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Dive Briefing:
Coca-Cola and Bacardi plan to launch ready-to-drink cocktails that include their own brands, the companies said in statements Tuesday.
Bacardi Mix Coca-Cola RTD cocktails will be launched in several markets worldwide, initially in Mexico and select European markets in 2025.
- Coca-Cola has partnered with other beverage companies, including Molson Coors, Pernod Ricard, Constellation Brands and Brown-Forman, to strengthen its position in the adult beverage category.
Dive Insight:
Coca-Cola is best known for its iconic sodas, but it has aggressively expanded into new categories in an effort to transform itself into a “whole-beverage company.” A major part of its growth strategy has been focused on alcohol, often through partnerships with brands in its portfolio, such as Topo Chico, Simply, Sprite, and Fresca.
Bacardi’s latest product follows a similar strategy to Coca-Cola, which partnered with Brown-Forman’s Jack Daniels in 2022. For years, cola and spirits have been combined to create the famous drink Jack and Coke.
The two companies took advantage of this to create ready-to-drink versions of the cocktails.
The collaboration increased the opportunity for consumers to enjoy both brands. It also capitalized on the surging interest in cocktails and ready-to-drink beverages. And because the drinks and brands were already popular, there was less inherent risk involved in either company launching a product.
Mahesh Madhavan, CEO of Bacardi, said: Bakari When mixed with Coca-Cola RTD, consumers can enjoy “one of the world’s most popular cocktails, first invented generations ago with Bacardí rum and Coca-Cola, in a high-quality, convenient format.”
This isn’t the first time the two brands have teamed up, the companies noted. The Cuba Libre cocktail was invented in 1900 at the American Bar in Havana using Bacardi rum, Coca-Cola and lime.
The new items come as demand for canned cocktails soars. According to the Distilled Spirits Association of America’s annual economic report, pre-mixed cocktails, including spirit-based RTDs, are projected to grow 26.8% to $2.8 billion in 2023, making them the fastest-growing spirit category.
As further growth is expected, Bakari By mixing it with Coca-Cola RTDs, these companies can leverage their popular brand names to stand out in an increasingly competitive market while also gaining a piece of that market.
