Different types of beverages exist in the market and newer ones are getting added to the list daily. The retailer has to decide which kinds of beverages he sells to his customers carefully because it has significant effect on his sales, and invariably, his profits.
Beverages are one of the fastest-selling goods in a retail store. Findings reveal that in convenience stores, varied beverage categories contribute about one-third of the total sales made.
The kinds of beverage your store offers is a crucial decision to be careful about.
What kind of beverages…
Consumer’s choices are changing and, as a result, the kind of beverages they demand are not just about refreshments anymore. There are now a number of factors influencing their choices. The trends in the beverages industry are reflecting these disruptive changes. Beverages that had high demands before are gradually losing ground in the market. Newer kinds of beverages that barely existed few years ago now appear to be the darling of everyone.
Non-alcoholic and alcoholic beverages are the two basic kinds of beverages that should be available in your retail stores. Energy drinks, carbonated soft drinks, juices, coffee, and tea are examples of non-alcoholic drinks. Alcoholic drinks in retail channels, however, are dominated by beer and spirits.
Energy drinks and soft drinks are traditional beverage products. However, modern consumer behaviors indicate that there is an increase in the awareness of the substance they consume, thus there is a demand for healthier and more quality products. More than just a jolt of energy or refreshing feel, the drinks should provide vitamins and essential benefits. Consumers are getting more concerned about the functionality and sustainability of the products they buy. You should stock more organic, green, and clean label products to meet these demands.
In addition to the standard beverages, premium beverages should be available. In recent times, consumers are attracted to beverages that have unique tastes, high nutritional and health benefits, and made with exotic ingredients. They are willing to pay expensive prices to purchase these kinds of beverages.
Water, now more than ever, are essential beverage stocks in a retail store. Before now, Americans hardly drank bottled water, just one of every six. But in recent times, more than half that number consume bottled water. Sales of bottled water accounted for about 25.6% of total sales in US grocery stores in 2019 according to Statista.
Ready-to-drink beverages such as coffee and tea are today’s consumer favorites. Newer offerings such as cold brewed coffee are purchased even more than the traditional types.
To determine the kinds of beverages you stock your retail store with, the not-so-simple rule of thumb is to study what your customers want. This might not be an easy task to do if you are just getting started. By following the trends in the beverage industry however, choosing the kinds of beverages you should stock can be made simpler. But the final decision should factor in the demographics of your immediate customer community.