Market Overview
The global
non-alcoholic beverages market is expected to be
valued at USD 1,115.9 billion in 2024 and is anticipated to reach
USD 2,172.9 billion by 2033 at a
CAGR of 7.7%.
Non-alcoholic beverages are beverages or drinks that contain no alcohol and are enjoyed for reasons like refreshment, hydration, taste enjoyment, & health considerations. It includes a wide variety of non-alcoholic products including soft drinks, juices, bottled water, coffee & tea.
They are well-known beverages for individuals who do not consume alcohol or are looking for non-intoxicating options. Companies in this industry are involved in the production and sales of drinking products not containing alcohol.
This industry expands from carbonated drinks, & bottled water, to coffee & tea, to juices and other products. There is a growing demand for healthier alternatives to sugary drinks, leading to higher consumption of beverages like bottled sparkling water, flavored water, fruit juices, herbal teas, and plant-based milk substitutes. Also, the increase in the demand for RTD beverages has driven innovation in packaging & flavor variety, contributing to the overall growth of the non-alcoholic beverage market.
The U.S. Non-Alcoholic Beverage Market
The U.S. Non-Alcoholic Beverage Market is anticipated to be valued at USD 263.7 billion in 2024 and is further expected to reach USD 491.6 billion by 2033, at a CAGR of 7.2 %.
Non-alcoholic beverages market in US is growing due to a rising consumer preference for healthy drinks over alcoholic options like wine and beer, increasing popularity of refreshing beverages, and ongoing innovations in non-alcoholic products. Also, there is an increasing demand for functional beverages that promote relaxation and mental wellness.
Non-Alcoholic beverage market in the U.S. is experiencing significant diversification and trends due to consumers' shift towards healthier alternatives, driving innovation and growth. These beverages cater to consumers seeking specific health benefits, such as enhanced immunity or improved cognitive function.
Key Takeaways
- Market Growth: The global almond oil market is projected to expand by USD 980.1 billion by 2033 from 2025, with a CAGR of 7.7 % during this period.
- Market Definition: A non-alcoholic beverage is a drink that does not contain alcohol typically consumed for refreshment or enjoyment.
- Product Analysis: The carbonated soft drink sector attained the highest revenue share of 30.2% based on the product in 2024.
- Packaging Analysis: The bottles segment as the application is anticipated to lead the market with the largest market share in 2024.
- Distribution Channels Analysis: Hypermarkets & Supermarkets are expected to dominate the market based on distribution channels with a high revenue share of 33.2% in 2024.
- Regional Analysis: Asia Pacific is anticipated to dominate the non-alcoholic beverage Market with a high revenue share of 36.2% by the end of 2024.
Use Cases
- Health-conscious consumer: Non-alcoholic drinks are used to cater to health-conscious consumers seeking to avoid the adverse effects of alcohol as they offer a variety of flavors and health benefits, such as antioxidants, vitamins, and low-calorie options.
- Social Events and Gatherings: These beverages are perfect for social events where not all attendees consume alcohol as they include different types of mocktails, non-alcoholic beers, and sparkling waters ensuring inclusivity and allowing everyone to participate in the celebration.
- Fitness and Sports Enthusiasts: Athletes and fitness experts use non-alcoholic beverages to stay hydrated and replenish nutrients post-workout.
- Family-Friendly Activities: These are frequently used in family-friendly function gatherings where children and teenagers are present.
Market Dynamic
Drivers
Emerging Trends in Flavors, Formulas, and PackagingMarket dynamics are influenced by continuous developments in flavors, formulas, and packaging as companies launch a range of products to cater to changing consumer demands. Consumers are becoming health conscious and willing to try versatile healthy beverages that do not contain alcohol, leading to the growth of this market. Consumer decisions for purchasing drinks are heavily influenced by social media, bloggers, and relatives and friends and family due to increased health issues.
Health Concerns Boost Sugar-Free Product Demand
Sugar-free category products are gaining popularity over other products due to the rise in health concerns. The marketplace is predicted to extend in the upcoming time due to the introduction of low-calorie drinks like flavored juices, sodas, & and hydrating drinks.
Restraints
Impact of Health Concerns on Beverage
Demand for traditional sugary drinks has decreased due to growing awareness of the health risks of sugar consumption, & it is difficult for the industry to adjust to demand for increasingly potent alternatives. These beverages contain artificial sweeteners which can cause heart disease & cancer while caffeine content in drinks increases irritability, anxiety, & sleeplessness. These factors have declined the growth of the non-alcoholic beverages market.
Opportunities
Rising Demand for Functional and Health-Conscious Beverages
The non-alcoholic beverage market holds promising growth opportunities, which are fueled by evolving consumer preferences & lifestyle changes. The growing demand for healthier drink options leads to create functional beverages enriched with vitamins, minerals, & botanical extracts. Brands such as OLIPOP & Recess are leveraging this trend by introducing innovative drinks that support gut health and relaxation.
