USA – Coca-Cola, the maker of Sprite carbonated soft drink, and Pernod Ricard which owns the Absolut Vodka brand have tied up to create a ready-to-drink (RTD) cocktail based on these iconic beverage brands.
In a statement, US-based Coca-Cola revealed that both the regular and zero sugar versions will be used to produce the RTD cocktail to be introduced in select European markets as from early 2024.
Consumers in the United Kingdom, the Netherlands, Spain, and Germany will be among the first to taste the new drink, according to a statement from Coca-Cola.
“We keep consumers at the center of everything we do as we continue to develop our portfolio as a total beverage company,” said James Quincey, Chairman and CEO of The Coca-Cola Company.
“We are expanding in the alcohol ready-to-drink space, including products that use select brands from our core portfolio.”
Coca-Cola deepens foray into alcohol
Pernod Ricard is the latest multinational distiller to work with The Coca-Cola Company in launching an RTD beverage.
Last year, Coca-Cola teamed up with Brown-Forman, which owns Jack Daniel’s Tennessee whiskey, to launch canned JD & Coke cocktails, using real Coke, for the first time.
The companies said in a statement that the union brings together two of the world’s most “valuable trademarks” and will include “clear responsibility symbols” to indicate that is for legal-aged drinkers only while the drink itself will typically be 5% ABV, but this could vary from market to market.
Coca-Cola and France’s Pernod Ricard have reiterated the same sentiment pledging to market the drinks in line with ethical marketing guidelines.
Coca-Cola already has an existing partnership with Molson Coors which enabled the launch of Topo Chico Hard Seltzer and Simply Spiked Lemonade and is also working with Constellation Brands on Fresca Mixed Cocktails.
The recent announcement marks the company’s fifth alcoholic drink to be launched into its portfolio in two years amid the growing popularity of pre-mixed cocktails in a number of key markets.
RTD value expected to continue growing
The foray into RTDs couldn’t be timelier as the category’s value is expected to grow by $11.6 billion between 2022 and 2026, according to estimates made last year by industry tracker IWSR.
Volumes are expected to grow by 24% over the same period, IWSR added.
Vodka is a perfect tie-up with Sprite as it is one of the most popular bases for alcohol ready-to-drink products, and lemon-lime soft drinks are one of the most popular mixers in pre-mixed cocktails.
IWSR’s 2022 research found that spirits-based products, especially those made from vodka, hold a 45% share in 10 of the ready-to-drink category’s biggest markets, with cocktail or long drink products expected to spur growth.
Across those markets, more than 50% of consumers are influenced to purchase ready-to-drink products made by a well-known spirits, beer or soft-drink brand, IWSR found.
“Sprite is a wonderful pairing for Absolut, and I’m convinced that our joining forces will bring the whole alcohol [ready-to-drink] category to the next level,” said Pernod CEO Alexandre Ricard.
