Hard Seltzer - Ethiopia

The Hard Seltzer market in Ethiopia has been steadily growing in recent years, driven by changing consumer preferences and a growing demand for alternative alcoholic beverages.

Customer preferences: Ethiopian consumers have shown a growing preference for lighter and more refreshing alcoholic beverages, which has contributed to the rise in popularity of Hard Seltzers. These beverages are known for their low alcohol content and fruity flavors, making them a popular choice among those looking for a refreshing and easy-to-drink option. Additionally, the health-conscious trend that is prevalent worldwide has also influenced consumer preferences in Ethiopia, with many individuals opting for lower calorie and lower sugar options. Hard Seltzers, with their relatively low calorie and sugar content, align well with this trend, making them an attractive choice for health-conscious consumers.

Trends in the market: One of the key trends in the Hard Seltzer market in Ethiopia is the increasing availability and variety of flavors. As the market has grown, both local and international brands have introduced a wide range of flavors to cater to different consumer preferences. This has allowed consumers to experiment with different flavors and find their preferred options. Additionally, the market has witnessed the entry of new players, leading to increased competition and innovation. This has resulted in the introduction of unique flavor combinations and packaging designs, further fueling the growth of the market.

Local special circumstances: Ethiopia has a young and increasingly urban population, which has contributed to the growth of the Hard Seltzer market. As more young adults move to urban areas and adopt a more cosmopolitan lifestyle, their preferences for alcoholic beverages have also evolved. Hard Seltzers, with their modern and trendy image, appeal to this demographic and have become a popular choice for social gatherings and nightlife. Furthermore, the growing tourism industry in Ethiopia has also played a role in the development of the Hard Seltzer market, as tourists from around the world bring with them their preferences for these beverages, creating a demand for them in the local market.

Underlying macroeconomic factors: The overall economic growth in Ethiopia has also had an impact on the Hard Seltzer market. As the country's economy has expanded, disposable incomes have increased, allowing consumers to spend more on leisure activities and premium products. This has created a favorable environment for the growth of the Hard Seltzer market, as consumers are willing to pay a premium for these beverages. Additionally, the government's efforts to promote tourism and attract foreign investment have also contributed to the growth of the market, as it has led to an increase in the number of tourists and expatriates in the country, who are more familiar with and demand Hard Seltzers.

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.