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India’s love for a ‘stronger kick’ reshapes beer preferences The preference for strong beer is becoming more pronounced in the premium segment, with consumers favouring stronger brews over milder ones. Industry experts maintain that since the price difference between mild and strong is marginal, consumers are looking for a better value proposition of strong beer, providing more kick than mild beer for almost the same price. Earlier, Indian beer drinkers leaned heavily towards traditional lagers, mild and strong. Four decades ago, there was only mild beer, with a few brands dominating the market. Newer companies then challenged this through their stronger offerings. Since the price difference between a mild and strong was, and isn’t big, consumers settled for a better value proposition a strong beer offers — better kick than mild for the same or slightly more price,” Diwakaran Suryanarayana, COO of SOM Distilleries and Breweries Ltd, noted. Indian consumers’ beer preferences differ significantly from global trends due to cultural, climatic, and economic factors, he added. While lighter beers like lagers and pilsners dominate international markets, Indian consumers have traditionally leaned towards traditional lager beers with an ABV of over 5 per cent and up to 8 per cent. In the country, beer is consumed during social gatherings and celebrations, whereas globally, it is commonly enjoyed casually or as a mealtime drink. Suryanarayana said Indian palates prefer full-bodied flavours complementing the country’s spicy cuisine, in contrast to global markets where diverse beer styles like IPAs, stouts, and wheat beers are popular for their unique flavours. According to Ken Research, by FY18, strong beer was dominating the Indian beer market. It is estimated that lager beer, with an alcohol content of over 5 per cent, is generally preferred the most, followed by Wheat beer, Stout & Porters, Ale, Sahiti, and others. Strong beers account for almost 80 per cent of beer sales in India, another research by Niir Project Consultancy Services (NPCS) showed. In its modern-day avatar, beer has evolved and discovered new audience segments in its wake. It is currently seen in a favourable light by casual drinkers, women, and in some cases, older consumers. Globally, beer is integrated into daily social and dining experiences, with widespread acceptance across social strata. However, due to the regulations, beer is relatively more expensive in India, even compared to spirit counterparts, which makes its price accessibility difficult compared to spirits. According to an Industry Report on Indian Alco-Beverage Market by Allied Blenders & Distillers (ABD), the Indian beer market is projected to reach over 480 million cases by FY28, with a CAGR of 8 per cent between FY23 and FY28. The market size is projected to reach ₹98,000 crore by FY28, with a CAGR of 14.4 per cent during the same period.
