Global Cider Market to Grow Owing to Increasing Consumption Among Millennials

 

Cider Market 

Cider is an alcoholic beverage that is made by the fermentation of apple juice or cider. Unlike wine which is made from grapes, cider is a fermented alcoholic drink made from apples. Cider has originated and is largely consumed in Europe, but with increasing western influence, demand for cider has grown globally as well. Cider provides various health benefits like improved heart health and boosted immunity. Its refreshing and sweet taste also make it an enjoyable alternative to beer. Some varieties of cider also contain no added sulphites which makes them suitable for those with sensitivity.

The Global cider market is estimated to be valued at US$ 6.44 Bn in 2024 and is expected to exhibit a CAGR of 3.1% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the cider market are Heineken, C&C Group, Aston Manor,distilleries, Halewood Wines & Spirits and Kopparberg's.

Growing demand among millenials is boosting the Cider Market Size  . Millenials prefer cider over beer owing to its refreshing taste and health benefits. Hard, sweet ciders are particularly popular among young drinkers.

Advancement in production technologies is also propelling the market growth. New technologies allow producers to experiment with different flavors through infusion of various fruits. Automated production lines have improved efficiency.

Market Trends

Increased popularity of craft ciders - Many micro-breweries and craft producers are driving innovation through unique flavors and ingredients. This is attracting consumers looking to explore new varieties.

Rising demand for low and no-alcohol cider - Health conscious consumers are opting for low and no-alcohol cider options. Many producers have launched low ABV and dealcoholized varieties to tap into this trend.

Market Opportunities

Asia Pacific region presents lucrative growth opportunities. Countries like China and India are seeing burgeoning demand for cider owing to economic development and adoption of western drinking cultures.

Flavored and fruit-infused ciders have significant market potential. Producers can capitalize on consumer preference for new flavors through continuous product development.

Impact of COVID-19 on Cider Market Growth

The COVID-19 pandemic negatively impacted the cider market with declining sales across major markets globally in 2020. Extensive lockdowns and restrictions on the hospitality sector led to closures of pubs, bars and restaurants where cider is primarily consumed. This severely dented on-trade sales volumes during the initial months of the pandemic. Production was also scaled down by many cider producers due to reduced demand and disruptions in raw material supply chains.

However, as lockdowns eased from mid-2020, off-trade retail sales saw significant growth as consumers stocked up cider for at-home consumption. Innovation in flavors and product packaging to suit home consumption further boosted retail sales. The shift from on-trade to off-trade consumption patterns is expected to remain even in the post-pandemic scenario. Cider producers are also focusing on direct-to-consumer models and e-commerce platforms to drive sales. While headwinds persist from COVID-19 variants, accelerating vaccination rates and economic revival programs are anticipated to aid the market's recovery trajectory over the forecast period.

Cider Market Concentration in Europe

Europe accounts for the largest share of the global cider market in terms of value sales, led by major cider producing countries like the UK, France, Spain and Germany. The UK cider market itself is valued at over US$ 2 billion currently. Cider holds cultural significance as part of national identities especially in the UK, Spain and France. It is deeply entrenched in regional traditions, cuisines and social gatherings across rural parts of Western Europe. Local artisanal producers continue to thrive alongside large established brands, driving cider's popularity as a authentic beverage of choice. Meanwhile, Central and Eastern Europe present high growth opportunities for premium and specialty ciders.

Fastest Growing Region for Cider - Asia Pacific

The Asia Pacific region has emerged as the fastest growing regional market for cider globally. While consumption volumes are currently lower than mature markets, annual growth rates average around 7%-9% driven by rising experimentation among young adult consumers. China, Japan, Australia and New Zealand are spearheading cider's development across diverse Asian taste profiles. Tropical flavors inspired by native fruits are gaining popularity. Rising affluence is driving premiumization as consumers trade-up from beer and spirits. Light branding and wellness positioning further boost appeal. Cider companies are investing in Asia to capture early mover advantages and establish brands for the long term.

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About Author:

Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc. (https://www.linkedin.com/in/money-singh-590844163)