Drizly’s non-alcoholic ‘spirits’ sales soar 290%

Sales of non-alcoholic ‘spirits’ on alcohol e-commerce platform Drizly rocketed by 290% in 2021, led by gin alternatives.

US platform Drizly said the non-alcoholic ‘spirits’ sector is one of its fastest-growing subcategories, with a 200% share in 2021. Despite the category’s 0.3% share of the alcohol sector, retailers should not write them off, Drizly said.

Of the top 10 non-alcoholic products sold on Drizly, four are based on gin. Drizly also noted the popularity of whiskey alternatives, as well as substitutions for aperitifs that work in Spritzes.

“The mocktail trend is one key driver of this trend, as consumers seek to recreate their favourite drinks that are alcohol-free and more health-conscious,” said Liz Paquette, Drizly’s head of consumer insights.

“Innovation in this category has also driven growth as new product releases more closely align to the quality and taste of standard spirits offerings.”

The average price per unit of non-alcoholic ‘spirits’ at US$28.60 is slightly higher than the average price of liquor at US$28.10, Drizly found, indicating that consumers are willing to pay premium prices for the subcategory.

Furthermore, 52% of non-alcoholic ‘spirit’ shoppers on Drizly in 2021 were female and the majority – 69% of share – were millennials. Gen X accounted for 22% share while Gen Z and baby boomers combined had an 8% share of non-alcoholic sales last year.

Drizly highlighted the ‘over-indexed’ markets of Denver, Los Angeles, Chicago, San Francisco, and Washington DC as ones to focus on for non-alcoholic ‘spirits’.

“In 2021, the peak share for non-alcoholic ‘spirits’ through the year was in January, suggesting that Dry January will drive strong sales for this category,” added Paquette.

The top five brands on Drizly’s platform in 2021 were Seedlip, Ritual Zero Proof, Lyre’s, Dhos and new entrant Ceder’s Drinks.

Drizly believes Tequila will be ‘challenging vodka’ for shelf space in 2022.