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Low/no alcohol faces price and visibility barriers, study finds

Kiran Paul
By Kiran PaulJun 17, 2021
Kiran Paul
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The no- and low-alcohol category has been booming in the recent years, but price and visibility remain the primary barriers to purchase, a new study has found.

According to the new Lumina Intelligence Low2No Alcohol Report 2021, the biggest barriers to buying low/no are that it is considered too expensive (16%) and poor value for money (14%).

Some consumers have been unable to find the products in store/on menus/behind the bar (11%) and an equal number said they cannot always find what they are looking for (9%). Around one in ten also said they don’t believe in the health benefits (11%).

Within the off trade, the primary motivations for buying a low/no product are experimentation and health, with 12 per cent of consumers citing a desire to try something new and the same proportion wanting a healthier option. Eight per cent cited fewer calories as the top motivation for purchasing.

The report notes that supermarkets are key for driving the category, both as the most common place that consumers first purchase the category and also as the main channel used by those purchasing the category frequently. Nearly half (43%) of consumers most regularly visit a supermarket to purchase low/no products and 11 per cent choose supermarket online.

While pubs attracts one tenth of the customers, eight per cent each visit a convenience store or a discounter for their low/no product.

However, an earlier report by Lumina in December 2020 has found that convenience stores are the most popular channel for buying low/no alcohol products, ahead of supermarkets and discounters.

The Convenience Tracking Programme of the market researcher has also then found that the top three drivers to purchase in convenience store are prices, promotions and trying something new.

“The Low2No category continues to see tremendous growth, with supermarkets playing a pivotal role in driving awareness of the category as the most common place for the first purchase,” Blonnie Whist, insight director at Lumina Intelligence, commented.

“We have seen some really innovative examples of retailers and operators within other channels really getting behind the category and offering a comprehensive range that drives interest in Low2No, however it is clear that there remains a significant untapped opportunity.”

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