Transparency Market Research

Europe Beer Market: Energy Drinks Could Pose a Threat, Says TMR

Beer Market (Product - Ale Beer, Lager Beer, and Stout Beer) - Europe Industry Analysis, Size, Share, Growth, Trends and Forecast 2015 - 2021


Albany, NY -- (SBWIRE) -- 08/01/2017 -- The European beer market is highly diversified owing to the presence of a large number of regional and international players. Players in the beer market are competing with each other on the basis of quality of beer and price of beer. The brand name and distribution are two other factors on the basis of which, beer companies are making their gains. Some of the key companies in the European beer market are: Heineken N.V, Diageo, Anheuser-Busch InBev, SAB Miller PLC, and Carlsberg Group. Innovation in beer flavor is expected to remain one of the key strategies among players within the beer market, says Transparency Market Research (TMR), in its latest report on European beer market.

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According to Transparency Market Research, the European beer market is expected to be worth US$100.80 bn by 2021 after being worth US$ 87.6 in 2016. By product, the lager beer segment not only led in the past but is also expected to lead in the coming years. The lager beer market is expected to be worth US$20.05 bn by 2021. Demand for lager beer will be particularly high from Czech Republic, Slovakia, and Poland. However, ale is anticipated to fastest growing product segment in Europe. The availability of variety in ale is a key reason which will drive the popularity of this beer segment in the years to come.

Modernization of Distribution Channel to Drive Beer Market in Eastern Europe

On the basis of geography, Eastern Europe is anticipated to offer untapped opportunity for beer manufacturers and thus, players are expected to capitalize and increase their focus on Russia and Ukraine. These two countries are expected to emerge as lucrative markets in Eastern Europe as they offer expansion possibilities for players. The long tradition of consuming alcohol in Easter Europe and growing disposable income of consumers will be key factors driving the growth of beer market in the region. The modernization of distribution channels as well as strong hold of domestic beer brands are slated to make Eastern Europe a lucrative region for beer market.

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Health Benefits to Continue to Boost Beer Consumption

The growing demand for low and no-alcohol beer among Europeans is one of the chief reasons for the growth of the beer market in the region. Spain has been a key market in non-alcoholic and low-alcohol beer in Europe. Increasing efforts by manufacturers to come up with newer products are also helping the market to grow. The growing awareness about the health benefits of consuming beer is slated to continue to fuel the growth of the market, said a TMR analyst. The ability of beer to improve digestion by reducing the occurrence of intestinal transit is also driving consumers to consume more beer. The growing awareness among consumers that the silicon in beer facilitates increased bone density and helps develop stronger bones will also aid the market's growth in the forecast period.

Threat of Substitute High Within Beer Market

On the other hand, the European beer market will face severe competition from beer substitutes. An internal as well as external threat of substitutes looms for beer manufacturers in Europe. Wine, rum, whisky, and vodka are increasingly becoming popular in pubs and poses an internal threat of substitute. Dairy drinks such as milk and carbonated drinks such as cola pose an external threat of substitute for beer. In addition to this, energy drinks are becoming popular and so are ready to drink tea and coffee. These drinks pose a grave challenge to the demand of beer in Europe and can impede its demand.

This review of the market is based on a recent report published by Transparency Market Research, titled "Beer Market (Product - Ale Beer, Lager Beer, and Stout Beer) - Europe Industry Analysis, Size, Share, Growth, Trends and Forecast 2015 - 2021."

Key Segments of Europe Beer Market

Europe Beer Market by Product type:
Ale beer
Lager beer
Stout beer

Europe Beer Market by Country:
Rest of Europe