The term "ready-to-drink" (RTD) describe as beverages that blended and are prepared for consumption. It is an efficient option that enables consumers to partake of alcoholic beverages or ready-made cocktails at home or when travelling. These beverages typically contain less alcohol than some beers and spirits. It differentiated into 3 types, malt-based, spirits-based, wine-based.

There are many distinct types of ready-to-drink alcoholic beverages availability in market and each with a unique function and consumer base. Recently, the culture of drinking cocktails has grown, and bars and bartenders have contributed significantly to this. For instance, the Coca-Cola Company signed an agreement with Constellation Brands Inc. to launch FRESCA Mixed. It is full-flavored, spirit-based ready-to-drink (RTD) cocktails available in US. Due to the pandemic, people not able to go out as much, but they still want to reproduce the experience at home.

The Global Ready to Drink Cocktails Market was valued around US $855.21 MM in 2022 and is expected to reach US $2435.21 MM by 2030 with a CAGR of 14.53% during the forecast period.

Factors Driving the Market

Drivers

Rising demand convenience & low-alcoholic flavoring drink

In recent decades, rising awareness towards low-alcoholic and flavored drinks among youth is major driving force of Ready to Drink Cocktails industry.

The demand for healthier and lower-alcohol beverage options is rising, spurred on by customers that are concerned about their health and who want to drink alcohol in moderation. Since RTD drinks give the option to develop less-alcoholic or alcohol-free variations of popular cocktails, they are well-positioned to address this demand. Innovative formulas are being created by manufacturers that allow for lower alcohol concentration while preserving the flavour qualities of classic drinks. Additionally, the use of natural ingredients and authentic fruit flavours in RTD drinks is in line with the desires of many customers who are health- and clean-label aware. For instance, in April 2023, Avril Lavigne entered into partnership with ready-to-drink cocktail brand BeatBox for exclusive new pink lemonade flavor. Through this strategic move, it creates exclusive, uniquely designed flavors and packaging that are distributed through the brand's large retail network.

Challenges

Competition from other brands and balance shelf stability

Recently, some top competitors and manufacturing industry launched new beverages & establish itself as top market player and gain maximum market share. For instance, in 2017 McDonald's USA launched its McCafé experience, introducing a new look, new café-quality espresso beverages and expanded retail offerings. This strategic move is part of McDonald's to raise the bar for its customers. For RTD cocktail manufacturers, it may be difficult to distinguish out from the crowd and win over a devoted following in light of the competition. To stand out from the competition and keep a competitive advantage, brands must invest in powerful marketing techniques, cutting-edge products, and strategic brand positioning.

Furthermore, to keep RTD drinks safe for consumption and maintain their quality over time, manufacturer require specific level of shelf stability. It takes balancing to acquire this stability while utilized natural components & avoiding chemical preservatives. The flavour and general quality of a product might degrade over time due to natural ingredients like fruit juices and real spirits.

Other challenges include distribution and retail reach, economic and external, consumer perception and education.

Trends

Growing popularity of premium RTD cocktails and beverages

There is indeed growing research dedicated to developing a Ready to Drink Cocktails. Most of the food research related organizations and private partner and research institutions are actively working on various RTD beverages & cocktail and approaches.

For instance, Asahi, one of the Beverage giants launched new RTD green tea blended to appeal to a new generation of Japan’s tea consumers. It surveyed 12,000 people in two years to discover that Japanese consumers have shifted their preference in green tea from a slightly bitter taste toward “high aroma and crisp flavor.” Furthermore, in august 2021, Asahi Group has launched two yoghurt-flavoured alcoholic RTDs that contain fermented milk. RTD cocktails that provide a sophisticated and heightened flavour experience can command a higher price from consumers. High-end spirits, premium ingredients, and inventive flavour combinations are frequently used in premium RTD cocktails to provide flavours that are complex and unique.

RTD cocktail brands are concentrating on product innovation, flavour exploration, and the use of premium ingredients to produce distinctive and premium offerings in order to capitalize on this trend. Marketing initiatives place a strong emphasis on the quality craftsmanship, authenticity, and distinctive value proposition of these products, enticing customers looking for upscale drinking options without the hassle of elaborate preparation.

Other trends include low-alcohol and health-conscious offerings, unique and exotic flavors, celebrity and influencer partnerships.

Market Segmentation

By Type

Based on types, the market is divided into Wine-based, Spirit-based, Malt-based. Spirit-based cocktail led the global ready to drink cocktails market in 2022 and is expected to continue to lead the market during the forecast period. This segment contributed around XX% in 2022. It typically exists in single-serve containers and has a wide range of flavours.  Cocktails made with spirits have up to 5% alcohol with other ingredients like juices. Also. some widely consume alcoholic drinks includes Vodka, gin, tequila, whisky, and rum. These drinks are available in a various flavour, such as cocktails ginger, rose, and lavender.  As a result, they have emerged as the non-alcoholic beverage that consumers prefer the most.

