Spring’s not over yet, but already retailers and brands ought to have their sights set on summer, with products, pricing, placement and promotions poised for the warm-weather months. Key to the season is the lucrative beverage category, and prior-year trends along with evolving product preferences paint a clear picture of where retailers and brands need to be in order to maximize sales in June, July and August.
Warmer weather drives thirst, and with climate change nudging temperatures up beyond historic norms, it’s no surprise that summer brings spikes in beverage sales.
That’s not a time you want to be caught with out of stocks – they can run as high as 15% during peak season, and nearly 70% of consumers will switch brands if they can’t find their favorites on the shelf.
Bottled water in particular can be expected to grow sales by double digits, based on prior-year performance, and a boost in sports drinks reflects a sustained interest in hydration products during the summer, especially among active consumers.
However, pop seems to be falling out of favor, with carbonated soft drink sales remaining flat despite a summer surge for the overall beverage category. Energy drinks have seen a bit of a slowdown despite overall growth.
An intriguing development is the emergence of “dirty sodas” — CSDs with added creams, juices or syrups – driving viral social media activity. Soda shops offer a Starbucks-style experience, with a variety of add-ins and seasonal specials. Home users can find recipe ideas online, along with some targeted retail products.
Meanwhile, expect alcohol sales to be robust, continuing their traditional significant seasonal fluctuations, with summer months driving annual sales.
Beer sales demonstrated growth – typically 40% of all sales happen between Memorial Day and Labor Day – but keep an eye on purchasing patterns. With the onset of new tariffs, market-leading Mexican lagers may surrender their position to domestic brands following significant growth in south-of-the-border suds over the past several years.
Hard seltzers have been replacing beer as a beverage of choice, particularly among younger generations, with brands like White Claw and Truly making leaps in market share.
While these historic spikes are expected to continue, it will be interesting to see how they’re impacted by the trend away from alcohol by younger emerging consumers.
Summer is an active season, so be ready to adapt to changing tastes, demands and behaviors among consumers. Start planning now so you can maximize the sales opportunities that summer brings.
You can do that by making RDSolutions your trusted in-store partner that delivers real-time service to maintain your shelf space and capture those summer surge sales. With real-time insights and agile merchandising, we ensure your products remain available and on full display when customers want them the most.
