Pernod Ricard plans RTD revival in Oz

Pernod Ricard is hoping to breathe new life into the declining ready-to-drink (RTD) market in Australia with a new lower alcohol and lower sugar product called Absolut Botanik.

Pernod Ricard hopes to grow lower alcohol RTD sales in Australia with Absolut Botanik

Australian Prime Minister Kevin Rudd slapped a 70% tax on pre-mixed alcoholic drinks back in 2008, which was dubbed the “alcopops tax”, in an effort to curb binge drinking.

Now, drinks giant Pernod Ricard hopes it can counteract the declining performance of the category using its Absolut vodka brand.

“Our aim is to turn around category performance from decline to growth,” said Julien Hemard, Pernod Ricard managing director, as reported by the Sydney Morning Herald.

“We have seen a trend towards light and fresh in the past few years in the overall liquor category and believe it is here to stay.”

Hemard added he hopes the Absolut Botanik range will encourage growth in the lower alcohol sector through large alcohol retailers owned by Woolworths and Coles, amongst others.

According to the IWSR Global Trends Report 20114, low calorie RTDs were experiencing strong growth across key alcohol categories driven by health conscious consumers searching for healthy alcoholic drinks options.

Last year, Skinnygirl Cocktails extended its portfolio with the addition of two new low calorie expressions in the US – Sweet’arita and Sparkling Margarita, both of which contain fewer than 100 calories per bottle.