just-drinks’ analysis of the year – The review of 2016

With the end of the year looming, just-drinks takes a look back at the ten biggest analysis articles on the site in the last 12 months.

10. Marijuana – the new competitor in the room

Marijuana looks set to steal market share from alcoholic beverages, as more US states make the drug legal, an analyst has said. This is not the first time marijuana has been mentioned in the context of the drinks industry: Back in its annual report, published in June 2014, Brown-Forman even outlined it as a potential risk to future growth. But, as more US states give the leaf a green light, more consumers may look to marijuana as an alternative to alcohol.

9. The President-Elect Trump effect on alcohol, the draw of local spirits and the vital role of the IR director – The just-drinks Analyst

just-drinks is thrilled to welcome a new industry commentator to the fold. Until earlier this year, Ian Shackleton spent over 25 years as a beverages analyst with several major banks, including Credit Suisse, Lehman Brothers and Nomura. Now a principal at financial communications company Bell Pottinger, Ian will cast an analyst’s eye each month over developments and issues affecting the drinks industry. This month, he looks at what the Trump effect could be, the prospects for the local spirits sector and the importance of the IR point-of-contact.

8. Ten ways to successfully target older consumers

This week, Tetra Pak released a report on how best to market new products at the over-60s. According to the company, the demographic is the fastest-growing consumer age group and is seeing its spending power increase. The packaging firm issued a list of guidelines for beverage companies on what they should be doing to appeal to this important market.

7. How the craft economy is loosening North America’s alcohol laws

In the LCBO liquor store near Ossington subway station in Toronto’s trendy west end, business is good. It is a blue-skied Saturday afternoon in the middle of an unusually warm September and customers are packing out the three-aisle store. The beer section is by far the busiest, and not just because of the hot weather. In the past few years, Ontario has undergone a craft beer renaissance, with breweries such as Toronto’s Steam Whistle and Amsterdam driving consumer interest in the fast-growing category. The Canadian province now boasts 140 brewers with 130 in the planning stage, according to the trade organisation Ontario Craft Brewers. Meanwhile, craft beer is the fastest growing segment within the LCBO beer category, growing at anywhere from 20-30% per year.

6. The just-drinks Brexit survey

The impact of the UK’s decision to leave the European Union (EU) will be felt in the global drinks industry for years to come, according to just-drinks’ exclusive Brexit survey.

5. How to market alcohol where alcohol marketing is banned

Many countries have already restricted – or are beginning to restrict – the advertising and promotion of alcohol, in response to public health concerns around over-consumption and underage drinking. As big-ticket items like TV, radio, outdoor advertising and sponsorship disappear from marketers’ toolkits, how can drinks brands continue to connect with consumers and achieve brand saliency in these so-called ‘dark’ markets?

4. “Our love affair with big brands is over” – Five ways small brands can beat the industry’s big players

The COO of Diageo’s entrepreneur investment arm, Distill Ventures, has set out five advantages that small, start-up brands have over large drinks companies. Speaking at the Global Drinks Forum in Berlin earlier this month, Dan Gasper said that the consumer’s love affair with big brands is over.

3. The LVMH guide to entry-level luxury

At the CAGE 2016 conference in London today, LVMH CFO Jean-Jacques Guiony spoke about how his company operates in the luxury goods category. Key to bringing in new consumers are entry-level products, about which Guiony said: “We basically rely on them.” Here are the main points from his speech on entry-level products as well as on high-end items and the modern marketing methods needed to sell them.

2. What does Brexit mean for the drinks industry?

The UK’s vote yesterday (June 23) to quit the European Union (EU) creates deep uncertainty, not only over the shape of future food and drink regulations in the country itself, but also export market access for companies operating in the UK or those outside the country looking to import in.

1. What will the arrival of President Donald Trump mean for the drinks industry?

The election last night of Donald Trump as the 45th president of the US carries a wealth of political consequences – not just domestically, but also globally. But, what effect will the Republican president-elect have on the drinks industry?

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