Pouring over insights: How market research fuels winning beverage launches

A few weeks ago, I found myself standing in a crowded grocery aisle, staring at a wall of beverages that looked more like a kaleidoscope than a drink selection. Rows of hard seltzers competed for my attention with neon-colored kombuchas, sleek cans of sparkling adaptogenic tonics, and nostalgic “better-for-you” sodas. Some of these products had become household staples within months. Others, I remembered trying just last year, had already vanished.

After more than 3.5 years working alongside the beverage industry—and personally making it my mission to try every new alcoholic and non-alcoholic launch I can get my hands on—I’ve learned one truth: the difference between success and failure almost always comes down to how well brands understand their consumers before launch.

That’s where beverage market research plays a starring role.

The Big Picture: A Crowded and Evolving Beverage Market

The global beverage industry is expanding rapidly—but with expansion comes complexity.

• The global RTD (Ready-To-Drink) alcoholic beverage market was valued at around USD 35.14 billion in 2025 and is forecast to reach about USD 76.06 billion by 2035, growing at a compound annual growth rate (CAGR) of ~8.03%.
  
  
• In North America, the RTD beverages segment (both alcoholic and non-alcoholic) is expected to grow at about 5.2% CAGR during 2025-2030.
  
  
• Focusing more narrowly, the U.S. RTD cocktails / bottled RTDs market is projected to grow at ~15.8% (for the overall RTD cocktails) and even ~22.6% CAGR for spirit-based RTDs between 2025-2030.
  
  

The rising categories include:

• Functional beverages: gut health, adaptogens, hydration, immune support.
  
  
• Low / no alcohol: non-alcoholic beers, spirit alternatives, moderation options.
  
  
• RTDs and hard seltzers: with many consumers wanting cocktail experiences without mixing fame or the fuss.
  
  
• Better-for-you sodas / nostalgic remixes: consumers are more aware of sugar, calorie, and ingredient profiles.
  
  

This means launching new alcoholic or non-alcoholic products is harder than ever—because stakes are high, margins are squeezed, and consumer preferences shift rapidly.

Where Market Research Fits in the Beverage Innovation Lifecycle

Here’s how research plugs into each stage, now with statistical backing:

1. Idea Generation
   
   
   
   • For instance, according to Attest’s survey, ~21.5% of Gen Z (aged 21-27 in the U.S.) do not consume alcohol at all, and another ~39% drink only occasionally. That suggests strong opportunity in low- or no-alcohol, functional, or sober-friendly beverage categories.
     
     
2. Concept Testing: Flavor, Claims, Packaging
   
   
   
   • In U.S. RTD alcoholic beverages in 2023, 70% of RTD consumers purchased hard seltzers, with many saying that flavor variety was a primary motivator. The hard seltzer category increased an estimated 151% in value in that year.
     
     
   • Claims around health, wellness, and “better-for-you” are no longer just nice extras—they’re often table stakes. In concept tests, half of drinkers expect premium RTDs to include such benefits.
     
     
3. Price Sensitivity Analysis
   
   
   
   • Consumer willingness to pay for RTDs correlates with ABV, ingredients (organic, low sugar), and packaging. Premium price tiers are growing: spirit-based RTDs, for example, are expected to outperform malt-based ones in many markets in both sales growth and margin.
4. Go-to-Market Strategy
   
   
   
   • Distribution matters: younger consumers (Gen Z, younger millennials) are more likely to sample new beverages at home or with friends (65% of Gen Z prefer drinking at home vs bars/clubs) rather than in traditional out-of-home settings.
     
     
   • Also, the platform (grocery, convenience, bars, direct-to-consumer) affects branding, packaging size, and claims—for example, non-alcoholic products may need different regulatory claims depending on region.
     
     
5. Post-Launch Iteration
   
   
   
   • Real-time feedback is vital: in U.S. spirit-based RTDs, for example, growth is forecasted at ~6% CAGR from 2023-2028 – this is after many brands have already pushed hard seltzer SKUs, with some decline in that subcategory.
     
     
   • Tracking things like social media sentiment (e.g. around #sobercurious, #GutTok), repeat purchase, and reviews lets brands dial back or pivot without massive cost.
     
