Showing posts with label Non Alcohol. Show all posts
Showing posts with label Non Alcohol. Show all posts

Thursday, June 1, 2023

Does Alcohol Make Adults Act Like Kids

 


It just might be the case that Gen Z and Millennials are not as different as their parents.  Take of instance the new trend in adult beverage flavors. Much like their parents both Gen Z and Millennials are looking back to their childhood favorite flavors and rekindling them in alcohol and nonalcoholic beverages.

Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions® stated, “My job is simply fun. Reading, learning, and sharing information on consumers food twist and turns runs the gamut from unbelievable to the most logical twist and or evolution within a retail channel or branded product line.”     

Today our team is sharing some new research and analysis from Datassential; who found that Sunny D, Lucky Charms and chocolate Easter bunnies are all providing inspiration for adult beverages in the 2023 spring and summer seasons. Oh yeah this is some of the fun.  


Now according to Datassential's recent webinar, "2023 Adult Beverage Trends."  Beverage retailers are looking to tap into millennial and older Gen Z nostalgia, beverage companies are seeking to provide a familiar experience reminiscent of childhood but suitable for adult tastes. Here is a report of the webinar:

“Hosts Colleen McClellan, vice president of customer experience; Kyle Chamberlin, associate director of customer experience; and Kelly Dykhuizen, senior director of customer experience, covered a wide range of alcoholic beverages and cocktails with a focus on recapturing the feel of childhood experiences with something appropriate for a grown-up palate. 

Simultaneously, an uptick on nonalcoholic offerings shows how the changing patterns in drinking behavior, especially among the youngest legal cohort, is causing traditional brewers and winemakers to expand their offerings to nondrinkers.

Both trends can be seen in home sales and restaurant offerings. For instance, the Chocolate Club in London introduced a booze-filled chocolate bunny for Easter while The City Tap in Boston created a Lucky Charms martini, a pistachio-based drink garnished with the breakfast cereal staple. For the at-home market, Sunny D entered into the hard seltzer space with a vodka-infused 12-ounce can.


Adult Nonalcoholic Options

In the meantime, according to Chamberlin, the nonalcoholic beer space has seen an uptick in activity after years of flat or even declining growth. But changes in drinking preferences after the pandemic seem to have sparked a resurgence.

"Consumers are … seeing high ABV as an efficient way to drink," Chamberlin said. "If they're going to spend up for craft, they want it to get the bang for their buck out of the ABV. And I think increasingly, we're seeing a kind of bifurcation where people are going for no alcohol at all … or they're going all the way up to the eight, nine [or] 10 percent imperial IPAs."

McClellan pointed out that while brewing companies have long worked in the nonalcoholic space, it's only more recently that wines and spirits have started to more actively produce low or no-ABV offerings at capacity. This includes some surprisingly traditional brands and companies, such as Veuve du Verne from France and Starla.

In the meantime, companies like Mixoloshe offer nonalcoholic cocktail options, like blueberry gin and tonics, or nonalcoholic mixers and bases, such as the no-ABV limoncello from Paulini.


Wine & Cocktails

Which isn't to say that the adult beverage industry has decided to teetotal for the entire spring and summer seasons. Fruit-based and botanical offerings are being or have been launched for customers interested in lighter flavors in warmer weather. Chamberlin pointed to brands like Seagram's Escapes, which brought in flavors like leche to tap into a younger market while also elevating what malt beverages can offer.

To add to that trend, McClellan noted that many wines have returned to marketing themselves with terms like "fruity" or "crisp." She attributes these product trends to consumers themselves becoming more adventurous in their palates or simply not having the same negative connotations with certain types of drinks.

"Seventy-two percent of consumers are interested in a fruit wine, like blackberry wine," she said. "Our drinkers today are young enough and new enough to the category that they don't have [a] preconceived notion of what wine needs to be or the romance of bottle opening."

Are you looking for a new partnership to drive sales? Are you ready for some fresh ideations? Do your food marketing tactics look more like yesterday than tomorrow?  Visit GrocerantGuru.com for more information or contact: Steve@FoodserviceSolutions.us Remember success does leave clues and we just may have the clue you need to propel your continued success.





Friday, December 9, 2022

Non-Alcohol Beverages are Hot, Hot, Hot

 


Who moved the Beer?  Consumers are dynamic not static and all food retailers need to look a customer ahead or risk losing relevance with the next generation of consumers according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®.

I bet that many of you did not know that recent research finds people willing to pay more for CBD-infused, mood-boosting drinks, than they are for yesterday’s beer. 

