Study: Multicultural Americans More Likely to Choose RTDs, Higher Loyalty to Spirit Brands

A new study highlights preferences and motivations for drinking alcoholic beverages across race and ethnicity. The study, published in February, comes from Collage Group, a cultural intelligence agency that offers consumer insights across race, ethnicity, generation, sexual identity and gender with a focus on high-growth consumer segments. The top spirit-related insights and findings point to how a sample of consumers representing different races and ethnicities make choices around non-alcoholic beverages, ready-to-drink cocktails, and liquor.

RTDs More Popular Among Multicultural Americans

Multicultural Americans, especially Asian and Black Americans, are more likely to choose a RTD cocktail compared to White Americans, according to the report. More than half of White Americans surveyed (57%) said they would rather mix their own cocktails, compared to 47% of Asian Americans, 52% Black Americans, and 50% of Hispanic Americans.

“The main draw to this choice includes the convenience and taste of it,” said Elizandra Granillo, analyst of cultural insights at Collage Group. “So brands who want to reach multicultural audiences and spirits enthusiasts can do so by emphasizing the convenience and taste of their RTD cocktail product.”

She added that brands can also resonate with those segments by offering a range of options based on ABV, and educating consumers on the product’s features.

Black and White drinkers surveyed (54% and 52% respectively) said they were more likely than others to prefer a canned cocktail over a hard seltzer, compared to 45% of Asian Americans and 46% of Hispanics. For those drinkers who opt to make their own cocktails, being able to control the strength and taste of the drink is the main motivator.

Liquor Brand Loyalty High Amongst Hispanic and Asian Americans

When deciding between the cheapest brand of liquor available and the respondent’s preferred brand of liquor (regardless of price), Hispanic and Asian Americans were more loyal to their preferred spirit brands by small percent differences. Small batch and craft liquors were also more interesting to Asian and White consumers than other segments. Clocking in higher than other segments, 32% of Black consumers surveyed care more about how luxurious a liquor feels.

“The segment also values brands that are unique,” Granillo said. “While personal recommendations are a primary motivator to try something new among spirits drinkers, Black spirits drinkers tend to prefer trend-setting.”

A good idea to reach this segment is to allow opportunities to “be first” when it comes to sharing a recommendation and highlighting the ways a brand can make Black Americans feel “special” and “out of the ordinary” when enjoying it, she added.

Multicultural Consumers Were Less Likely to Be Aware of Dry January

Despite Dry January’s momentum, multicultural consumers surveyed were less likely to be familiar with the annual movement but those who did participate plan to continue drinking less alcohol. Only 18% of White respondents were unaware of Dry January compared to 35% of Hispanic Americans, 25% of Black Americans, and 28% of Asian Americans. Half or more drinkers have not changed their consumption in the past three months, according to the report, but Hispanic Americans do lead other segments in consuming less.

For those who did participate in Dry January, most drinkers did not reach for a non-alcoholic version of a drink. When respondents did enjoy a non-alcoholic option it was a mocktail over a non-alcoholic spirit, wine or beer. Based on those findings, brands investing in Dry January campaigns should include more education information and explain the benefits of committing to going dry for the first month of the year, the report recommended.