Draught Beer Market – Global Industry Size, Share, Trends, Opportunity and Forecast, By Type (Keg Beer, Cask Beer), By Production (Macro Breweries, Micro Breweries), By End User (Residential, Commercial), By Region & Competition, 2020-2030F

Market Overview

Global Draught Beer market was valued at USD 42.34 billion in 2024 and is expected to grow to USD 48.12 billion by 2030 with a CAGR of 5.45% during the forecast period. The Draught Beer market is fueled by increasing consumer preference for fresh, high-quality beer, as draught beer is often perceived as offering a superior taste compared to bottled or canned alternatives. The rise of craft beer culture has also fueled demand for draught beer, with consumers seeking unique, local, and artisanal flavors that are typically offered on tap at bars and restaurants. Also, the growing social and dining-out culture, especially in pubs, bars, and restaurants, supports draught beer consumption. Innovations in kegging and distribution technology have improved beer freshness and expanded draught beer availability. Also, the popularity of beer festivals and events also boosts the demand for draught beer in different regions.

Key Market Drivers

Growing Consumption of Beer

The growing consumption of beer is a significant driving force behind the draught beer market. As beer remains one of the most consumed alcoholic beverages worldwide, consumers increasingly prefer fresh, on-tap beer for its superior taste and quality. According to a recent study, as of 2022, global beer consumption was around 192.1 million kiloliters, up 2.9% from the year before and 1.0% from 2019, indicating a trend of recovery after the COVID-19 pandemic. This is almost the same as packing the Tokyo Dome 155 times over. The rise in craft beer culture, with an emphasis on locally brewed and unique flavors, has driven a surge in draught beer sales, as these are often best enjoyed fresh from the tap. Also, the expanding social culture of dining out, particularly in pubs, bars, and restaurants, has fostered greater demand for draught beer.

Expansion of Commercial Sectors

The expansion of the commercial sector is a major driver of the draught beer market. As the global hospitality industry grows, particularly in restaurants, pubs, bars, and hotels, the demand for draught beer has increased. As a part of this, as of 2024, Heineken UK declared that it would spend USD 49 million renovating and reopening bars in its Star Pubs portfolio. These establishments prefer draught beer for its superior taste, freshness, and appeal to customers seeking a premium drinking experience. The rise of social and communal dining trends, along with the growing preference for craft and locally brewed beers, has further fuelled the demand for draught options. Also, the growth of international beer chains and the expansion of beer-focused events and festivals have contributed to the market's expansion. With more venues offering diverse draught beer selections, the commercial sector’s expansion is helping drive increased consumption and availability of fresh, high-quality beer.

Rising Popularity of Craft Beer

 The rise of craft beer breweries has significantly impacted the draught beer market, driving demand for unique and locally brewed beers. As consumers seek more distinct and artisanal beer options, craft breweries have responded by producing a diverse range of flavors, styles, and innovative brews that are often best enjoyed on tap. Many craft beers are served exclusively in bars and restaurants, making draught beer the primary method of distribution. This has led to a growing preference for fresh, high-quality, and locally sourced beers, with consumers becoming more knowledgeable about beer ingredients and brewing methods. Also, the craft beer movement emphasizes community engagement and a connection between breweries and consumers, further enhancing the appeal of locally brewed draught beers. As craft breweries continue to flourish, their presence in the draught beer market strengthens consumer demand for unique tap options.

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Key Market Challenges

 Supply Chain Issues

Supply chain issues pose a significant challenge to the draught beer market. Ensuring the freshness and quality of draught beer during transportation can be complex, as it requires proper refrigeration and timely delivery. Any disruption in the supply chain, such as delays or inadequate storage conditions, can result in subpar beer quality, which affects consumer satisfaction. Also, the need for specialized equipment like kegs, taps, and refrigeration systems increases logistical complexity. The rising demand for craft beers and local brews further complicates distribution, as small-scale breweries may lack the infrastructure to reach larger markets efficiently. With global supply chain disruptions, including material shortages and transportation delays, breweries and bars face difficulties in maintaining a consistent supply of fresh draught beer, ultimately impacting sales and consumer experience.

Increased Competition from Bottled & Canned Beer

Increased competition from bottled and canned beers is a significant challenge for the draught beer market. Bottled and canned beers offer greater convenience, as they have a longer shelf life and are easier to store and transport. This makes them a popular choice for consumers who prefer to drink at home or on-the-go. Also, bottled and canned beers are more widely available in retail outlets, while draught beer is primarily consumed in bars, restaurants, and pubs, limiting its reach. The growing preference for convenience and portability, combined with advances in packaging technology that preserve beer quality, has led many consumers to opt for bottled and canned options. As a result, the draught beer market faces intense competition from these alternatives, especially in an era of increased home consumption and delivery services.

