No Lo and Sustainability: a journey of changing tastes and evolving lifestyles

No Lo drinks offer a low alcohol alternative to standard strength alcoholic drinks providing drinkers with a choice that they can enjoy on occasions when alcohol is the norm.

This developing category chimes with changing behaviours in the UK - attitudes towards alcohol consumption, health and wellness concerns, and the desire for more mindful drinking experiences - are all encouraging brands to innovate new products in this small but growing market.

Last year, No Lo drinks accounted for 1.9% of total off-trade alcohol sales in England (source: gov.uk), and supporting this category is seen as a significant opportunity for our public health. It also presents an opportunity for businesses to embrace the needs of their stakeholders and become more sustainable. 

Alternatives to alcohol

Today’s soft drinks originate from the first bottled spa waters and early soft drinks brands like Britvic and Schweppes which explored the health benefits of their inventions as therapeutic products; indeed the positive social and economic impact of reducing our alcohol consumption were highlighted by the temperance movement of the nineteenth century. 

Whilst soft drinks are the largest alternative to ‘hard’ alcoholic drinks (source: britishsoftdrinks.com), No Lo drinks offer a distinct choice to consumers seeking an alternative drink experience - forming a distinct category recognised in law and encouraged by policy (source: gov.uk).

However, so far their perception remains mixed: alcohol-free drinks may be seen as too expensive, of poor flavour, or negatively associated with people needing to reduce their alcohol consumption, instead of as an option for all adult drinkers.

Artisanal drinks

Three-quarters of No Lo consumption is of beers and ciders, often as direct analogues of familiar full-strength brands, presenting an opportunity for newcomers to address the perennial consumer dilemma of trial and trust. No surprise then that the trend towards artisanal and craft alcoholic drinks has parallels in No Lo, for wine and spirit alternatives as well as beer and cider. 

No Lo leader Seedlip links its inspiration to a disappointing mocktail, a descriptor that predates US prohibition and suggests that as long as there have been cocktails there have been mocktails. Today, brands like Crossip and L A Brewery are tapping into the opportunities to focus on premiumisation through quality, innovation and health so is it any wonder that this space has its fair share of Certified B Corp brands: Thomson & Scott, Lucky Saint, Bemuse, Club Soda, Everleaf, Sipsmith, Warners, Quarter Proof, The Three Drinkers, Pentire and Brick Lane are all carving out their space in the adult No Lo market.

Innovation in the sector is boosting perceptions around alcohol-free drink quality and enjoyability,  however in current climes, and similar to plant-based protein mainstream adoption requires parity on taste and price. Our government is open that it’s recent new duty guidelines are intended as a financial disincentive to alcohol content and to present an opportunity to low alcohol brands.

New habits

A decade after Macmillan launched its Go Sober for October mass-participation fundraiser, there are more examples recognising the need for new habits. In its first Sustainability Newsletter, the Wine Society, a member-owned community of wine lovers acknowledges its social responsibility to help develop a balanced  relationship with drinking by offering its members access to courses from our fellow Certified B Corp Club Soda, which set out to contribute to a world in which people drink mindfully and live well by encouraging:

• Choice: promoting the availability of low and no alcohol drinks, encouraging people to choose better alcohol-free alternatives

• Change: offering courses and workshops that support people to cut down, take breaks from drinking or stop for good

• Connection: creating connections through online and real-world events

There is evidence that our young adults have different attitudes to intoxicants than our generation and that fellow mid-lifers are considering the need to enjoy longer and healthier lives and whilst the same consumer behaviours may not be present in all international markets, in the UK No Lo has the support of public health agencies.

What next

No Lo is a distinctive small and growing category that has the potential to do good and do well. Like all food and drink, quality and value are key to sustainable growth and clearly communicating your brand story is imperative. The UK Government consultation on updated label guidance for No and Low alcohol alternatives closes on 23rd November so have your say here.

To find out more about how thinking of the impact of your products on your stakeholders can  be a step towards sustainability, contact us.