Festive tipple

This Christmas promises to be a big one as consumers will finally be able to organise large gatherings.

By Elena Dimama

The festive period presents a huge opportunity for retailers to trade up, especially with this year looking to be the first one post-lockdown without any restrictions.

With many consumers expected to host Christmas dinners and get-togethers with large groups, offering a wide range of alcoholic and non-alcoholic beverages will be key for retailers.

Seize the trends

“Christmas is always a big time of year for alcohol sales in convenience, and this year will be no different,” says Tom Smith, Marketing Director, Europe at Accolade Wines. “Key trends remain, so we will see more people trade up their purchases and treating themselves to additional items, as well as new shoppers entering the alcohol category who aren’t regular purchasers.”

Sparkling drinks, healthy choices and a varied portfolio are among the big trends that will drive sales for yet another year.

“We see shoppers look to sparkling products during the festive period, adding a pop to those celebratory moments. The share of sparkling fruit-flavoured wine within the flavoured wine category is up by 19% in volume, compared to last year, as shoppers become more adventurous and look to expand their wine repertoire,” Smith says.

To tap into the surge in demand for fruity fizz, Accolade bought the Lambrini brand last summer. “Lambrini currently holds 60% of the Perry category value and has a 26% value share of the Perry and Flavoured Wine sector in the total market,” Smith says. “Celebration is a key motivation for purchasing Lambrini. The brand recently launched its ‘Bring the Brini’ social campaign to encourage consumers to enhance those everyday moments with an extra sense of celebration and fun, whether that’s an overdue reunion with friends or successfully getting the kids to bed on Christmas Eve.”

The importance of innovation

Innovation is also key, says Alexander Wilson, Category & Commercial Strategy Director at Heineken. “We know that innovation is a large sales driver in the beer category, especially among younger adult drinkers who are constantly on the lookout for new products and styles to try,” he notes.

“We introduced Heineken Silver to respond to new and emerging demands from consumers. These consumers are looking for easy-to-drink, less bitter and more refreshing lagers and new Heineken Silver, an extra-refreshing lager at 4% ABV, with a low bitterness of 10 IBUs has been crafted to deliver this,” Wilson explains.

Go low

Meanwhile, Gen Y and Z shoppers, in particular, are seeking out alcoholic drinks that fit their desire for a balanced lifestyle. This has led to a rise in no- and low-alcohol products, along with drinks boasting fewer calories.

“Low-and-no wines have typically in the past suffered from negative taste perceptions, with traditional de-alcoholising methods often heating the wine and therefore detracting from its natural fresh and fruity flavours,” Smith notes.

“Our new launches, &then and Hardys Zero are set to change all that. The introduction of these product lines gives people who are moderating their alcohol a selection of truly high-quality zero-alcohol alternatives that showcase the flavours and characters of full-strength wine.”

Heineken has also launched Strongbow Ultra Dark Fruit in 330ml cans at 30% fewer calories ml-for-ml, tapping into the healthier trend and the lucrative on-the-go occasions.

“While lager holds the lion share of no-alcohol in beer and cider, well-known ale and craft brands are also on the rise within this category,” Wilson emphasises.

“Shopper penetration has been the primary driving force of growth for no-and-low for the last five years, but we’ve still got a lot of headroom – while beer and cider is purchased by 74.8% of households in the off trade no-alcohol is only purchased by 12.3%. Encouragingly, we’re seeing signs that no-and-low alcohol is being purchased and consumed more frequently.

“While January used to be the high watermark for no/low alcohol shopper penetration, the participation in this category now effectively mirrors total beer and cider throughout the year.”