2023 Category Trends
24 % in 2021 , which shows that even as inflation became more pronounced , consumers continued to seek out higher-priced alcohol products ,” says Chris Williams , Executive Vice President , National Accounts , Southern Glazer ’ s Wine & Spirits .
Where is this most pronounced ? Tequila , says Williams : “ Over the last three years , tequila was primarily trading up into the price tier above $ 40 . This price tier grew high double digits for nearly three straight years . While that has slowed recently , what we have seen is premiumization in the $ 30- $ 40 range remains extremely strong , as consumers that had been drinking tequila priced below $ 20 trade up into this , and some consumers trade down from the $ 40 and above tequila space .”
Looking ahead , he sees room for premiumization growth in wine : “ Particularly in the space between $ 15 and $ 24.99 , which is the only segment of the wine market that is really growing ,” Williams observes . “ It only represents 20 % of the category , which compares to the under- $ 10 space , which is 40 %, and the $ 10- $ 15 space , which is about 30 %. We will likely continue to see this price tier continue to take share at the expense of those price tiers below it , as the quality here is a great value for the price .”
CELEBRITY BRANDS
All of a sudden in 2023 , nearly every celebrity owns or backs an alcohol brand . What gives ?
“ The nature of entertainment pairs seamlessly with the alcohol industry , and just like your typical consumer , many celebrities go through a discovery phase of learning about different types of wines and spirits , and diving deeper into the quality of their favorite alcoholic beverage ,” explains James Morrissey , Founder of Global Brand Equities , whose portfolio includes Kevin Hart ’ s Gran Coramino , A $ AP Rocky ’ s Mercer + Prince and Post Malone ’ s Maison No . 9 . “ Depending on the celebrity , their lives typically complement where you would consume these beverages , and with social media , it is usually something that they already integrate seamlessly into their content .”
As with any celebrity-endorsed product , it ’ s also about tapping into existing consumer trust .
“ Celebrity culture holds significant influence worldwide , particularly in the United States . People have a keen interest in the lives of celebrities and the brands they use ,” says Wendy Duan , VP of Marketing at Teremana , the fast-growing tequila brand coowned by Dwayne “ The Rock ” Johnson . “ This curiosity extends to the spirits industry , where consumers often face a daunting task of choosing from a wide range of tequila brands . Consequently , consumers often rely on the recommendations of trusted individuals , including celebrities .”
“ In any industry , the celebrity endorsement of a product will help drive awareness and first-time trial ,” Duan adds , “ but the product quality is what drives consumer loyalty .”
This is critical for celebrity alcohol brands in 2023 . A familiar , popular face is no longer enough . Not with today ’ s consumers researching everything , and preferring premium , authentic , unique products .
“ At Global Brand Equities , the quality of the product is just as important , if not more important , than the celebrity association ,”
A $ AP Rocky ’ s Mercer + Prince Canadian whisky launched in March 2022 .
Dwayne “ The Rock ” Johnson ' s tequila Teremana reached the market in December of 2021 .
says Morrissey . “ We , as well as our celebrity partners , want to look up in a decade and see the brand transcend the celebrity and become a part of our culture . In order to do that , you need a quality product that can stand alone and keep the consumer wanting more .”
This goal is more realistic thanks to a parallel trend : the rise of genuine entrepreneurship in celebrities . Movie stars , athletes , musicians and other famous people now participate more actively in product creation and marketing , leading to a higher-quality outcome .
“ Dwayne ' s dedication extends far beyond mere endorsement ; he
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