The canned beverage section wasn’t very difficult to navigate, not long ago. One area was beer; a dedicated area was hard seltzers, and spirits mostly remained at the liquor counter. However, today, consumers on the retail beat of any beer shop are increasingly coming across a new beer genre, alongside craft beer, that is ready to drink: ready-to-drink cocktails.

From canned margaritas and old fashioneds to vodka sodas and espresso martinis, the available options for ready-to-drink (RTD) cocktails are currently on the rise and are sure to remain a major player in the drinks market moving forward. Next to IPAs, stouts and seasonal ales – there’s no accident that they’ve become so popular. They create products that are stylish to modern shoppers who are looking for comfort, taste, and quality without the hassle.

The Lines Between Beer, Spirits, and RTDs Are Blurring

Retailers have also caught on to the evolution of consumer behaviour. Beverage stores are evolving and now categorizing their products using the conventional, but not beer vs. wine vs. spirits distinction, but by the occasion/experience to which the product belongs. Having craft beers in line behind the canned cocktails is nothing unusual either, even if you’re having a backyard BBQ, going to the beach, attending a tailgate, or going out on weekends.

For consumers looking to understand the category better, guides to ready-to-drink cocktails can help explain the differences between spirit-based RTDs, beer, flavored malt beverages, and hard seltzers. Top resources such as The Liquor Bros’ buyer’s guide explain what to consider when shopping the expanding canned cocktail section, and introduce shoppers to the different options available. It’s evolved to the level where many consumers view RTDs as an alternative, not a separate type of beverage.

Convenience Has Become a Major Selling Point

There has been a massive change in consumer behaviour in the last ten years. Individuals love a well-made cocktail and craft beer; however, they desire a product that suits a hectic lifestyle. Cocktails that are ready to drink provide just that. They take the place of mixers, glassware, and intensive preparation to offer flavors that are very similar to what would be found in a professional bartender’s drink.

The convenience has resulted in canned cocktails being especially popular for outdoor functions, sporting events, concerts, or any gathering where it would be too cumbersome to carry a lot of ingredients. It was a similar evolution years ago for craft beer. Premium beer has been an attractive product for the consumer due to its variety and high quality, without the need to specialize in the product or prepare it.  Today, beer cocktails and RTD cocktails are following a comparable path, giving consumers flavorful, high-quality options with minimal effort.

Premiumization Is Driving Growth

Early canned cocktails usually had an overly sweet product and were made with cheap ingredients. All this has changed. Today’s ready-to-drink is quality liquor, natural ingredients, and carefully-balanced recipes. Many brands are based on authenticity and craftsmanship, something craft beer drinkers already appreciate. The result is a ‘crossover audience’. Those who enjoy a small batch IPA or barrel-aged stout may be willing to try a good canned cocktail drink like a Negroni or tequila. People are increasingly turning to a variety of drinks, which makes them not just stick with one type of beverage anymore.

Variety Is Reshaping Drinking Habits

The beverage industry is one that’s experienced an interesting trend in recent years: a trend toward variety. The gathering that used to feature just beer can now feature some of the various types of beer choices. Some might have a hazy IPA, some may have a canned margarita, and some a hard seltzer. Consumers are adopting mixed coolers versus purchasing a single type of cooler. 

According to NielsenIQ, the RTD is a perfect answer to consumers’ convenience, quality, and flavor demand. Often, this evolution has left retailers thinking about canned cocktails as more than a trend and as a staple to be offered on their menu.

Craft Beer Drinkers Are Open to Experimentation

The discovery of new brews has always been part of the craft beer scene. The releases, limited releases, and experimental ingredients have created a base of consumers who like to try new things and experiment. This inquisitiveness is also helping to drive the expansion of RTDs. Today, premium spirits, distinctive combinations of them, and advanced production techniques are featured in many canned drinks, drawing in adventurous spirits. Experimental spirits, which were once the domain of beer lovers, are now being embraced in the wider drinks sector. This can be seen especially when people are gathered together and want to have something without compromising on quality. 

The Rise of Outdoor and Social Drinking Occasions

Changes in alcohol consumption habits have also contributed to the rise in popularity of canned cocktails. The rise in popularity of canned cocktails has also been helped by changes in the way people drink alcohol. Enjoying the outdoors is a growing trend, with backyards hosting parties and camp days to music festivals and beyond. 

These are ideal times to have canned beverages since they are portable, easy to chill, and don’t need to be prepared. Craft beer benefited enormously from these same trends. Today, RTDs are now gaining the same benefits as .com’s. A high-quality canned cocktail can deliver a better-drinking experience than a basic cocktail made with a few ingredients in a cooler or at a picnic.

Younger Consumers Are Expanding Their Preferences

Unlike past generations, Millennial and Gen Z consumers may not be as brand loyal in specific beverage categories. They can easily switch between beer, wine, spirits, and non-alcoholic beverages as per occasion. This versatility has allowed the establishment of a context in which the canned cocktail can coexist in harmony with craft beer and not necessarily at its expense. 

As the majority of drinkers are becoming younger, they are more attracted to convenience and quality in their drinks. They don’t just stick to one kind of beer: they frequently switch from craft to cocktail to other kinds based on the occasion. This flexibility and premium offerings that do not need much preparation are reflected in the rise of ready-to-drink cocktails. 

Beer and Cocktails No Longer Occupy Separate Worlds

The notion that there are two distinct groups of people, beer drinkers and cocktail drinkers, has proved obsolete. A number of consumers respect and pick both categories of ready-to-drink beverages according to mood, occasion, and/or convenience as opposed to strict preference. Have a summer party where everyone can share glass after glass of craft lagers, canned palomas, and hard seltzers. This is reflected in the beverage section, which is growing increasingly representative of the times. Instead of taking the place of craft beer, ready-to-drink cocktails are adding to the variety of drinks that consumers who value high-quality beverages can enjoy.

A More Diverse Beverage Future

These days, even the mixology culture is as dynamic as ever, as evidenced by the proliferation of ready-to-drink cocktails. Consumers want options, quality, and experiences to match their modern lives. However, craft beer is a living and breathing market and is now competing with an emerging generation of craft canned premium beers that possess some of the same attributes: Flavour, creativity, and convenience. 

The emergence of this drink trend reflects how consumers are increasingly embracing innovative, ready-to-enjoy drinks in all categories. The distinction between beer and cocktails will likely get even more fuzzy as more restaurants and bars, and people, keep adopting the trend of variety. There is a more vibrant cocktail/beer culture scene, and the canned cocktail/beer/alcohol isn’t taking over the spotlight; it is just providing people with options for enjoying a great cocktail or beer wherever they go.