Alcoholic Drinks - Tanzania

The Alcoholic Drinks market in Tanzania has been experiencing significant growth in recent years. Customer preferences in the market are shifting towards premium and high-quality alcoholic beverages. Consumers are becoming more discerning and are willing to pay a premium for products that offer superior taste and quality. This trend is driven by a growing middle class with higher disposable incomes and an increasing desire for luxury and indulgence. As a result, there is a rising demand for imported alcoholic drinks, particularly wines and spirits, which are perceived as more sophisticated and prestigious. Another trend in the market is the increasing popularity of craft beers and locally produced alcoholic beverages. Consumers are seeking unique and authentic drinking experiences, and are turning to craft beers and locally made spirits to satisfy this demand. These products often offer a wide variety of flavors and are produced in small batches, giving them an artisanal appeal. This trend is also driven by a growing interest in supporting local businesses and promoting sustainability. Local special circumstances in Tanzania contribute to the development of the Alcoholic Drinks market. The country has a rich cultural heritage and a strong tradition of brewing and distilling alcoholic beverages. This has led to the emergence of local brands that cater to the unique tastes and preferences of Tanzanian consumers. These brands often incorporate traditional ingredients and brewing techniques, giving them a distinct flavor profile that sets them apart from imported products. Underlying macroeconomic factors also play a role in the growth of the Alcoholic Drinks market in Tanzania. The country has been experiencing steady economic growth in recent years, which has led to an increase in disposable incomes and a rising middle class. This has resulted in a greater purchasing power and a higher demand for premium products. Additionally, the tourism industry in Tanzania has been booming, attracting a large number of international visitors who are willing to spend on high-end alcoholic beverages. In conclusion, the Alcoholic Drinks market in Tanzania is developing due to changing customer preferences, the emergence of local brands, and favorable macroeconomic conditions. As consumers become more discerning and willing to pay a premium for quality products, there is a growing demand for premium and imported alcoholic beverages. At the same time, the popularity of craft beers and locally produced spirits is on the rise, driven by a desire for unique and authentic drinking experiences. These trends, combined with Tanzania's rich brewing and distilling tradition and favorable macroeconomic factors, are fueling the growth of the Alcoholic Drinks market in the country.

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.