Page 56 - Conveniece World Magazine Nov/Dec 2020

THE BEVERAGE GUIDE TAPPING INTO THE LOW AND NO ALCOHOL MARKET Players large and small are joining one of the fastest growing categories in the world. BNy Product of the Year Australia Director Sarah Connelly. ielsen reported growth of 32.5 per cent growth in sales of no to low alcoholic beverages during lockdown in the UK. In Australia growth in low and no alcohol spirits is predicted to rise by 28.6 per cent over the next year, so while Australians are considered some of the heaviest drinkers in the world, it appears we’re also embracing the global trend towards more ‘mindful drinking’. Over the past 12 years I’ve seen many categories emerge relating to health and wellbeing in the form of a variety of analogues from gluten-free to plant- based alternatives. In October 2019, when I quit alcohol, I was also on the hunt for one: alcohol-free wine. I found a solitary independent online retailer and a few token gestures in Dan Murphy’s and Coles. Fast forward 12 months and the words ‘sold out’ appear daily on products offered by the three main online and exclusively alcohol-free retailers that have launched this year. Coles has recently added McGuigan’s Zero range of non-alcoholic wines to its shelves, while Lyre’s Spirit Co, a brand that produces premium alcohol-free spirits, has just secured $16 million in growth capital to expand the category. “The penny dropped in 2015 when I realised there really was a market for an alternative,” Lyre’s co-founder and CEO Mark Living said. “I wanted to cut back but also wanted a decent adult alternative to alcohol. This realisation backed up by research was the reason we developed the Lyre’s range.” And the goal? “To shake up the drinks category and give consumers more choices in social situations.” During Covid, Lyre’s sales are claimed to have skyrocketed to 400 per cent monthly recurring revenue growth online since January. The company now sees the opportunity to expand its range (currently 13 products) into ready to drink, and is soon to launch its first foray into non-alcoholic wines with a “quality” non-alcoholic Prosecco. Some of the world’s largest brewers and drinks manufacturers have also responded to consumer demand, with well-known brands such as Heineken and Carlton adding a range of zero- alcohol beers to their portfolios. New non-alcoholic Australian craft- beer brands such as Sobah and Heaps Normal are said to be making waves and struggling to keep up with demand. Andy Miller, founder of Heaps Normal, tells me the brand’s first batch “sold out within 10 days of launching”. “We’ve since grown sales by more than 100 per cent month on month,” he said. In the past six months, well established brands such as Giesen and McGuigan’s Estate have launched alcohol-free versions of their popular wine varietals, using advanced techniques to remove alcohol content while maintaining the flavours and mouthfeel of the original wine. Australian Vintage Global Marketing Director Scott Burton says a marked shift towards moderate and responsible alcohol intake is a clear global consumer trend. “McGuigan Zero gives those consumers who are abstaining or moderating, a known and trusted choice,” he said, adding that, as far as performance goes, “the range is enjoying strong growth across Coles’ grocery channel and key liquor retailers nationally”. While the mainstream brands gain momentum, sitting neatly in ‘non-alcoholic beer, spirits or wine’ categories, products from local brands in subcategories are TO PAGE 56 54 CONVENIENCE WORLD NOV/DEC, 2020