Hard Seltzer - Azerbaijan

The Hard Seltzer market in Azerbaijan is experiencing significant growth and development, driven by changing consumer preferences and a growing demand for low-alcohol and healthier beverage options.

Customer preferences: In recent years, there has been a shift in consumer preferences towards healthier and low-alcohol beverages. Consumers are becoming more conscious about their health and are actively seeking out products that align with their wellness goals. Hard Seltzers, with their low-calorie and low-sugar content, have gained popularity among health-conscious consumers who are looking for a refreshing and guilt-free alcoholic beverage option.

Trends in the market: The Hard Seltzer market in Azerbaijan is witnessing a surge in product offerings and brand competition. Local and international beverage companies are introducing a wide range of Hard Seltzer flavors to cater to the diverse tastes and preferences of consumers. This variety of flavors, ranging from citrus and berry to tropical fruits, is attracting a broader consumer base and driving the market growth. Another significant trend in the market is the increasing availability of Hard Seltzers in different retail channels. Initially, Hard Seltzers were primarily available in bars and restaurants. However, with the growing demand, these beverages are now being stocked in supermarkets, convenience stores, and online platforms. This increased accessibility has made it easier for consumers to purchase Hard Seltzers and has contributed to the market's expansion.

Local special circumstances: Azerbaijan, being a predominantly Muslim country, has cultural and religious factors that influence the alcoholic beverage market. However, the low-alcohol content and light nature of Hard Seltzers make them more socially acceptable in this context. This has allowed Hard Seltzers to gain traction among consumers who want to enjoy an alcoholic beverage without the associated stigma or excessive alcohol content.

Underlying macroeconomic factors: The overall economic development in Azerbaijan has also played a role in the growth of the Hard Seltzer market. As the country's economy continues to grow, disposable incomes are increasing, and consumers have more purchasing power. This has led to a rise in discretionary spending on premium and innovative products, including Hard Seltzers. Furthermore, the influence of global trends and the increasing exposure to international markets have contributed to the development of the Hard Seltzer market in Azerbaijan. As consumers travel abroad and experience different beverage options, they bring back their preferences and demand for similar products in the local market. This has created an opportunity for international brands to enter the Azerbaijani market and introduce their Hard Seltzer offerings. In conclusion, the Hard Seltzer market in Azerbaijan is witnessing significant growth and development due to changing consumer preferences, the introduction of new flavors, increased availability, cultural acceptance, and favorable macroeconomic factors. As consumers continue to prioritize health and wellness, the demand for low-alcohol and healthier beverage options like Hard Seltzers is expected to continue to rise in Azerbaijan.

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.