Alcoholic Drinks - GCC

The Alcoholic Drinks market in GCC has been experiencing significant growth in recent years. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors have all contributed to the development of this market. Customer preferences in the GCC region have played a crucial role in shaping the Alcoholic Drinks market. With a growing young population and increasing disposable income, there has been a shift in consumer preferences towards premium and high-quality alcoholic beverages. Consumers in the GCC are becoming more discerning and are willing to spend more on premium brands. This has led to an increase in the demand for luxury and craft spirits, as well as high-end wines and champagnes. Trends in the market have also influenced the development of the Alcoholic Drinks market in the GCC. One notable trend is the rise of non-alcoholic and low-alcohol beverages. With an increasing focus on health and wellness, consumers are opting for alternatives to traditional alcoholic drinks. This has led to the emergence of a wide range of non-alcoholic beers, wines, and spirits in the market. Additionally, there has been an increase in the popularity of locally produced alcoholic beverages, as consumers seek out unique and authentic products. Local special circumstances have also played a role in the development of the Alcoholic Drinks market in the GCC. The region has a unique cultural and religious context, with Islam being the predominant religion. As a result, there are strict regulations and restrictions on the sale and consumption of alcohol in some GCC countries. However, there has been a relaxation of these regulations in recent years, with some countries allowing the sale of alcohol in certain designated areas such as hotels and resorts. This has created opportunities for the growth of the Alcoholic Drinks market in these areas. Underlying macroeconomic factors have also contributed to the development of the Alcoholic Drinks market in the GCC. The region has experienced strong economic growth and increasing urbanization, which has led to a rise in disposable income and a growing middle class. This has resulted in an increase in consumer spending on luxury and premium products, including alcoholic beverages. Additionally, the GCC countries have a large expatriate population, who often have higher purchasing power and a preference for international brands. This has further fueled the demand for imported alcoholic beverages in the region. In conclusion, the Alcoholic Drinks market in the GCC has been developing due to customer preferences for premium and high-quality beverages, the emergence of non-alcoholic and low-alcohol alternatives, local special circumstances such as cultural and religious regulations, and underlying macroeconomic factors such as economic growth and a growing expatriate population. The market is expected to continue to grow in the coming years, driven by these factors.

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.