The RTD Boom: Using BI to Track Ready-to-Drink Velocity and Distribution
Ready-to-drink (RTD) beverages, including canned cocktails, hard seltzers, spirit-based RTDs and other premixed drinks, have become one of the most dynamic segments in beverage alcohol. They appeal to consumers looking for convenience, variety, portion control and flavours that are easy to enjoy.
The category moves fast. New brands and flavours launch constantly, trends shift quickly and shelf space is fiercely contested. That makes business intelligence essential for RTD brands.
Why RTDs Are Different
RTDs behave differently from traditional beer, wine and spirits:
- High innovation rate: New flavours and brands arrive frequently, often seasonally.
- Rapid trend cycles: A flavour or style can surge and fade within a short period.
- Cross-category competition: RTDs compete with beer, seltzers, wine and spirits for the same occasions.
- Cold, single-serve and multipack formats: Cooler space and pack architecture matter.
- Diverse shoppers: RTD buyers include traditional beer drinkers, spirits fans and people who don’t usually drink either.
In a category this dynamic, relying on quarterly reports and instinct is risky.
The Key RTD Metrics
Velocity
Velocity (sales per store per week, or per point of distribution) is the most important measure of RTD health. High velocity shows genuine consumer pull; low velocity suggests a product may struggle to hold its listing.
Distribution
How many stores carry the product, and which SKUs? Distribution growth without velocity can hide weak performance, while strong velocity in limited distribution signals opportunity.
Flavour and SKU performance
Which flavours drive sales, and which are slowing? In RTDs, a few top SKUs often generate most of a brand’s volume.
Pack format performance
Single cans, 4-packs, 6-packs, variety packs. Understanding which formats perform where helps optimize the assortment and cooler space.
Seasonality
Many RTDs peak in warmer months and around holidays. Understanding seasonal patterns helps plan production, promotions and space.
How BI Helps RTD Brands
1. Spot winners and losers early
With fast trend cycles, identifying rising flavours early lets brands expand distribution while the trend is strong. Spotting declining SKUs early helps brands replace them before retailers cut them.
2. Separate distribution from demand
BI tools that look at velocity alongside distribution show whether growth is coming from more stores or from stronger sales per store. That distinction shapes strategy.
3. Find distribution gaps
Comparing where a product sells well with where it isn’t carried reveals opportunities for new listings.
4. Measure promotions
RTD promotions are frequent. BI can show which promotions drive incremental sales and which simply shift volume from another period.
5. Understand cross-category impact
Looking at RTD sales alongside beer, seltzer and spirits trends helps brands understand where their consumers are coming from.
Don’t Forget the Shelf
For RTDs, execution in the store, and especially in the cooler, strongly affects velocity:
- Is the product cold?
- Is it in the right cooler door, near relevant competitors?
- Are the top flavours in stock?
- Are variety packs and new flavours visible?
Combining BI with retail execution data helps explain why velocity differs between stores. Sometimes the answer is simply that the product wasn’t in the cooler.
Planning for Innovation
New flavour launches are central to RTD growth. BI helps brands:
- Set realistic expectations based on past launches
- Track early velocity against benchmarks
- Decide quickly whether to support, adjust or retire a new flavour
How Analyticsmart Helps RTD Brands
Analyticsmart’s BI platform helps beverage alcohol brands track velocity, distribution and flavour performance in one place. Our merchandising app and image recognition show what’s actually happening in stores and coolers. Our CRM helps reps act on the insights. Together, they give RTD brands the speed and visibility this fast-moving category demands.
The Bottom Line
The RTD category rewards brands that move quickly and make decisions based on data. By tracking velocity, distribution, flavours and formats, and connecting them to what’s happening on the shelf, brands can ride the trends instead of chasing them.