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By 2030, the segment is expected to reach a valuation of $85.5 Billion (USD), a 260% growth from its 2021 value of $32.94 Billion, according to research from InsightAce Analytic.
Alcohol-based ready-to-drinks (RTDs) are premixed beverages containing alcohol and a mixer distributed through retail channels in bottles and cans. They provide consumers a convenient and effortless experience amidst today’s “grab and go” culture.
While RTDs saw some early success during the ‘90s and 2000s, some consumers were turned off by their extreme sweetness.
Today, we’re seeing these drinks repositioned as sophisticated, craft, better-for-you beverages. Aside from convenience alone, RTD drinkers are seeking out complex flavors and healthier elixirs.
Among the top factors predicted to fuel the segment’s growth include:
- Growing demand for low-alcohol beverages
- Consumer preference shifts to healthier drinks
- And consumer preference shifts favoring flavored beverages and hard seltzers
The IWSR lays out a few of the trends that producers can factor in when thinking about alcohol-based RTDs.
- Positioning as a premium beverage with handcrafted ingredients
- Increased complexity with local botanicals
- Offer moderation with low-carb, low-alcohol content
- Flip the script with a high-strength variety RTD
- Keep package design simple with attention-capturing colors and slim cans
Some standout producers in the Ready-to-Drink space include ABInBev and their investment in and distribution deal with Canteen Spirits. Bacardi Limited offers a full line-up of their Real Rum Cocktails featuring flavors like Rum Punch, Mojito, Bahama Mama, Limon & Lemonade, Lime & Soda, and Sunset Punch. We also see brands like White Claw and Truly continuing to dominate the space while fans of Founders Brewing can enjoy the Mas Agave hard seltzer collection.