New Delhi – The beer industry is witnessing a major shift as more young consumers, particularly Gen Z and millennials, embrace low and zero-alcohol beers. With a growing focus on health and responsible drinking, these beverages are becoming increasingly popular in metros and big cities.
Though still a small segment, the demand for non-alcoholic and low-alcohol beers is steadily rising. Industry experts predict that this trend will shape the future of the beer market, with more brands investing in innovation to meet consumer preferences.
A Growing Market
According to the International Wine and Spirits Record (IWSR), the global movement toward moderation is picking up pace, with no-alcohol beers seeing significant traction. In India, while the numbers are currently modest, the category is expanding at a strong rate.
Vinod Giri, Director General of the Brewers Association of India, noted, “Consumers want the taste of beer without the effects of alcohol. This demand is driving companies to invest in technology to replicate the authentic beer experience without the alcohol content.”
Key Players in the Market
Major beer brands are already tapping into this trend. Some of the prominent players in India’s no-alcohol and low-alcohol beer segment include:
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Budweiser 0.0
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Bavaria
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Heineken 0.0
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Coolberg
Vikram Bahl, Chief Marketing Officer at United Breweries, which produces Heineken and Kingfisher, stated, “The non-alcoholic beer segment is still small in India but growing. While this trend is more pronounced globally, we see strong potential and will continue to expand our offerings, including Heineken 0.0.”
Premium Beers and Flavored Options on the Rise
The broader beer market in India is also evolving, with premium beer brands growing at twice the rate of regular beer sales. Additionally, flavored beers are becoming increasingly popular among younger consumers.
The Indian beer industry saw a 6.5% growth in volume and a 7.4% increase in value in 2024, driven by premiumization and evolving consumer tastes. Industry analysts expect the global alcohol market to begin recovering in 2025, further boosting growth opportunities for innovative beer products.
As the trend towards mindful drinking continues, low and zero-alcohol beers are set to carve a more significant place in the Indian market, offering consumers a refreshing and responsible way to enjoy their favorite beverage.
