Drivers Behind A Changing Drinks Market
Millennials kill and ruin things, yes, but they have also been the buying power behind the rise of new beverage categories as the launch of new seltzers from AB InBev shows.
Bud Light Seltzer was first released in January, following reports of massive sales growth of the hard seltzer category, and now sees the brand bring out a remix variety pack as marketed by none other than DJ Khaled.
Speaking to CNN Business, Bud Light VP of Marketing Andy Goeler said that the introduction of hard seltzer – a kind of alcoholic sparkling water made by fermenting sugar – was the “largest and most successful innovation” in the brand’s history.
Part of the reason behind its growth is of course the low calories. While a 12-oz can of Heineken beer has 142 calories and contains 11g of carbs, White Claw clocks in at just 100 calories and 2g of carbs.
Usually, the main reason given for growth is the millennial generation’s health-consciousness, though new research from YouGov suggests that it’s possibly more to do with trying new things.
There are also less abstract reasons: as temperatures rose in the US from June onwards, the big three seltzers (White Claw, Truly, and Bon & Viv) outsold the top six beer brands.
Despite growth heading in the seltzers’ direction, it’s important to state that a greater percentage of millennials continue to buy beer.
Still, that interest in new products is opening up avenues for companies seeking to get involved in cannabis-based drinks, whose opportunity is arising out of reduced hospitality trade as a result of lockdown measures.