One in five UK adults say they don’t drink alcohol, while 65% of British adults say they would spend money on experiences rather than possessions, rising to 72% of millennials, according to new Mintel research in consumer spending.
The British Lifestyles Report observes how the reduction in alcohol consumption is leading to higher spend when they do drink, with premiumisation helping to drive value sales.
It’s also creating opportunities for the soft drinks industry, estimated to be valued at £11.3bn in 2018 and growing 15.4% between 2013 and 2018, with adult soft drinks among the fastest growing segments.
“The fact that so many Brits are cutting down on the amount of alcohol they drink has proven to be a boon for soft drinks brands,” says Jack Duckett, Mintel associate director of consumer lifestyles research. “The industry has helped to further drive this demand by launching a raft of new soft drinks – using more sophisticated packaging and flavour profiles to help secure a ‘grown-up’ audience.”
The report also examines how consumers are seeking new ways to enjoy themselves and spend time with friends and family, resulting in a wave of new concepts to accommodate this desire.
Other key consumer behaviours are spending on an Instagrammable home, fermented foods and pot snacks.
“The unquenchable consumer enthusiasm for experience-led activities continues to help drive growth in the leisure market,” adds Duckett. “Our research shows that experiences that tap into the booming health and wellness trend are amongst the most popular. But it is undoubtedly the more unusual that carry the greatest value as the young, in particular, look for unique experiences that they can share on social media.”