     

Generational Differences: Why One Size Doesn’t Fit All

Understanding generational differences isn’t just marketing theory—it shows up in what people actually buy, how often, and why.

Gen Z Key Insight: Many are drinking less or not at all, with strong interest in low-ABV, non-alcoholic, and RTD options.

What this Means for Brands: Lean into wellness, authenticity, and social-first storytelling with bold flavors and eye-catching design.

Millennials

Key Insight: Still big drinkers, but increasingly seek “better-for-you” options—lower sugar, functional benefits, and premium RTDs.

What this Means for Brands: Position products as indulgent but health-conscious, from kombucha-inspired drinks to elevated non-alcoholic spirits.

Gen X & Boomers

Key Insight: More loyal and stable buyers, open to moderation trends and convenience-focused formats like spirit-based RTDs.

What this Means for Brands: Focus on quality, heritage, and ease—offering trusted brands in convenient packaging while slowly layering in healthier options.

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Cultural and Regional Influences

Alcohol preferences aren’t shaped in a vacuum. They’re deeply influenced by culture, heritage, and geography. From the bold, global flavors introduced by multicultural communities in the U.S. to regulatory differences that shift state-level growth, and even to the explosive rise of RTDs across Asia and Latin America, context matters. For brands, understanding these cultural and regional dynamics is key to spotting the next big flavor trend, navigating uneven market growth, and capturing global opportunities before they hit the mainstream.

• In multicultural markets in the U.S., consumers of Latino, Asian, and Black American backgrounds disproportionately drive interest in bold, global flavors (e.g., hibiscus, yuzu, tamarind) and rituals (mezcal, tequila, fermented drinks, herbal tonics). Research shows that these communities are often the earliest adopters of such tastes, which then diffuse into mainstream offerings.
  
  
• Regionally, RTD growth is uneven: while some U.S. states show mature hard seltzer markets (with declines or plateauing), the growth of spirit-based RTDs, flavored malt beverages (FMBs), and pre-mixed cocktails is stronger in states with looser ABV and labeling regulations. 

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• Globally, RTD alcoholic beverages are forecast to double from ≈$35.14 billion in 2025 to $76.06 billion by 2035, as noted earlier. Regions in Asia and Latin America are expected to see some of the fastest growth, owing to rising disposable incomes and younger populations.
  
  

Case Studies: Win, Lose, Miss

Win

Brand/Product: High Noon (E & J Gallo) hard seltzer

What they did well: Instead of using malt or sugar‐fermented bases like many hard seltzers, High Noon leaned into actual vodka + real fruit juice, which helped differentiate them. They also invested in bold flavor expansion (guava, kiwi, etc.), marketing via lifestyle partnerships (e.g. Barstool Sports), and multiple product line extensions (tequila seltzers, vodka iced teas).

Why it’s a model win: It tapped into demand for authenticity + premium quality, while riding the wave of RTD growth. It also balanced novelty with enough familiarity for broader audiences.

Loss

Brand/Product: Truly’s early over-expansion and flavor / ABV strategy (Boston Beer Company)

What went wrong: After dominating with the initial hard seltzer wave, Truly expanded too aggressively—introducing many flavors and multiples of higher ABV versions—while market sentiment shifted toward wellness, lower sugar, and moderation. Their growth, while still positive, lagged projections and their share of Boston Beer’s earnings declined.

Why it matters: This shows how chasing short-term flavor/ABV trends without hedging for demographic shifts or health concerns can expose a brand when consumer priorities change.

Miss 

Brand/Product / Category: RTD teas / sweetened RTD tea brands

What was missed: Many RTD tea brands stayed with high sugar, full-sweet formulations even as clean labels, lower sugar, and functional wellness became priorities for many consumers. Even in the mature RTD tea category, there are documented declines tied to sugar concerns.

What could have been done differently: Brands could have preemptively reformulated with low or no sugar, emphasized natural ingredients, or introduced functional add-ons. Those who made that switch earlier could capture loyalty and avoid backlash.

The Role of Emerging Trends and Social Media 

• According to the Sober Curious / Non-Alcoholic Trends report: in 2025, ~65% of Gen Zers plan to drink less. Nearly 39% plan to adopt a dry lifestyle (or non-alcoholic subset) not just during “Dry January,” but for the year.
  
