Non-alcoholic drinks | At a restaurant, after a glass of wine; at a festival, between two beers

Sales of non-alcoholic products have increased by 24% over the past year in the country, driven by the increase in the supply of ready-to-drink products, which are extremely popular.

We know that we’re drinking more drinks that have very little or no alcohol. Now we’re learning a few details about who’s buying them, including why and where they’re doing it – with discount stores being a popular destination, and even beer festivals now featuring non-alcoholic options prominently. Here are five key takeaways.

Question of alternation

More than three out of four consumers who choose a non-alcoholic beverage will also buy beer, wine or spirits, according to a study by the research firm Nielsen which looked at this niche.

It is noted that this alternation between the two categories is done as much for purchases in retailers as at bars or restaurants. It is also noted that during an outing, half of the customers who order a non-alcoholic drink will also have drunk alcohol during their evening.

Question of pleasure

Health reasons are the main reasons given for this choice, particularly by young people who want to adopt a healthier lifestyle by reducing their alcohol consumption, without switching to a glass of water.

“People want to cut down on their alcohol consumption, but still want to have the pleasure of having a beer,” says Justin Archambault, who founded the Repentigny Oktoberfest 17 years ago. At that time, he says, anyone who drank a non-alcoholic beer was automatically suspected of “having lost their driver’s license.” Or of being pregnant, if they were a woman.

The festival takes place all weekend in Repentigny and has as its official beer… a non-alcoholic beer!

The beer is brewed by Alchimiste, in Joliette. According to Justin Archambault, the non-alcoholic beverage allows the person who consumes it to be fully part of a group, at a restaurant or on an outing such as a festival, where a designated driver can also have a good time, without feeling excluded.

“We are the first festival to offer an official alcohol-free beer. We are very proud of that,” says the founder of Oktoberfest, who points out that the Paris Olympics did the same thing earlier this summer, by presenting their official “zero alcohol” beer.

Question of price

Despite the provincial alcohol monopolies, Canadians are buying their non-alcoholic beverages at the grocery store, while there has been a greater increase in sales at discount stores – which consumers frequent more, since they are looking for the lowest prices when they do their shopping.

Conversely, a microbrewery beer lover will pay more for a product with equivalent taste, without alcohol.

“People aren’t looking for a cheaper option because it’s an alcohol-free product,” confirms Francis Parisien, senior vice-president, SMB sales Canada, for Nielsen.

According to him, master brewers have played an important role in this change of mentality, by offering high-quality non-alcoholic beers a few years ago.

As for the points of sale, Francis Parisien believes that the monopolies will quickly increase their places in this market, in the coming years. “The monopolies have woken up to this trend,” he says.

Practical question

It will come as no surprise to see ready-to-drink products being the driving force behind this growth, since the offering has exploded: a 168% increase in the last year for these canned products praised for their practicality.

Overall, sales of non-alcoholic beverages increased by 24% in the country. This followed a 17% increase the previous year. The segment reached $199 million in Canada this year.

Although manufacturers are multiplying their innovations, non-alcoholic beer remains the most popular, with 76% of the market, compared to 16% for wine – the offer being less wide in this category.

Question of celebration

While it was once thought that these drinks were a punitive alternative for those who couldn’t consume alcohol, that is certainly no longer the case as their sales increase during the holidays and festive periods.

Manufacturers have understood this festive spirit and are adapting their offerings with seasonal offers.

Nielsen analysts noted that while soft drink consumption is not an urban phenomenon, five major Canadian cities still account for more than a third of all sales, by value, of these products.

In Montreal, it is now a $25 million market, with growth of 11% calculated over the last year. In Quebec, we are talking about sales of almost $9 million, for growth of just over 9%.