HOW DIGITAL IS SPEARHEADING CHANGE WITHIN THE DRINKS INDUSTRY
In today’s fast-paced, interconnected world, we take a fresh look at how digital marketing tools and tactics have become powerful ways of transforming how drinks brands engage with their audiences - moving from a local to a global platform - and what that means for our industry in Q3 & Q4.
Traditionally, the drinks industry has been slow to adopt digital-first strategies, relying on brand advocacy in the on-trade, liquid on lips, and distillery tours to grow their brand visibility and generate sales. However, traditional marketing strategies don’t cut it anymore and are becoming overshadowed by the huge potential and effectiveness held in digital marketing techniques.
Over the last decade, consumers have become more digitally savvy and as a creative marketing agency, specialising in the drinks industry, we explore key digital trends and consider what tools brands can adopt to innovate and stay competitive within the industry.
The Digital Landscape of the Drinks Industry at a Glance
Before the Covid-19 pandemic less than 1% of sales of beer, wine, and spirits (BWS) sales in the US were made through e-commerce channels, by 2022 it neared 3%. Drinks brands had to act quickly in 2020 as people were advised to stay home and bars and restaurants closed overnight.
The move towards digital has had an incredible impact on sales across the industry. For example, in 2021 sales were 61% ahead of 2019’s level globally, and global revenue is expected to reach an estimated $67 billion US dollars by 2028.
However, building a digital brand takes more than simply creating a good e-commerce website. Consumers love testing out the latest in digital technology and want more brands to use innovative digital tools to spark conversations.
Within the industry, key players are using tools such as Augmented Reality (AR), Artificial Intelligence (AI) and social media marketing to make noise in a busy online world. Here are just a few examples of brands killing it in the online space.
The Glenlivet Transforms the Sample Room Experience Through AR
A fully-immersive AR experience designed to engage a younger, global audience with the modern whisky brand. As a market-leader, The Glenlivet continues to redefine and reimagine itself to attract new audiences and position itself as a premium whisky maker.
Upon launching a new prestige line of whisky – The Sample Room Collection – The Glenlivet sought a new way to introduce the brand excitingly and interestingly. The Glenlivet created both a physical and virtual sample room experience using AR technology to showcase the craft and quality ingredients within the portfolio.
Gamification tactics were deployed within the digital experience to encourage users to collect gems that unlocked value-added prizes.
The digital activation proved successful, increasing younger drinkers (under 25) to connect with the brand and achieving global reach including, but not limited to, China, Brazil, the US, and Ukraine.
Coca Cola uses Innovative AI tools to Craft New Flavours
In 2023, Coca-Cola invited drinkers to get creative and imagine what the future might taste like with a limited-edition drink and new AI-powered experience.
Coca-Cola Y3000 was created by AI technology understanding how fans envision the future of Coca-Cola through emotions, aspirations, colours, and flavours. It combined these findings with data driven insight to create the unique taste of Y3000.
Was it successful? The use of AI and its futuristic packaging and marketing certainly caught people’s attention and made headlines. However, after checking out the reviews on social media, the jury is still out as to whether the taste will ever beat Coca Cola Original. Flavour scientists don’t have to worry about robots taking their jobs soon it seems!
Grey Goose Take Toasting to the Next Level with the Support of AI
AI allows brands to personalise drinker’s experience and Grey Goose has tapped into this feature to offer a personalised, premium experience that stands out within the vodka market.
Tailored Toasts is an AI-Powered toast generator. Drinkers simply provide a few details, like what they’re celebrating and the speech style they want to emmulate, and the generator will provide the right words to raise a glass in style.
We love this personalised approach, supporting people to find the perfect words in moments that matter to them the most.
Pimentae Partnerships That Make Noise On Social Media
Pimentae founders Alice and Wynter are on a mission to liberate the way people enjoy tequila. The dynamic duo understands that Gen Z and Millennial consumers are highly driven by engaging social media content and digital brand partnerships – so they set out to do things differently.
Partnering with the likes of Wild Deodorant, Free Soul, and Trip Soda to name a few, the team understands the importance of stepping into their target customer's lifestyles to build brand awareness. By teaming up with brands already popular within its target market, Pimentae expands brand visibility, reach and has the talkability factor.
Their partnership events are bold, playful, and engaging to drive social sharing and encourage people to share the brand through word of mouth. Over the last two years, the brand has gone from strength to strength and we can’t wait to see what they do this summer.
As new technologies continuously evolve, we don’t see changes in the digital space slowing anytime soon. Innovation is the driving force behind growth across digital as consumers continue to look for more interesting and exciting digital experiences.
Considering evolving your brand’s digital approach? We have a range of resources to support you on the Wonderworks website, including:
Our Digital First Approach Insight Report for an in-depth look at growing your brand online.
Our webinar on developing a digital strategy that cuts through within the drinks industry.
Our visual audit showcasing drinks brands thriving in the digital space.
Alternatively, reach out to a member of our team and see how our creative agency could support you to build a killer digital strategy with our knowledge and expertise.