  
• Social media hashtags like #sobercurious and #GutTok are not just memes—they reflect quantifiable shifts in search volume, product launches, and brand communications.
  
  
• Spirit-based RTDs in the U.S. are forecast to grow ~6% CAGR from 2023-2028, which shows growth is not only in novelty flavors but in formats consumers want (complexity, convenience, authenticity).
  
  

Why Market Research is Non-Negotiable for Beverages

Launching a new beverage is not just about a clever flavor or trendy packaging – it’s one of the most resource-intensive bets a brand can make. From R&D and production lines to packaging, labeling, and distribution, every step comes with significant costs. A single misstep – a flavor that doesn’t resonate, an ABV that misses consumer expectations, or a claim that feels off-trend – can translate into millions of dollars in wasted investment.

That risk is amplified by how quickly consumer priorities shift. Health and wellness cues, price and value considerations, flavor novelty, and convenience all factor heavily into beverage purchase decisions. Younger consumers, in particular, now expect claims like “low sugar,” “low ABV,” “non-alcoholic,” or “functional benefits” to be part of the baseline, not just a bonus.

The opportunity is undeniable: the global RTD alcoholic beverage market alone is projected to leap from about $19 billion in 2024 to nearly $29 billion by 2034. But that growth also means heightened competition and sharper scrutiny from consumers. Without research to guide decisions, brands risk pouring money into products that miss the mark.

In short: with beverages, research isn’t optional. It’s the safeguard that helps brands validate ideas, align with shifting priorities, and maximize return on innovation before committing to massive operational investments.

How Suzy Helps Brands Win in Beverage Innovation

• Concept Testing: Suzy can pull in panels that reflect Gen Z vs Millennials vs Gen X to see how flavor or label changes perform—or whether a “non-alcoholic rose-spritz” is better positioned as a functional drink or a lifestyle choice.
  
  
• Suzy Monadic Testing: Beverage innovation moves fast, and missteps are costly. Suzy’s monadic testing helps brands isolate which RTD formats and claims are worth scaling, and which need refinement. With spirit-based RTDs growing at ~6% CAGR (2023–2028) but some hard seltzer categories in decline, monadic testing gives brands a clear, data-backed signal on where to double down and where to pivot before investing in production and distribution.
  
  
• Suzy Speaks: brings AI-moderated conversational qual at quant scale, letting brands hear consumers’ authentic voices at scale. This is critical in beverages, where authenticity, social values, and cultural alignment often make or break brand loyalty. For example, Suzy Speaks can uncover how Gen Z talks about “gut health” in relation to functional drinks, or why Millennials link inclusivity and sustainability to beverage choice. It’s not just about what consumers say they’ll buy—it’s about understanding why in their own words.
  
  
• Suzy Signals: our next-generation trend intelligence platform that surfaces early shifts in consumer behavior. It connects digital breadcrumbs – like rising searches for “low sugar hard seltzer,” “non-alcoholic tequila alternatives,” or “functional drinks for gut health” – to cultural moments, prior Suzy research, and ongoing market data. By detecting these patterns before they hit mainstream, Suzy Signals gives brands a first-mover advantage to launch products that feel ahead of the curve, not late to the party.
  
  

Conclusion: Bringing It Full Circle

Back in that grocery aisle, what struck me most was not just the number of new beverages—but seeing which ones remained (or grew) and which ones quietly disappeared.  I thought back to  engagement parties, house warmings, and Memorial Day Weekend when I showed up with handfuls of “hot new” flavored drinks, only to watch my friends fawn over some and barely touch others. The successful ones were likely backed by rigorous research: validated ideas, tested claims, refined flavors, correct pricing, and responsive marketing.

Beverage innovation is a high-stakes game. For every Heineken, Dos Equis, or Suntory product that breaks through, there are many more that burn through thousands of dollars in inventory and shelf rent before falling off. The difference? Research.

If you want to launch a product that survives and thrives – not just looks cool on Instagram or shelf space – you need real-time, consumer-driven insights. That’s where Suzy comes in: helping you validate before launch, iterate quickly, and stay ahead of fast-moving trends.

👉 Ready to see how Suzy can power your next beverage innovation? Book a Suzy demo today.