Hard Seltzer - Central America

The Hard Seltzer market in Central America has been experiencing significant growth in recent years.

Customer preferences: Customers in Central America have shown a growing preference for low-calorie and low-sugar alcoholic beverages. This shift in consumer preferences can be attributed to a rising awareness of health and wellness, as well as an increasing focus on maintaining a balanced lifestyle. Hard Seltzers, with their lower calorie and sugar content compared to traditional alcoholic beverages, have emerged as a popular choice among health-conscious consumers in the region.

Trends in the market: One of the key trends in the Hard Seltzer market in Central America is the increasing number of local and international brands entering the market. This has led to a wider variety of options for consumers, with different flavors and ingredient combinations. Additionally, there has been a growing trend of product innovation, with brands introducing new and unique flavors to attract customers. Another trend in the market is the expansion of distribution channels for Hard Seltzers. Initially, these beverages were primarily available in bars and restaurants. However, there has been a significant increase in the availability of Hard Seltzers in retail stores, including supermarkets and convenience stores. This has made it more convenient for consumers to purchase their favorite Hard Seltzer brands and has contributed to the overall growth of the market.

Local special circumstances: Central America is known for its warm climate and vibrant beach culture. This has created a favorable environment for the growth of the Hard Seltzer market in the region. Hard Seltzers are often marketed as refreshing and light beverages, which makes them particularly appealing to consumers in Central America, especially during the hot summer months. The beach and outdoor lifestyle in the region also align well with the image and positioning of Hard Seltzers, further driving their popularity.

Underlying macroeconomic factors: The growth of the Hard Seltzer market in Central America can also be attributed to favorable macroeconomic factors. The region has experienced steady economic growth in recent years, leading to an increase in disposable income among consumers. This has allowed consumers to have more purchasing power and spend on premium and innovative products like Hard Seltzers. Additionally, the tourism industry in Central America has been flourishing, attracting a large number of international visitors. These tourists often seek out local experiences and are willing to try new and unique products. The presence of tourists has created a demand for Hard Seltzers as an alternative to traditional alcoholic beverages, further driving the growth of the market. In conclusion, the Hard Seltzer market in Central America has been growing due to changing customer preferences, increasing product variety and availability, local special circumstances, and favorable macroeconomic factors. As consumers in the region continue to prioritize health and wellness, and as the market continues to evolve and innovate, the Hard Seltzer market is expected to further expand in Central America.

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.