Rising Demand for Non-Alcoholic Beverages in the U.S. Market

Liquid Death, a non-alcoholic beverage company, gains rapid popularity in the US market with its unique packaging and appeal to health-conscious and party-going consumers.

### The Rise of Non-Alcoholic Beverages in the U.S. Market: Liquid Death and the Growing Trend
* 🍺 The U.S. beer market is witnessing a significant shift with the **decline of Bud Light** and the **rise of Modelo as the top brand**.
* 🚫 The growing interest in non-alcoholic beverages is reshaping the market landscape, with **non-alcoholic beer gaining popularity**.
* 💀 Liquid Death, a brand offering spring water in cans with a unique design, has been experiencing **rapid growth**.
* 🏋 Non-alcoholic beverages are becoming popular due to their **improved taste** and the emerging trend of consuming them **after exercise**.
* 💰 Liquid Death strategically targets consumers who want to enjoy drinks like beer in social settings **without alcohol**.
* 🎯 Liquid Death's branding and marketing efforts focus on creating a **cool and edgy image**.
* 🍻 Non-alcoholic beer has become popular as its taste has become more **similar to regular beer**, leading to a **diverse consumer base**.
* 📈 The U.S. market presents new opportunities for companies and investors in the **growing non-alcoholic beverage sector**.

Hello, this is Kim Yong-gap, the New York correspondent for Maeil Business Newspaper. The hot summer is approaching, and the interest in the beer market is increasing as the predicted heatwave is on its way. Currently, the beer market in the United States is undergoing a significant change. For the past 20 years, the absolute leader in the U.S. beer market, Bud Light, has collapsed. Instead, the Mexican beer brand Modelo has taken the top spot in the U.S. beer market. Due to various issues such as controversies over same-sex marriage and the increase in the Hispanic population, the ranking of the beer market is fluctuating. Another keyword shaking up this industry is non-alcoholic beverages. Taking advantage of this market situation, I would like to talk about a company called Liquid Death that is creating new demand. Why is Liquid Death, a company that puts spring water in cans with skull illustrations, experiencing rapid growth? First, in the current U.S. market, this non-alcoholic beverage is gaining momentum.

A representative example showing popularity is the beer sales at Whole Foods Market behind me. The highest-selling beer at Whole Foods Market is the non-alcoholic beer brand Athletic. Of course, this reflects to some extent the characteristics of Whole Foods Market, but the fact that the sales of non-alcoholic beer surpass regular beer sales is symbolic. Let's go there together. Now that we have entered this corner of Whole Foods Market where Athletic, a non-alcoholic beer, is located. Here, you can see this is $10.99, so six for $10.99, and one for just under $2. From the outside, you can feel a slightly craft beer-like packaging, and you can also confirm it. Typically, it is sold in a size similar to a beer can, like this, and briefly, this is Athletic's.

When it comes to the secret of popularity, it's all about the taste. The fact is, the emergence of non-alcoholic beer dates back quite a while, with the assumption that it started with the U.S. Prohibition Law in 1919. At that time, the U.S. prohibited the production and distribution of alcohol-containing beverages with more than 0.5% alcohol due to the prevailing circumstances and religious reasons. As a result, breweries began producing what is known as near beer, which had almost no alcohol, less than 0.5%. So, the appearance of non-alcoholic beverages is quite old. However, what has recently gained more popularity is not only due to health aspects but also because the taste has become similar to regular beer. The usual method of making most non-alcoholic beers is to brew beer normally and then remove the alcohol. Taking advantage of the fact that alcohol turns into gas at a lower temperature than water, they remove the alcohol. However, in the process, the unique taste of the beer may also disappear.

However, recently, the taste of non-alcoholic beers has become very similar to real beer. In fact, we have requested interviews with athletes and visits to breweries related to this, but we have been rejected. So, if any of our subscribers know someone, please introduce them to us so that we can go and cover it ourselves later. One of the reasons why non-alcoholic beers are selling more than regular beers is that the taste has improved. We will test the taste in a moment. Also, with the increasing interest in health, a culture of drinking non-alcoholic beer after exercising is emerging. Now, even restaurants are starting to offer non-alcoholic beers, gaining popularity in the era of non-alcoholic beers.

There is a mineral water brand that sells water with a skull drawing called Gof Jang Ji A, which feels like beer. It is gaining popularity among American generations. This is the Liquid Death sparkling water brand that I will talk about today. It's $15 for eight packs, so it's a bit expensive at $2 each. Oh, it's quite cheap if you buy it on sale. However, just looking at the cover with the skull drawn on it is very unique. Also, there are phrases like Murder your thirst written on it. Here, Liquid Death is now a brand of vitamins. There is lemonade here, and here is still water, just regular water. These two seem to be the most consumed, sparkling water.