Key Market Trends

Growing Demand for Home Delivery Services

The growing demand for home delivery services is significantly influencing the draught beer market. As consumers increasingly prioritize convenience, many are seeking ways to enjoy fresh, high-quality beer without leaving their homes. This has led to a rise in companies offering home delivery of draught beer, including subscription-based models and services from local breweries. As a part of this, as of January 2024, from 2023 to 2027, revenue from online meal delivery services is anticipated to increase at a rate of around 13% annually, reaching a market value of US$1.65 trillion by that time. Home draft systems, which allow consumers to have fresh beer on tap at home, are gaining popularity, further fuelling this trend. Delivery services ensure that kegs, which typically require proper handling and temperature control, are transported efficiently and safely. This trend also benefits from the increasing use of digital platforms for easy ordering. With the rise of e-commerce and delivery technologies, consumers now have access to a wide variety of draught beer options, making it more accessible than ever to enjoy pub-quality beer at home.

Rising Popularity of Sustainable & Eco-Friendly Practices

The rising popularity of sustainable and eco-friendly practices is significantly shaping trends in the draught beer market. As consumers become more environmentally conscious, breweries and bars are adopting greener practices, influencing both production and consumption. Breweries are reducing their carbon footprint by using energy-efficient brewing techniques, recycling water, and sourcing ingredients sustainably. In terms of packaging, reusable kegs and environmentally friendly containers are becoming more common, replacing single-use bottles and cans.

Advancement in Taprooms

Technology in taprooms is revolutionizing the draught beer experience, making it more engaging and convenient for customers. Self-pour systems, where consumers can serve themselves directly from taps, are gaining popularity. These systems allow customers to pour their own beer, offering greater control over portion sizes and providing a more interactive experience. With integrated technology, customers can easily track their consumption and pay per ounce, enhancing both convenience and personalization. Also, interactive digital menus provide detailed information about each beer, such as flavor profiles, ABV (alcohol by volume), and brewing details, helping customers make informed choices. Some taprooms even utilize digital screens displaying live events or beer recommendations, adding to the overall atmosphere.

Segmental Insights

End User Insights

Commercial dominated the global Draught Beer market driven by the widespread consumption as well as the expansion of draught beer in pubs, bars, restaurants, and hotels. As a part of this, as of October 2021, Ru-Bar-Ru, a restaurant-bar located in Noida, has revealed ambitions to expand. Saurabh Agarwal, the company's creator, hopes to open at least five or six locations nationwide, beginning in Delhi. These establishments are the primary distribution channels for draught beer, as they provide consumers with a fresh and high-quality beer experience that is difficult to replicate with bottled or canned alternatives.

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Regional Insights

North America dominated the global Draught Beer market, driven by a strong beer culture, widespread availability of craft beers, and a growing preference for high-quality, fresh beer. The region's well-established pub and restaurant scene, alongside the increasing popularity of local and craft breweries, contributes significantly to the demand for draught beer. Also, consumers are increasingly seeking unique and diverse beer styles, often served on tap at bars and taprooms. The rise of home draft systems and online beer delivery services also supports the growth of the draught beer market, further solidifying North America market leadership.

Recent Developments

• In November 2024, Perfect Draft collaborated with AB InBev brand Stella Artois and international football player David Beckham to celebrate the draught (or draft) beer experience at home. "Pub Quality Beer At Home" was made in collaboration with production company Anonymous Content and features a spot starring Beckham that demonstrates how the pub experience can be recreated with PerfectDraft.
• In November 2023, Heineken launched draught beer to the Indian market for the first time with the goal of giving customers a high-end, smooth-tasting beverage that is ideal for social gatherings. This is a historic moment for Heineken, as it launches its draught beer to the Indian market, with the goal of providing consumers with a high-quality, smooth beverage suitable for social occasions.
• In September 2023, Perlick partenered with Draught Guard, which will combine their industry-leading beer systems with cutting-edge beer line cleaning technology to assist bar and brewery owners and operators save time and enhance revenues. Draught Guard's one-of-a-kind technology for cleaning beer lines extends needed cleaning cycles from two weeks to 12 weeks, allowing owners and operators to reduce beer loss and save an average of USD 8,000 per year on beer and cleaning expenditures.
• In April 2023, Oi Brewing Company, a Pune-based draught beer company that sells its product under the brand name Oi, is expanding into the café industry, with the first location set to open in the city's upscale Kalyani Nagar neighbourhood by October. The domestic draught beer market is still in its early stages and is centered in major cities such as Bengaluru, which has over 50 players, Delhi-NCR, Pune, and Mumbai, all of which are run by small businesses.

Key Market Players

• Heineken N.V.
• Carlsberg Group
• Diageo Plc
• Asahi Group Holdings Ltd
• Kanteen India Equipments Co
• Constellation Brands, Inc.
• Sierra Nevada Brewing Co
• Anheuser-Busch Inbev
• Kirin Holdings Company, Limited
• Morris Group

Report Scope:

In this report, the Global Draught Beer Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

•   Draught Beer Market, By Type:

o   Keg Beer

o   Cask Beer

• Draught Beer Market, By Production:

o   Macro Breweries

o   Micro-Breweries

• Draught Beer Market, By End User:

o   Residential

o   Commercial

• Draught Beer Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Asia-Pacific

§  China

§  Japan

§  India

§  Australia

§  South Korea

§  Indonesia

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   South America

§  Argentina

§  Colombia

§  Brazil

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

§  Turkey

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global Draught Beer Market.

Available Customizations:

Global Draught Beer Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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