Alcoholic Drinks in Asia Pacific

November 2023

The regional recovery from the 2020 sales decline slowed in Asia Pacific in 2022 given the return of COVID-19 in China, the dominant country market. However, growth remained positive at a regional level in 2022 as sales were increasing everywhere in Asia Pacific outside of China. Year-on-year growth will be seen throughout the forecast period, in spite of the pandemic having given a further boost to health awareness among consumers in the region.

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This report comes in PPT.

Key findings

China back in decline in 2022

The Chinese alcoholic drinks market’s performance was heavily influenced by the return of COVID-19 in 2022, as the Omicron variant resulted in a spike in case numbers. However, off-trade growth remained positive in China, while total volume sales were increasing everywhere else in Asia Pacific in this year.

Rising costs forcing up prices

In 2022, due to soaring raw materials prices and the weakening of the Japanese currency, many players increased the shipment prices of their products. This saw the top four beer companies in Japan increase their shipment prices for beer and other alcoholic drinks in October 2022 – the first time in 14 years that they had raised the price of canned beer.

Sugar-free soju to appeal to health-conscious consumers

Health and wellness was one of the major trends in South Korean alcoholic drinks in 2022, with beer and spirits seeing increasing numbers of new launches featuring healthier variations. For example, many soju players launched sugar-free variants to appeal to health-conscious younger generations of adults, with formula changes featuring artificial sweeteners such as erythritol.

Players aiming for value over volume growth in India

B9 Beverages, credited with having kick-started the craft beer trend in India back in 2015 with the launch of Bira 91, was one of the companies looking to combat inflationary pressure by targeting value rather than volume growth, for example through the launch of a range of premium products – a strategy that also saw Diageo introduce its premium, limited edition Epitome Reserve whisky.

 

Scope
Key findings
Highest regional sales level but low per capita consumption in Asia Pacific
The only year of negative growth in 2017-2027 will be 2020
Beer leads in volume and spirits in value terms among alcoholic drinks categories
Indonesia, India and Vietnam record the strongest CAGRs over 2017-2022
RTDs the most dynamic of the main alcoholic drinks categories
Off-trade performs better during the pandemic
RTDs a clear winner in terms of review period gains
Small local grocers the main distribution channel for alcoholic drinks
Retail e-commerce continues gaining share in 2022
Imported brands and craft alcohol trend eating into leading players’ share in Taiwan
Asahi looks to offer consumers alcohol-free and low-alcohol products in new bar
AB InBev, Carlsberg and Heineken present across the region
Chinese beer brands lead the rankings
Positive growth expected for alcoholic drinks throughout the forecast period
No return to pre-pandemic sales levels for the on-trade in China in 2022-2027
Vietnam, India and the Philippines will contribute major actual new sales over 2022-2027
China: Market Context
China: Competitive and Retail Landscape
Hong Kong, China: Market Context
Hong Kong, China: Competitive and Retail Landscape
India: Market Context
India: Competitive and Retail Landscape
Indonesia: Market Context
Indonesia: Competitive and Retail Landscape
Japan: Market Context
Japan: Competitive and Retail Landscape
Malaysia: Market Context
Malaysia: Competitive and Retail Landscape
Pakistan: Market Context
Pakistan: Competitive and Retail Landscape
Philippines: Market Context
Philippines: Competitive and Retail Landscape
Singapore: Market Context
Singapore: Competitive and Retail Landscape
South Korea: Market Context
South Korea: Competitive and Retail Landscape
Thailand: Market Context
Thailand: Competitive and Retail Landscape
Vietnam: Market Context
Vietnam: Competitive and Retail Landscape

Alcoholic Drinks

Alcoholic drinks is the aggregation of beer, wine, spirits, cider/perry and RTDs.

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