During the forecast period, high rates of taxation and various regulatory barriers will prevent low ABV categories such as RTDs from achieving their full potential. India’s state-controlled alcoholic drinks taxation system lacks uniformity, with most drinks taxed by volume rather than by pure alcohol content.
Spirit-based RTDs is expected to continue to dominate sales of RTDs over the forecast period, and will continue to see growth, spurred by recent product development by the leading players. For instance, Radico Khaitan introduced a range of vodka-based RTDs, while Diageo, through its United Spirits division, launched hard seltzers under the Smirnoff brand, alongside other spirit-based RTD cocktails.
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RTDs
RTD stands for ‘ready-to-drink’. Other terms which may be used for these products are FABs, alcopops and premixes. The RTDs sector is the aggregation of malt-, wine-, spirit- and other types of premixed drinks. These drinks usually have an alcohol content of around 5% but this can reach as high as 10% ABV. Premixes containing a high percentage of alcohol of around 15%+ combined with juice or any other soft drink are included here. RTDs are usually marketed as products to be drunk neat, with ice, or as a cocktail ingredient. Fruit-flavoured, vodka-based spirits with an alcohol content of between 16-21% are classified here. Examples: Alizé, Ursus Roter, Berentzen Fruchtige, Kleiner Feigling.
See All of Our DefinitionsThis report originates from Passport, our RTDs research and analysis database.
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