5.5.2Segment

Beverage Manufacturing

Manufacturers of alcoholic beverages, soft drinks, coffee, tea, juices, and functional beverages.

4
Verticals

Overview

Beverage Manufacturing covers soft drinks, bottled water, breweries, wineries, distilleries, coffee and tea, and beverage concentrates. At ~$151B it is consolidated around beverage giants (Coca-Cola, PepsiCo, Keurig Dr Pepper, AB InBev, Molson Coors) yet has a large, vibrant fragmented tail of craft brewers, distillers, and emerging functional-beverage brands.

Demand is shifting away from carbonated soft drinks toward water, energy, functional, ready-to-drink, and premium alcohol, while craft beer has matured and hard seltzer/RTD cocktails have surged. It is capital-intensive in production and distribution, and a hotbed of brand-led innovation and acquisition.

Market snapshot

Market size
~$151B
Growth
~2.6%CAGR (2017–22, nominal)
Companies
~13,500
FragmentationConsolidated

U.S. Census Bureau 2022 CBP/Economic Census, NAICS 312111/312112/312113 (soft drink/water/ice) + 312120/312130/312140 (beer/wine/spirits) + 311920 (coffee & tea) + 311930 (concentrates).

Business model & economics

Revenue model
Branded beverage shipments through DSD and distribution
Recurring revenue
High — recurring beverage demand
EBITDA margin
Strong for branded; thin for commodity
Capex intensity
High
  • Giants lead; craft and functional tail vibrant.
  • Shift to water, energy, functional, and premium alcohol.
  • Brand-led innovation and acquisition hotbed.

M&A deal context

High deal activity

Who’s acquiring

Beverage majorsCraft & functional-brand acquirersPE- and VC-backed beverage platforms

What’s driving deals

  • Acquisition of high-growth functional brands.
  • Premium alcohol and RTD growth.
  • Portfolio shift from carbonated soft drinks.

Verticals in this segment

  • 5.5.2.1Alcoholic Beverage Manufacturing

    Breweries, wineries, distilleries, and RTD alcohol producers.

  • 5.5.2.2Coffee & Tea Manufacturing

    Producers of roasted coffee, instant coffee, and packaged tea products.

  • 5.5.2.3Juice & Functional Beverage Mfg

    Producers of juices, energy drinks, and functional beverages.

  • 5.5.2.4Soft Drink & Water Manufacturing

    Producers of carbonated sodas and bottled water products.

Find Beverage Manufacturing acquisition targets

Search Acquisera’s index for companies classified under Beverage Manufacturing (5.5.2) and build a targeted deal pipeline.

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