Alcoholic Drinks Beyond the Pandemic

Delivery

This report comes in PPT.

Key Findings

Globalised disruption and the dawn of the New Normal

Supply chain upheaval, labour shortages – particularly in hospitality – severe and sustained inflationary pressures and an ongoing reassessment of drinkers’ priorities, values and daily rituals will inform the direction the alcohol industry adopts following the pandemic.

Unprecedented declines but strong momentum for bounce-back

The pandemic cost has been severe with the on-trade suffering monumental losses, micro and craft producers facing even more pronounced headwinds and all key segments forced into the defensive. However, the ongoing recovery’s momentum is strong and accelerating.

Drinking going digital, polarisation rising and hometainment take centre stage

The (admittedly belated yet booming) rise of e-commerce in all its myriad iterations from DTC sales to third party apps, the pandemic macroeconomic ripple effects potentially fuelling more polarised purchasing choices and the home cemented as an entertainment hub are three key trends to watch in the short to medium term.

Downside risks remain, from new variants to macroeconomic clouds on the horizon

We are not out of the woods just yet. Varying degrees of vaccination coverage, the certainty of new variants appearing and discretionary incomes across most of the key markets being under severe and sustained pressure could derail the otherwise buoyant recovery narrative.

Innovation and experimentation will shift back under the spotlight

While innovation took a back seat during the initial stages of the crisis since streamlining operations and pivoting to survival mode became essential, producers and consumers are gearing up to embrace the post-pandemic era through the lens of new occasions, a total beverage coverage and breaking the mould in new product and format launches.