Wine-based will be the fastest growing segment during the forecast period with a CAGR of around XX%, owing to increasing need for Ready to Drink Cocktails across the globe. Wine-based cocktails typically include fruit juices including grapefruit, orange, passionfruit, lemon, mango, and berries, which has increased market demand as consumers believe wines to be healthier than spirits and malts.

By Packaging

Based on packaging, the market is divided into cans, bottles. Bottles led the global Ready to Drink Cocktails market in 2022 and is expected to continue to lead the market during the forecast period. This segment contributed around XX% in 2022. Due to its convenient use, portability, and storage, bottles are a better option for consumers focusing towards quick and hassle-free drinking experience. The safety and sealing provided by bottles are superior to those of other packaging materials like cans or pouches. The outcome is a longer length of time during which the product's integrity, including flavour, fragrance, and freshness, is maintained.

By Regions

By geography the market is divided into the North America, Europe, APAC, and others. North America led the ready to drink cocktails market in 2022 with the market share of around XX%. Increased awareness, affordability and availability of the ready to drink cocktails in the U.S are the prime factors for the high market share of North America region.

APAC will be the fastest growing region during the forecast period with a CAGR of around XX% due to the ongoing research efforts by different food manufacturing industry to develop new ready to drink cocktails. Also, changing lifestyle and growing trends toward consumption of alcohol and also easy availability of RTD drinks that increase demand of RTD cocktail in APAC region.

Competitive Landscape

The global Ready to Drink Cocktails market is concentrated with only two players with approved Ready to Drink Cocktails present in the market namely PepsiCo and Coca-Cola Company.  

PepsiCo dominates the market. PepsiCo is a leading global beverage and convenient food company with a complementary portfolio of brands, including Lays. Doritos, Cheetos, Gatorade, Pepsi- Cola Mountain Dew. Quaker and SodaStream. The Quaker Foods unit makes Quaker oatmeal. In 2017, PepsiCo introduced the first Ready to Drink Cocktails named as Quaker Oats+Milk, a readyto-drink beverage that combines milk and oats.

Furthermore, in 2016, it introduced fruit-based fizzy drinks. The government, meanwhile, has also increased excise on aerated drinks, resulting in an increase in prices.

Coca-Cola Company is the second revenue generator in the market. It is home to numerous beverage brands including five of the world's top six nonalcoholic sparkling soft drink brands, Coca-Cola, Sprite. Fanta Diet Coke and Coca-Cola Zero Sugar. For instance, in March 2023, Jack Daniel’s & Coca‑Cola RTD, a pre-mixed, canned cocktail launched last fall in Mexico is set to hit stores in the US. The highly anticipated ready-to-drink (RTD) take on one of the most requested “bar calls” cocktails ordered by brand name that balances the smooth character of Jack Daniel’s Tennessee Whiskey with the refreshing taste of Coca‑Cola.

Companies Developing Ready to Drink Cocktails and in Trial Phase

• Nestle – Nestle is one of the leading food and drinks companies that produces more than 2.000 brands including the world's leading coffee brand Nescafe. It's global business portfolio includes a wide range of brands from food and beverages to health care nutrition and petcare. Its brands. produced at around 355 factories globally, include global regional and local favorites.
• Asahi – Asahi is a global corporation with diverse interests ranging from brewing some of the world's most beloved beers to manufacturing non-alcohol beverages and food. Asahi's portfolio of beer products is anchored by its Asahi Super Dry Peroni, Calpis, Wonda, Wilkinson brand and other beverages such as whiskey and shochu.
• McDonald's Corporation – McDonald's Corporation franchises and operates McDonald's restaurants that serve a locally relevant menu of quality food and beverages in communities across some 120 countries. The company has over 40,000 restaurants at the end of 2021. The popular chain is well-known for its Big Macs, Quarter Pounders.
• Dunkin – In partnership with the Coca-Cola launched lineup of ready-to-drink (RTD) canned iced coffees. Brownie Batter Donut features a rich, chocolatey flavor, Cake Batter Donut tastes like vanilla cake; and Coffee Cake Muffin delivers a sweet, cinnamon taste.
• Starbucks Coffee Company – Starbucks Coffee Company Ltd. owns and operates a chain of retail coffee shops in the United Kingdom and globally. The company's stores serve a variety of cappuccino, mocha, latte and espresso coffees with chocolate and whipped cream. The company collaborated with Nestlé to bring Starbucks Ready-to-Drink (RTD) coffee beverages to select markets across Southeast Asia, Oceania and Latin America. The companies work to quickly bring these coffee beverages to consumers as of 2022.
• Unilever PLC – The company signed an agreement over the Lipton name after the company decided to sell the tea brand yet retain its Lipton iced tea joint-venture with PepsiCo. Unilever PLC. along with its Dutch counterpart, Unilever N.V., constitute a global food and refreshment, beauty and personal care, and home care products powerhouse. The group's vast portfolio of consumer products includes approximately 50 global brands including Hellmann's (mayonnaise), Knorr (soups), Lynx (fragrance), Magnum (ice cream), and Dove (soaps).