So, new research from consumer insights platform Veylinx suggests that abstinence events like "Dry January" are more than just a social media fad. More than three-quarters of Americans say they've temporarily given up alcohol for at least a month in the past. Almost half (46%) of drinkers are trying to reduce their alcohol consumption right now, and 52% of them are replacing alcohol with non-alcoholic beverages. Consumers identified improving their physical health and mental wellbeing as the main reasons for drinking less.

Veylinx found that more than half of consumers are trying to drink less alcohol and 75% have stopped drinking alcohol for at least a month. Of those, people 52% are replacing alcohol with non-alcoholic beverages.

Using Veylinx's method of testing how much consumers are willing to pay for a product through a real bidding process, the study found that people who currently drink alcohol are willing to pay more for non-alcoholic canned cocktails than non-drinkers, and people who say they want to reduce their alcohol consumption indeed show stronger demand for non-alcoholic cocktails.


Anouar El Haji, CEO of Veylinx, stated, "Driven by younger consumers, the non-alcoholic beer, wine and cocktails category is surging in popularity. People trying to cut down their drinking are finding more and more alternatives on retail shelves and in bars and restaurants," …. "Our research found that they're willing to pay premium prices for non-alcoholic versions of ready-to-drink cocktails. The rise of the 'sober curious' movement gives brands countless opportunities for growth in this segment."

Veylinx, which uses behavioral research to measure consumer purchasing habits, tested the fast-growing non-alcoholic canned cocktails market to learn who is buying these drinks and why. The study also measured demand for versions enhanced with functional benefits like mood boosters, detoxifiers and CBD.

So, overall, people who currently drink alcohol are actually willing to pay more for non-alcoholic canned cocktails than non-drinkers. And people who say they want to reduce their alcohol consumption do indeed show stronger demand for non-alcoholic cocktails.


 For these consumers, demand for non-alcoholic canned cocktails is 13% higher than demand for the version containing alcohol.

·         At premium price points, the disparity between consumers who are trying to drink less and the general population is even more pronounced: demand from these consumers for non-alcoholic canned cocktails is 71% higher at $20 for a four-pack.

CBD, Mood Boosters, and Other Variations
Among the canned non-alcoholic cocktails tested, CBD and mood boost versions perform best, while natural detox and zero-calorie variations lag behind. Adding CBD to a $12 four-pack of non-alcoholic canned cocktails increases demand by 13%, and adding natural mood boosters increases demand by 9%. For men, the CBD-enhanced version is the most popular, driving 16% more demand than a standard non-alcoholic cocktail. The zero-calorie variation generates the most demand among women, outperforming the base version by 14%.

Younger Consumers Driving the Trend
Demographics and consumption habits impact demand: 21-35 year old’s, light drinkers and people who have previously given up alcohol for a month or more show the greatest demand. Younger consumers, in particular, are the most interested in all of the non-alcoholic concepts.

·         Demand for non-alcoholic canned cocktails is 48% higher among 21-35 year old’s than over 35s

·         Spiking the drinks with CBD boosts demand by 18% among 21-35 year old’s.

·         The mood boost version—blended with natural adaptogens and nootropics—drives the highest demand among over 35s, generating 29% greater demand than the standard non-alcoholic version.

·         Previous participants in Dry January show 65% greater purchase interest than those who haven't previously taken part.


Taste, Price and a Chance to Try Are Keys to Adoption
The ability to try before purchase and better taste are the key ways to attract more consumers to the category. Consumers said that their main reasons for not purchasing non-alcoholic drinks are flavor, price, and because they have never tried them before. Aligning with this, added health benefits, ability to try before buying, and better taste were cited as factors that would convince people to buy these drinks in the future. A fifth of consumers want to first try before committing to a purchase.

To download more detailed results from the Non-Alcoholic Canned Cocktail study or for more information about Veylinx, visit https://info.veylinx.com/non-alcoholic-cocktails.

About the research
Unlike typical surveys where consumers are simply asked about their preferences, Veylinx uses behavioral research to reveal how much consumers will pay for a product through a real bidding process. Consumers reveal their true willingness to pay by placing sealed bids on products and then answering follow-up questions about their reasons to buy or not to buy. The research was conducted in October 2022 among U.S. consumers ages 21 and over.

Foodservice Solutions® team is here to help you drive top line sales and bottom-line profits. Are you looking a customer ahead? Does your messaging look more like yesterday that tomorrow?  Visit GrocerantGuru.com for more information or contact: Steve@FoodserviceSolutions.us Remember success does leave clues and we just may the clue you need to propel your continued success.