RTD products are now worth $14 billion (£10.3 billion) in off-premise business while spirits-based RTD sales reached $4.0 billion (£2.95 billion) over the latest 52 weeks, up from $1.0 billion in 2021, with 11 of today’s top 30 spirits brands by volume RTDs.
The latest figures from the Wine & Spirits Wholesalers of America (WSWA), through its SipSource 2026 report, reveal the organisation now analyses these drinks as a fourth category alongside beer, wine and spirits.
Spirits RTD dollar sales rose 23.1% over the latest 52 weeks, compared with 16.6% over the latest 13 weeks while brand turnover remains high with 60% of today’s top 15 RTD brands not on the list in 2021.
Core spirits volume fell 2.5% over the latest three months versus a year ago, an improvement on the 4.1% decline over the past 12 months.
“The holidays will be good for some parts of the business and harder for others,” said SipSource analyst Danny Brager.
“We’re seeing real signs of stabilisation, and the soft comparisons of year ago should work in our favour this quarter. But consumers are being far more selective with their spending, and until economic conditions improve, we don’t expect that to change.”
According to the business, several spirits segments have turned positive in recent months. Over the latest three months, depletion volume rose 6.6% for Irish whiskey, 2.5% for tequila and 1.4% for cordials and liqueurs. U.S. whiskey, rum and gin continue to decline, but at a slower rate than their 12-month trends.
SipSource said it expects trends to continue stabilising through 2027, with improvement but not overall category growth. Analysts expect retailers to keep tightening shelf space, while businesses across all three tiers continue reducing inventory.
Wholesale inventories are down 4.5% from a year ago, but the inventory-to-sales ratio remains at 1.63, well above the 1.13 typical from 1992 to 2006.
“Holiday 2026 is going to tell us a lot about 2027,” added Dale Stratton, SipSource analyst. “The economy is the single biggest wild card. Moderation, wellness and a more choiceful consumer are all part of the picture, and the businesses that understand those occasions will be best positioned to succeed.”
