Premium Mixers Ready To Break Out As Cocktails-At-Home Trend Gains Steam
July 24, 2020About three years ago, Jordan Silbert, founder and CEO of Q Mixers, invested heavily in putting together a team to target the on-premise market in the U.S. The group made strong inroads, achieving a national distribution footprint. Last year, the company made a similar investment in boosting its off-premise presence.
“This year we were expecting both to be growth engines of the company,” says Silbert. “And the first three months of the year, they were. Then all of a sudden in March bar and restaurant business basically went to zero and retail business has exploded.” Silbert says that Q Mixers more than doubled off-premise sales as people sought to make restaurant-quality cocktails at home. The last three months notwithstanding, the build has been slow, he says, but more and more consumers are recognizing the benefit of premium mixers as a base for their favorite cocktails.
Fever-Tree, a key competitor with global revenues of approximately $328 million, also saw a massive demand increase earlier this year. “It’s been an absolutely mad period,” says Charles Gibb, North America CEO for Fever-Tree. “We’ve seen extraordinary growth in at-home consumption, extraordinary growth in sales through liquor stores, through the grocery channel and in our online business, particularly with Amazon and the likes of Drizly and Reserve Bar and others. I think it all goes down to the fact that people are looking for this affordable everyday treat at home. They’re premiumizing their spirits. And what they’re realizing is that if you premiumize your spirit and you don’t premiumize your mixer, you don’t make a great drink.”
Fever-Tree and Q Mixers are two of several brands vying for consumer attention at prices significantly premium to the brands that have dominated the non-alcoholic mixer space for years. The Covid-19 pandemic and the stay-at-home orders issued by most states created an opportunity for many brands to connect with consumers.
“We’ve certainly seen a lot of trial of our product. It gained a lot of new fans and a customer base simply because people couldn’t find other brands,” says KC Commoss, senior vice president, business development for Powell & Mahoney Craft Cocktail Mixers. “Plus, we’ve seen our loyal customers stocking up—our numbers have skyrocketed.” Like many brands, Powell & Mahoney benefited from the massive increase in online shopping. In the first half of the year, total sales online had surpassed full-year online sales in 2019.
A full feature on the premium mixers category appears in Impact’s July 15 issue. Click here to subscribe.—Carol Ward
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