Assessing the potential opportunities and challenges in the US Vodka Market
(PRUnderground) December 8th, 2023
The United States Vodka Market is anticipated to witness substantial growth, with an estimated increase of USD 5.28 billion from 2023 to 2028, according to Technavio’s analysis. The market is projected to experience a Compound Annual Growth Rate (CAGR) of 4.45% during the forecast period, driven by the escalating presence of private-label brands. In the U.S., retailers are strategically focusing on private-label vodkas, capitalizing on the surging demand for flavored vodkas and vodka-based cocktails, especially among millennials. This approach, involving the offering of various vodka types under their own brands, is augmenting profitability and consequently propelling the expansion of the U.S. vodka market. Retailers, particularly in grocery stores, perceive private label products as lucrative due to profit margins that are 10%-15% higher compared to national and global brands. These private-label vodkas are either exclusively produced for a specific retailer or by a third-party manufacturer for a particular brand. Major grocery retailers such as Walmart Inc. and Costco Wholesale Corp. have entered the market with their own vodka brands, indicating the growing influence of private labels in the U.S. Consequently, the increasing prevalence of private-label vodkas is poised to drive significant market growth in the forecast period. To gain deeper insights into the historic (2018 to 2022) and forecast market size (2024 to 2028), request a sample report.
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U.S. Vodka Market – Segmentation Overview Technavio has segmented the market based on price (premium and value), distribution channel (on-trade and off-trade), product (unflavored and flavored), and geography (North America). A considerable increase in market share is expected in the premium segment during the forecast period in the U.S. vodka market. This segment encompasses vodkas priced above USD 25, including premium, high-end premium, and super-premium vodkas in 2023. The segment’s growth will be primarily fueled by consumers’ increasing belief that premium vodka offerings are crafted from superior quality ingredients compared to value vodkas. Gain insights into the market contribution of various segments, including country and region-wise, historic (2018 to 2022), and forecast market size (2024 to 2028) – Download a Sample Report.
U.S. Vodka Market – Dynamics Key trends influencing the market include urbanization and social engagement in the U.S. Vodka Market. The surge in urban living and social interactions, particularly among young adults, has led to a rise in vodka consumption in recent years. The ready-to-drink (RTD) beverage segment has witnessed rapid growth, driven by consumer demand for convenient, diverse, and high-quality beverage options. Notably, ready-to-drink vodka has significantly expanded, capturing nearly 46% of the category by 2023. To strengthen brand identity, establish distinct market segments, and enhance profit margins, companies are under continuous pressure to innovate by introducing novel products or services. For details on market challenges, request a sample report.
Key Data Covered in the U.S. Vodka Market Report: • CAGR of the market during the forecast period. • Detailed information on factors driving the growth of the U.S. Vodka Market between 2024 and 2028. • Precise estimation of the size of the U.S. Vodka Market and its contribution to the market, focusing on the parent market. • Accurate predictions about upcoming trends and changes in consumer behavior. • Growth of the U.S. Vodka Market industry across APAC, Europe, North America, South America, and the Middle East and Africa. • A comprehensive analysis of the market’s competitive landscape and detailed information about vendors. • Thorough analysis of factors challenging the growth of U.S. Vodka Market vendors.
Vodka Market: The Global Vodka Market size is projected to increase by 422.1 million L, exhibiting a CAGR of 2.49% between 2022 and 2027. In 2017 the size of the market was valued at 3,042.17 million L.
Craft Vodka Market: The craft vodka market is estimated to grow at a CAGR of 6.05% between 2022 and 2027. The size of the market is forecast to increase by USD 760.09 million.
- Executive Summary
- Market Landscape
- Market Sizing
- Historic Market Size
- Five Forces Analysis
- Market Segmentation by Price
- Market Segmentation by Distribution Channel
- Market Segmentation by Product
- Customer Landscape
- Geographic Landscape
- Drivers, Challenges, and Trends
- Company Landscape
- Company Analysis
About Technavio Research
Technavio is a leading global technology research and advisory company. Their research and analysis focus on emerging market trends and provide actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions. With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.
Original Press Release.