2023 Britvic Soft Drinks Review Licensed - Flipbook - Page 24
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CATEGORY OVERVIEW
The moderation movement
As we’ve already seen, fewer adults are drinking alcohol.
According to the largest and most recent study of UK
drinking habits, carried out in 2019, 48% of people aged
over 16 report drinking alcohol at least once a week,
down from 52% in 2015. 30% of those aged 24 or under
drink weekly, making them the group least likely to do
so, versus 58% of people aged 55 to 74, the group most
likely to drink at least once a week.24
The alcohol moderation movement looks set to grow.
While in previous recessions demand for indulgent
products has grown as people try to divert themselves
from the pressures of the day, many expect the current
downturn to be different, at least in terms of alcohol
consumption. Evidence suggests that consumers are
considering health benefits more heavily when making
purchase decisions and will even pay more for products
they perceive as being better for them.25
Realising this opportunity relies on giving guests
experiences they are prepared to pay more for. That’s
where London Essence Company and J2O come in,
offering a range of exciting and sophisticated drinks.
Products include London Essence Company’s Grapefruit
& Rosemary Tonic Water, Crafted Lemonade and Spiced
Ginger Beer and J2O’s Apple & Elderflower Spritz and
Orange & Passionfruit Fruit Blend. Serve them up in
quality glassware with ice, garnish and a smile and who
needs alcohol?
Low and no alcohol launches are also taking other
retail channels by storm, with everyone from the giants
of the alcohol sector such as Corona and Stella Artois
owner, Budweiser Brewing Group, Diageo and Sipsmith
through to new alcohol-free challenger brands such as
Lucky Saint and Days, getting a piece of the action. Soft
drinks with functional health claims are also proving
immensely popular.
Hence the explosion in the number of low or no alcohol
alternatives on offer in the UK’s pubs and bars. 41% of
alcohol drinkers report having drunk them in the previous
three months in 2022, with that number rising to 57%
among drinkers aged under 45 and 64% of those aged
between 16 and 24.26 Low and no alcohol on-trade
volumes are expected to grow by 48% to 117m litres by
2027, with higher average prices pushing value sales up
by 69% to £432m.26
24 Drinkaware Study: https://www.drinkaware.co.uk/research/alcohol-facts-and-data/alcohol-consumption-uk
25 Mintel: Recession and the cost of living crisis: Key challenges and opportunities for brands in the UK January 2023
26 Mintel, Attitudes towards Low and No Alcohol Drinks UK, August 2022
27 CGA, value and volume sales, total ooh, foodservice and licensed, 31.12.2022
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