Coors has become the latest beer to see its abv reduced to 3.4% to take advantage of duty savings.
The reduction from 4% abv – which has coincided with a £6m brand investment – was part of a bid to win over “a new generation of shoppers”, said owner Molson Coors Beverage Company.
“The shift is part of Molson Coors’ commitment to offering more choice to consumers through its broad range of beers and ciders, including zero and lower alcohol options for consumers choosing to moderate or not to drink alcohol at all,” the brewer said.
Despite the change, Coors was still “the same great-tasting, refreshing mountain-cold beer” it insisted.
There have been widespread reformulations and a slew of new beers launched at 3.4% abv since changes to alcohol duty were made in August 2023.
Under the new system, booze at 3.4% abv and below is subject to duty of £9.61 per litre of pure alcohol (lpa) in the finished product, compared with £21.78/lpa for beers between 3.5% and 8.4% abv.
Carlsberg Pilsner was the first household name to be dialled down from 3.8% to 3.4%, while others including John Smith’s, Sol and Grolsch have also seen their booze content slashed.
Reformulation has helped Carlsberg Pilsner return to both volume and value growth over the past year. The lager has added £10.9m on volumes up 15.2% [NIQ 52 w/e 25 January 2025].
Critics of the practice of “drinkflation” – where brands reduce the alcoholic strength of their products while leaving prices the same – argue it means shoppers are short-changed. A study published in scientific journal Public Health last year found alcoholic drinks had become both weaker and more expensive since the UK’s alcohol duty system was reformed.
But Carlsberg has passed at least some of the duty savings on to consumers – pre-promotional prices of its Pilsner across the traditional big four mults and Waitrose have fallen 1.9% year on year [Assosia 52 w/e 25 February 2025].
Coors will hope its reformulation – and the launch of what it described as “the biggest campaign yet for Coors in the UK” – can have a similar impact. In the 12 months to last April, sales of Coors fell by 6.5%, to £78.8m, according to data compiled for The Grocer’s Britain’s Biggest Alcohol Brands report 2024 [NIQ 52 w/e 2 April 2024].
The ‘Peak of Technology’ push – rolling out across social, out-of-home, TV, and video-on-demand from next month – would “celebrate Coors’ signature cold-activated packaging”, said Molson Coors.
“This is one of our biggest and most ambitious campaigns yet for the Coors brand, as we look to connect with drinkers in a fresh, entertaining way,” said Molson Coors’ premium beer brands director Karen Albert said. “We hope it will create excitement among consumers, as well as helping our retail customers to drive sales through the summer months and beyond.”
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