Future Growth Led by Surging market of flavored and low calorie alcoholic beverages.
The US alcoholic beverages market represented approximately 55% of the overall beverage market revenues in the US in 2012. The leading factors which have been driving the market over the period 2006-2012 include increasing demand for flavored alcoholic beverages and ready to drink cocktails, increasing investment in brand building by the companies, major consolidations, off-premise sales and drinks with low-calorie and low-alcohol content. The US alcoholic beverages market has been driven majorly by the constant incline in the demand for low calorie and flavored alcoholic beverages. The increasing health consciousness among the Americans, especially amongst women consumers has pumped the demand for low calorie alcoholic beverages and this trend is likely to swell the market in the future as well. Bud Light and Coors Light are two of the largest selling low calorie alcoholic drinks in the US. People entering the legal age for drinking in the US, and women in general prefer flavored alcoholic beverages. The US population of 21 years and above is increasing expeditiously. Consequently, more people are entering the legal age limit for alcohol consumption. The trend of experimenting with new flavors among the US consumers has also pushed the demand for flavored alcoholic beverages in the US. Furthermore, the demand for flavored drinks has also been propelled by the initiatives taken by several manufacturers to add more innovative drinks into their product portfolio, providing the customers with a gamut of different products to choose from. Jack Daniels Honey, Smirnoff Vodka and Skinny Girl are few of the preferred brands in the flavored category. According to the research report “The US Alcoholic Beverages Market Outlook to 2017” by Ken Research, the US alcoholic beverages market would grow at a considerable CAGR rate thus exceeding USD 252.5 billion by 2017 due to the major push...
Please join StudyMode to read the full document