Non-alcoholic Beverage Manufacturing On The Rise Globally

Non-alcoholic beverage manufacturers are finding their niche in the brewing world. With 5% market growth for low and

Non-alcoholic beverage manufacturers are finding their niche in the brewing world. With 5% market growth for low and non-alcoholic beer brewers recorded during 2015, things are looking up for suds without the buzz.

Granted these brews don’t typically appear at your local brewpub, but wholesalers and retailers are picking up these brands to serve a population that respects the flavor but doesn’t want a more holistic approach to their consumption habits. Because alcohol is associated with a myriad of health risks, global consumption of traditional beer has dropped over the last few years.

A picture of several vats in a brewery.

Craft Brewers Are Increasingly Looking At Alcohol-Free Beer As An Additional Revenue Source.

Even major breweries are jumping on the bandwagon, with both AB InBev and Corona calculating that by 2025 their production of non-alcoholic beers will make up 20% of overall production. Heineken has reported the alcohol-free market has grown by 9% YoY. Spanish and German counterparts reporting that the market in their regions reveal much the same, with a respective 33% and 23% of the populations affirming they go alcohol-free on occasion.

Big Benefits Of Alcohol-Free Brews

Beyond the health benefits that many consumers swear by, alcohol-free beverage manufacturers are realizing that they generate big revenues from one simple perk: No Sin taxes. Because non-alcoholic beverages don’t contain any alcohol, they aren’t subject the taxes associated with alcoholic beverages. On average these brewers generate 1.5x the revenue when compared to their counterparts at scale.

Beyond monetary incentives, the same draw that craft brew has had on a global audience applies just as aptly to non-alcoholic beverages. Hops and natural ingredients offer an extensive palate through which drinkers can experience the possibilities of alcohol-free drinks.

Systems Supporting Brewers

In terms of process, the brewing of alcohol-free beer is very similar to brews with booze. Ingredients, cook times, sterilization, storage, bottling, distribution, and order fulfillment are all part of the equation. Just about every item a brewery looks at can be applied to both, except that pesky Sin Tax. A robust solution to ensure that these breweries have less to worry about on the back-end will ensure they are able to control the quality of their product on the front-end. With tailor-made solutions for just such enterprises, ERP software is increasingly becoming a staple of the brewing process.

About Encompass Solutions

Encompass Solutions, Inc. is an ERP consulting firm that offers professional services in business consulting, project management, and software implementation. Whether undertaking full-scale implementation, integration and renovation of existing systems or addressing the emerging challenges in corporate and operational growth, Encompass provides a specialized approach to every client’s needs. As experts in identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.

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