Alcoholic Drinks - Southeast Asia

The Alcoholic Drinks market in Southeast Asia has been experiencing significant growth in recent years.

Customer preferences: In Southeast Asia, there is a growing demand for a wide variety of alcoholic drinks, including beer, wine, and spirits. This can be attributed to changing consumer preferences and an increasing acceptance of alcohol as a social beverage. Consumers in this region are becoming more adventurous in their choices and are willing to try new and different types of alcoholic drinks. Additionally, there is a trend towards premiumization, with consumers willing to pay higher prices for higher quality alcoholic beverages.

Trends in the market: One of the key trends in the Alcoholic Drinks market in Southeast Asia is the rise of craft beer. Craft beer has gained popularity among consumers who are looking for unique and locally-produced beverages. This trend can be attributed to the growing number of microbreweries and the increasing interest in small-batch brewing techniques. Craft beer offers a wide range of flavors and styles, appealing to consumers who are seeking a more personalized drinking experience. Another trend in the market is the increasing popularity of wine. Wine consumption in Southeast Asia has been on the rise, driven by a growing middle class and an increasing interest in wine culture. Wine is seen as a sophisticated and elegant beverage, and consumers are becoming more knowledgeable about different grape varieties and wine regions. This trend is also supported by the growing number of wine bars and wine events in the region.

Local special circumstances: In Southeast Asia, there are some local special circumstances that contribute to the development of the Alcoholic Drinks market. One of these is the presence of a large young population who are entering the legal drinking age. This demographic group is more open to trying new and different alcoholic drinks, and their increasing purchasing power is driving the growth of the market. Additionally, Southeast Asia is a popular tourist destination, attracting visitors from around the world. This has led to an increase in the demand for alcoholic drinks, particularly in tourist hotspots such as Bali and Phuket.

Underlying macroeconomic factors: The Alcoholic Drinks market in Southeast Asia is also influenced by underlying macroeconomic factors. The region has been experiencing strong economic growth, which has led to an increase in disposable income and consumer spending. This has resulted in a higher demand for premium and imported alcoholic drinks. Additionally, the growing middle class in Southeast Asia has led to a shift in consumer preferences towards higher quality and more expensive alcoholic beverages. In conclusion, the Alcoholic Drinks market in Southeast Asia is experiencing growth due to changing customer preferences, including a demand for craft beer and wine. Local special circumstances, such as a large young population and a thriving tourism industry, also contribute to the development of the market. Furthermore, underlying macroeconomic factors, such as strong economic growth and an expanding middle class, have led to an increase in the consumption of premium and imported alcoholic drinks.

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.