Bacardi Emphasizing RTD And Low-Alcohol Trends To Connect With Younger Generation
June 13, 2023Bacardi is banking on prominent trends like RTD cocktails and lower-alcohol options as it aims to engage younger consumer demographics this summer and beyond. The spirits giant’s senior vice president and managing director of North America sales Sean Eckhardt tells SND that new products and leveraging on-premise opportunities will also be key to strategy looking ahead.
Among those newer entries is the latest extension from Bacardi’s flagship rum brand, Mango Chile, which Eckhardt says was “a huge hit in Mexico” after rolling out last year. He adds that other promising new offerings from the spirits portfolio include Bacardi Caribbean Spiced, as well as Grey Goose’s foray into the ready-to-serve segment with a Classic Martini.
Bacardi is also targeting the low- and no-alcohol segment with new products. “We’ve seen mindful drinking continually rise among the younger consumer group, with Gen Z focusing on quality over quantity,” Eckhardt notes. “Data from our recent 2023 Bacardi Trends Report shows that about 46% of Gen Z can be classified as ‘Substituters,’ referring to individuals who enjoy No/Lo drinks in place of full-strength drinks on certain occasions, rather than those who abstain from alcohol altogether.” The company recently launched Martini & Rossi Floreale and Vibrante Non-Alcoholic Aperitivos aimed at that group.
Among the brands already making significant headway with the younger set is Impact “Hot Brand” Cazadores RTDs, which jumped 52% to just under 300,000 cases last year. “RTDs are continuing to dominate consumer choices beginning Memorial Day weekend and through September,” says Eckhardt. “As they are the fastest-growing category, we’re not only looking to develop new flavors, but we’re also focusing on new formats.”
Bacardi also earned Hot Brand honors with Dewar’s, which crossed 1 million cases on 20% growth; Cazadores Tequila, up 26% to 759,000 cases; and Angel’s Envy Bourbon, up 32% to 295,000 cases. Eckhardt says Tequilas like Patrón and Cazadores in particular can continue to be growth engines in the on-premise looking ahead, as can whiskies. “Over 40% of global consumers plan to spend more time going out to sports bars, neighborhood bars, and casual dining chains for the Fourth of July in 2023,” he says. “Tequila is seeing a 23% spike in popularity on-premise compared to last year.”—Daniel Marsteller
| Bacardi—Leading Spirits Brands in the U.S. (thousands of 9-liter cases) |
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| Brand | Type | 2021 | 2022 | Percent Change1 |
|---|---|---|---|---|
| Bacardi2 | Rum | 6,828 | 6,632 | -2.9% |
| Patrón | Tequila | 2,717 | 2,934 | 8.0% |
| Grey Goose | Vodka | 2,629 | 2,493 | -5.2% |
| Bombay2 | Gin | 1,218 | 1,302 | 6.9% |
| Dewar’s | Scotch Whisky | 897 | 1,073 | 19.5% |
| Bacardi RTDs3 | Premixed Cocktail | 871 | 866 | -0.5% |
| Cazadores2 | Tequila | 602 | 759 | 26.0% |
| D’usse | Cognac | 871 | 709 | -18.6% |
| Castillo | Rum | 391 | 356 | -8.9% |
| Cazadores RTDs | Premixed Cocktail | 195 | 296 | 52.2% |
| Angel’s Envy | Bourbon | 223 | 295 | 32.2% |
| St. Germain | Liqueur | 138 | 152 | 10.0% |
| Total Leading Brands4 | 17,580 | 17,866 | 1.6% | |
| 1 Based on unrounded data. 2 Excludes RTDs 3 Includes ready-to-drink and ready-to-serve 4 Addition of columns may not agree due to rounding Source: IMPACT DATABANK © 2023 |
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Tagged : Bacardi, Grey Goose, Patrón
