With seemingly unlimited formulation options and a “wild west” landscape where (almost) anything goes, brewers and distillers may find themselves facing unexpected challenges with no clear path forward. The FlavorSum team has collaborated with several experts to develop guidelines and perspectives that can help you overcome several RTD cocktail formulation challenges.
5 min read
What does the “wild west” have in common with RTD cocktails? Much like the vast frontier drew adventurers who wanted to explore new areas, the RTD cocktail market has attracted beverage pioneers, cowboys, and even a few outlaws. This diverse cast of brewers and distillers seeks to innovate in a fast-growing alcoholic beverage segment and create beverages that get repeat purchases.
The FlavorSum team has collaborated with several experts to develop guidelines and perspectives that can help you overcome several RTD cocktail formulation challenges.
1 min read
What does every brewer or distiller interested in bottling flavored alcoholic beverages for the U.S. market have in common? They all need federal government approval of their beverage formulas. So whether you’re an R&D team creating innovative flavors for a beer brand, or a start-up with a fresh take on hard seltzer, you’ll soon connect with the TTB.
Watch on to learn more about navigating the process for TTB approved ingredients.
7 min read
Rapid evolution blurs the lines between established Flavored Malt Beverages (FMBs) and the expanding flavored ready-to-drink (RTD) alcoholic beverage segment, including RTD Cocktails. FMBs are primarily seltzers, while flavored RTD alcoholic beverages can include hard (fermented) teas, coffees, and kombucha. RTD cocktails feature flavors atop grain neutral spirits or replicate favorite drinks like wine spritzes or vodka martinis. Because all are ready-to-drink, consumers often view the subsets as one category.
The opportunity to capture some of the market growth from any of the formats is tempting.
- Global consumption of RTD cocktails grew more than 40% in 2020, and they are forecast to reach USD 1.63 billion within the next 6 years.
- In the U.S., hard seltzer gained +130% in 2020 as the leading RTD sub-segment, driving volume above total spirits. Worldwide sales of hard seltzer passed the USD 4 billion mark, and some estimates predict the market will surpass USD 14 billion by 2027.
The total RTD category is becoming crowded, shifting from 10 brands in 2018 to more than 65 last year, excluding on-premise or direct-to-consumer labels. Online liquor retailer Drizly reported almost 170 RTD brands in 2020, up from 85 in 2018.
Standing out from the pack and finding a path to success with RTD Cocktails or FMBs involves formulation and flavor decisions and an understanding of the regulatory landscape.