Eno-Expectations for 2022
BevAlc was one of the most resilient product categories during COVID, due to our industry’s ability to shift to more accessible avenues, such as e-commerce & to convenience/to-go options. The challenges BevAlc will face in 2022 & beyond will be similar to consumer goods: keeping prices down while persuading consumers to trade more; adapting to societal demands to commit to environmental/social responsibility; & making products relevant to next-gen legal drinkers.
Read below for how I believe BevAlc is forging ahead in 2022:
Exploding e-commerce: States/localities are more open to home delivery, & online models for alcohol sales are becoming more consumer-friendly. U.S. BevAlc e-commerce grew more than 26% in 2021, while BevAlc e-commerce globally is expected to grow more than 66% over the next 5 years.
Turning supply chain challenges into opportunities: Supply chain issues roadblocked many retailers/suppliers in 2021 & will continue into 2022 with imports bearing the biggest brunt. Diminished quantities of packaging materials can present opportunities for suppliers to adopt more eco-friendly measures & reduced supplies of top-selling wines will encourage retailers to turn to alternative/emerging brands.
Premiumization persists: Drinkers traded to higher-end BevAlc in 2021. Tequila & whiskey topped, but premiumization affected all wine & spirits categories & is expected to continue into 2022.
“Healthier” is hot: The “better-for-you” trend grew in 2021 & sales volume for lo/no-alc drinks is projected to grow 11% annually in the coming years.
Spirits are soaring: Liquor had a breakout 2021, while wine’s share declined. Premium tequilas saw major growth last year, but Mezcal, which outpaced tequila’s growth on Drizly in 2020, remained flat at 1% total share.
Vinvesting/Wine in the metaverse: One of the most stable luxury/alternative assets with an AGR of 6.6%, wine digital auctions continue to attract younger/more diverse investors while blockchain wine pioneers such as Wiv will mature & expand offering unprecedented access & potential for larger gains in 2022.
So, what are your 2022 eno-expectations?