NA Alcoholic Drinks Packaging Market Size

North America Alcoholic Drinks Packaging Market Analysis

The North America Alcoholic Drinks Packaging Market is expected to grow at a CAGR of 5.5% during the forecast period (2021-2026). The packaging of alcoholic beverages plays a significant role in the brand promotion of alcohol. The alcoholic beverage industry highlights the innovations, including enhanced branding and unconventional packaging formats, such as paper wine bottles, whiskey pouches, etc.

• According to Krones AG, alcoholic beverage consumption reached 244 billion liters in 2020, making it the second most consumed packed beverage type in the world. The United States alcoholic beverage market is expected to be the largest alcohol market worldwide, with a projected market value of about 387.6 billion USD by 2027, according to Jefferies Group LLC. Canada ranked 10th with a market value projected at around USD 48.17 billion, amounting to one-eight of the United States alcohol market.
• Due to COVID-19, overall consumption of alcoholic beverages didn't change much: beer and wine sales rose, whereas hard liquor sales declined. Demand for budget and mid-priced spirits increased, while demand for high-end super-premium and ultra-premium spirits decreased. As consumers limit interactions and spend more time at home, there have been huge spikes in demand for wholesale wine and beer. Consumers are also spending more per bottle than before the pandemic.
• Changes in shopping and drinking patterns during the pandemic have led to a shift towards large packaging formats, such as bag-in-a-box, and small packaging formats, such as cans. Bag-in-box wine sales are booming along with canned wine in the United States. While the expansion of the bag-in-box format is largely seen as a temporary trend driven by lockdown shopping habits and consumers' desire to stock up, but canned wine has long-term appeal.
• Manufacturers of canned wine and beer witnessed a huge demand for aluminum can packaging, and this is due to new formats such as cans gaining wider acceptance in recent years. This trend has been increasingly driven by a significant cultural shift, as consumers, with millennials particularly standing out as keen adopters of different wine formats that offer convenience.
• A prominent whisky brand Johnnie Walker announced that it would release a limited edition of Johnnie Walker whisky using bottles made of paper rather than glass. To create the bottle, Diageo, the parent company of Johnnie Walker, partnered with venture management company Pilot Lite to launch Pulpex Limited, a new sustainable packaging technology company. According to Diageo, it is the world's first plastic-free paper-based spirit bottle. The paper will be supplied from sustainably-sourced wood pulp, and the whisky will be launched by the end of 2021. This must be seen as a significant effort made by any alcohol brand towards sustainable packaging.