It has a very diverse lineup. But just by looking at it from the outside, you wouldn't think this is water, right? Rather than thinking this is real water, it feels more like beer or an energy drink. I think I need to pay with Amazon Pay. We bought Liquid Death water at Whole Foods Market last time. In fact, Liquid Death is a company founded in 2017. However, it has recorded a three-digit growth rate over the past three years. Last year, it ranked first in water sales on Amazon. This unique-looking water, which reminds Koreans of the skull water from the movie Oil Tanker, was created by a former advertising executive. Mike Cessario, a former advertising executive at the age of 41, was an ordinary office worker. However, Cessario, as a former figure in the advertising industry, successfully created a brand that customers

I thought that I should be able to take pictures by myself and increase awareness by posting them on social media. If so, it is because I don't have to pay for advertising costs. So, I focused on capturing the attention of my generation who wants to share cool things online. Therefore, I thought that the appearance of the water bottle should be cool. Instead of carrying a plastic water bottle around at parties, I hoped to carry this cool water bottle and go to clubs. Oh, then I was inspired at a festival. I saw a member of a band drinking water by filling up a Monster energy can. Eventually, combining coolness and health, I created Liquid Death, water in a can. I registered the trademark in 2017 and officially launched it two years later in 2019, with sales reaching $2.8 million.

I recorded it, but in 2022, it exceeded $100 million in sales, and in 2023, it grew rapidly to $263 million. Yes, it takes the top spot as the best-selling bottled water at Amazon, and at the same time, it rises to become the second best-selling carbonated water brand on Amazon. The number of retail stores in the U.S. and the U.K. alone is as high as 113,000. Although it sells a lot, the price is quite high. However, they don't position their expensive bottled water as the epitome of expensive water targeting Evian customers. Sessari 5 expected that their product would appeal to fans of spirits. They released a trendy packaged water for those who want to socialize at clubs or parties but don't want to socialize while drinking from plastic water bottles. And their targeting was spot on. Posts on Reddit.

People evaluate that the reason Liquid Death is popular is that it is designed to look like a beer can so that you won't be bothered for not drinking in an environment where everyone is drinking. Also, they say that when you are too drunk at a concert, you can order it. So, young people who want to immerse themselves in the atmosphere but can't drink anymore also use it. Liquid Death eliminates the effort of having to explain to someone when you're not drinking. Surprisingly, it is a brand that not only appeals to the coolness-seeking Generation Z but also satisfies moms who want their kids to drink healthy drinks instead of alcohol. They make efforts to create marketing and brand image for this. Therefore, they sometimes engage in somewhat unusual and rude marketing. They use expressions like murder your thirst or death to plastic. They also use zombie characters.

We create advertisements and make videos using this. In fact, we don't even say buy water in the ad. It's water that sells better when you don't mention it's water. We simply focus on creating a hip image. In summary, the latest trend in the U.S. beer market is the demand for less alcohol. And the company that enables people to enjoy non-alcoholic drinks without others knowing is Liquid. When you want to get into the mood without actually drinking, the younger generation in the U.S. drinks water in hip cans. Now, let's move on to compare non-alcoholic beer and water. We went to the mart and bought this non-alcoholic beer and the recently popular Liquid Death water. Let's try them out ourselves and compare. Starting with the beer first, or maybe the water first. Let's try the water first because the taste is.

Shall we start by looking at this? Let's take a closer look. Oh, it's completely clear. It's the color of pure water. When comparing the colors, there is hardly any difference. But you might not see it on the screen, but if you look closely, there are tiny bubbles. Bubbles, right? It seems like there is something different. Let's compare these. It seems like they can be tasted at the same time. That's right. Oh, but the taste is different. Each water has a different taste. It's just a slight difference in the level of taste. I'm not sure about the difference in scent or taste. This one feels cooler because it was just taken out of the refrigerator, but this one seems a bit lighter. This is just my opinion, but it seems like it might have a taste of tap water. Oh, it really does. It seems like it might have a taste of tap water, but it doesn't. If I had to choose, I would choose to drink this one. Oh, I think this one is better. This is my sparkling water, with a lime flavor.

It feels like that, and this just seems like sparkling water. What you perceive from the outside, both can be seen as typical carbonated water with bubbles. The color is also the same, transparent. This one is really just like the carbonated water we feel. When you see it, it has a lime scent plus a slight sweetness. The aroma in the carbonated water we drink is different from this one, so without exaggeration, it can be consumed as a substitute for cider, a slightly sweet beverage. It has a soda-like feeling. Oh, there is sugar in it. Comparing three, it's not comparable, but this seems to be the best for concerts or places like that. Now, let's compare it to beer. Actually, this was the best-selling beer at Whole Foods Market last year. What is this color?

