New Alcoholic Drinks Industry Research Shows Negative Growth for Second Consecutive Year
Global Market research provider Euromonitor International released new alcoholic drinks research.
According to the newly released data, in 2016 the global alcoholic drinks market remained inebriated at the proverbial wheel, staying in negative territory for a second year running and following hot on the hills of its first slump in more than a decade back in 2015.
Nevertheless, a largely flatlining top line volume growth and a sobering trajectory did not translate into a head on collision but rather a close swerve against a backdrop of overwhelming maturity levels and lingering macro headwinds .
Witnessing 0.2% overall decline in total volume terms was, after all, a significant improvement on the moribund global 0.8% decline of the previous year. Asia Pacific appeared to escape the depths of its China-led contraction and while regional growth remained stuck in reverse posting a disappointing 0.9% decline for 2016, the pace of the haemorrhaging has indeed halved compared to the previous year. Eastern Europe, posting a hefty contraction of 1.5%- which to put into context is in fact the region’s best performance since 2010 -is also appearing to be reaching the end of its deflationary saga.
While Western Europe remained unsurprisingly mired in stagnation and Africa and the Middle East retained their steadily booming course, North and Latin America slowed down markedly with the latter actually entering negative territory.
Beyond regional fluctuations, tequila and English gin asserted their position as flag bearers of growth through the embrace of artisanal offerings, signature credentials and solid premiumisation narratives at the same time that cider proved to be static for the year, witnessing its worse performance for at least a decade on the back of its failure to secure category equity in the US and the inherently saturated state of its core UK market.
An inverse correlation between softening champagne sales and accelerating other sparkling wines, liqueurs running out of steam and dark beer showing signs of the much vaunted deceleration of the craft segment complete the global picture of an industry on the defensive. Yet, pockets of intoxicating opportunity remain.