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Pouring Profits: The Untapped Potential of Non-Alcoholic White Label Wines in Hospitality

The idea of Introducing a non-alcoholic white label wine at your hotel, restaurant, or establishment can be daunting.  Questions arise such as:  Is this just a trend? Or – How big is the non-alcoholic wine market?  Or – can a non-alcoholic wine be profitable? In this blog we will look at the trends as well as offer an easy profitable solution, from BevZero, to adding a non-alcoholic wine option to your menu.

Is there a market for non-alcoholic drinks?

According to some of the top statistical companies analyzing beverage sales and consumption globally, such as Nielsen and IWSR, the demand for low and no alcohol beverages is continuing to grow. The revenue in the Non-Alcoholic Drinks market in the United States alone is projected to reach US$526.1bn in 2024. Although being driven by millennials, the consumer for low and no alcohol beverages is much more diverse than ever before. No longer is it just pregnant women, designated drivers, or those with health concerns. In general, most consumers are substituting no/low alcohol beverages for full-strength alcohol for various occasions, they are not abstaining from alcohol overall.  According to an article by IWSR, “Moderation is now firmly embedded in the beverage alcohol marketplace, with IWSR data forecasting no- and low-alcohol volumes to grow by +6% CAGR, 2023 to 2027 across the top 10 markets. This trend is driven mainly by health and lifestyle choices, with consumers opting to drink less alcohol overall, and/or choosing to moderate their frequency/intensity of alcohol consumption”.

The increasing demand for non-alcoholic beverage options is not just a passing trend; it reflects a more significant and enduring shift in consumer preferences and lifestyle choices. The trend toward a more mindful and balanced lifestyle has led to increased interest in non-alcoholic options. People may choose non-alcoholic beverages for social occasions, meals, or simply as a way to relax without consuming alcohol.

Why offer a non-alcoholic wine?

Providing a non-alcoholic wine option is particularly interesting due to the current conditions in the wine industry. In the latest Silicon Valley Bank report it states that total wine consumption continues to decrease, and inventory continues to exceed demand.  However, non-alcoholic wine is projected to grow.  According to a Southern Glazer’s Wine and Spirits article, “While American wine consumption is projected to decline once again this year, one of the bright spots within the industry is the continued success of the so-called “Better-For-You” segment. These trending wines boast fewer calories, fewer carbohydrates, and lower alcohol, and most of the brands have zero residual sugar. The “Better For You” wines contributes to over $700 million in annual sales in U.S.  Not only is the market for non-alcoholic wine growing, but there is a lot inventory on the market which can keep the cost low.

How can you increase your profit margin with a non-alcoholic wine?

Offering a non-alcoholic wine at your hotel, restaurant, or establishment is a good strategic choice that can bring various advantages and contribute to your overall success. An easy and low cost of entry solution to help enter the non-alcoholic market is a white label product. A white label product is a generic product sold to various customers who can then rebrand it as their own. White label programs allow for increased margin over name brand products due to their lower cost of entry.  Additionally white label products can provide a quick and easy way to bring a no-alcohol product to your customers without the hassle of long development and production times.

  • Market Demand: With the increasing demand for non-alcoholic and low-alcohol beverages, offering a non-alcoholic wine option can attract a broader customer base and align with current market trends.
  • Increased Profit Margins: At a lower cost of entry, you will have more control over the pricing of your non-alcoholic white label wine. This can result in higher profit margins compared to selling established brands, especially if the white label product is perceived as premium or exclusive.
  • Brand Differentiation: White label wines allow your hotel or restaurant to create a unique and exclusive brand. This can help differentiate your establishment from competitors and attract customers looking for a distinct experience.
  • Food Pairing opportunities: Setting up food pairings that complement the flavor profiles of the white label wines allows for better alignment with your menu and enhances the overall dining experience for your customers.
  • Added Occasions: In addition to weddings, and other events Non-alcoholic wine is suitable for daytime events, brunches, or business meetings where alcohol consumption might be less appropriate. It allows customers to enjoy the social aspect without the effects of alcohol.

What are the benefits of BevZero’s White Label Non-Alcoholic Wine program?

With BevZero’s non-alcoholic white label wine program, you can easily tap into the expanding NA industry. With our expertly crafted, dealcoholized wines, you can launch a brand that resonates with consumers seeking healthier, alcohol-free alternatives without compromising on taste or quality.

  • Choose from available products: Don’t want the hassle of product formulation, choose from one of our amazing ready-to-go products – Just add your own label. BevZero sources wine from the premiere growing regions in order to create these available, non-exclusive products.
  • Speed to Market: Our efficient production process ensures that your branded non-alcoholic white label wine reaches the market quickly, allowing you to capitalize on emerging trends and consumer demands.
  • Increased Profitability:  With a lower cost of entry, non-alcoholic white label wine can be offered to customers at a much lower price than name brands.
  • Economical: Without the need for formulation or other upfront investments the white label program option can be more economical.

 

The reasons and benefits for offering a white label wine at your hotel or restaurant are clear, from increasing market demand, to branding and pricing opportunities, and customer loyalty, a non-alcoholic wine option is a must. It’s a thoughtful and strategic decision that caters to a diverse customer base and aligns with evolving preferences in the food and beverage industry.

BevZero partners with retail brands, restaurants, hotels, distributors and businesses of all sizes around the globe to provide high quality non-alcoholic white label wine products. To learn more about BevZero and our White Label Non-alcoholic Wine Program. Contact Us today.