RTD market to rise by 11.2%
The ready-to-drink (RTD) market is forecast to grow by 11.2% between 2022 and 2030, according to new research.
India-based business management consultant Insight Ace Analytic has released a market research report titled Global Ready-to-Drink (RTD) Alcohol Market.
The report has divided research on RTDs into types, covering a range of ABVs, cocktails, flavoured alcoholic beverages, sake RTDs, hard coffee and more.
The current RTD alcohol market is valued at US$34.42bn, the report found.
Research by the firm predicts the figure will increase by a compound annual growth rate (CAGR) of 11.2% between 2022 to 2030.
‘Major driving factors’ of the expected rise in popularity of RTDs was found to be linked to Gen Z and Millenial drinkers.
A growing number of supermarkets selling RTDs were also ‘fuelling the growth’ of the sector.
Meanwhile, Insight Ace Analytic noted that the Covid-19 pandemic would affect consumer spending.
While there was a ‘price hike’ in alcohol sales in a few countries during the pandemic, several nations also implemented duty hikes on alcohol sales.
This duty has ‘impacted the RTD alcohol price’, and consumers ‘face a big price hike’ and hence opt for ‘harder’ forms of alcohol, ‘low-quality’ and cheaper products, which can ‘impact consumers’ health’.
Meanwhile, trade body the Distilled Spirits Council of the US (Discus) recently released a report that showed 86% of US consumers believe spirit-based RTDs should be more widely available, including in bars, convenience stores, and entertainment venues.