Trends
Expanding Opportunities in Non-Alcoholic Beverages
The non-alcoholic beverage sector offers extensive prospects for diversification and creativity, which allows companies to set them in a competitive environment. A prime example is the rise of premium non-alcoholic cocktails, known as mocktails, which have introduced a new dimension of sophistication & innovation to the beverage market.
Research Scope and Analysis
By Product
The carbonated soft drink sector attained the highest revenue share of 30.2% in 2024. They dominate this segment as they are known for their foaming and variety of flavors, making them suitable for a wide range of consumers. The availability of different package sizes also contributes to their popularity, making them the preferred choice for customers searching to satisfy their thirst. There is a growing trend toward healthier beverage options as customers value their health even more.
Bottled water fits in nicely with current health and wellness trends because it is considered a sugar-free hydrating option. Even though, carbonated drinks and bottled water are currently the largest revenue-generating segment, tea, & coffee have indicated rapid growth. In the upcoming years, there is potential for significant market expansion in the functional beverage industry.
The growing attention and understanding of health and wellbeing are credited with this expansion. There is a growing demand for beverages that offer both functional benefits and refreshments due to consumers' growing health consciousness. They contain added nutrients, vitamins, minerals, or other compounds that expand to fulfill consumers' health & lifestyle preferences, driving the growth of this segment.
By Packaging
The non-alcoholic beverage market is segmented into bottles, cans, cartons, and other packaging. Bottles are the largest market share by 2024, as these offer distinctive & durable products ranging from traditional glass to plastic bottles. It is popular for its ability to dispense the ingredients in beverages that are innovative, as well as come in a variety of shapes and sizes, to facilitate storage.
These are normally available in the form of PET & glass which are preferred for their portability, durability, and ability to preserve freshness and offer convenience for on-the-go consumption. Further, increasing demand for recyclable & eco-friendly materials in bottle manufacturing contributes to sustainability efforts. Innovations like lightweight and design improvements also attract environmentally conscious consumers.
Furthermore, cans are often frequently used for their convenience and ease of storage to protect beverages from light and oxygen, maintaining freshness and taste integrity. The younger generation and urban consumers are prioritizing convenience and sustainability, which drives the growth of this segment.
Further, cartons are also becoming a popular packaging option due to their sustainable effect on the environment. They are made of paperboard plastic or aluminum, which offer a lightweight & environmentally friendly option. Other segments include pouches and Tetra Packs which provide unique benefits such as portability, space efficiency, and shelf stability without refrigeration.
By Distribution channel
Supermarkets & hypermarkets are expected to dominate the non-alcoholic beverages market in 2024 with a revenue share of 33.2% and are anticipated to grow even more, as the availability of various brands & goods in one place makes them easily consumed during their shopping experience. Several supermarkets are opting for more alcohol-free products as they target a large audience of various ages. These stores are attractive to both regular shoppers and impulse buyers, making them ideal for popular brands and new product launches alike.
These distribution channels are preferred as consumers increasingly prioritize convenience and one-stop shopping experiences. Foodservice is another distribution channel that includes restaurants, cafes, bars, & other dining establishments where non-alcoholic beverages are served alongside meals. It offers different consumer preferences and occasions, ranging from casual dining to fine dining experiences which feature specialty drinks, mocktails, and healthy options to cater to evolving consumer tastes.
After Food services, specialty stores are getting popular due to their quality, unique flavors, and health-conscious options. These stores offer personalized customer services and knowledgeable staff further improving the shopping experience, making specialty stores a preferred destination for discerning consumers looking for specialty and premium non-alcoholic beverages.
Global Non-alcoholic Beverages Market Report is segmented based on the following
By Product
- Carbonated Soft Drinks
- Bottled Water
- Tea & Coffee
- Functional Beverages
- Juices
- Others
By Packaging
- Bottles
- Cans
- Cartons
- Others
By Distribution Channel
- Supermarkets & Hypermarkets
- Food Services
- Specialty stores
- Online retail
- Others
Regional Analysis
Asia Pacific is expected to dominate the non-alcoholic beverage market with the largest market
share of 36.2% in 2024 and is anticipated to grow even further during the forecasted period. Demand for non-alcoholic options is growing as developing economies like China, India, & Malaysia, are emerging as the biggest consumer of this market. Key players from this region are expanding their operations and distribution as a result of various government initiatives to boost the manufacturing and production sector by offering tax cuts.
Another factor for the growth of the region is its high population.
