Nicola Martin, Insight & Brand Building Specialist, Bord Bia – Irish Food Board
The global market for Irish drinks, both alcoholic and non-alcoholic, continued to enjoy robust export growth in 2018 with the value of Irish beverage exports in 2018 reaching €1.5bn (Bord Bia, 2019). The outlook for 2019 and beyond remains positive, driven by the popularity of premium Irish alcoholic brands and the growth of Irish Whiskey in key international markets. But what are the trends that might support this growth for Irish drinks companies?
Last month Imbibe Live took place in the UK. Imbibe is the annual innovative and interactive exhibition for anyone who sources, buys or serves drinks in the licensed on-trade. According to Stylus, the global innovation research and advisory company, at this year’s event there were 4 key trends emerging, that are set to influence the category (Stylus Media Group, 2019).
Low & no alcohol trend
The upsurge in the low- and no-alcohol category was evident at this year’s event with distillers looking beyond the gin-like substitutes to a wider array of spirit and beverage substitutes. Australian brand Lyre’s showcased their alcohol-free range which spans 13 different spirit varieties, from absinthe to amaretto.
Closer to home, news broke this week of Diageo acquiring the majority shareholding in Seedlip, the world’s first distilled non-alcoholic spirit. As described by Diageo’s John Kennedy, Seedlip is a “game-changing brand in one of the most exciting categories in our industry”. (Diageo, 2019).
Further evidence of this trend lies on Capel Street. Last month saw the opening of Dublin’s first alcohol free bar, The Virgin Mary. The city centre bar boasts a menu of “sin-free” cocktails for those looking for an alternative to alcohol.
Canna-Beverage to reach an all-time high
Stylus reports that there were numerous exhibitors at Imbibe showcasing their CBD and hemp infused products. This growing trend was also referenced in Euromonitor’s Innovation and Disruption in Alcoholic Drinks report last year where cannabis was cited to be “one of the greatest disruptive forces the alcohol sector has ever seen”. (Euromonitor, 2018).
With more innovations in this space emerging, this trend may come to fruition sooner rather than later. According to Stylus, Hin was on show at the event, the UK’s first gin fused with hemb botany and Oto showcased Europe’s first CBD infused bitters designed to amplify anything from water to cocktails. Each measure delivers 50mg of CBD.
It’s tea time
Another merging trend evident at the event is the use of tea as a key ingredient in a variety of beverages. Stylus referenced Riddles who were showcasing their tequila iced teawhich features tequila, agave and moringa tea.
Boston Beer, the category leader of hard teas in the US since 2001, is set to launch its second alcoholic tea brand. The Wild Leaf Craft Hard Tea is designed to attract the health-conscious consumer due do its low cal, low sugar content (beveragedaily.com, 2019).
Showcasing sustainability
As seen across a multiple of sectors, there is a rise in the number of brands demonstrating and striving to improve their sustainability credentials. Stylus referenced exhibitor Copalli who showcased their organic rum which is made from rainforest canopy water and Sapling Vodka, a UK company that have committed to planting a tree for every bottle of vodka it produces.
The detailed summary from Stylus on the key trends displayed at Imbibe, show there is much room for creativity, innovation and sustainability from brands in the alcohol sector. Bord Bia client companies looking for further information and trends can contact The Thinking House at thethinkinghouse@bordbia.ie.
Bord Bia, Export Performance and Prospects 2018- 2019. (2019). [online] Bord Bia. Available at: https://www.bordbia.ie/globalassets/performance--prospects-2018-2019/export-performance-prospects-2018-2019.pdf
Stylus Media Group (2019). Alcohol Trends 2019 Imbibe Live. [online] Stylus Media Group. Available at: https://www.stylus.com/plmcfz
Imbibe 2019 (2019). Imbibe Live 2019. [online] Imbibe. Available at: https://imbibe.com/events/imbibe-live-2019/
Diageo. (2019). Diageo acquires majority shareholding in Seedlip, the world’s first distilled non-alcoholic spirit. [online] Available at: https://www.diageo.com/en/news-and-media/features/diageo-acquires-majority-shareholding-in-seedlip-the-world-s-first-distilled-non-alcoholic-spirit/
Euromonitor (2018). Innovation and disruption in alcoholic drinks: Raising a glass to the new consumer. [online] Passport, p.13. Available at: https://www.euromonitor.com/innovation-and-disruption-in-alcoholic-drinks-raising-a-glass-to-the-new-consumer/report/
beveragedaily.com. (2019). Could hard tea be the next major FMB category?. [online] Available at: https://www.beveragedaily.com/Article/2019/08/13/Is-hard-tea-the-next-major-FMB-category