Beer - Norway

The Beer market in Norway has been experiencing significant growth in recent years, driven by changing customer preferences and local special circumstances.

Customer preferences: Norwegian consumers are increasingly seeking out craft beers and specialty brews, as they look for unique and high-quality products. This trend is in line with the global shift towards craft beer, as consumers become more interested in the brewing process and the flavors and aromas that can be achieved. Additionally, there is a growing interest in low-alcohol and non-alcoholic beers, as health-conscious consumers seek alternatives to traditional beer.

Trends in the market: One major trend in the Norwegian beer market is the rise of microbreweries. These small-scale breweries are able to cater to the demand for craft beers and specialty brews, offering a wide range of unique flavors and styles. The popularity of microbreweries is also fueled by the desire for locally produced and sustainable products. Consumers are willing to pay a premium for beers that are made with locally sourced ingredients and brewed in small batches. Another trend in the market is the increasing availability of imported beers. Norwegian consumers are becoming more adventurous in their beer choices, seeking out international brands and flavors. This trend is partly driven by the growing popularity of travel and exposure to different cultures. As consumers try beers from around the world, they develop a taste for new and exciting flavors, leading to increased demand for imported beers.

Local special circumstances: Norway has a unique set of circumstances that contribute to the development of its beer market. One key factor is the country's high alcohol taxes, which make beer relatively expensive compared to other countries. This has led to a focus on quality and premium products, as consumers are willing to pay a higher price for a better tasting beer. Additionally, the strict regulations surrounding alcohol sales in Norway have created a controlled market, with limited availability and distribution channels. This has created opportunities for local breweries to thrive, as they can better navigate the regulatory landscape and cater to the preferences of Norwegian consumers.

Underlying macroeconomic factors: The growth of the beer market in Norway is also influenced by underlying macroeconomic factors. The country's strong economy and high disposable income levels have contributed to increased consumer spending on beer. Additionally, the growing tourism industry in Norway has driven demand for beer, as visitors to the country seek out local brews and unique drinking experiences. These macroeconomic factors, combined with changing consumer preferences and local special circumstances, have created a favorable environment for the development of the beer market in Norway.

Data coverage:
The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on alcoholic beverages, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:
The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level.