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Non-Alcoholic Beverages Market Report


Non-Alcoholic Beverages Market by Product (Carbonated Soft Drinks, Water, Sports & Functional Drinks, Tea, and Sparkling Water), Distribution Channel (Food Services and Retail), and Region (North America, Europe, Asia-Pacific, and LAMEA): Opportunity Analysis and Industry Forecast, 2023-2032


Pages: 280

Aug 2023

 Global Non-alcoholic Beverages Overview

An alcohol-free or non-alcoholic drink, also known as a temperance drink, is a version of a drink with the alcohol removed or decreased to almost zero. These may additionally take the structure of a non-alcoholic blended drink (a “virgin drink”), non-alcoholic beer (“near beer”), and “mocktails,” and are broadly accessible at places where alcoholic drinks are sold.

A non-alcoholic drink is one that consists of little or no alcohol. This class includes low-alcohol beer, non-alcoholic wine, and apple cider if they incorporate a sufficiently low concentration of alcohol by volume (ABV). The term “soft drink” specifies the absence of alcohol in contrast to “hard drink” and “drink.” Drinks such as soda pop, sparkling water, iced tea, lemonade, root beer, fruit punch, milk, hot chocolate, tea, coffee, milkshakes, and faucet water and energy drinks are all tender drinks.

Global Market Non-alcoholic Beverages Analysis

The global non-alcoholic beverages market size was $732,890.40 million in 2022 and is predicted to grow at a CAGR of 6.6%, by generating a revenue of $1,361,791.58 million by 2032.

COVID-19 Impact on Global Non-alcoholic Beverages Market

The outbreak of coronavirus disease (COVID-19) acted as a massive restraint on the non-alcoholic beverages market in 2020 as supply chains were disrupted due to trade restrictions and consumption declined due to lockdowns imposed by governments globally. Food and beverage manufacturers depend on supply of raw materials from domestic and international suppliers. As various governments restricted the movement of goods manufacturers had to halt production due to lack of raw materials. Also, restrictions on non-essential items and concern of infection through manufacturing services contributed to the decline of production of non-alcoholic beverages.

However, it is expected that the non-alcoholic - beverages market will recover from the shock throughout the forecast period as it is a ’black swan’ event and not related to inherent weaknesses in the market or the global economy.

Increasing Health Awareness and Consciousness Among Consumers to Drive the Market Growth

Increasing health cognizance and awareness amongst buyers have been major drivers of market boom in the non-alcoholic beverages industry. As more human beings grow to be conscious of the viable fitness dangers related to high sugar consumption and the importance of staying hydrated, they are looking for more healthy beverage options. This style has led to a shift in client preferences toward non-alcoholic liquids that offer dietary benefits and align with their health goals.  Consumers are adopting more healthy lifestyles, focusing on balanced diets, exercise, and basic wellness. As a result, they are actively seeking liquids that are low in sugar, free from artificial additives, and provide practical benefits.  Consumers are actively deciding on non-alcoholic picks like flavored water, unsweetened teas, and natural fruit juices to decrease their sugar intake. Functional beverages that offer extra health benefits, including those fortified with vitamins, minerals, antioxidants, or probiotics, are gaining popularity. Consumers are searching for drinks that not only quench their thirst but also provide dietary value. There is a developing demand for non-alcoholic liquids made from herbal ingredients, along with natural teas, botanical-infused waters, and cold-pressed juices.

Increasing Regulatory Inspection and Potential Regulations on Sugar Contentto Restrain Market Growth

Sugar consumption has been linked to quite a number health issues, including obesity, diabetes, and cardiovascular diseases. As a result, governments and regulatory bodies in several countries are considering or imposing regulations to restrict sugar consumption and promote healthier beverage choices. The introduction of sugar taxes or levies on high-sugar liquids has already been implemented in various countries. These taxes expand the price of sugary drinks, which can impact consumer demand and buying decisions. Additionally, policies can also require clearer labeling of sugar content material and warnings about attainable fitness risks associated with excessive sugar consumption. Compliance with such regulations and the reformulation of merchandise to decrease sugar content can pose challenges for beverage manufacturers.

Advancements in Technology to Drive Excellent Opportunities

Technological innovations in product development, manufacturing processes, packaging, and distribution have enabled the development of new and revolutionary non-alcoholic drinks with special flavors, functional ingredients, and extended dietary profiles. For example, advancements in extraction techniques and flavor profiling enable the advent of liquids with natural and exotic flavors, appealing to customer preferences. Automation and superior manufacturing applied sciences have increased the effectiveness and productivity of non-alcoholic beverage production.  The development of sustainable packaging solutions for non-alcoholic beverages is further helping the market to propel ahead. The use of bio-based and biodegradable materials, innovative packaging designs that minimize waste, and advanced recycling and waste administration systems align with purchaser demand for eco-friendly and environmentally conscious products.  Digital technologies, such as Internet of Things (IoT) sensors, data analytics, and blockchain, are being leveraged to optimize supply chain administration in the non-alcoholic liquids industry.

