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Younger and more female demographic driving boom in premium ale

Published:  16 June, 2016

A new report has revealed a 60% market value increase in bottled ale since 2011, thanks in part to more women opting for premium drinks in the ale category.

A new report has revealed a 60% market value increase in bottled ale since 2011, thanks in part to more women opting for premium drinks in the ale category.

The report on the habits of consumers buying premium ale has found that 1.5 million more customers are buying bottled ale than in 2011, with 11% sales growth in the past year alone (Hall & Woodhouse).

It has also shown a change in the age of bottled ale customers with a third now under 36.

According to Hall & Woodhouse's Annual Premium Ale Insight Report, bottled ale customers now have a better understanding of brewers, ale styles and ingredients and are more likely to consider the heritage of breweries and authenticity of ales to be important when making choices.

As the bottled ale market has evolved, both in bars and in store, customer tastes are also evolving and becoming more adventurous.

They are seeking out new products and exciting flavours across the beer, wine and spirits (BWS) category and with progressively more bottled ale customers becoming informed and engaged, they are keen to experiment with what they're buying and drinking.

Melinda Bowles, Category Controller at Hall & Woodhouse, said: "Consumers are increasingly faced with a perceived 'sea' of uniformed brands, with little to help them navigate the fixture to find something different. The solution seems straightforward; develop a tiered range within bottled ale, highlighting brands offering a point of difference, be it specialist brewing techniques, unusual ingredients or a unique style and flavour.

"This would give retailers the opportunity to differentiate their range and drive category value growth, whilst allowing brewers to develop the new, exciting bottled ales that customers are looking for."

Premium ale display by retailerPremium ale display by retailer

However, one of the biggest challenges facing the industry is discounting and price promotions which don't allow the margins to create innovative new products.

As a result, bottled ale is not developing in the same way that other BWS categories are, where new innovative, authentic and premium brands are attracting customers and driving sales.

Within bottled ale, product development has to fit within fairly narrow constraints of level pricing and promotional activity, making it more challenging for brewers to truly innovate.

Shoppers have become more promiscuous, with bottled ale less likely to be their main drink of choice, meaning that the category has to work harder to hold customers' interest.

Many customers are still looking for guidance when browsing for bottled ale and as a result often default to using promotional activity to guide their decisions.

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