Spotting an unmet need, brands have set out to use THC and CBD to create an effect akin to a similarly-packaged alcoholic counterpart.
The idea is to offer a ‘buzz’ that’s comparable to alcohol – without the hangover the next day – and to ride consumer intrigue in both alcohol-free drinks and cannabis beverages.
How does dosage work?
Los Angeles’ Pamos Beverage Co. offers a variety of THC and CBD dosages: ranging from a micro-dosed spirit (2mg) to options for those looking for something stronger.
“The industry often mentions 2mg THC to 3mg THC as comparable to a glass of wine or a light beer,” explains David Mukpo, CEO & Co-Founder of Pamos.
“Pamos is available in three different low dosages – 2mg, 5mg, and 10mg of THC per serving.”
“Our drinks are formulated to mimic the experience of alcohol in many ways – from the flavor profiles and ingredients to the fast-acting THC infusion. The buzz from Pamos is akin to a glass of wine: it is light, bubbly, and social.”
Cannabis consumer products company Curaleaf is behind Zero Proof Hemp Seltzers, a line of hemp-derived THC products. It launched the drink in a 5mg THC can last summer, and has added in a 2.5mg THC seltzer this year in response to consumer feedback (the seltzer is designed as ‘the ideal alcohol alternative for adults at sporting events, concerts or social gatherings’).
The low-calorie, carbonated alcohol alternative also thinks about how fast consumers will feel an effect from the drink.
“Our drink is formulated to be fast-acting, with effects felt in as little as 15 minutes, which is more akin to the timeline of an alcoholic beverage as opposed to traditional edible cannabis products,” explained Barnaby Hawken, SVP, Curaleaf Hemp. “The seltzers are intended to give users a bubbly wave of social euphoria which makes it the perfect companion for sporting events, concerts, social gatherings, and more.”
However, he warns that predicting an exact effect is not that easy – as with alcohol, different people respond differently.
“It’s difficult to provide a direct comparison to alcohol. Everyone’s reaction to THC is unique to them. We recommend starting with lower dose options to identify your desired effect. One major difference is that Select Zero Proof Hemp Seltzers do not leave consumers with a hangover, unlike alcohol.”
Relax...
Meanwhile, for those who turn to alcohol to relax and unwind, CBD is a more appropriate option. UK CBD brand Goodrays is focusing on this non-psychoactive component.
CBD does not make you ‘high’, but it does have mood-altering effects.
“CBD can help to regulate stress and anxiety and so the most common experience is one of calm, clarity and relaxation,” explained Victoria Kudawoo, Retail and Data Management lead, Goodrays. A dose of 30mg CBD has been chosen “to help you unwind with none of the negative effects associated with alcohol and all of the enjoyment of a great tasting, adult drink.”
Expansion and challenges
The alcohol-free beverage category and cannabis beverage category have a certain number of similarities.
The biggest mission for today’s alcohol-free category is to educate consumers on the availability and quality of products in the category, and move them away from pre-existing poor experiences of the category.
The biggest mission for today’s cannabis beverage category is very similar: encouraging consumers to try a drink that they would previously have discounted as illicit.
In cannabis beverages, regulations are a complex challenge. This issue is not the same for alcohol-free beverages: although there are signs that marketing and advertising regulations could become more strict in the future, these are very different to those for cannabis.
“The consumer demand for THC beverages as an alcohol alternative is clearly here,” said Mukpo of Pamos. “Pamos Spirit (750ml) is outselling non-alcoholic spirits (750ml) in many large-format alcohol retailers.
“But the biggest challenge for THC beverages to carve out a space in the category comes down to education. Education of regulators, distributors, retailers, and consumers. One of our largest line items of investment going into 2025 is education across these audiences.”
More high-quality products will help address some of the challenges, says Barnaby Hawken, SVP, Curaleaf Hemp.
“The hemp-derived THC market reached nearly $2.8 billion in 2023 and is only growing. Consumer feedback shows that there is a valid business growth opportunity, but that more reliable, quality products are needed. Much of the hemp-derived marketplace is unregulated, leaving consumers vulnerable to potentially unsafe products. We hold our Select Zero Proof Hemp Seltzers to the same principals of quality as our regulated cannabis products. We stand out in a noisy marketplace by instilling industry-leading safety protocols as well as strict manufacturing and testing standards. We have the experience and resources to build wide distribution networks that makes adult access to our products discreet and convenient. Currently, consumers can find our products online and in select brick-and-mortar retail locations.”
And for Goodrays, the alcohol-free category is not so much one that presents challenges but one that’s presented itself as an unexpected opportunity.
“CBD as a category has been growing for nearly two decades, and it has clearly ramped up in the last few years since major players such as ourselves have entered the scene,” said Richard Pilbeam, Head of Marketing, Goodrays says.
“Although we initially didn’t pitch ourselves to retailers in the alcohol-free space, our assimilation into this category has happened organically and has been largely driven by our consumer insight which shows we are being used as a replacement for alcohol. As a result, we are starting to build a community within the ‘nolo’ space as more and more people start to realize the multitude of benefits that CBD has to offer.”
