Diageo is set to introduce a new line of premium ready-to-serve cocktails that leverage the strength of some of its best-known labels into the soaring category.
Dubbed The Cocktail Collection, the line will feature three new pre-mixed cocktails launching this fall including: Ketel One Vodka Espresso Martini, Ketel One Vodka Cosmopolitan and Tanqueray Gin Negroni. They will join Bulleit Manhattan and Bulleit Old Fashioned, which are already on the market.
The Cocktail Collection will be available nationwide in four-serving 350ml (SRP $13.99) and eight-serving 750ml (SRP $25.99) glass bottles, with an average ABV of 20%.
In a statement, the company cited fast-rising demand for Ultra-Premium RTDs (+49% year-over-year, per NIQ data through September 9) for “providing the opportunity for an offering that truly delivers on quality in a novel format.”
“Cocktail culture continues to flourish, so it’s only natural that consumers are looking to bring elevated drink experiences into their homes,” said Nikhil Shah, Brand Director at Diageo. “But making cocktails at home, and doing it well, can be challenging for the less experienced bartender. The Cocktail Collection is here to alleviate those concerns with convenient, bar-quality cocktails from trusted brands, offering a wonderful new way to enjoy holiday celebrations together this year.”
Diageo has realigned its strategy in response to surging demand for ready-to-drink products in recent years. In addition to opening a new $110 million facility aimed at supporting production, the spirits conglomerate has partnered with coconut water leader Vita Coco on an alcoholic RTD and pushed its own products under Loyal 9 Cocktails and Crown Royal brands.
During the company’s Q3 earnings call in August, CEO Debra Crew admitted that the company lost share in the RTDs, offsetting gains made in other spirit categories. She said convenience is important to the group, but, citing Bulleit’s products as an example, that it will look to make more plays in the premium segment.
“We do have a broad [RTD] portfolio, but we want to play selectively, we want to play where it’s premium, we want to play where it will ultimately help our brands,” she said.