China dominated the market share of Asia-Pacific as many Chinese consumers are choosing non-alcoholic beverages over traditional sugary and alcoholic drinks for their perceived health benefits. After Asia-Pacific, the North American region is expected to grow at a significant rate, as it is home to many global beverage manufacturing, as well as the increase in demand for tea, coffee & sports drinks.
Europe
- Germany
- The U.K.
- France
- Italy
- Russia
- Spain
- Benelux
- Nordic
- Rest of Europe
Asia-Pacific
- China
- Japan
- South Korea
- India
- ANZ
- ASEAN
- Rest of Asia-Pacific
Latin America
- Brazil
- Mexico
- Argentina
- Colombia
- Rest of Latin America
Middle East & Africa
- Saudi Arabia
- UAE
- South Africa
- Israel
- Egypt
- Rest of MEA
Competitive Landscape
Key market players are investing in research and development to expand their products, which will help them to grow even more. The industry must include cost-effective items to expand in a more competitive climate. Players in the non-alcoholic beverage market are focusing more on offering organic, gluten-free, sugar-free products with new flavors to fulfill the changing consumer's requirements.
For instance, Coca-Cola Euro Pacific partners launched two sparkling juices to its Honest Organic Lemonade range. The product manufactured from organic fruits does not contain artificial sweeteners. Some of the key players are Nestlé, PepsiCo, Keurig Dr. Pepper Inc., The Coca-Cola Company, and others.
Some of the prominent players in the Global Non-alcoholic Beverages Market are
- Nestlé
- PepsiCo
- Unilever
- Keurig Dr. Pepper Inc.
- The Coca-Cola Company
- Jones Soda Co.
- Danone S.A
- Suntory Beverage & Food Ltd
- Asahi Group Holdings, Ltd.
- Red Bull
- Others
Recent Development
- In September 2023, Red Bull introduced its first-ever limited-edition Red Bull Winter Edition Spiced Pear in the UK, offering sizes including 250ml, 250ml PMP (Price Marked Pack), and 355ml Sugarfree varieties.
- In July 2022, PepsiCo opened its largest bottling plant in the United States, situated in Colorado which is designed to operate with 100% renewable electricity, optimize water efficiency, and significantly reduce the use of virgin plastic.
- In February 2022, Nestlé launched a new plant-based version of Milo in Thailand which is soy-based and combines Milo’s distinctive malt flavor to offer a nutritious plant-based alternative.
- In February 2022, Jones Soda Co. partnered with The ICEE Company, a leading provider of dispensed frozen beverage treats, to introduce new flavors to the market.
Report Details
| Report Characteristics |
| Market Size (2024) |
USD 1,115.9 Bn |
| Forecast Value (2033) |
USD 2,172.9 Bn |
| CAGR (2024-2033) |
7.7% |
| Historical Data |
2018 – 2023 |
| Forecast Data |
2024 – 2033 |
| Base Year |
2023 |
| Estimate Year |
2024 |
| Report Coverage |
Market Revenue Estimation, Market Dynamics, Competitive Landscape, Growth Factors and etc. |
| Segments Covered |
By Product (Carbonated Soft Drinks, Bottled Water, Tea and coffee, Functional Beverages, Juices, Others), By Packaging (Bottles, Cans, Cartons, Others), By Distribution Channel (Supermarkets & Hypermarkets, Food Services, Specialty stores, Online retail, and Others) |
| Regional Coverage |
North America – The US and Canada; Europe – Germany, The UK, France, Russia, Spain, Italy, Benelux, Nordic, & Rest of Europe; Asia- Pacific– China, Japan, South Korea, India, ANZ, ASEAN, Rest of APAC; Latin America – Brazil, Mexico, Argentina, Colombia, Rest of Latin America; Middle East & Africa – Saudi Arabia, UAE, South Africa, Turkey, Egypt, Israel, & Rest of MEA
|
| Prominent Players |
Nestlé, PepsiCo, Unilever, Keurig Dr. Pepper Inc., The Coca-Cola Company, Jones Soda Co., Danone S.A, Suntory Beverage & Food Ltd, Asahi Group Holdings, Ltd., Red Bull and Other Key Players |
| Purchase Options |
We have three licenses to opt for: Single User License (Limited to 1 user), Multi-User License (Up to 5 Users), and Corporate Use License (Unlimited User) along with free report customization equivalent to 0 analyst working days, 3 analysts working days and 5 analysts working days respectively. |
Frequently Asked Questions
The Global non-alcoholic beverages industry market, valued at USD 1,115.9 billion in 2024, is anticipated to grow to USD 2,185.5 billion by 2033 with a CAGR of 7.7%.
Asia Pacific region accounted for the largest market share of 36.2% in 2024.
Nestlé, PepsiCo, Unilever, Keurig Dr. Pepper Inc., The Coca-Cola Company.
The market is growing at a CAGR of 7.7 percent over the forecasted period.