Cider, Perry & Rice Wine - Canada

The Cider, Perry & Rice Wine market in Canada has been experiencing significant growth in recent years.

Customer preferences: Canadian consumers have shown a growing preference for alternative alcoholic beverages such as cider, perry, and rice wine. This shift in consumer preferences can be attributed to several factors. Firstly, there is a growing interest in exploring new and unique flavors, and these beverages offer a refreshing change from traditional options. Additionally, health-conscious consumers are drawn to the perceived health benefits of these beverages, as they are often made from natural ingredients and have lower alcohol content compared to other alcoholic beverages. Furthermore, the rise of craft and artisanal products has also contributed to the increased demand for cider, perry, and rice wine, as consumers are seeking out locally-produced and high-quality beverages.

Trends in the market: One of the key trends in the Canadian market for cider, perry, and rice wine is the proliferation of craft and artisanal brands. These smaller, independent producers are gaining popularity among consumers who value unique flavors and high-quality products. This trend is driven by the increasing demand for locally-produced beverages and the desire to support small businesses. As a result, the market is becoming more fragmented, with a wide variety of brands and flavors available to consumers. Another trend in the market is the introduction of innovative flavors and product variations. Manufacturers are constantly experimenting with different ingredients and production techniques to create new and exciting products. This trend is driven by the desire to cater to the evolving tastes and preferences of consumers. For example, there has been a rise in the popularity of flavored ciders, such as berry or citrus-infused varieties, as well as the introduction of sparkling and rosé ciders. These innovative products not only attract new consumers but also encourage existing consumers to try different flavors and brands.

Local special circumstances: Canada has a rich history of apple cultivation, which has contributed to the growth of the cider market. The country is known for its diverse range of apple varieties, and many cider producers take advantage of this by using locally-sourced apples to create unique and flavorful products. Additionally, Canada's climate is well-suited for apple cultivation, allowing for a reliable and abundant supply of apples year-round. This local advantage has helped to establish Canada as a prominent player in the cider market.

Underlying macroeconomic factors: The growth of the cider, perry, and rice wine market in Canada can also be attributed to broader macroeconomic factors. The country has experienced a strong economy in recent years, with increasing disposable income levels among consumers. This has led to a greater willingness to spend on premium and higher-priced products, including craft and artisanal beverages. Additionally, changing demographics, such as an aging population and a growing number of millennials, have also influenced the market. Older consumers are more likely to opt for lower-alcohol beverages, while millennials are known for their adventurous and experimental approach to consumption, making them more receptive to trying new and unique products like cider, perry, and rice wine.

Data coverage:
The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on alcoholic beverages, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:
The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level.