Bev-alc sales continued to decline in the two-week period ending August 9, although cider and ready-to-drink (RTD) spirits are still enjoying a slight summer boost, according to analysis of NIQ data from Goldman Sachs Equity Research.
NIQ uses US x AOC (extended All Outlet Combined) including convenience stores to summarize multi-channel markets and aggregate all national cross-outlet market data, and includes certain retailers (such as Whole Foods Market) that other providers do not.
Total alcohol beverage dollar sales slightly declined (-2.1% 2W/ -3.2% 4W). Volume trends dipped (-1.3% 2W/ -1.6% 4W) against slight pricing declines (-0.7% 2W/ -0.5% 4W).
Category Highlights
- RTDs: One of the few bright spots, spirits-based RTDs continue to grow (+27.6% 2W/ +23.6% 4W), while wine-based RTDs saw a slight uptick (+25.2% 2W/ +24.2% 4W).
- Cider: Cider was another positive, as sales rose 4.9% in the two-week period (+4.2% 4W), with volume up as well (3.8%).
- Spirits: Spirits saw slightly better sales numbers (0.8% 2W/ 0.4% 4W). Volumes rose +6.9%, likely thanks to RTDs, though average prices declined -5.7%.
- FMBs: Sales showed little improvement at -5% in the two-week period (-5.3% 4W). Twisted Tea declined -11% but saw share expansion, while Simply Spiked was down 30.2% (-31.7% 4W). Overall, Boston Beer’s FMB portfolio dropped 10.3% (-10.9% 4W).
- Hard Seltzer: Nothing new bubbling up here – sales were down 4.7% (-5.6% 4W), with Truly falling 10.3% and share continuing to contract.
- Beer: Dollar sales fell 2.5% in the latest two weeks (-2.4% 4W), driven by -4.2% volume declines, partially offset by +1.7% pricing.
RTDs Boost Spirits; Hard Tea Players Steal Share
In RTDs, one major player is still reporting losses, while emerging styles are hitting triple-digit growth. The category is still highly fragmented, with all other brands after the top 11 making up 41% of dollar share.
High Noon remains the category leader (21.5% of spirit-based RTD sales) but sales are down (-4.8% 2W/ -8.0% 4W) and velocity is dropping (-20.4% 2W/ -14.2% 52W).
Cutwater follows with 14.2% of share, and sales showing major improvement (+109.4% 2W /+91.8% 4W). Nutrl is also holding steady (+14.5% 2W/ +14.5% 4W).
Jack Daniel’s RTD saw a slight summertime bump (+3.3% 2W/ +1.2% 4W) with distribution holding steady and sales velocity still negative (-15.7% 2W/ -17% 4W). The only other spirit brand extension in the top brands, Jose Cuervo Cocktail, remains in a sales slump (-7.5% 2W/ -7.7% 4W).
Meanwhile White Claw Spirits Cocktails and Truly Cocktail, which have each failed to translate brand recognition from hard seltzer into strong RTD cocktail traction, saw sales fall -86.6%, and -93.1% respectively in the two-weeks.
The independent (and original) vodka-spiked ice tea, Surfside sees sales continue to hit triple digits (+110.1% 2W/ +101.5% 4W) and is still slightly ahead in distribution (42% ACV) of its Boston Beer competitor, Sun Cruiser (39%) in the last two-week period, which is also seeing triple-digit sales (+378.1% 2W/ +391.1% 4W). Sales velocity is where we see the larger gap, with Surfside down -57.6% versus Sun Cruiser at -31.9%. Surfside now holds an 8.9% dollar share of spirits-based RTDs, behind only High Noon and Cutwater.
As for wine-based RTDs, BuzzBallz is still leading the pack in sales growth (+59% 2W), with Big Sipz second (+30.8% 2W) and Beatbox following (+27.1% 2W). Rancho La Glora (-4.2%) and Daily’s Cocktail (-8.9%) saw sales fall in the two-week period.