f
2025f
2026f
2027f
Hard Seltzers category overview Global hard seltzers market volume, 2017-27f Region North America
Europe Asia Pacific Rest of World
Total
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2017
2018
2019
2020
2021f
2022f
2023f
2024f
2025f
2026f
2027f
4
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Regional market trends
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Regional market trends 4.1 North America
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Regional market trends North America hard seltzer market volume •
Commentary
North America hard seltzers market volume, 2017-20
Volume (million litres)
CAGR %
2017
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2018
2019
2020
Regional market trends North America leading brands North America hard seltzers brand share, 2020
15%
25%
15%
15%
15% 15%
Brand 1
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Brand 2
Brand 3
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Brand 4
Brand 5
Others
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Commentary
Regional market trends North America top opportunities and commercial recommendations •
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Commentary
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Regional market trends 4.2 Europe
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Regional market trends Europe hard seltzer market volume •
Commentary
Europe hard seltzers market volume, 2017-20
Volume (million litres)
CAGR %
2017
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2018
2019
2020
Regional market trends Europe leading brands •
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Commentary
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Regional market trends Europe top opportunities and commercial recommendations •
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Commentary
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Regional market trends 4.3 Asia Pacific
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Regional market trends 4.4 Rest of World
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Market landscape
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Market landscape Demographics Target market •
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Commentary
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Market landscape Consumer profiles Younger consumers
Older consumers
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Commentary
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Commentary
Market landscape Key drivers and developments •
In the global hard seltzer market, Zenith Global has identified six key factors which have contributed to and are forecast to continue to drive the sales of hard seltzers and consumer interest. These are: new brands and flavours, price, marketing and branding, ethical initiatives and sustainability and packaging.
New brands •
Commentary
New flavours •
Commentary
Price •
Commentary
Marketing, brand partnerships and celebrity ambassadors •
Commentary
Ethical initiatives and sustainability •
Commentary
Packaging trends and future innovations •
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Commentary
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Market landscape Future innovation opportunities •
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Commentary
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Brand profiles
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Brand profiles North America
White Claw Hard Seltzer
Mark Anthony Brands International, US www.whiteclaw.com Brand history: Brand history Competitive advantage: Commentary Distribution: Channels Pack size and type: 330ml aluminium can Variants: Flavours Alcohol content: 5% ABV Price: US$ Calories: 100kcal
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Contact us For further information about this report, please contact James Russell Junior Research Analyst
Zenith Global Ltd Tel +44 (0)1225 327900
insight@zenithglobal.com
www.zenithglobal.com
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