This is Bud Light. Right now, the smell is already like this. Indeed, experts in alcoholic beverages. We invited an alcohol expert. The color is slightly different. But at first glance, it's hard to tell the color of non-alcoholic beer with the naked eye. Oh, this one has a slightly bland taste. It tastes like a beer made for soju. It seems like it would go well with soju. So, this is a typical light taste. It's different from this one. It's definitely stronger. It's darker as well. It's darker than the color. It's also strong in flavor. There are flowers too. I will try my favorite one. We brought this as an ale. I think I can distinguish between beer and ale when I taste it with my eyes closed. Hyungwon PD is very good at drinking alcohol, and I am a bit.

I'm not a style that can't drink alcohol, but when I saw it, it's hard to distinguish if I'm not good at drinking. Compared to others, it seems definitely lighter. It feels like it lingers a lot after it's over. But because this one is a bit light, it feels like it just passes quickly. Basically, now, the consumer base for non-alcoholic beer is quite diverse. There are pregnant women who can't drink, people who can't handle strong alcohol, and people who use it as a substitute for alcohol. And there are quite a few people who drink with alcohol. Why is that? After drinking alcohol, they go to a party and have fun, but as they keep drinking, they exceed their limit. However, they still want to enjoy the atmosphere of the party, so in these cases, they continue to create an atmosphere. There is a wide range of consumption.

If we summarize, what we wanted to talk about today is that non-alcoholic beers have improved in taste. Of course, opinions may vary. Those who are good at drinking or have tried a lot of alcohol may evaluate the taste more sensitively. However, one of the reasons the non-alcoholic market is growing is that the taste of non-alcoholic beverages is very similar to beer. Along with this evaluation, there is a trend in the beer market where companies are making money by tapping into this niche market of people who want to enjoy drinks like beer at parties without actually drinking alcohol.

We have prepared today's broadcast to deliver our message again. I think domestic investors may also see new opportunities in this situation. We will end the broadcast here today. Thank you for watching. Thank you. Please subscribe to Maeil Business Newspaper and like and comment. Thank you.

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Beer Market and the Rise of Non-Alcoholic Beverages

beer market is experiencing a significant transformation, with Modelo surpassing Bud Light as the top brand.

Non-alcoholic beverages, like the ones offered by Liquid Death, are capitalizing on the growing market demand, driven by improved taste and a rising health consciousness.

The popularity of non-alcoholic beer is on the rise, surpassing regular beer sales, due to its improved taste, growing interest in health, and the emerging trend of drinking it after exercising.

The Unique Rise of Liquid Death Sparkling Water

Liquid Death, with its unique skull-branded cans, has gained popularity in the US, despite its higher price point.

The company, founded by former advertising executive Mike Cessario, experienced rapid growth by focusing on the cool and edgy aesthetic to appeal to the social media generation.

The brand's success was driven by the combination of a striking appearance, health consciousness, and the desire to share trendy products on social platforms.

The Soaring Popularity of Liquid Death Bottled Water

Liquid Death's sales exceeded $100 million in 2022 and rapidly grew to $263 million in 2023, making it the top-selling bottled water on Amazon.

The brand's high-priced trendy packaged water is designed to appeal to the younger generation and those seeking non-alcoholic options in social settings.

Liquid Death's unconventional and bold marketing strategies, using a beer-like image and targeting both Generation Z and health-conscious parents, have contributed to its popularity and success.

Taste Testing: Sparkling Water, Lime Flavored Water, and Beer

Two types of water, one with a lime flavor, are compared in appearance, taste, and scent, with a preference for the lime-flavored one.

The lime-flavored water is described as having a soda-like feeling and slight sweetness, potentially serving as a substitute for a slightly sweet beverage.

The taste and color of non-alcoholic beer are compared to a stronger, darker beer, with the darker beer being described as having a stronger flavor and floral notes, while the ale is mentioned as a favorite with a distinct taste.

The Growing Popularity of Non-Alcoholic Beer

Non-alcoholic beer has a diverse consumer base, including pregnant women, those who can't handle alcohol, and people looking for a substitute.

It also attracts drinkers who want to maintain the party atmosphere without exceeding their alcohol limit.

The market for non-alcoholic beer is expanding due to its improved taste, which closely resembles that of alcoholic beer, creating new opportunities for companies and investors.