Cocktail Syrups Market (2021 - 2028) Size, Share & Trends Analysis Report By Product (Fruit, Herbs & Seasonings, Vanilla), By Flavor (Sweet, Salty, Sour, Mint), By Region, And Segment Forecasts

Report Overview

The global cocktail syrups market size to be valued at USD 5.99 billion by 2028 and is expected to grow at a compound annual growth rate (CAGR) of 4.7% during the forecast period. The growing party culture among the young generation and working-class population across the globe is a major factor contributing to the growth of the market. The COVID-19 pandemic has had an adverse impact on the market for cocktail syrups. The sudden and prolonged closure of non-essential businesses, such as pubs, bars, restaurants, and hotels, has been one of the major changes over the lockdown period. However, the household demand for the products soared during the lockdown. The growth of the at-home cocktail culture and convenience, quality, and diversity of cocktail syrups are the factors behind the upsurge in demand.

Innovation in cocktail syrups with an infusion of botanical and organic ingredients in vivid flavors is expected to provide new growth opportunities to the manufacturers in the coming years. Several companies have been using natural ingredients and reducing the use of artificial flavors and colors. The increasing number of health-conscious consumers is boosting the sales of syrups with natural ingredients, coloring agents, and additives.

Over the past few years, young customers and the working-class population are increasingly adopting cocktail beverages as per their preferred flavors. Customers are loving the flavored alcoholic beverages with their specific choices. In addition to this, the demand for new alcoholic beverages with low ABV ranging from 4%-7% and a wide flavor range is increasing among the younger population.

Innovation in cocktails, including the use of real fruit juices with no artificial sweeteners, is also driving the market demand. Cocktails offer a wide range of choices to consumers, in terms of both, innovative products and healthier options such as cocktails infused with ginger or lavender that are beneficial for one’s health. As a result, bartenders are focusing on innovating new cocktails using healthy ingredients. This will create growth opportunities for cocktail syrup producers.

Cocktail Syrups Market Trends

The key driver for the market growth is the increasing population, including youngsters as well as millennials, adopting party lifestyles. Cocktails are popular among youngsters owing to their availability in different types of flavors and their low alcohol content. Therefore, a changing lifestyle is anticipated to boost the market demand.

Moreover, a growing number of health-conscious people adopting healthy drinks has triggered the demand for premium cocktail syrups that contain low sugar, natural ingredients, and enhanced flavors. Furthermore, the availability of healthier and more creative products such as lavender- and ginger-infused cocktails is anticipated to increase the consumer base and the market demand.

An increasing number of teetotallers along with some religious restrictions are limiting the growth of the market. The majority of the population is not comfortable with alcoholic drinks with high concentrations, hence they tend to adopt low-alcoholic cocktail syrups. Opportunities due to advancements in syrup technology are likely to increase product demand.

Flavor Insights

Sweet flavored cocktail syrup held the largest share of more than 58.0% in 2020. Fruity and sweet cocktail syrups are quite popular among consumers in the U.S. as they perfectly balance the sourness or bitterness of hard spirits, like rum and whiskey. Consumers who are looking to experiment with hard liquor tend to favor these sweet cocktail syrups.

Such consumer trends are encouraging key players to launch new products in the U.S. market. For instance, in April 2019, Torani announced the launch of its new range of syrups under the brand name Puremade Syrups. The product is available in various fruit flavors, including peach and raspberry. Puremade Syrup is a perfect balance of sweetness and flavor, made with natural ingredients, without any preservatives, and is GMO-free.

The sour flavored cocktail syrup is expected to register the fastest CAGR of 5.2% from 2021 to 2028. Customers with a traditional preference for alcoholic drinks with a punch of modern flavors prefer sour flavored cocktail syrups. These market trends are anticipated to boost the demand for sour flavored cocktail syrups over the forecast period.

Product Insights

The fruit segment held the largest share of over 68.0% in 2020 and is expected to maintain its lead over the forecast period. Fruit-flavored syrups have been dominating the market due to their widespread application in cocktails. The growing consumer preference for products with high fruit content is pushing manufacturers to introduce syrups infused with natural ingredients.

Some of the most preferred fruit flavors in the market are pineapple, orange, peach, pomegranate, lime, and raspberry. Moreover, consumers’ willingness to try out different and unique fruit flavors is encouraging the manufacturers to develop duo-fruit syrups such as lime-ginger, lime-mint, and raspberry-mint, which offer a blend of sour, sweet, and bitter tastes.

The herbs and seasonings segment is projected to register the fastest CAGR of 5.3% from 2021 to 2028. Over the past few years, herb- and seasoning-infused cocktail syrups are gaining traction among consumers. Herbs blend well with spirits like vodka, whiskey, and tequila. Basil, lavender, rosemary cinnamon, cardamom, ginger, mint, dill, and lemon verbena are among the popular herb flavors for cocktails.

Regional Insights

North America held the largest share of more than 30.0% in 2020. With an increasing number of younger consumers shifting their tastes and preferences from traditional alcoholic drinks to flavored alcoholic beverages, the market for cocktail syrups in the region is bound to grow.

According to the statistics by the American Nightlife Association, the bar and nightclub industry in America has been witnessing a decent year-on-year growth rate of 2.1%. The U.S. bar and nightclub industry was valued at USD 26 billion in 2018. This industrial growth, coupled with the increasing popularity of a variety of cocktails among young and millennial customers, is opening up new avenues for the market.

Asia Pacific is anticipated to register the fastest growth rate of 5.1% from 2021 to 2028 owing to the rising adoption of flavored alcoholic beverages among the young population of emerging countries, like India, China, Vietnam, Bangladesh, and Indonesia.

Key Companies & Market Share Insights

The market is slightly fragmented owing to the presence of a large number of regional and international players. The manufacturing companies are launching new flavored syrups as per the evolving tastebuds and changing preferences of consumers. In recent years, a growing number of consumers have been focusing on their health and wellness, above anything else, and this trend holds true when it comes to the consumption of food and beverages too. As a result, beverage companies have been introducing much healthier alternatives to traditional cocktail syrups.

Recent Development

• In May 2022, Kerry Group announced the opening of its most advanced and largest taste manufacturing facility in Africa. This facility is equipped to produce nutrition solutions that are sustainable and are widely consumed across Africa

Some prominent players in the global cocktail syrups market include:

• Kerry Group PLC

• Liber & Co.

• MONIN

• The Simple Syrup Co.

• ADM WILD Europe GmbH & Co. KG

• Bristol Syrup Company

• Döhler

• Toschi Vignola s.r.l.

• Giffard

Cocktail Syrups Market Report Scope

Global Cocktail Syrups Market Segmentation

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2016 to 2028. For the purpose of this study, Grand View Research has segmented the global cocktail syrups market report on the basis of product, flavor, and region:

• Product Outlook (Revenue, USD Million, 2016 - 2028)

  • Fruit

  • Herbs & Seasonings

  • Vanilla

  • Others

• Flavor Outlook (Revenue, USD Million, 2016 - 2028)

  • Sweet

  • Salty

  • Sour

  • Mint

• Regional Outlook (Revenue, USD Million, 2016 - 2028)

  • North America

    • U.S.

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • China

    • Japan

  • Central & South America

    • Brazil

  • Middle East & Africa