What you need to know
The FIFA World Cup and UK heatwave has provided some light relief to the UK beer market, boosting value and volume sales to £18.5 billion and 4.4 billion litres respectively in 2018. Lager in particular has benefitted, being the most associated with refreshment, and has continued to dominate the beer market.
The popularity of craft beer is still apparent, with leading brand, BrewDog, experiencing phenomenal growth while the major supermarkets and M&S have continued to expand their range to cater to consumers wishing to explore craft varieties.
Meanwhile, consumers’ ongoing attempts to lead healthier lifestyles have continued to fuel the low/no-alcohol beer trend, with 24% of beer drinkers/buyers drinking more low-/no-alcohol beer.
The overall market is expected to see value growth of 24% over the five years to 2023 to reach £22.8 billion. A mature market, volume growth is expected to be much lower, at 5.7% to reach 4.6 billion litres by 2023.
Products covered in this Report
This Report looks at the UK (United Kingdom) market for beer sold in both the on-trade, ie out-of-home outlets such as pubs, restaurants and clubs where the drink is consumed on the premises, and the off-trade market, eg supermarkets, online, off-licences and convenience stores.
The beer market is divided into three main segments:
Lager can broadly be described as a light/amber, clear, carbonated beer brewed with pale-kilned malts which, after fermentation, is filtered, pasteurised and conditioned before being packaged in cans, bottles or kegs for sale. Spirit- and fruit-flavoured beers are also included within lager in this Report.
Ale refers to top-fermented beers including bitter and mild, pale, export and brown ales, barley wine and strong ales, as well as Indian and American pale ales, among others. These beers are so-called because the yeast floats to the surface during fermentation, as opposed to lagers, which are bottom-fermented. Barley wine is simply a beer with a very high ABV (alcohol by volume).
Cask ales are pulled by hand pump and oxidised in an aerobic environment once opened, which demands quick throughput to maintain optimum condition and means they are served from a cask without additional carbon dioxide or nitrogen pressure. Cask ales go through a process of ‘secondary fermentation’ while being stored in pubs, meaning that each barrel often has a unique taste. They are sometimes referred to by consumers and/or the trade as ‘real ale’. However, the definition of real ale also includes ales which are bottle conditioned.
Alcoholic ginger beer and bitter are also included within ales in this Report.
Stout is a derivative of porter, originally an18th century brown mild ale. Stout is a black, dense beer, which is usually top-fermented, and made with dark roasted barley and an abundance of hops, which provide the characteristic flavour. Porter – a dark style of beer made from brown malt – is included within the definition of stout.
