Craft Beer Market in the US 2017-2021

Overview of the craft beer market in the US

Market research analysts at Technavio identify the increasing demand from millennials due to their increasing spending capacity, as one of the primary growth factors for the craft beer market in the US. The growing demand for craft beer among consumers is inducing vendors increase their production capabilities. There is also an increasing demand for variety in flavors from the millennials. Owing to factors such as better quality, more varieties, availability on premise, and more seasonal offerings, there is a growing demand for craft beer from this population. This growing demand is inducing vendors to adopt new marketing strategies to gain more customers and capture major market shares. This market research report predicts that this market will grow at a CAGR of almost 18% by 2021.

The increasing investments from the market players towards increasing the production capacity and developing new products which will satisfy the changing taste and preference of the end consumer will be one of the major trends that will lead the market’s growth during the forecast period. One of the key vendors Anheuser-Busch InBev, has already made plans to make investments towards improving its production and distribution capabilities, packaging, and product innovations.

Competitive landscape and key vendors

Owing to the presence of large vendors, this market appears to be highly competitive. The market players usually compete on factors such as product pricing, quality, innovation, reputation, and distribution. The change in consumer spending pattern, the regional, national, and local economic conditions, and demographic trends are some of the factors that affect the growth of the vendors in this marketspace.

The leading vendors in the market are -

• Anheuser-Busch InBev
• Boston Beer
• D.G. Yuengling & Sons
• New Belgium Brewing
• Sierra Nevada

The other prominent vendors in the market are Bell's Brewery, Brooklyn Brewery, Deschutes Brewery, Dogfish Head Craft Brewery, Minhas Brewery, New Glarus Brewing Company, Oskar Blues Brewing Holding, Stone Brewing, and SweetWater Brewing.

Segmentation by product and analysis of the craft beer market in the US

• India pale ale (IPA)
• Seasonal
• Pale ale
• Lager

The IPA segment accounted for the major shares of this market during 2016. It is one of the famous and highly demanded beer in the US. Breakside IPA from Breakside Brewery, Heyoka from Half Acre Beer, Bodhi from Columbus Brewing, and Citrus Mistress from Hop Valley Brewing are some of the major products in this segment. Factors including the introduction of new flavors and the increased marketing and promotion campaigns by the market players, will contribute to the growth of this industry segment in the coming years.

Segmentation by distribution channel and analysis of the craft beer market in the US

• On- premise
• Off- premise

During 2016, the on-premises segment accounted for major share in the craft beer market in the US. There is an increase in the number of breweries that are launching taste rooms at their premises. This will attract beer tourism which will increase the popularity of the region among the consumers. It has been observed that on an average, almost 10 million people visit craft breweries that organize beer tours and also provide accommodation facilities.

Key questions answered in the report include

• What will the market size and the growth rate be in 2021?
• What are the key factors driving the craft beer market in the US?
• What are the key market trends impacting the growth of the craft beer market in the US?
• What are the challenges to market growth?
• Who are the key vendors in the craft beer market in the US?
• What are the market opportunities and threats faced by the vendors in the craft beer market in the US?
• Trending factors influencing the market shares of the US.
• What are the key outcomes of the five forces analysis of the craft beer market in the US?

Technavio also offers customization on reports based on specific client requirement.