According to a recent survey by Globaldata, in the Asia-Pacific (APAC) region 71 % or three out of four consumers drank less alcohol in August 2020.
The report reveals APAC consumers are not replacing their alcohol with soft drinks either but instead looking toward drinks with health benefits, particularly those claiming to support mental wellbeing such as boosting immunity or skin health.
Such products are being purchased and consumed by one-third of consumers revealing the ‘better for you’ wellbeing message is critical for the future sales and marketing strategies of drink brands.
Consumer Analyst at GlobalData Carmen Bryan said APAC consumers are turning away from alcohol because of concerns around physical and mental health. “General health concerns take precedence, backed by *almost half (49%) of the region’s population, weight management, fitness, physical appearance and emotional wellbeing are all considerable factors driving low or no-alcohol innovations,” he said.
To leverage this trend, beverage companies are looking to create drinks with some health or wellbeing functionality. For example, New Zealand-based companies Adashiko and Parker Beverages have launched collagen-infused bottled water while Japanese FMCG company, Morinaga, is also leveraging the trend with its amazake product range. Its Morinaga Collagen in Haenuki flavour puts a health twist on the sweet and low-alcohol Japanese drink by showcasing the high collagen and alcohol-free claims.
Placing the microscope on alcohol consumption further Globaldata reveals that while 71% are drinking less, 20% are not consuming alcohol at all.
Bryan says that as a result of the pandemic, tensions have increased amongst the population regarding health. Consumers are reassessing health priorities and lifestyle choices.
“Trends are shaping new home-bound leisure and social occasions where consumers seek the same taste and feel of mature drinks without the negative implications,” Bryan adds.
Bryan says GlobalData’s research highlights the importance of premium positioning and clear ‘better for you’ messaging.
“By leveraging wellbeing factors such as natural, immunity-boosting or skin health, brands can create a premium product that blurs consumers’ perceptions around traditional alcoholic products. A rebranding mission, of sorts. Going forward, it will be crucial for brands to blur these lines further, emphasizing the positive health credentials that will help reassure consumers, both mentally and physically, to tap into multiple consumption occasions and justify a potentially higher price mark up.”
