The Indian alcoholic beverages industry is growing at a gradual pace. As compared to the more mature market in the West, the alcoholic beverages industry is not explored fully yet in India. The industry needs support from the Indian government and proper branding and promotions by the companies in the country. According to a report on alcoholic drinks, the market is expected to grow annually by 7.9%, CAGR 2018-2021.
The following alcoholic beverages trends are likely to ascend in 2019.
Beer and Wine Hybrids
A recent report by data essentials revealed a 39% increase in the inclusion of beer and wine-based cocktails in menus. For instance, combinations of gin and sparkling wine with a melon slice or rum with prosecco and fruit juices are gaining popularity.
As per the report titled 'India Alcoholic Beverage Market Outlook to 2020 – Inflating Demand for IMFL and Beer from Youth and Women Segment’, Beer and Indian-made foreign liquor (IMFL) are largely consumed in Dadra & Nagar Haveli, Andaman & Nicobar Islands, Daman & Diu, Puducherry, Sikkim and Arunachal Pradesh, Andhra Pradesh, Goa, Karnataka and Kerala.
Healthy Alcoholic Beverages
Alcohol is not a health elixir yet we could always find options to make low-calorie drinks. Consumers are increasingly pondering about calories, bloating, and headaches that come along with alcohol consumption. Hence, fresher ingredients like vegetables and fruits are being sought after. Even Bloody Mary with extra spice, silver tequila and a splash of juice in vodka soda also work.
According to IRI, the sales of domestic premium rose wines are up by 65%. It is thriving in the US and France. It is the millennial and Gen X consumers who are responsible for the boost in sales. The darker rose along with sweet or partially sweet flavours is more popular. The sweet taste of the premium rose attracts consumers, especially the younger generation.
Youth and Complexity
Due to its increasing popularity among the younger generation, beer has become the second fastest growing market — the alcohol consumption is dominated by the male population in India — and the third largest in terms of consumption. Youth and complexity go hand-in-hand which is true in their choice of alcoholic beverages as well. The younger demographic is seeking complex flavours and preparation methods where drinks are “smoked”, “toasted” or “pickled”. In addition, they are also attracted to bars serving a wide array of beers.
This trend has synchronized with the introduction of all-day brunches and breakfasts. The alcohol content, thus, rises as the day progresses with minimal content for breakfast and more midnight onward. The term ‘drunch’ meaning drinking over lunch became popular this year, especially in Bengaluru. Entrepreneurs and younger professionals prefer light alcoholic beverages be it cocktails, beer and wine. This trend will be more popular in more parts of the country in 2019.
As told to Sara Khan, Features Editor, Restaurant India.