Recent Developments

1. January 10, 2022: The Coca-Cola Company signed agreement with Constellation Brands Inc. to launch FRESCA Mixed, a line of full-flavored, spirit-based ready-to-drink (RTD) cocktails in the U.S. The FRESCA brands appeal to consumers seeking fuller-flavored experiences and higher-quality RTD cocktails to bridge between refreshing hard seltzers and full-flavored bar cocktails.
   
   
2. August 16, 2020: Diageo plc launched a range of flavored, low-calorie, RTD cocktails under its Ketel One brand in the U.S. The product is formulated with vodka blended with botanicals, natural fruits, and sparkling water and comprises of three-strong flavors including - ‘Peach & Orange Blossom’, ‘Cucumber & Mint’, and ‘Grapefruit & Rose’.

Ready to Drink Cocktails Market Scope

Table of Contents

1... Introduction

1.1 Research Scope

1.2 Market Segmentation

1.3 Research Methodology

2... Executive Summary

3... Market Dynamic

3.1            Market Drivers

3.2            Market Restraints

3.3            Market Opportunities

4... Key Insights

4.1            Number of Major Developments on Ready to Drink Cocktails Performed in Key Countries, 2021/2022

4.2            New Product Launches, By Key Players

4.3            Key Industry Developments

4.4            Impact of COVID-19 on the Ready to Drink Cocktails Market

4.5            Regulatory & Reimbursement Scenario, By Key Countries

5... Global Ready to Drink Cocktails Market Analysis, Insights and Forecast, 2019-2030

5.1            Market Analysis, Insights and Forecast – By Type

5.1.1            Wine-based

5.1.2            Spirit-based

5.1.3            Malt-based

5.2             Market Analysis, Insights and Forecast – By Packaging

5.2.1            Cans

5.2.2            Bottles

5.5            Market Analysis, Insights and Forecast – By Region

5.5.1            North America

5.5.2            Europe

5.5.3            Asia Pacific

5.5.4            Latin America

5.3.5            Middle East & Africa

6... North America Ready to Drink Cocktails Market Analysis, Insights and Forecast, 2019-2030

6.1            Market Analysis, Insights and Forecast – By Type

6.1.1            Wine-based

6.1.2            Spirit-based

6.1.3            Malt-based

6.2             Market Analysis, Insights and Forecast – By Packaging

6.2.1            Cans

6.2.2            Bottles

6.3             Market Analysis, Insights and Forecast – By Country

6.3.1            U.S.

                    6.3.1.1 By Type

6.3.2            Canada

                    6.3.2.1 By Type

7... Europe Ready to Drink Cocktails Market Analysis, Insights and Forecast, 2019-2030

7.1            Market Analysis, Insights and Forecast – By Type

7.1.1            Wine-based

7.1.2            Spirit-based

7.1.3            Malt-based

7.2             Market Analysis, Insights and Forecast – By Packaging

7.2.1            Cans

7.2.2            Bottles

7.3            Market Analysis, Insights and Forecast – By Country

7.3.1            Germany

                    7.3.1.1 By Type

7.3.2            U.K.

                    7.3.2.1 By Type

7.3.3            France

                    7.3.1.1 By Type

7.3.4            Italy

                    7.3.4.1 By Type

7.3.5            Spain

                    7.3.5.1 By Type

7.3.6            Scandinavia

                    7.3.6.1 By Type

7.3.7            Rest of Europe

                    7.3.7.1 By Type

8... Asia Pacific Ready to Drink Cocktails Market Analysis, Insights and Forecast, 2019-2030

8.1            Market Analysis, Insights and Forecast – By Type

8.1.1            Wine-based

8.1.2            Spirit-based

8.1.3            Malt-based

8.2             Market Analysis, Insights and Forecast – By Packaging

8.2.1            Cans

8.2.2            Bottles

8.3            Market Analysis, Insights and Forecast – By Country

8.3.1            China

                    8.3.1.1 By Type

8.3.2            India

                    8.3.2.1 By Type

8.3.3            Japan

                    8.3.1.1 By Type

8.3.4            Australia

                    8.3.2.1 By Type

8.3.5            Southeast Asia

                    8.3.1.1 By Type

8.3.6            Rest of Asia Pacific

                    8.3.2.1 By Type

9... Latin America Ready to Drink Cocktails Market Analysis, Insights and Forecast, 2019-2030

