Dry January is Over, But Mocktails Aren’t

Acting your age is starting to take on a whole new meaning!  According to a January 2024 poll by Civic Science,  one out of three GenZ respondents made or purchased a mocktail (non-alcoholic cocktail) in the last 30 days.  In fact, over half of GenZ respondents said they either enjoyed a mocktail or were interested in doing so. Compare that to Baby Boomers – 0nly 4% had made or purchased a mocktail.

Retail sales data confirmed the trend – in 2023, non-alcoholic beer, spirits and wine were up 32% to $524M and alcoholic beverages were up only 1% to $67.6B.

As you may expect, this could pose a problem for alcoholic beverage companies – particularly those, like White Claw, whose primary appeal is to GenZ and Millennials.

White Claw proudly states on their website that “We’re relentless in our experimentation to make the best-tasting alcoholic drinks in the world”.  That message does not resonate for the increasing number of mocktail preferring drinkers.

Even worse, White Claw’s own research in November 2023 confirmed that “the majority of people who drink alcohol (69%), Gen Z (81%), and Millennials (78%) are interested in exploring a “sober curious” lifestyle.”
Question – Now what should White Claw do to address the realization that category growth is slowing, and potentially being partially replaced by customer preference for non-alcoholic beverages?

Answer – Broaden the value proposition to include non-alcoholic categories!  “We disrupt categories with refreshing innovations” is now high on White Claw’s ‘our story’ page.

In fact, on January 1, 2024 White Claw introduced four new “White Claw Zero” non-alcoholic flavors – Lime Uzu, Peach Orange Blossom, Mango Passion Fruit, and Black Cherry Cranberry.

True to the brand, White Claw Zero includes:

• “Iconic” White Claw flavors
• Secondary beverage alcohol drink notes
• Electrolytes
• Only 15 calories per 12oz can

It’s a perfect example of how a brand can pivot, stay true to the brand’s value proposition, and embrace a change in the marketplace as a result.

There have been lots of changes in virtually every marketplace since COVID.  What changes have you been ignoring in your industry?  Where can your core value proposition be broadened to include and address those changes?

There is a good chance that your inaction is leaving money on the table.  Every change in the marketplace exposes a new crevasse of opportunity in the industry landscape.

Embrace the change and reap the reward of new revenue now.