CGA by NielsenIQ has revealed five insights into the hard seltzer sector in Ireland, which it said, despite still being a new and relatively small drinks category in Ireland's on premise, offers exciting potential for suppliers and operators.
Growing Choice
CGA's on premise measurement service shows the number of products on sale has gone from three to 11 in the last three years, with established suppliers and new brands investing and innovating heavily. Growth has been powered by new flavour launches from big brands, like mango, lime, cherry and raspberry and rhubarb.
Five-Fold Increase In Sales
Sales in Ireland's on premise in the year to August totalled €2.1 million, which was more than five times the value of €0.4 million just three years ago, and means that hard seltzers now have a 6.4% value share of the RTD category, compared to 5.4% in 2019.
Rising Consumer Awareness
CGA's latest on premise user survey found that 54% of consumers have now heard of hard seltzers, which is up by eight percentage points in the last 12 months. This is translating into interest, with 41% people saying that they would be likely to try hard seltzers if they were available when out.
Value Is A Big Factor…
The OPUS research found that 31% of consumers are motivated to buy hard seltzers by price. Another 21% said promotions or offers were driving factors. CGA said that this flags the importance of value in this category, which is something that may well become even more significant as consumers' discretionary spending is squeezed.
…But Quality Is Crucial Too
18% of consumers say that they are motivated to buy hard seltzers by their quality, and 24% cite taste as a big consideration.
Statement By CGA By NielsonIQ Client Director - Ireland
Sian Brennan, CGA by NielsenIQ client director - Ireland, said, "The hard seltzers category is quickly gaining traction across Ireland's on premise, and it plays very well to consumers who want something different and healthier after COVID-19. Competition is likely to get fierce in the months ahead, so suppliers will need to properly understand consumers' needs here, and identify the sweet spot of value and quality."
