Cut to commercial: In the Finland wilderness, actor Miles Teller makes friends with a bear, bonding over their shared love of The Finnish Long Drink, a ready-to-drink version of Finland’s signature gin cocktail. Many Americans may have never heard of a long drink, but they may recognize the “Top Gun: Maverick” actor. The canned cocktail is one of several RTD brands collaborating with celebrities to differentiate themselves from the rest of the coldbox. But like with spirits brands, there’s more to success than a famous face.
RTD volumes have been growing faster than any drinks category since 2018, according to drinks data company IWSR. There are nearly 650 RTD brands on beverage retailer Drizly, up from 450 in 2021, which was a 45% increase over the previous year, and a whopping 170% increase over 2019. As new brands continue to hit the market, so do celebrity-endorsed or owned RTDs, although not nearly at the rate of spirit brands.
While big names from Justin Timberlake to George Clooney and Kate Hudson have gotten into the spirits business, the roster has been much smaller for RTDs, possibly due to how quickly the category is developing. So far, a few artists with one foot in the industry have extended into canned cocktails. CÎROC, a vodka with a 50/50 profit share deal with Sean “Diddy” Combs, released its first RTD this spring, CÎROC Vodka Spritz. Last year, the “red rocker” Sammy Hagar launched a line of rum cocktails under his brand, Sammy’s Beach Bar Cocktail Co. Other RTD launches have provided a new route for celebrities to dip their toes into the alcohol business, and an opportunity for brands to differentiate in a rapidly-growing category. Many of them are doubling up on their celebrity investors.
“Not everything is going to be for every person, but there’s certainly going to be something in the Thomas Ashbourne portfolio for you depending on what you like to drink,” said Cara Kamanev, Thomas Ashbourne CEO. “There is a certain alignment between the celebrity and their cocktail and the demographic that their cocktail will appeal to.”
In May, the company launched its four-SKU portfolio featuring celebrity founding partners Sarah Jessica Parker, John Cena, Ashley Benson, Rosario Dawson, Vanessa Hudgens, and Playboi Carti. According to Kamanev, the artists and actors were involved in the development of each cocktail. Matching each celebrity to a drink’s demographic was part of the conceptualization to achieve broad appeal through the four options. The Cosmopolitan, as the reigning drink of Parker’s “Sex in the City” character Carrie Bradshaw, overindexed with women slightly more urban and over 45-years-old. On the other side of the gender spectrum, the Old Fashioned cocktail aligned with actor John Cena’s fan base, a similarly aged male demographic.
The brand made a splash in consumer press when it launched, and is steadily rolling out to new markets. The celebrities are now tapping into their followings, by “genuinely integrating the drinks into their lives,” according to Kamanev, be it through social media or showing up on Zoom sales calls while breaking from set. Last weekend, actress Ashley Benson signed bottles of margaritas at a liquor store in Los Angeles.
That differentiation might help a product in a newly crowded category of RTDs: canned tequila 355ml offerings increased share from 7% in 2019 to 31% in 2021, according to the IWSR. The popularity of tequila is creating a halo effect for the RTD category, with consumers interested in ranch waters, palomas and canned margaritas, according to the same data report. Onda, one of the fastest growing tequila-based seltzers, has certainly filled a gap in the segment.
The founders behind the bright orange cans recently announced a $12.5 million growth round, and now have distribution in 31 states including major chains like BevMo and Costco. One of the leaders behind the brand is actress Shay Mitchell, whose online channels helped propel the brand with a digital-first launch through e-commerce. That involvement has aided in activating a millennial and Gen Z audience that connects to the beachy lifestyle brand.
“Shay is a natural voice for Onda and matches the brand’s lifestyle perfectly- Onda is beachy, inspired by California, stylish, and playful – we don’t take ourselves too seriously,” said founder Noah Gray in an interview in April. “She truly embodies the ethos of the brand, and actually drinks and loves Onda.”
Unlike a tequila seltzer, The Finnish Long Drink faced the task of introducing a cultural product new to Americans using a spirit that doesn’t rank in one of the top RTD spirit preferences. In an analysis of RTD flavors, gin fell behind vodka, tequila and rum based cocktails, according to Drizly’s BevAlc Insights. But it hasn’t been the only one pushing a take on the Finnish favorite: Hartwell Long Drink entered the race in 2020, hoping to build off its reputation as the original canned formula with 70 years on the Finnish market, and is now in ten U.S. states. Elsewhere, Bevy Long Drink was retired recently by Boston Beer Co after about a year on the market, despite sinking $10 million worth of promotion into the brand.
The Finnish Long Drink may have achieved a leg up on other versions by relying more on its celebrity affiliations than the actual attributes of the drink. While many spirits-based RTDs emphasize their use of real spirits and ingredients, The Finnish Long Drink doesn’t mention gin in its marketing campaigns. In 2021 the brand announced it had secured a $25 million investment, and has gained a slew of celebrity investors from golfer Justin Thomas to race car driver Ken Block and singer-actor Diego Boneta. Teller, golfer Rickie Fowler and musical artist Kygo are the most visible of its co-owners.
“All of their support comes from a genuine love of The Finnish Long Drink, which allows for natural opportunities to collaborate with each other,” said Ere Partanen, the company’s co-founder.
In 2021 the company’s sales doubled and the brand is projecting similar levels of growth for this year. Distribution has expanded to 25 to 40 states since the beginning of 2022. Most recently, Teller starred in the national ad campaign and Kygo has made The Finnish Long Drink a part of his tour rider.
“RTDs and canned cocktails are one of the fastest-growing areas of the alcohol business, and they are not going anywhere but up,” said Derek Correia, ReserveBar president. “And when you add in the impact that celebrities can have on consumers and their purchasing habits, it can make for a very successful formula.”
Correia specifically cited Onda and Thomas Ashbourne cocktails as winning formulas, adding that the site offers virtual events such as product tastings with celebrity brands, including an upcoming event with John Cena to walk consumers through his cocktail story and flavor. But, he cautioned that long-term success still has to be based on a great product.
“No celebrity can overcome bad juice,” he said. “Beyond that, there is a difference between true passion, authenticity, and the connection celebrities can make between themselves, the product, and their fans.”