Spirited’s Take on 2022 Drinks Trends @IWSR
At Spirited, we are obsessed with drinks trends and have built the consultancy on providing young drinks businesses with strategic advice to help them stand out from the crowd. This interesting article from @IWSR, has got us thinking and we share our views on Global Trends in Drinks in the below.
Owing to economic uncertainty, we are seeing a new emergence of ‘non-traditional’ luxury categories - Agave-based spirits are seeing spikes in interest, alongside Irish, US & Japanese whiskey.
The rise of moderation - as health and well-being is becoming increasingly a priority for consumers, we are witnessing an unprecedented rise in no and low-alcohol brands. Allowing consumers to ‘mix-and-match’ throughout the evening, broadly lowering their alcohol consumption and trying new no and low-alcohol brands - the question here is, how can these brands gain a loyal consumer base?
E-commerce - DTC (direct to consumer) is +41% in 16 key markets and is here to stay. Brands can experience huge benefits from developing and investing in their DTC sales channel - owning your consumer data, increased margins, and learning about your consumer are all major benefits of focussing attention in this area.
Increased consumption at home and the rise of the ‘Home Bartender’ - Lockdown encouraged consumers to experiment with cocktails at home and this is affecting on-trade sales. Brands need strategies to capitalise on the rise of entertaining at home, as well as ensure that their brands are fit for purpose in the on-trade.
RTD’s - fast becoming the ‘go-to’ for impulse purchases - as well as one-serve, perfect pour-ready drink is a high growth area with brands working hard to reduce sugar, improve supply chain and ingredients, as well as develop their brand stories for increased consumer engagement.
New technologies are enabling producers to launch alcohol-free products that offer mood-enhancing or functional benefits with ingredients such as CBD, nootropics, and adaptogens as more consumers are drinking with purpose.
Diversification as category lines blur - the proportion of people who have tried new products has significantly increased in the UK. Brands are responding with a diversified portfolio of products. IWSR research shows a wide repertoire of product trials, with consumers showing strong interest in trying craft beer, hard seltzers, wine, and Japanese whisky.
Sustainable practices - we are seeing an increased number of consumers looking for local drinks products, sustainable packaging as well as sustainable business practices - research from IWSR shows that 48% of US alcohol drinkers say their purchase decisions are positively influenced by a company’s sustainability or environmental initiatives.
If you are struggling with brand positioning and a route-to-market strategy to launch or grow your drinks business quickly, we would love to hear from you.