UK: Diageo Aims for Tap Success Following Guinness 0.0's Off-Trade Triumph

Guinness, a brand synonymous with rich, dark stout, has taken a bold leap into the non-alcoholic beer market with its product, Guinness 0.0. Launched in 2020 after four years of development, the journey of Guinness 0.0 has been anything but smooth. However, its recent success in the UK off-trade market and ambitious future plans highlight a remarkable turnaround for this non-alcoholic variant.

A Rocky Start

Guinness 0.0's initial entry into the market was marred by a significant setback. Shortly after its launch, Diageo, Guinness's parent company, was forced to recall the product due to a microbiological contamination that posed a potential health risk to consumers. This recall, announced just two weeks post-launch, put a temporary halt to the brand's non-alcoholic ambitions. (inside.beer, 11.11.2020) Despite this rocky start, Diageo remained committed to refining and relaunching Guinness 0.0, determined to carve out a place in the growing non-alcoholic beer market .

Market Leader in the UK Off-Trade

Fast forward to today, and Guinness 0.0 has defied the odds to become the best-selling non-alcoholic beer in the UK's off-trade market. This achievement marks a significant milestone, as the product has outperformed well-established competitors in a market segment that continues to grow rapidly. The success of Guinness 0.0 in the off-trade sector reflects changing consumer preferences, with more people seeking non-alcoholic alternatives that do not compromise on taste .

Expansion into the On-Trade Market

Building on its off-trade success, Diageo is now eyeing the on-trade market in the UK. Following a successful rollout of Guinness 0.0 on draught in Ireland, Diageo plans to introduce the product on tap in select UK pubs. This move is seen as a strategic effort to capture a broader customer base, particularly those who prefer the pub experience but are looking for non-alcoholic options. The availability of Guinness 0.0 on draught could potentially attract a new segment of consumers who have yet to embrace non-alcoholic beers in a traditional pub setting .

A Bold Vision for the Future

Despite Guinness 0.0 currently accounting for just 3% of Guinness's global beer sales, Diageo has ambitious plans for its future. The company believes that Guinness 0.0 could one day surpass sales of its traditional alcoholic counterpart as Diageo marketing director Anna MacDonald told the Sunday Telegraph. This optimistic outlook is driven by broader trends towards health and wellness, as well as the increasing demand for quality non-alcoholic beverages. As consumer attitudes continue to shift, Diageo's investment in Guinness 0.0 seems well-placed to tap into a market with significant growth potential.

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