Nielsen reveals top US alcohol trends for 2020

18th December, 2019 by Nicola Carruthers

From the “better-for-you movement” in vodka to the emergence of agave-based spirits beyond Tequila and mezcal, analyst Nielsen has revealed the alcohol trends that are set to be big in the US next year.

Nielsen predicts other agave-spirits beyond Tequila and mezcal will come under the spotlight in 2020

Nielsen CGA 2020 data has predicted nine trends across alcoholic beverages for the on-trade, as well as trends for the off-trade in the US.

Among its predictions for the off-trade is consumer interest in heath and wellbeing, led by younger generations. Nielsen says this demand will “drive more transparency in labelling and supplier product innovations”.

Nielsen expects to see growth in the following categories: lower-ABV spirits/cordials, lower-ABV ready-to-drink (RTD) cocktails, more alternative beverages with no- or low-sugar and carbs, low-calorie options, and “lifestyle-oriented drinks that tie into consumer interest in their active routines”.

Nielsen believes that spirits growth in the off-trade will be boosted by whisk(e)y, Tequila, Cognac, RTDs, as well as Tito’s Handmade vodka – which is experiencing double-digit growth. Premium and ultra-premium segments will “continue to outpace the category at the expense of lower-price tiers”.

Spirits will benefit from having a “versatile product range with multiple drink types, flavours, styles and mixing opportunities”, notes Nielsen, allowing the category to meet the “desires of the cocktail culture” and appeal to a “broad consumer base”.

In addition, Nielsen claims that US suppliers and distributors will put more focus on their e-commerce efforts.

“The industry has struggled to keep up with broader e-commerce expansion in part due to complex alcohol rules and regulations, but 2020 will represent a turning point in the industry’s efforts,” said Nielsen. “Key players will ramp up their investment, recognising the potential of impulse purchasing declines in mainstream stores as consumers fill more of their overall shopping needs online – and not via a store trip.”

When it comes to the RTD category, Nielsen says that packaging is key with a “focus on the convenience of slim cans and alternative packaging”.

Click through the following pages to see what Nielsen has predicted will trend in the on-trade in 2020.

Leave a Reply

Subscribe to our newsletter