Flavor trends in alcoholic drinks continue to evolve as companies seek to meet changing consumer tastes, expand into new consumer groups and bring more sophistication to brands in the face of high levels of brand competition.

Flavor innovation can provide the impetus to boost a stagnating category, create interest in an emerging sector and even drive a successful market entry for a new manufacturer. This report looks at flavor trends in alcoholic drinks, analyzing popular and emerging flavors in global launches over the 2007-2010 period. It focuses on six alcohol categories: beer, FABs, vodka, gin, liqueurs and rum.

Scope of this research

• Gain key insight into popular and emerging flavor trends in alcoholic drinks across six product categories. • Understand the market dynamics that are driving flavor trends in the alcoholic drinks industry. • Utilize key data on flavor trends, including the leading flavor types across six categories during 2007 to 2010. • Identify products which demonstrate new flavor innovation. • Learn how to interpret flavor trends for your own markets to gain competitive advantage.

Research and analysis highlights

In beer, added flavorings must be proven to successfully integrate with its underlying taste. Overly strong flavorings are perceived as offputting, with subtle flavors having more general appeal as they enable the beer undernotes to shine through.

Vodka flavors are set to become more focused on subtle and natural flavors as consumers become more refined in their tastes and increasingly prejudiced against poorer quality, cheaper flavored vodkas which have a more syrupy, sweeter taste.

In contrast to other alcoholic drinks markets, the flavored alcoholic beverage category is relatively new, ensuring that consumers have fewer preconceived ideas of what flavors should be available. In addition, there are no well known base flavors to the drinks, so manufacturers are free to produce a wide range of flavor mixes in their products.

Key reasons to purchase this research

• What are the leading flavors to emerge in each of the alcohol drinks categories? • Which flavor types are growing the fastest and which are in decline? • What are the key consumer motivations for accepting new flavors and how are these trends driving manufacturer innovation? • How can manufacturers use flavors to aid product consumption? • Which flavors could be the next big thing in each of the alcoholic drinks categories?

About the author 2
Disclaimer 2
Executive summary 11
Beer 11
Flavored Alcoholic Beverages (pre-mixed drinks) 11
Vodka 12
Liqueurs 13
Gin 13
Rum 14

Chapter 1 Introduction 15
Market overview 15
Definitions 16

Chapter 2 Beer 17
Summary 17
Introduction 17
Flavor trends 18
Regional analysis 19
Segment analysis 19
Breakdown of key flavor types 20
The top 20 flavors in beer 22
Growth flavor types 23
Growing: Citrus 23
Growing: Ginger 25
Growing: Berry 26
Falling: Malt 28
Innovation trends 29
Craft beer makers innovate with flavors 29
Traditional flavor revivals 29
Experimenting with hop varieties 30
Session friendly beers with subtle flavors 30
Women friendly beer flavors 31
Beer giants’ female focused efforts 32
Females targeted with fruit beers 32
Female brewers 33
Conclusions 34

Chapter 3 Flavored Alcoholic Beverages 35
Summary 35
Introduction 35
Flavor trends 36
Regional analysis 36
Segment analysis 37
Breakdown of key flavor types 38
The top 20 flavors in flavored alcoholic beverages 39
Growth flavor types 40
Growing: Soft fruit 40
Growing: Citrus 41
Growing: Sweet 42
Falling: Berry 43
Innovation trends 45
Energizing alcoholic drinks that do not court controversy 45
Positioning flavored alcoholic beverages for at-home drinking 46
Natural ingredients and plant extracts 47
Targeting the flavor experimenter 47
Attracting the male drinker 47
Conclusions 49

Chapter 4 Vodka 50
Summary 50
Introduction 51
Flavor trends 51
Regional analysis 52
Segment analysis 53
Breakdown of key flavor types 54
The top 20 flavors in vodka 55
Growing: Apple/Pear 56
Growing: Citrus 57
Growing: Sweet 58
Falling: Berry 59
Innovation trends 61
“Better for you” vodkas 61
Vodka infusions offer more natural flavorings 62
Creative savory flavors 64
Vodka designed for food pairings 65
A flavor backlash 66
Conclusions 68

Chapter 5 Liqueurs 69
Summary 69
Introduction 69
Flavor trends 70
Regional analysis 70
Segment analysis 71
Breakdown of key flavor types 72
The top 20 flavors in liqueurs 73
Growing: Berry 74
Growing: Citrus 75
Growing: Spicy 76
Falling: Sweet 77
Innovation trends 79
Stressing the heritage of flavors 79
Reformatting flavors in line with artisanal roots 80
Keeping ingredient mix a secret 80
Herbal liqueurs boost drinking experience 81
Liqueur flavors for celebrations 82
Using ethical ingredients 83
Conclusions 84

Chapter 6 Gin 86
Summary 86
Introduction 86
Flavor trends 87
Regional analysis 87
Segment analysis 87
Breakdown of key flavor types 88
The top 20 flavors in gin 90
Growing: Botanicals 91
Growing: Floral 92
Growing: Nut 93
Falling: Generic fruit; exotic fruit 94
Innovation trends 95
Bridging traditional with contemporary style 95
Lighter gins encourage new drinkers to the sector 96
Using fresh fruit from cold distillation 97
The healthy Mediterranean diet 98
Conclusions 99

Chapter 7 Rum 100
Summary 100
Introduction 100
Flavor trends 101
Regional analysis 101
Segment analysis 102
Breakdown of key flavor types 102
The top 20 flavors in rum 104
Growing: Citrus 105
Growing: Spicy 106
Growing: Anise; botanicals 107
Falling: Sweet 107
Innovation trends 109
Combining rums from multiple islands 109
Going back to American roots 110
Big brand offers own take on craft rum 110
Conclusions 111

