Low and no-alcoholic drinks revolution: Could it be a short-lived trend or beverage future?
It was in 2021 when we reported on how more South African millennials are opting for zero and low-alcohol alternatives.
The movement gave birth to a vast array of innovative drinks, ranging from alcohol-free beers and mocktails to botanical spirits and alcohol-free wines.
Commenting on the trend, the director at Brew Kombucha, Alex Glenday, noted that the so-called “sober curious” movement was gathering pace in the beverage sector as more individuals opted to lower their alcohol intake or remove it altogether.
“With increased interest in living healthier lifestyles, especially amid a global pandemic, millennial and Gen Z South Africans are looking for no, or low-alcohol alternatives that will hit the spot, without the usual side effects,” said Glenday.
“The premise of mindful drinking is that you actively think about why and how much alcohol you consume – whether it is out of habit, due to social pressure, because you enjoy the taste, or are actively trying to lose your inhibitions.
“ The intended result is not always to stop drinking alcohol completely, but to have a healthier relationship with it,” she added.
Adding on to the above, the global chief executive of Bacardi, Mahesh Madhavan said that in the previous few years, they have seen consumers making choices about what they drink.
Madhavan said they were witnessing a sober curious mindset, especially among the younger generations, the millennials, and Generation Z.
“They are thinking about what they do with their money, how they spend their time, and what goes into their bodies. You see them spending a lot of time looking after themselves.
“Perhaps unlike our generation, I don’t think we exercise as they do today. As part of that, we are seeing them drinking less, and drinking more premium brands,” he said.
However, new research has emerged that the landscape is shifting. Leading insights expert at MMR Research Andrew Wardlaw, who has an intriguing perspective on the future of the no- and low-alcohol drinks market, weighs in on the subject.
In his recent think piece titled “Saving ‘no & low’ alcohol from stagnation”, Wardlaw said: “If we look at meat alternatives, we see another sector that is been built on the art of mimicry, and despite massive gains in product performance, we know that many ‘mainstreamers’ who initially bought out of curiosity are not coming back because of the sensory gap.
“If there is one thing that we have learned over the last few years, it is that the vast bulk of consumers do not want to compromise – not even to save the planet.”
He said his concern is that a significant number of no and low buyers will have simply been on a curiosity trip and are only likely to dip back in when they are the nominated driver – which is not going to sustain growth for much longer.
“Data from the Integrated Weapons System Review (IWSR) has previously shown that most no and low drinkers also drink alcohol and switch to zero products to manage overall alcohol consumption.
“Most surveys indicate that around half the population wants to moderate their consumption of alcohol.
“But with zero propositions finding their way into only 5% of households, it is clear that moderation does not equal abstention for the overwhelming majority,” added Wardlaw.
He emphasised some of the following key points to underscore his concerns:
Lack of continuous innovation
Wardlaw highlighted the potential stagnation within the no and low category, suggesting that the industry may be failing to evolve and meet changing consumer preferences. To ensure success, he urged industry players to continually innovate and provide exciting options that align with evolving tastes.
Taste and quality concerns
He also warned that compromising on flavour and overall enjoyment could undermine the long-term viability of the no and low category.
“To create a more inclusive category for the future, I believe it is time for manufacturers to innovate at the lower end of ABV – ideally between 1.2% ABV to 2.8% ABV. Right now, this area is practically invisible, and yet our sensory evaluations consistently show that a little alcohol can successfully eradicate the sensory gap.
“A very low alcohol wine is vastly superior to 0%, for example,” said Wardlaw.
Whilst the sudden stagnation of no and low is not inevitable, he believes that it is wise for beverage companies to expand their thinking.
“The category must innovate in new directions to capture a greater proportion of these self-proclaimed moderators and tap into increasing desire for functional beverages,” concluded Wardlaw.
In an interview with drink expert, Peter Good, he said the low ABV is more than just a passing trend.
“Low ABV cocktails have been on the rise for years. They are here to stay, thanks to a rise in conscious consumers, innovative suppliers, and knowledgeable bartenders. A good quality cocktail does not have to be overly boozy. Suppliers have also come to the game with several low to no-ABV products,” said Good.
Could the low and non-alcoholic drinks revolution be a short-lived trend or beverage future? I guess only the future will tell.
You can read the latest Food digimag here.