Latest Trends Suppliers Need to Know for 2023
The beverage industry plays a crucial role in streamlining the U.S. economy. According to Blue Cart, the beverage industry, including alcoholic and non-alcoholic beverages, is worth $146 billion.
Besides, sales of alcohol products generate more than $253 billion annually. The industry evolves based on various factors, including distillery processes, consumer tastes, and demands, trending products, purchasing methods, etc.
Suppliers that understand the latest trends in the alcohol industry can streamline their operations and stay ahead of the competition. Today’s article will discuss these trends alcohol suppliers can implement and improve their bottom line.
Manual transactions or payments take a lot of time and increase the risk of non-compliance and theft between suppliers and retailers. On the other hand, automating payments via electronic funds transfer for your alcohol supplies/operations can ensure a seamless, risk-free, and smooth process.
Using automated transactions is more reliable and faster than traditional payment methods. You can save 15-20 minutes per delivery compared to writing and singing checks.
In addition, suppliers must follow federal, state, and local compliance regulations. Automated transactions through secure channels can increase trust and help you comply with the alcohol industry’s payment terms. You can also avoid manual work and reduce the risk of errors and theft.
Targeted marketing is a sophisticated approach for alcohol suppliers, allowing them to divide the market into different segments. It helps you plan marketing campaigns for each segment and boost the market share. So, another trend to focus on in 2023 is “targeted marketing” because it enables you to reach distributors, retailers, and stores and offer the best products based on their demands and needs.
If you supply alcohol brands, you are more likely to reach out to different audiences from time to time to inform them about your product’s benefits. You can explain the reasons why retailers should choose you for alcohol supply.
KEXY is a cutting-edge cloud-based platform for suppliers in the alcohol industry to find and work with distributors, establish optimal relationships, improve brand reputation, and increase sales through targeted marketing campaigns and data-driven analytics.
Suppliers in the alcohol industry can use advanced data analytics in various ways.
It helps you predict distributors’ preferences, retailers’ demands, and consumers’ purchasing behaviors. You can use data analytics to optimize inventory planning, identify disruptions, improve customer service, and track your performance.
Data analytics produce valuable insights to reduce costs. Innovative technologies and tools allow you to understand consumers and determine how your company can stack up in the alcohol industry.
As a supplier, you can craft better brand and sales stories. Other benefits include:
To stand out from the competition and streamline the market share, you must retain existing distributors and add new ones. You can use the POS data to generate valuable insights and track the number of distributors, retailers, and consumers you gained or lost in a given period. At the same time, data analytics allows you to evaluate the sales gained or lost from existing and new customers.
Improves Brand Recognition
Brand recognition, reputation, and loyalty are directly proportional to streamlining your business operations and achieving success. As a supplier, you can stand out from the competition if you have a solid network of distributors and retailers. For example, you can streamline your operations in uncertain conditions, such as the ones posed by the Covid-19 pandemic, environmental hazards, or economic recession caused by the Russia-Ukraine war.
Data helps suppliers understand their brand reach and distributors/consumer loyalty. It allows you to identify loopholes and see places for improvement. Correct data analysis can help you see how sophisticatedly you supply alcoholic beverages and how well you perform against your competitors.
Generates Value Insights
Insights are equally beneficial for suppliers, distributors, retailers, stores, and bars. Understanding purchasing trends is critical when creating sales, marketing, and promotional plans for your alcohol products.
In addition to strengthening relationships with distributors and retailers, you must also understand consumers’ demands and preferences. Available data on customer purchasing patterns and cycles provide you with valuable insights.
So you can track customer behavior and provide timely stock. At the same time, data enables you to run real-time marketing and promotional campaigns. Not only does this help you achieve the desired results, but you can also reduce costs.
Research shows that 52% of companies in different industries, including the food and beverage sectors, do not follow sustainable practices. Not having a sophisticated carbon reduction plan in place can lead to regulatory issues.
And this is because governments, societies, and organizations continue to demand eco-friendly supply chains. The COP26 conference focuses on making substantial efforts to achieve net-zero carbon emissions by 2050.
According to Tomorrows World Today, a 750ml bottle of alcohol produce 6.5 pounds of CO2 gas. The distillation procedures and glass packaging mechanisms generate the majority of CO2 gas in the environment.
Governments worldwide are creating regulations to reduce the overall carbon footprint. Therefore, if you haven’t made a policy for carbon emissions and eco-friendliness, you may experience regulatory complications in the future. Therefore, this is another domain to focus on in 2023.
As suppliers in the alcohol industry rapidly adopt digitization and technology, they become more vulnerable to cyberattacks. Hackers and cybercriminals use different methods to steal valuable data or destroy sensitive information.
So, a cyberattack can break the supply chain and cost you a lot of money for years to come. Some companies even find it challenging to recover from the losses. Therefore, as a supplier, you must focus on data security.
The purpose is to provide your distributors, retailers, and stores with reliable, safe, and fast transportation solutions. According to Gartner, 65% of companies in the U.S. have a team of cybersecurity professionals that constantly test software systems, implement advanced encryption methods, and install data backups to prevent the risks of cyberattacks.
Suppliers in the alcohol industry experience various challenges, and without understanding the latest trends, they may not streamline their business operations in 2023. So, focus on the trends and implement tailored technology tools, such as KEXY, to improve your business’s bottom line.