Chapter 8 Conclusions 113
Key motivations for accepting flavor innovation 114
The Long-term Loyalist, Category Novice and Experimenter 115
Appendix 117
Methodology 117
Secondary research 117
Glossary/Abbreviations 117
Bibliography/References 118

Table of figures
Figure 1: The beer flavor wheel was developed to help describe beer flavors 18
Figure 2: Leading flavor types (%) for new product launches in beer, 2007–10 21
Figure 3: Citrus beers have grown in popularity due to their exotic but safe image 24
Figure 4: A desire for nostalgic products is fueling ginger beer’s growth 26
Figure 5: Berry flavored beers offer a seasonal addition to the beer category 27
Figure 6: Declining flavor categories for new product launches in beer (percentage point
change), 2007-10 28
Figure 7: Fruit flavored beers aimed at female drinkers 33
Figure 8: Leading flavor types (%) for new product launches in flavored alcoholic beverages,
2007-10 37
Figure 9: Soft fruit is a popular flavor type for Flavored Alcoholic Beverage launches 40
Figure 10: Manufacturers have capitalized on the popularity of citrus flavors with novel flavored
alcoholic beverage launches 42
Figure 11: Cocktails often inspire flavored alcoholic beverage sweet flavors 43
Figure 12: Declining flavor categories for new product launches in FABs (percentage point
change), 2007–10 44
Figure 13: Ypioca Guarana contains guarana for its energizing properties 46
Figure 14: Mike’s Hard Lemonade is focused on the male Flavored Alcoholic Beverage drinker48
Figure 15: Leading flavor types (%) for new product launches in vodka, 2007-10 53
Figure 16: Apple and pear vodkas have been launched in specific fruit varieties 57
Figure 17: Citrus flavored vodkas have appeared in premium variations 58
Figure 18: Intense and subtle flavors can be tasted in sweet vodka varieties 59
Figure 19: Declining flavor categories for new product launches in vodka (percentage point
change), 2007–10 60
Figure 20: Healthy vodkas are emerging, including herbal and aηai infused varieties 62
Figure 21: Skyy Spirits has produced a successful vodka infusions line 63
Figure 22: Savory flavored vodkas are emerging in vodka 64
Figure 23: Leading flavor types (%) for new product launches in liqueurs, 2007–10 72
Figure 24: Berry flavored liqueurs are growing in popularity 74
Figure 25: Citrus flavored liqueurs have a strong global following 75
Figure 26: Spicy flavors add an interesting taste sensation to liqueurs 77
Figure 27: Declining flavor categories for new product launches in liqueurs (percentage point
change) 2007–10 78
Figure 28: Emphasizing heritage for new flavors 80
Figure 29: Keeping brand ingredients and processes a secret appeals to consumers 81
Figure 30: New herbal flavors include hibiscus, jasmine and wild fennel 82
Figure 31: Aphrodope claims to contain aphrodisiac ingredients 83
Figure 32: Ethically produced ingredients are a growing trend in liqueurs 84
Figure 33: Leading flavor types (%) for new product launches in gin, 2007-10 88
Figure 34: The arms race in gin for the most number of botanical flavors 91
Figure 35: Floral notes add differentiation to gin brands 92
Figure 36: Nutmeg can add a winter seasonal flavoring to gin 93
Figure 37: Declining flavor categories for new product launches in gin (percentage point
change) 2007–10 94
Figure 38: Oxley Classic English Dry Gin uses a unique cold distillation method 97
Figure 39: Gin Mare capitalizes on the image of the healthy Mediterranean diet 98
Figure 40: Leading flavor types (%) for new product launches in rum, 2007–10 103
Figure 41: Citrus adds a tangy note to rum 105
Figure 42: Spicy flavors offer an exotic, intense flavor element to rum 106
Figure 43: Anise and botanical flavor types have grown in popularity in rum 107
Figure 44: Declining flavor categories for new product launches in rum (percentage point
change), 2007–10 108
Figure 45: Banks Five Island Rum incorporates rum from different countries 109
Figure 46: Bacardi Reserva Limitada presents a premium offering from a major brand 111
Figure 47: Consumers can be categorized into three types with differing flavor demands 116

Table of tables
Table 1: Global alcoholic drinks market size by category ($bn), 2009–14 15
Table 2: Regional share of beer launches (%), 2007-10 19
Table 3: Leading flavor types in global beer launches (%), 2007-10 20
Table 4: Top 20 flavors in global beer launches, 2007-2010 22
Table 5: Regional share of flavored alcoholic beverage launches (%), 2007-10 36
Table 6: Leading flavor types in global flavored alcoholic beverage launches (%), 2007–10 38
Table 7: Top 20 flavors in global flavored alcoholic beverages launches, 2007-2010 39
Table 8: Regional share of flavored vodka launches (%), 2007–10 52
Table 9: Leading flavor types in global vodka launches (%), 2007–10 54
Table 10: Top 20 flavors in global vodka launches, 2007-2010 55
Table 11: A guide to vodka taste based on gradings 67
Table 12: Regional share of liqueur launches (%), 2007–10 70
Table 13: Leading flavor types in global liqueur launches (%), 2007-10 71
Table 14: Top 20 flavors in global liqueur launches, 2007-2010 73
Table 15: Regional share of gin launches (%), 2007–10 87
Table 16: Leading flavor types in global gin launches (%), 2007–10 89
Table 17: Top 20 flavors in global gin launches, 2007-2010 90
Table 18: Regional share of rum new product launches (%), 2007-10 101
Table 19: Leading flavor types in global rum launches (%), 2007–10 102
Table 20: Top 20 flavors in global rum launches, 2007-2010 104