Drinks

14 February 2023

The soft drinks and juice market alone in Malaysia is worth US$ 2.1 billion and is set to grow by over 5% a year through 2025. Big brands, such as Pepsi and Coca Cola, still dominate the soft drinks sector.
There is a growing demand, especially among urban consumers, for new and healthier options. Low-cost juices indigenous to Asia (e.g. tropical fruits) account for most sales in this product category. Interest in and willingness to pay for less common imported juices, such as those made from berries, is growing particularly among Malaysia’s young consumers and people in larger urban areas generally.
Malaysia’s alcohol sector will achieve a 7.87% CAGR through 2025 on top of existing revenues of US$ 1.78 billion. Rising incomes are pushing a shift away from basic beer options towards mid-market and premium options as well as higher ABV and stronger flavor offerings. Like much of Asia, cognac is the most popular spirit, but tipplers are taking up whiskey and much else in addition to increased interest in grape wines. This trend will accelerate as incomes continue to grow.

Key categories in the Malaysia beverages market : soft drinks, hot drinks, alcoholic drinks, and dairy & soy drinks & milk alternatives.
Key segments in the Malaysia soft drinks category : packaged water, bulk/HOD water, enhanced water, flavored water, carbonates, juice, nectars, still drinks, squash/syrups, iced/RTD tea drinks, iced/RTD coffee drinks, sports drinks, and energy drinks.
Key segments in the Malaysia hot drinks category : hot coffee, hot tea, and other hot drinks.
Key segments in the Malaysia alcoholic drinks category : beer, cider, flavored alcoholic beverages, fortified wine, brandy, gin & genever, liqueurs, non-alcoholic spirits drinks, rum, sorghum beer, sparkling wine, specialty spirits, still wine, tequila & mezcal, vodka, and whiskey.

Expected revenue in the Non-Alcoholic Drinks market in 2023: US$56.25 billion
Annual growth rate (CAGR 2023 – 2027) : 5.05%
Expected volume growth in 2024: 2.6%
Market volume of Coffee as the market largest segment : US$34.79 billion
Spending and 15% volume consumption in Hot Drinks market attributable by out-of- home consumption (eg: bars and restaurants) : 73%

*Source: statista.com

Source: statistica.com