Alcoholic Drinks - Australia

The Alcoholic Drinks market in Australia has been experiencing significant growth in recent years, driven by changing customer preferences and local special circumstances.

Customer preferences: In Australia, there has been a noticeable shift in customer preferences towards premium and craft alcoholic drinks. Consumers are increasingly seeking unique and high-quality products, which has led to a rise in demand for craft beers, boutique wines, and artisanal spirits. This trend is driven by a growing appreciation for locally produced beverages and a desire for more personalized and authentic drinking experiences. Additionally, health-conscious consumers are opting for low-alcohol or alcohol-free options, such as non-alcoholic beers and mocktails, which has also contributed to the evolving customer preferences in the market.

Trends in the market: One of the key trends in the Alcoholic Drinks market in Australia is the growing popularity of wine, particularly among younger consumers. Wine consumption has been on the rise, driven by factors such as increasing wine education and awareness, the influence of wine tourism, and the perception of wine as a sophisticated and healthier alternative to other alcoholic beverages. This trend has led to a surge in the production and consumption of Australian wines, both domestically and internationally. Another notable trend is the increasing demand for ready-to-drink (RTD) alcoholic beverages. RTDs, such as pre-mixed cocktails and canned spirits, have gained popularity due to their convenience and ease of consumption. These products appeal to consumers who are looking for quick and hassle-free options for social gatherings or outdoor activities. The introduction of innovative flavors and packaging formats has further fueled the growth of the RTD segment in the market.

Local special circumstances: Australia has a thriving craft beer industry, with a large number of microbreweries and independent beer producers across the country. This has created a unique market environment where consumers have access to a wide variety of locally brewed beers, each with its own distinct flavors and styles. The craft beer movement in Australia has been supported by a strong community of beer enthusiasts, as well as events and festivals that celebrate the culture of craft brewing. This local special circumstance has contributed to the growth of the Alcoholic Drinks market in Australia, attracting both domestic and international consumers.

Underlying macroeconomic factors: Several macroeconomic factors have influenced the development of the Alcoholic Drinks market in Australia. The country's strong economy and high disposable income levels have allowed consumers to spend more on premium and luxury alcoholic beverages. Additionally, changing demographics, such as an aging population and increasing urbanization, have contributed to the growth of the market. The rise of e-commerce and online retail platforms has also made it easier for consumers to access a wide range of alcoholic drinks, further driving market growth.

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.