Instead the opportunity for premix cocktails and RTDs lies in recruiting new consumers especially those who are moderate drinkers who are motivated by flavour and occasions.
The category is also being shaped by evolving consumer routines, wellness considerations, and changing preferences.
What are the top trends?
Consumers
According to Innova’s alcoholic trends research, only one in 10 consumers regularly reach for a pre-mixed cocktail. As a result, brands increasingly focusing on low-risk, single-serve formats to encourage trial.
Millennials and women are slightly more likely to consume RTD cocktails, but conversion rates are uniformly low across all consumers.
This creates an opportunity for flavoured alcoholic beverage brands to recruit first time drinkers across the board. The category’s role is also evolving in response to consumers’ changing routines, wellness priorities and taste preferences
The report noted that making trial easy and low risk closes the gap and helps to open the category to a wider range of consumers.
Expanding occasions
Just over half (52%) of global consumers said they typically drink alcoholic beverages in the evening. However according to Innova there is still “ample room” to expand occasions, particularly during the afternoon.
Flavoured alcoholic beverages can address different needs than other alcoholic offerings such as beer, wines and spirit. Innova suggests that these drinks are are better suited to mood and occaions rather than established routines associated with other alcohol categories. Lower alcohol formats and lighter profiles can also make an earlier serve consumption more appeaking.
Among consumers that have decreased their consumption of premixed cocktails, 32% attributed their choice to taking control of their alcohol intake. As a result low- and no-alcohol options keep the moderate drinker interested in the category.
Brands can also expand occasions by tailoring to solo occasions. Innova suggested that portion-controlled, single-serve formats already fit solo drinking occasions. Linking these products to habitual solo activities or integrating them into everyday routines could drive growth and increase consumption frequency.
Flavour trends driving innovation
No single flavour dominates the category, but citrus, berry and tropical flavours account for the majority of those preferred by consumers globally, according to Innova.
Flavour is the leading preference for consumers when purchasing a premix cocktail, but brands should balance both ‘recognition and novelty’.
At the same time, 29% of consumers are more likely to try new flavours in alcohol, meaning brands should compete on range, not just one hero flavour.
For future innovation, Innova recommends building a core portfolio built around classics to encourage trial while introducing seasonal offerings alongside these can keep lineups interesting.
Looking ahead the report suggests that a combination of bold and familiar flavours will continue to resonate with consumers.
Growth in the category is being driven by “overlapping motivations”, with a wider range of formats and flavour experiences helping brands appeal to different needs and occasions.
Limited edition complex botanicals and hybrid profiles will emerge alongside trusted classics, such as citrus.
Meanwhile, texture and process innovations will elevate the RTD cocktail experience for consumers, according to the report. It also highlighted nitrogen-infused, frozen, and jelly formats that can offer unique sensory experiences.
Functionality
Beverages are leading innovation in the wellness space and this can also influence new product development in global, flavoured alcoholic beverages.
By combining both convenience and functionality, products such as spiked prebiotic sodas or light alcoholic beverages with probiotics or anti-inflammatory ginger can deliver on multiple fronts, including digestive wellness.
Pairing these benefits with enjoyable taste or simply offering low to no alcoholic versions of these functional drinks can help brands target a wider base and become a more integrated part of consumer routines, Innova said.
