LONDON--(EON: Enhanced Online News)--The alcoholic beverage industry is undergoing change as the result of the adventurous and non-traditional tastes of the Millennial population. Millennial drinkers are reviving the brown spirits industry worldwide, especially in North America according to Infiniti Research.
Young drinkers today are not as predictable as they once were. An increasing amount of consumers are starting to prefer refined, “craft”-focused alcoholic beverages rather than the inexpensive, flavoured clear beverages once preferred by their predecessors. Brown spirits like whiskey and dark rum have quickly risen to the top of the alcoholic beverage market, challenging vodka and pushing tequila, and light rum to the side. Wine and beer sales have mostly been unaffected by the rise of brown liquor, though the overall preference for refined and seemingly non-commercial alcoholic beverage products is also driving the sales and popularity of craft beer. Infiniti Research food and beverage experts find that craft beer is expected to hold a 43% share of the American beer market in 2019, more than doubling its 19% share in 2014.
How can Infiniti Research help you? Request a brochure
These changed preferences are true for both men and women alike; there is no significant differentiation in popularity between the genders when it comes to brown spirits. Almost half of Irish whiskey drinkers are female, and women now consume nearly as much alcohol, including brown spirits, as men do per year.
Despite its prevalence and the variety of flavours vodka manufacturers offer, vodka’s popularity has declined as a result of the rise of brown spirits. To try and combat this, vendors have begun creating innovative flavours of vodka that appeal to the taste of Millennials by mimicking the artisanal characteristics of brown spirits. For example, in late 2016 Absolut released Oak by Absolut, a blend of barrel-aged vodka, oak-infused vodka, and regular vodka in order to enter the brown spirits segment of the market. Other vodka manufacturers are barrel-aging their products to make them brown in colour and more appealing to Millennials.
Due to these new preferences and expectations, the way that alcohol is marketed and advertised to Millennials also needs to change. Millennials are not as responsive to billboards and television commercials as are other age groups, so alternate methods of advertising to them (such as the use of social media) must be effectively utilized.
Alcohol distributors and producers must change their marketing and sales strategies in accordance with this new market trend. In some cases, they must reinvent and innovate much of their product line in order to stay competitive in the changing alcoholic beverage market. Market intelligence is essential for understanding the buying habits and patterns of Millennial drinkers, what type of packaging materials and design appeals to them most, and what they can afford, as well as gaining an understanding of how Millennial consumers perceive certain brands.
Based on your products and services, Infiniti Research provides an assessment of your market’s spending habits and preferences while identifying and benchmarking your top competitors. Backed by research centers in multiple emerging markets, Infiniti Research uses information from around the globe to recognize key trends before your competitors, while also analyzing related niche markets looking for untapped market opportunities. When working in a rapid changing environment such as the food and beverage industry, Infiniti’s market intelligence helps you devise strategies such as catering to the unique needs of Millennial drinkers and consumers around the world.
Looking for additional food and beverage research? Request a free proposal
About Infiniti Research
Established in 2003, Infiniti Research is a leading market intelligence company providing smart solutions to address your business challenges. Infiniti Research studies markets in more than 100 countries to help analyze competitive activity, see beyond market disruptions, and develop intelligent business strategies.
With 13 years of experience and offices across three continents, Infiniti Research has been instrumental in providing a complete range of competitive intelligence, strategy, and research services for over 550 companies across the globe.