The Difference Between Malt Based, Wine Based, and Spirit Based RTDs
RTDs, or Ready-to-Drink beverages, have become increasingly popular among consumers looking for convenient and tasty alcoholic options. There are three main categories of RTDs: malt based, wine based, and spirit based. Each category has its own unique characteristics and appeal to different segments of the market.
Malt Based RTDs
Malt based RTDs are beverages that are made from malted barley and other grains. They are often flavored with fruit juices, spices, or other ingredients to create a refreshing and easy-to-drink product. Brands like Mike’s Hard Lemonade and Smirnoff Ice fall into this category.
One of the key advantages of malt based RTDs is their wide variety of flavors and styles. From fruity and sweet to spicy and tart, there is a malt based RTD to suit every taste preference. These beverages are also typically lower in alcohol content compared to spirit based RTDs, making them a popular choice for casual drinkers or those looking for a lighter option.
In terms of market share, malt based RTDs have seen steady growth in recent years. According to industry data, the global market for malt based RTDs was valued at $8.3 billion in 2020, with a projected CAGR of 5.7% from 2021 to 2026. This growth can be attributed to factors such as changing consumer preferences, increased marketing efforts by manufacturers, and the rise of flavored alcoholic beverages.
Wine Based RTDs
Wine based RTDs are beverages that are made from fermented grapes or other fruits. These beverages are typically lighter and more sophisticated compared to malt based RTDs, appealing to consumers looking for a more upscale drinking experience. Brands like Barefoot Refresh and CUTWATER SPIRITS offer a range of wine based RTDs in various flavors and styles.
One of the key advantages of wine based RTDs is their perceived health benefits. Wine is often associated with antioxidants and other health-promoting properties, making wine based RTDs a popular choice among health-conscious consumers. These beverages are also versatile and can be enjoyed on their own or mixed with other ingredients to create unique cocktails.
In terms of market share, wine based RTDs have seen significant growth in recent years. According to industry data, the global market for wine based RTDs was valued at $4.6 billion in 2020, with a projected CAGR of 8.2% from 2021 to 2026. This growth can be attributed to factors such as the increasing popularity of wine among younger consumers, the rise of e-commerce platforms for alcohol sales, and the growing trend of premiumization in the beverage industry.
Spirit Based RTDs
Spirit based RTDs are beverages that are made from distilled spirits such as vodka, gin, rum, or whiskey. These beverages are typically higher in alcohol content compared to malt based and wine based RTDs, appealing to consumers looking for a stronger and more intense drinking experience. Brands like Bacardi Breezer and Smirnoff Ice fall into this category.
One of the key advantages of spirit based RTDs is their versatility and mixability. Spirits can be combined with a wide range of ingredients to create complex and flavorful cocktails, making spirit based RTDs a popular choice among cocktail enthusiasts and bartenders. These beverages are also often marketed as premium products, appealing to consumers looking for a more sophisticated drinking experience.
In terms of market share, spirit based RTDs have maintained a strong presence in the beverage industry. According to industry data, the global market for spirit based RTDs was valued at $12.9 billion in 2020, with a projected CAGR of 6.4% from 2021 to 2026. This growth can be attributed to factors such as the growing popularity of craft cocktails, the rise of mixology as a culinary trend, and the increasing demand for premium spirits among consumers.
Conclusion
In conclusion, malt based, wine based, and spirit based RTDs each offer unique characteristics and appeal to different segments of the market. Malt based RTDs are known for their variety of flavors and lower alcohol content, wine based RTDs are perceived as more upscale and healthy, and spirit based RTDs are versatile and mixable. As the RTD market continues to grow and evolve, it will be interesting to see how these categories develop and compete for consumer attention and loyalty.
