A Nutritional Revolution in the Alcohol Market? Low/non-alcoholic beverages may be on their way out by 2025


Release Time:

Jul 28,2024

The alcoholic beverage market has been quietly changing over the past few years. As consumers become more health-conscious, traditional high-alcohol beverages are being challenged, while low/non-alcoholic beverages are emerging as a new trend, and some predictions even suggest that they may lead the way by 2025.

 

      The alcoholic beverage market has been quietly changing over the past few years. As consumers become more health-conscious, traditional high-alcohol beverages are being challenged, while low/non-alcoholic beverages are emerging as a new trend, and some predictions even suggest that they may lead the way by 2025.

1、Consumer Health Awareness Awakening

      The global alcoholic beverages market faces a number of challenges to its development in 2023. From a macroeconomic perspective, the global economic slowdown and lack of consumer confidence have dampened the consumption of non-essentials such as alcoholic beverages; increased health awareness has led more and more consumers to pay more attention to the health impact of alcoholic beverages when choosing them, with alternatives such as low alcohol and non-alcoholic beverages gradually gaining popularity.
      Data from IWSR, an international wine market research organization, predicts that sales of non-alcoholic and low-alcoholic beverages in the top 10 global markets will grow at a CAGR of 6% from 2023 to 2027.
      In addition to this, IWSR speculates that ready-to-drink wines (petit fours) had very strong growth last year, and predicts that there is still good potential for growth over the next five years.

      “Drinking in moderation” has taken root in the alcoholic beverage market, and this demand has provided a major boost to non-alcoholic and low-alcoholic beverages.
      Driven by healthy lifestyles, many people are consciously choosing to drink less and reduce the alcohol content of their drinks, making low alcohol content a natural choice. In addition, low alcohol has some health selling points, which will make it easier to attract consumers.

2、Innovations in low/non-alcoholic beverages

      The low/non-alcoholic beverage market is constantly evolving to meet the increasingly diverse tastes of consumers. From simple non-alcoholic beers and wines in the beginning to a wide variety of non-alcoholic cocktails and sparkling wines today, the product range has become increasingly diversified.
      In terms of flavor, low/non-alcoholic beverages are also getting closer to the taste of traditional alcoholic beverages. Through advanced brewing techniques and flavoring processes, these drinks are able to mimic the mellowness and complexity of alcohol, allowing consumers to enjoy delicious flavors without worrying about the effects of alcohol. For example, some non-alcoholic beers are able to retain the foamy and malty flavor of beer, while non-alcoholic wines exhibit the fruity and tannic flavor of wine. 
      Additionally, brands are making a big deal out of packaging and marketing. Stylish and personalized packaging design attracts young consumers, while diversified marketing campaigns through social media and online and offline further enhance product awareness and influence. 

3、Market status and development

      Currently, the low/non-alcoholic beverage market is showing rapid growth. Major beverage brands have launched their own low/non-alcoholic product lines to capture market share. Meanwhile, some emerging brands have also stood out in the competitive market with innovative products and precise market positioning.
      In terms of distribution channels, the convenience of online platforms has enabled low/non-alcoholic beverages to reach consumers more widely. Offline supermarkets, bars, restaurants and other venues are also gradually increasing the availability of such drinks, providing consumers with more options for purchase and consumption.

      The low/non-alcoholic beverage market, while continuing to grow, still hasn't been able to cultivate a second true headline brand other than RIO, showing a scattershot approach. And every participant, is trying to be the first to seize the high ground of the track with the category and model they bet on.

      A part of the entrepreneurs, the category flavor locked in the rice wine, beer and other categories, trying to do upgrades on the basis of these categories, because the universality is stronger, and into China for many years, in the taste of the user education cost will be relatively low.

      Many low alcohol brands also choose to develop multiple series of products to broaden the price band and cover a wider range of people. Miss berry, for example, has developed both sparkling fruit wines at a price point of 30-40 yuan, as well as pre-mixed wines at a price point of 10 yuan, and green plum and pomelo distillates at 100 yuan or more.

4、Flavor development and production process

      In addition to capturing popular trends, the most important thing for consumers about a product remains whether it tastes good or not, which depends on its flavor development and production process.

      At present, the production mode of domestic low-proof wine brands can be generally categorized into two types, one is such as Meimei, Fubixing, Suzhou Bridge Wine and other brands, with self-built wineries or wineries. The other is such as Miss berry, lion song song and other brands, this type of brand may go to participate in the research and development, transformation of the supply chain of the foundry, the introduction of foreign technology, but because the brand is relatively new, from the capital and other aspects of consideration, generally will still take the form of cooperation with the foundry.

      But a large number of new brands relying on OEM factories to enter the market at the same time, product homogenization competition is also increasingly serious. An OEM factory can support 10-20 brands, the 10-20 brands of wine may be similar, only the name is different.

      This has led to the fact that in the C-suite, it seems that apart from RIO, there is no other new product that can impress the general consumers, especially the repurchase rate, which is still a problem for many brands.

5、Advantages of Jatong OEM

      In today's booming market of low/non-alcoholic beverages, Jiatong low alcoholic beverage OEM factory has become the ideal partner of many brands with its excellent strength and unique advantages!

      High quality products: Jiatong has a strict quality control system, from the procurement of raw materials to every step of the production process, to ensure that the taste of the low alcohol produced is pure and the quality is stable.
      Rich product line and customization capability: Jiatong is able to provide a diverse selection of low-proof wine products covering different tastes, alcohol levels and styles to meet the various needs of customers. It can also customize unique low-proof wine products according to customers' specific requirements.
      Innovative R&D strength: Jiatong has a professional R&D team that constantly explores new formulas and processes to keep up with the latest trends in the market and changes in consumer tastes. It will be the first to introduce novel flavors of low-proof wine, so that customers can take the lead in the market competition.
      Advanced production equipment and technology: Jiatong has advanced production equipment and technology to ensure efficient production capacity and quality product output. Including modern brewing equipment, precise blending systems and advanced filling lines, it is capable of mass-producing high-quality low-profile wines while ensuring product consistency and stability.