Global Non-alcoholic Beverages Market Share, by Product, 2022

Water sub-segment accounted for the highest market share in 2022. One of the key drivers of the water product market is the growing focus on health and emphasis on hydration. Consumers are becoming more conscious of the importance of hydration for overall well-being and are actively looking for convenient bottled water options. This trend is fueled by rising worries about sugary beverages, growing shift towards fitness and wellness, and the want for on-the-go hydration solutions. Within the water product segment, there has been a top-notch shift towards healthier and functional offerings. Manufacturers are responding to consumer preferences by introducing flavored water with natural fruit extracts, natural infusions, or added nutritional vitamins and minerals. Technological advancements in filtration, purification, and bottling tactics have also contributed to the increase of the water product market. Advanced filtration structures ensure water with decreased impurities, while progressive packaging designs and substances help preserve the freshness and purity of the product.

Global Non-alcoholic Beverages Market Share, by Distribution Channel, 2022

The retail sub-segment generated the highest revenue in the non-alcoholic beverages market in 2022.  Retailers, such as supermarkets, hypermarkets, convenience stores, and grocery chains, have great foot traffic and an extensive consumer base. They serve as convenient one-stop destinations where consumers can discover a variety of non-alcoholic beverage options. This huge presence allows beverages to reach a large variety of potential buyers. Retailers allocate dedicated shelf house to non-alcoholic beverages, giving them distinguished visibility in-store. The physical presence of the merchandise on the cabinets attracts customer interest and provides an opportunity for impulse purchases. Additionally, retailers often make use of attractive shows and promotions to enhance product visibility.  Retail corporations provide choice to shoppers by providing a variety of non-alcoholic drinks under one roof. Consumers can easily discover their desired brands, flavors, and packaging formats at a single location. This accessibility contributes to the common market penetration of non-alcoholic beverages. Further retailers collaborate with beverage manufacturers to promote products via in-store advertising, displays, and discounts.

Global Non-alcoholic Beverages Market Share, by Region, 2022

The Asia-Pacific non-alcoholic beverages market accounted for the largest share in 2022 mainly due to its large population, growing middle class, altering lifestyles, and increasing disposable incomes. The demand for non-alcoholic drinks in this location is influenced by cultural preferences, health consciousness, and the availability of a diverse range of neighborhood and worldwide beverage options.

               Competitive Scenario in the Global Non-alcoholic Beverages Market

The global non-alcoholic drinks market is incredibly competitive, with several players vying for market share. The enterprise is characterized via a various range of companies, along with multinational beverage giants, regional players, and emerging startups. These agencies compete based totally on elements such as product innovation, manufacturer reputation, distribution channels, pricing strategies, and advertising campaigns. Additionally, partnerships, collaborations, and acquisitions are frequent techniques employed by companies to improve their market position and expand their geographical reach.

Some of the prominent organizations working in the global non-alcoholic beverages market include, The Coca-Cola Company, PepsiCo, Inc., Nestlé S.A., Keurig Dr Pepper Inc., Danone S.A., Unilever Group, Red Bull GmbH, Monster Beverage Corporation, The Kraft Heinz Company, Suntory Holdings Limited, Starbucks Corporation, Campbell Soup Company, and Lactalis Group




Historical Market Estimations


Base Year for Market Estimation


Forecast Timeline for Market Projection


Geographical Scope

North America, Europe, Asia-Pacific, and LAMEA

Segmentation by Product

  • Carbonated Soft Drinks

  • Water

  • Sports & Functional Drinks

  • Tea

  • Sparkling Water


Segmentation by Distribution Channel

  • Food Service

  • Retail


Key Companies Profiled

  •  The Coca-Cola Company

  •  PepsiCo, Inc.

  •  Nestlé S.A.

  • Keurig Dr Pepper Inc.

  • Danone S.A.

  • Unilever Group

  • Red Bull GmbH

  • Monster Beverage Corporation

  • The Kraft Heinz Company

  • Suntory Holdings Limited

  • Starbucks Corporation

  • Campbell Soup Company

  • Lactalis Group 


Frequently Asked Questions

A. The size of the Non-alcoholic Beverages market was over $732,890.40 million in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 6.6% from 2023 to 2032.

A. The Coca-Cola Company, PepsiCo, Inc., and Nestlé S.A. are some of the key players in the global Non-alcoholic Beverages market.

A. The Asia-Pacific region possesses great investment opportunities for investors to witness the most promising growth in the future.

A. Asia-Pacific is expected to offer significant investment opportunities in the near future in the non-alcoholic beverages market.

A. Strategic acquisitions and partnerships and geographic expansion and market penetration are the key strategies opted by the operating companies in this market.

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