In a period of severe turmoil, beverage alcohol has shown to be one of the most crisis-proof consumer goods categories. Despite increasing inflation, people throughout the world have become accustomed to the reintroduction of on-trade alcoholic beverage sales.
So, we quickly try to understand a little more as to what is driving the AlcoBev industry ahead:
As new consumers enter the market, segment diversification and the rise of specialist status categories – such as agave-based spirits, Irish whiskey, US whiskey, and Japanese whisky – will become a major disruptor to the present worldwide status spirits environment.
Ecommerce has evolved into a smart and nuanced channel, with digital interaction becoming an essential component of the consumer journey. As ecommerce and on-premise develop in strength, long-term structural changes to the off-trade B&M will provide a significantly different beverage alcohol industry picture in the years ahead.
Less Alcohol More Sales
Consumers are becoming increasingly aware of the presence of alcohol-free and low-alcohol products as they become more accepted as a cultural and societal standard. Channels dedicated only to delivering alcohol-free beverages to legal-age consumers are also on the rise, with a slew of new ecommerce sites, shops, and bars joining the market. A distinction between how and when customers choose no-products vs low-products is becoming increasingly obvious.
Ready To Drink
Ready-to-drink items on the market are more likely to be premium-and-above than proportions consumed in the last years, showing a movement toward premiumisation. This is a big deviation for RTD innovation so far, with the biggest chunk of the global RTD category currently sitting within in the standard-and-below pricing categories.
As the AlcoBev industry enters the second quarter of 2022, we would be keeping a close eye on the evolving industry and the ever changing consumer profile and their behavior towards the new and existing brands in the industry.