Hard Seltzer - Kenya

The Hard Seltzer market in Kenya is experiencing significant growth and development, driven by changing customer preferences and local special circumstances.

Customer preferences: In recent years, there has been a growing demand for healthier and low-calorie alcoholic beverages among consumers in Kenya. This shift in consumer preferences towards healthier options has led to an increased interest in Hard Seltzers, which are low in calories and often made with natural ingredients. Additionally, the younger generation in Kenya, who are more health-conscious and value convenience, are also driving the demand for Hard Seltzers.

Trends in the market: One of the key trends in the Hard Seltzer market in Kenya is the introduction of local flavors and ingredients. Kenyan consumers appreciate products that are locally sourced and reflect their cultural heritage. As a result, local breweries and beverage companies are incorporating traditional Kenyan flavors such as passion fruit, mango, and baobab into their Hard Seltzer offerings. This trend not only appeals to the local consumer base but also helps differentiate Kenyan Hard Seltzers from imported brands. Another trend in the market is the increasing availability and variety of Hard Seltzer brands in Kenya. As the demand for Hard Seltzers continues to rise, both local and international companies are entering the market to capitalize on this opportunity. This has led to a wider selection of flavors and brands for consumers to choose from, catering to different taste preferences and price points.

Local special circumstances: Kenya is known for its vibrant and dynamic nightlife scene, with a growing number of bars, clubs, and restaurants catering to a diverse customer base. The rise in popularity of Hard Seltzers can be attributed to their refreshing taste, versatility, and ability to appeal to a wide range of consumers. Hard Seltzers are often seen as a trendy and fashionable drink option, making them popular among young adults and urban professionals in Kenya.

Underlying macroeconomic factors: Kenya has experienced steady economic growth in recent years, which has resulted in an increase in disposable income and a growing middle class. This has contributed to the rise in consumer spending on alcoholic beverages, including Hard Seltzers. Additionally, the increasing urbanization and Western influence in Kenya have also played a role in shaping consumer preferences and driving the demand for new and innovative alcoholic beverages. In conclusion, the Hard Seltzer market in Kenya is witnessing rapid growth due to changing customer preferences, local special circumstances, and underlying macroeconomic factors. As consumers in Kenya become more health-conscious and seek out healthier and low-calorie alcoholic beverage options, the demand for Hard Seltzers is expected to continue to rise. With the introduction of local flavors and ingredients, as well as the increasing availability and variety of brands, the Hard Seltzer market in Kenya is poised for further expansion in the coming years.

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.