June 19, 2024
The Rise of Non-Alcoholic Ready-to-Drink Beverages: A Booming Market Opportunity
With the growing popularity of non-alcoholic ready-to-drink (RTD) beverages and the enduring appeal of wine, wine-based RTDs represent a promising and profitable venture in the evolving beverage industry.
In recent years, non-alcoholic ready-to-drink (RTD) beverages have surged in popularity, carving out a significant niche in the global drinks market. These beverages, which include non-alcoholic versions of cocktails, wines, beers, and wellness drinks, are increasingly favored by consumers seeking healthier and more mindful drinking options. The rise of non-alcoholic RTDs is not just a passing trend but a reflection of shifting consumer preferences and lifestyle choices, making it a lucrative market to enter. According to IWSR, the RTD category is expected to hit $40bn by 2027 across 10 key markets – Australia, Brazil, Canada, China, Germany, Japan, Mexico, South Africa, the UK and the US.
Non-alcoholic ready-to-drink (RTD) beverages in particular are rapidly gaining popularity in the beverage industry. These innovative products offer a unique blend of convenience, quality, sophistication, and healthiness that appeals to a broad range of consumers. If you are considering creating a line of non-alcoholic RTD’s, using a wine base is an excellent choice. Here are several compelling reasons to consider creating an NA wine-based ready-to-drink beverage:
- Opportunities for Premiumization. Consumers are looking for the sophistication that comes with wine, but with ease and convenience.
- Elevated Drinking Experience: Wine-based RTDs can be positioned as a premium product, offering consumers an elevated drinking experience. High-quality ingredients, elegant packaging, and sophisticated branding can justify a higher price point and enhance the product’s perceived value.
- Pairing with Food: These beverages can be marketed as perfect companions for various culinary experiences. Suggested food pairings can enhance the consumer’s enjoyment and position the RTD as a versatile and sophisticated choice for dining occasions.
- Convenience and Portability: Modern consumers seek convenience without compromising on quality. Non-alcoholic wine-based RTDs provide a sophisticated drink that is hassle-free and can be enjoyed anytime, anywhere, without the need for traditional wine-serving setups, such as glassware and bottle openers. Whether for a picnic, a beach outing, or a casual gathering, these portable beverages offer the elegance of wine in a convenient, ready-to-drink format.
- Heathier Option: Non-alcoholic wine-based RTDs can have much lower calories because of the absence of alcohol, as well as added sugars. This appeals to health-conscious consumers who want to moderate their alcohol, sugar, or calorie intake while still enjoying a flavorful beverage.
- Natural Ingredients: An NA wine-based RTD can showcase the natural flavors and aromas of the wine without the need for heavy formulation. Natural and high-quality ingredients resonate with consumers who prioritize health and wellness. These products can include organic wines, natural flavors, and minimal additives, aligning with the clean label trend.
- Flavor Innovation and Variety: While traditional wine beverages will always be desired whether in bottle or RTD, non-alcoholic RTDs offer endless possibilities for flavor and variety innovation. Producers can experiment with different wine varietals, fruits, herbs, and spices to create unique and appealing flavor profiles. This variety attracts adventurous consumers looking for new and exciting taste experiences. Additionally, NA wine RTDs can come in many varieties such as spritzers, coolers, flavored, or traditional still.
- Broad Consumer Appeal: Non-alcoholic wine-based RTDs appeal to a wide demographic, from traditional wine enthusiasts to younger consumers seeking trendy and convenient options. This broad appeal can help brands reach new customer segments and expand their market presence.
- Take advantage of the wine glut: According to the IWSR wine consumption is on the decline, and wineries are left grappling with excess inventory. However, non-alcoholic beverages are on the rise, including non-alcoholic wines, which are expected to reach a market size of USD 4.9 billion by 2032 a CAGR of 10.1%. This combination opens up an opportunity for those looking to create an NA wine RTD line. Wineries can utilize excess inventory, while others can take advantage of the decreasing bulk wine costs.
In conclusion, creating a non-alcoholic wine-based ready-to-drink beverage offers numerous advantages, from meeting consumer demand for convenience and health-conscious options to providing opportunities for flavor innovation and market differentiation. With the growing popularity of RTDs and the enduring appeal of wine, wine-based RTDs represent a promising and profitable venture in the evolving beverage industry. Brands that can effectively combine the elegance of wine with the convenience of an RTD stand to capture a significant share of this dynamic market.
If you are interested in creating a non-alcoholic wine-based RTD, BevZero can help. BevZero specializes in non-alcoholic wine product development and dealcoholization. Contact BevZero for a complimentary consultation.