Hard Seltzer - Brazil

The Hard Seltzer market in Brazil has been experiencing significant growth in recent years.

Customer preferences: Brazilian consumers have shown a growing interest in healthier and low-calorie alcoholic beverages, which has contributed to the rise of the Hard Seltzer market. With an increasing focus on health and wellness, consumers are seeking alternatives to traditional high-calorie alcoholic beverages. Hard Seltzers, with their lower calorie content and refreshing flavors, have gained popularity among health-conscious consumers in Brazil.

Trends in the market: One of the key trends in the Hard Seltzer market in Brazil is the introduction of local flavors and ingredients. Brazilian consumers have a strong affinity for tropical fruits and flavors, and local Hard Seltzer brands have capitalized on this by offering unique and exotic flavor profiles. This trend has not only attracted local consumers but has also generated interest from international consumers looking for an authentic Brazilian experience. Another trend in the market is the increasing availability and variety of Hard Seltzer options. As the market has grown, both local and international brands have entered the Brazilian market, offering a wide range of flavors and options to consumers. This increased competition has led to innovation in terms of flavors, packaging, and marketing strategies, further driving the growth of the market.

Local special circumstances: Brazil is known for its vibrant and lively social culture, with a strong emphasis on outdoor activities and gatherings. Hard Seltzers, with their light and refreshing nature, are well-suited to this social culture. They are often consumed during outdoor events, beach parties, and barbecues, making them a popular choice among Brazilian consumers.

Underlying macroeconomic factors: The growth of the Hard Seltzer market in Brazil can also be attributed to favorable macroeconomic factors. Brazil has experienced steady economic growth in recent years, which has led to an increase in disposable income for many consumers. This rise in disposable income has allowed consumers to explore new and premium beverage options, including Hard Seltzers. Additionally, the increasing urbanization and changing lifestyles in Brazil have played a role in the growth of the Hard Seltzer market. As more people move to urban areas and lead busy lives, there is a growing demand for convenient and ready-to-drink alcoholic beverages. Hard Seltzers, with their portable and convenient packaging, cater to this demand, making them a popular choice among urban consumers. In conclusion, the Hard Seltzer market in Brazil is experiencing significant growth due to customer preferences for healthier and low-calorie alcoholic beverages, the introduction of local flavors and ingredients, the increasing availability and variety of options, the country's vibrant social culture, and favorable macroeconomic factors such as rising disposable income and changing lifestyles.

Data coverage:
The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on alcoholic beverages, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:
The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level.