Maximizing Beverage Brand Identity: Insights from Industry Leaders

I've said it before and I'll say it again: success in the beverage industry hinges on a strong brand identity, consistent marketing, and the ability to seize new opportunities. A recent industry conference really struck me, as it highlighted key insights that align perfectly with the strategies that we continuously advocate for at Five Star Beverage Group.

The conference emphasized that the beverage industry's challenges are not about the category as a whole but about individual brand relevancy. Consumers today are driven by flavor and occasion rather than the type of beverage.

Nik Modi, Managing Director at RBC Capital Markets asked attendees, "What business are you in? You’re in the mood management business my friends." Americans, on average, drink eight beverages a day, and Nik contends that consumers choose what to drink depending on the occasion and mood state. "There’s a lot of alternatives out there for those eight consumption occasions. If one night you’re having milk and Oreos at night, and the next night you’re having wine and chocolate with your significant other, “Guess what, milk and wine are now competitors.” All beverages compete with all other beverages for occasions.

Social activity is changing. “Look at the rise of Run Clubs. Consumers still look to be health-conscious, be a part of a community. These gatherings often end up in a bar,” giving a nod to Mich Ultra for capturing that occasion — and I would add Athletic as a brand that has cracked that cohort.

Gaming is also becoming mainstream, contributing to the switch from in-person to virtual connections. The number of global active gamers has increased by 64% since 2015 and is accelerating beyond the COVID bump.

In the old days, “I would go to the bar with my friends and come home. Today I go to work, I go to the gym, and I get on Call of Duty at 8pm with my boys for two hours. Is beer represented in any of those occasions? No.”

So how do you fix this brand problem? Especially in beer?

Brand Relevancy: Your brand needs to stay relevant to consumers' evolving preferences and lifestyles. Like yesterday's example of Dogfish Head, which successfully entered the RTD cocktail market, finding new niches can drive growth.

Marketing Consistency: Consistency in your marketing message is crucial. Consumers need to know what your brand stands for and what occasions your products are suited for.

Adapting to New Occasions: Understanding and adapting to new consumption occasions is key. Whether it's capturing the health-conscious crowd like Mich Ultra or addressing the social dynamics of Gen Z and Millennials, being present where your consumers are is essential.

Expanding Beyond Traditional Categories: The rise of the Fourth Category, including RTDs and FMBs, shows that there is growth outside traditional beer. Brands need to explore these new segments to stay competitive.

Success is out there for those ready to innovate and execute.

Ready to create that success for your brand? Click the link below to schedule your FREE STRATEGY CALL!