Sip Smart: Unlocking success with low and no alcohol drinks

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Top tips: How to succeed in the low and no alcohol drinks market (Credit: Getty/ClarkandCompany)

Over recent years, low-alcohol drinks have surged in popularity, with health-conscious customers and those seeking more moderate alcohol consumption benefitting from an increase of flavourful lower-alcoholic drinks.

Whether this be at a private social gathering, unwinding at home after a long day or spending time at the local pub, low-alcohol options allow customers to enjoy a drink without the potential side effects (for better or worse).

Understanding the law and terminology around no and low-alcohol drinks can help operators safely benefit from this growing market without falling foul of relevant regulations.

Understanding the Jargon

The Government have provided guidance, which only applies to England, on low alcohol descriptors. The use of these descriptions is voluntary, however, if they are used, the guidance sets out suggested conditions for their use that are expected to be followed.

  1. Non-alcoholic

The term ‘non-alcoholic’ should not be used in conjunction with a name commonly associated with an alcoholic drink (such as beer or cider).

  1. Alcohol Free

The term ‘alcohol free’ should only be applied to a drink from which the alcohol has been extracted. The drink must have an alcoholic content of 0.05% volume or less. The drink should also state the alcoholic strength on the packaging.

  1. Low Alcohol

A low alcohol drink must be 1.2% ABV or below and an indication of its maximum ABV should be included on the label.

  1. De-alcoholised

The term ‘de-alcoholised’ should only be applied to a drink from which the alcohol has been extracted if it contains no more than 0.5% ABV and the product should also include an indication of its alcoholic strength.

As the market continues to grow, ensuring your customers are clear on what they are getting and not being misled, helps demonstrate compliance and prevent potential enforcement action from Trading Standards.

Do I need to ID?

Alcohol is defined within the Licensing Act as a product with an alcoholic strength of above 0.5% ABV. This means that you can sell an alcoholic substitute drink up to 0.5% ABV legally to U18s.

We totally appreciate this can be confusing for bar staff, to be constantly checking the ABV of drinks they are selling to people they suspect of being U18. This coupled with the information shown on the drinks themselves, which does not always make it obvious which drinks are low or alcohol-free. The likelihood of getting it wrong is high.

As a result, many operators and retailers still operate a Challenge 21 or 25 scheme for both low and non-alcoholic beers due to practicality, not legality.

As you will know, it is a criminal offence to sell alcohol to a person U18 and you can receive a range of penalties which, in a worst-case scenario can include an unlimited fine and possible suspension of alcohol sales for up to three months.

The Right to Refuse 

Both bar staff and operator have the common law right to refuse entry as well as service to whomever you should choose, provided the refusal is not unlawful (that is, discriminatory on grounds of sex, race, disability, gender, sexual orientation and religion or belief).

Given this, if you choose to have a policy that proof of ID is requested for service, even where the drink is 0.5% ABV or below, customers will be required to comply with the request or face refusal or service as a result.

Less fizz more buzz

The option of selling low-alcohol and alcohol-free drinks is not just about offering alternatives; it's about tapping into a growing in-demand market.

As more consumers seek out options that align with their lifestyle, a commitment to providing excellent low and no-alcohol choices will set you apart in a competitive market.

With the right policies and understandings in place, you can position your business as a front-runner in this exciting market.