Category Focus: Summary of Sarah Coleman’s Presentation at FWD’s October Event
At this month’s FWD Category Focus event, Sarah Coleman highlighted the ongoing importance of alcohol to the independent convenience channel — a category that currently accounts for £1 in every £5 spent. While the sector is experiencing some decline, Sarah emphasised the significant headroom for future growth, underpinned by evolving shopper habits and new category dynamics.
Category Drivers and Opportunities
Current growth is being fuelled by fractional spirits, strong cider, ARTDs (alcohol ready-to-drinks) and tonic wine, while the Low & No segment remains relatively underdeveloped in the channel.
Sarah identified several key opportunities for retailers and suppliers to unlock growth:
- Filling distribution gaps: even top-performing brands are, on average, only available in around half of stores.
- Maximising seasonal peaks: through in-store activation and tailored promotions.
- Understanding the shopper: using local insights to optimise range and relevance at store level.
Panel Discussion Highlights
The panel discussion that followed explored how innovation and shifting consumer behaviour are reshaping the category. Topics included:
- Low & No: positioning and merchandising to drive incremental growth rather than cannibalisation, with consensus that the most successful products mirror their alcoholic counterparts.
- Evolving occasions: the rise of ‘zebra drinking’ and ‘spritz’ moments, reflecting more flexible consumption habits.
- Innovation and premiumisation: Buzzballz was cited as a standout example of genuine innovation, helping to elevate the category amid cost pressures. Retailers agreed that new product development continues to be a vital growth lever.
- …and where indie retailers lead with NPD, the retail mults are following.
- Fractionals: strong performance in the channel, offering a point of difference as many SKUs remain unlisted in the multiples. Interestingly, major retailer range reviews are increasingly being influenced by what’s happening in symbols and independents.
