How personalisation is transforming the alcoholic drinks industry

AI is set to overhaul production processes and consumer interactions.

The alcoholic drinks industry is rapidly evolving thanks to advances in technology and digital platforms, Euromonitor International reported.

These changes are significantly improving consumer experiences through tailored communications and custom drink options.

Personalisation has become a cornerstone of successful digital strategies, providing both practical benefits and aspirational appeal. By tailoring communications and product offerings, brands can enhance customer loyalty, influence sales, and reshape brand perceptions. 

Although e-commerce growth has slowed post-pandemic, it remains the fastest-growing retail channel, representing only 3% of total retail volumes and leaving ample room for expansion.

Artificial intelligence (AI) is at the forefront of this revolution, poised to overhaul production processes and consumer interactions. AI-driven tools now offer personalised product recommendations based on purchase history or preference quizzes, streamlining the shopping experience and making it more intuitive. AI-powered chatbots are also enhancing customer service by providing product suggestions, answering queries, and offering mixology and food pairing ideas, mimicking in-store interactions.

As consumers increasingly explore diverse options, including the burgeoning no/low alcohol sector, personalised guidance becomes more valuable. Online channels are crucial for consumers seeking the best products at competitive prices, but they also offer opportunities for deeper engagement. 

Despite economic pressures and cost-of-living concerns, the trend towards premiumisation continues, with digital platforms offering innovative ways for brands to connect on a personal level. Emerging technologies like augmented and virtual reality are also enhancing brand engagement, offering immersive experiences that blend the physical and digital worlds. Additionally, QR codes are providing access to exclusive digital content, including sustainable practices and cocktail recipes.

Looking ahead, the focus on personalisation is extending to the actual product itself. Innovations in countertop brewing and mixology devices, despite high price points, suggest future growth as these technologies become more accessible. 

The report noted the need to balance digital advancements with the industry’s traditional values. Overemphasis on personalisation and technology risks undermining the perceived heritage and authenticity of alcoholic beverages.