The global cannabis beverages market size is expected to reach USD 2.8 billion by 2025, expanding at a CAGR of 17.8% during the forecast period, according to a new report by Grand View Research, Inc. The market is highly fragmented in nature, owing to the presence of several small and medium scale companies. The majority of the companies are based in Canada, owing to the legalization of marijuana for medical and recreational purposes in the country. The rise in legalization of marijuana in order to eradicate the black market and to boost the tax revenue from legal sales of marijuana products is anticipated to positively influence the growth.
The rising popularity of wellness drinks is also expected to support the demand over the forecast period. The legalization of cannabis for medical and recreational purposes has had a strong impact on the sales of alcoholic drinks. As a result, many alcohol manufacturers are investing in the growing trend of marijuana-infused drinks. For instance, Lagunitas, Heineken's fast-growing California beer label, launched Hi-Fi Hops, which is a cannabis-based beverage with zero calories or carbs and is infused with Cannabidiol (CBD) and Tetrahydrocannabinol (THC). In 2017, Constellation Brands, the third-largest beer manufacturer in the U.S., entered into a partnership with Canopy Growth - the world’s largest marijuana grower, to develop cannabis-infused beverages.
Consumers are shifting their preference from soft drinks to wellness drinks leading to the increasing sale of cannabis beverages. Low sugar content in drinks is the major driving factor for the growth of the market. Also, consumers prefer these beverages as an alternative to cannabis smoking and consumption of marijuana-infused chocolates, cookies, brownies, and confectionaries like gummies and candies. Off-trade sales channels such as hotels, cafes, restaurants, clubs, and lounges are expected to boost the popularity of the product among consumers.
Browse Details of Report @ https://www.grandviewresearch.com/industry-analysis/cannabis-beverages-market
Europe is estimated to witness strong growth over the forecast period, owing to a rise in cannabis consumers in the region. As per the Cannabis Trade Association, the number of CBD users in the U.K. increased from 125,000 in 2016 to 250,000 in 2017. Also, the companies operating in the region are launching products to keep up with the growing trend of wellness drinks. For instance, Manchester-based CBD Ultra and Cloud 9 Brewing have launched U.K.’s first CBD Session IPA beer brewed with Cannabis Sativa extract.
Cannabis Beverages Market Report Highlights
· By type, the non-alcoholic segment was the largest and fastest-growing segment in 2018 and is expected to continue leading the market over the forecasted period, majorly driven by rising product demand from newcomers and female consumers
· CBC infused cannabis beverages is estimated to be the fastest-growing segment over the forecast period, owing to the non-psychoactive property of CBD
· In Europe, the Netherlands holds the largest market share owing to the presence of cafes and restaurants dedicated to cannabis consumption, and the increasing trend of cannabis tourism in the country
· Some of the key players operating in the global market include New Age Beverages Corporation; The Alkaline Water Company; Phivida Holdings Inc.; Koios Beverage Corporation.; VCC Brand; Dixie Brands Inc.; Keef Brand; Hexo Corp; Aphria; and Canopy Growth
Cannabis Beverages Market Segmentation
Grand View Research has segmented the global cannabis beverages market report on the basis of type, component, and region:
Cannabis Beverages Type Outlook (Revenue, USD Million, 2015 - 2025)
· Alcoholic
· Non-Alcoholic