Hard Seltzer Market Trends

Growth Drivers

• Growing popularity of vegan diet - As a result of the increasing demand for alcoholic beverages with lower calories and greater nutritional content, this market is growing rapidly. Consumers are also becoming more health conscious and are choosing a healthy lifestyle rich in vitamins and minerals.
  The growth of the hard seltzer market is also supported by increasing interest in diet trends and vegan food, e.g. keto, plant-based meat, and vegan diets. As per Euromonitor International's research in 2020 found that 2.9% population of Germany was classified as vegan this is expected to grow high in the future.
• Growing flavor innovation and development in hard seltzer - Significant innovation in flavor has taken place in the hard seltzer market, characterized by a wide variety of creative developments. The expansion of flavor varieties, from traditional to exotic and targeting a broad range of consumer tastes, is one of the most important areas.
  In April 2023, Hard Seltzer Co launched a limited edition of Vizzy Orange Cream Pop flavored Hard Seltzer, in conjunction with its "Flavor For Every Vibe" advertising campaign, with bold and creative TV commercials.
• Key players working on developing growth strategies - With the adoption of various growth strategies, major players aim to expand their customer bases. Significant growth opportunities are expected to be generated by this factor.
  For example, Casatera, a producer of zero-sugar tequila seltzers that are made for health-conscious consumers, announced its expansion into several new markets such as Florida, Massachusetts, New Hampshire, and Connecticut in November 2022. The Casatera restaurant and bar has been extended to almost 500 liquor stores, restaurants, bars, and hotels, such as Select Total Wine & More, Omni Hotels & Resorts, and Marriott Hotel.

Challenges

• Health issues associated with hard seltzer - Alcoholic beverages like wine and beer have some health benefits but they also contain toxic ethanol. Alcohol can also cause dehydration and weight gain. Another disadvantage of hard seltzer is that many nutritionists wouldn’t consider it healthy because it has fewer calories than beer. That’s because it’s still a sugary drink with alcohol, so it’s important to drink it in moderation.
• Availability of substitute products is assumed to hamper the market growth in the forecast period
• Strict government standards are expected to restrict market growth in the upcoming period.