Beverage Dynamics is the largest national business magazine devoted exclusively to the needs of off-premise beverage alcohol retailers, from single liquor stores to big box chains, through coverage of the latest trends in wine, beer and spirits.
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1 Beverage Dynamics • Digital Edition Exclusive www.beveragedynamics.com T he ready-to-drink (RTD) category has fully embraced the craft trend in recent years. Producers are now able to create high-quality, portable products thanks to improvements in packaging technology. These modern brands also make great use of social media and trend recognition. No longer is RTD synonymous for "cheap and sugary." Craft has given the category a makeover. The question is: have consumers caught up? Or does the stigma still linger that RTDs are not premium products? Permanently moving beyond that reputation is not an easy task. The open-minded attitude of Millennials has helped, as has the broader movements of craft and emphasis on health. Altogether the RTD category is poised to cash in on its premiumization. OVERCOMING THE STIGMA When did consumers begin to think of RTDs as containing high-quality ingredients? Bradd Levitan, CEO of the premade sangria Beso Del Sol, believes the tide started to turn for the better with the launch in 2009 of Skinny Girl cocktails. "There you had the craft aspect and all-natural ingredients, and now everyone is using better ingredients for better products because of the consumer demand," Levitan says. Which fits into the overall trend towards healthier nutrition. "People today are used to eating better and putting better things in their mouths." Which would be an issue for RTDs if consumers still con- sidered them unhealthy. For many years they were largely just R TD S R I D E TH E CRAF T WAVE Producers are now able to create high-quality, portable products thanks to improvements in packaging technology. BY KYLE SWARTZ 1 Beverage Dynamics • Digital Edition Exclusive www.beveragedynamics.com Premiumization is Propelling Ready-To-Drink Beverages.