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MARKET OUTLOOK

As per Triton’s estimates, the Mexican alcoholic ready-to-drinks (RTDs) market is anticipated to register progress at a CAGR of 3.20% in revenue and 2.29% in volume over the forecasting years between 2021 and 2026. 

Despite economic slowdown owing to the COVID-19 outbreak, the alcoholic drinks industry is expected to recover significantly due to a larger, cost-effective, and less disrupted retail channel. As per estimates, off-trade sales are anticipated to witness volume sales growth. Steadier performances from alcoholic drinks are set to stabilize from 2022 as the unemployment rate lowers and disposable incomes increase. Additionally, over the forecast period, small formats of spirits are anticipated to gain traction among consumers as they are considered affordable options than well-positioned brands. Furthermore, larger and returnable formats are expected to make gains in the beer category as they offer attractive value. 

As bars and restaurants slowly reopen, beer sales in on-trade are projected to grow at a steady pace. The mid-priced lagers segment will offer opportunities as the currency exchange rate is estimated to become favorable. In this regard, since the Mexican peso is appreciating against the US dollar, several brands such as Tecate, Modelo, and Victoria are expected to witness growth in terms of price-competitiveness than domestic beers. Hence, all these factors supplement the overall development of the Mexican alcoholic ready-to-drinks market. 

COMPETITIVE OUTLOOK

The key firms competing in the alcoholic ready-to-drinks market include E and J Gallo Winery Inc, Brown Forman Corp, and Diageo Plc.