RTDs Projected to Hold 9% of US Alcohol Market by 2029
Despite a deceleration in growth, the ready-to-drink (RTD) segment is anticipated to capture a 9% share of the total beverage alcohol (TBA) market in the United States by 2029.
Global RTD Market Growth
According to IWSR's RTDs Strategic Study 2025, the RTD category achieved a 2% volume increase in 2024 across 10 major markets representing 82% of global volumes. These markets include Australia, Brazil, Canada, China, Germany, Japan, Mexico, South Africa, the UK, and the US.
The category's value grew by 4% last year. South Africa experienced a 12% surge in RTD volume, ascending to the third-largest market for RTDs among the 10 countries, previously positioned fifth. Brazil matched this 12% increase, while the US saw a 1% rise.
Market Shares and Regional Performance
- RTDs now account for 3.5% of TBA across these key markets, up from 1.1% in 2014.
- IWSR projects the RTD share of TBA in these markets will reach 4% by 2029, rising from 2% in 2019.
- In 2024, RTD market shares by country were particularly strong: 8% in the US, 8% in Canada, 9% in Australia, and 13% in Japan.
Growth Trends and Challenges
RTDs outperformed overall TBA growth in eight out of the ten markets. However, China and Australia reported declines, with volume down 14% and 6% respectively, attributed to ongoing structural reductions in their TBA sectors. The remaining markets exhibited growth, though at a slower pace than their 2019-2024 compound annual growth rate (CAGR) volume increases.
According to IWSR, China and Australia "are currently suffering structural TBA decreases."
Author's summary: RTDs are steadily increasing their footprint globally, poised to reach nearly 9% of the US alcohol market by 2029 despite some regional slowdowns.