9.1            Market Analysis, Insights and Forecast – By Type

9.1.1            Wine-based

9.1.2            Spirit-based

9.1.3            Malt-based

9.2             Market Analysis, Insights and Forecast – By Packaging

9.2.1            Cans

9.2.2            Bottles

9.3            Market Analysis, Insights and Forecast – By Country

9.3.1            Brazil

                    9.3.1.1 By Type

9.3.2            Mexico

                    9.3.2.1 By Type

9.3.3            Rest of Latin America

                    9.3.1.1 By Type

10. Middle East & Africa Ready to Drink Cocktails Market Analysis, Insights and Forecast, 2019-2030

10.1          Market Analysis, Insights and Forecast – By Type

10.1.1          Wine-based

10.1.2          Spirit-based

10.1.3          Malt-based

10.2          Market Analysis, Insights and Forecast – By Packaging

10.2.1          Cans

10.2.2          Bottles

10.3          Market Analysis, Insights and Forecast – By Country

10.3.1          GCC Countries

                    10.3.1.1 By Type

10.3.2          South Africa

                    10.3.2.1 By Type

10.3.3          Rest of Middle East & Africa

                    10.3.1.1 By Type

11. Competitive Analysis

11.1          Global Market Share Analysis (2022)

11.2          Company Profiles (Overview, Products, SWOT analysis, Recent developments, strategies, financials (based on availability))

11.2.1          PepsiCo

11.2.1.1 Overview

11.2.1.2 Products

11.2.1.3 SWOT analysis

11.2.1.4 Recent developments

11.2.1.5 strategies

11.2.1.6 financials (based on availability)

11.2.2           The Coca‑Cola Company

11.2.2.1 Overview

11.2.2.2 Products

11.2.2.3 SWOT analysis

11.2.2.4 Recent developments

11.2.2.5 strategies

11.2.2.6 financials (based on availability)

11.2.3           Nestle

11.2.3.1 Overview

11.2.3.2 Products

11.2.3.3 SWOT analysis

11.2.3.4 Recent developments

11.2.3.5 strategies

11.2.3.6 financials (based on availability)

11.2.4           Asahi

11.2.4.1 Overview

11.2.4.2 Products

11.2.4.3 SWOT analysis

11.2.4.4 Recent developments

11.2.4.5 strategies

11.2.4.6 financials (based on availability)

11.2.5           McDonald's Corporation

11.2.5.1 Overview

11.2.5.2 Products

11.2.5.3 SWOT analysis

11.2.5.4 Recent developments

11.2.5.5 strategies

11.2.5.6 financials (based on availability)

11.2.6           Dunkin' Brands Group

11.2.6.1 Overview

11.2.6.2 Products

11.2.6.3 SWOT analysis

11.2.6.4 Recent developments

11.2.6.5 strategies

11.2.6.6 financials (based on availability)

11.2.7           Starbucks Coffee Company

11.2.7.1 Overview

11.2.7.2 Products

11.2.7.3 SWOT analysis

11.2.7.4 Recent developments

11.2.7.5 strategies

11.2.7.6 financials (based on availability)

11.2.8           Unilever PLC

11.2.8.1 Overview

11.2.8.2 Products

11.2.8.3 SWOT analysis

11.2.8.4 Recent developments

11.2.8.3 strategies

11.2.8.6 financials (based on availability)

11.2.9           Dr Pepper

11.2.9.1 Overview

11.2.9.2 Products

11.2.9.3 SWOT analysis

11.2.9.4 Recent developments

11.2.9.5 strategies

11.2.9.6 financials (based on availability)

11.2.10         The Dannon

11.2.10.1 Overview

11.2.10.2 Products

11.2.10.3 SWOT analysis

11.2.10.4 Recent developments

11.2.10.5 strategies

11.2.10.6 financials (based on availability)

Global Ready to Drink Cocktails Market Segmentation

Ready to Drink Cocktails by Type: Market Size & Forecast 2023-2030

• Wine-based
• Spirit-based
• Malt-based

Ready to Drink Cocktails by Packaging: Market Size & Forecast 2023-2030

• Cans
• Bottles

Ready to Drink Cocktails by Geography: Market Size & Forecast 2023-2030

• North America (USA, Canada, Mexico)
• Europe (Germany, UK, France, Russia, Italy, Rest of Europe)
• Asia-Pacific (China, Japan, South Korea, India, Southeast Asia, Rest of Asia-Pacific)
• South America (Brazil, Argentina, Columbia, Rest of South America)
• Middle East and Africa (Saudi Arabia, UAE, Egypt, Nigeria, South Africa, Rest of MEA)

Major Players:

• PepsiCo
• Coca-Cola Company
• Nestle
• Asahi
• McDonald's Corporation
• Dunkin
• Starbucks Coffee Company
• Unilever PLC