AF announces major growth with retail giants Target and Walmart.
Just 12 months after launching in the US market, AF is set to disrupt the alcohol-free drinks market further, announcing two major distribution wins with American retail giants Target and Walmart.
In a strategic move, AF’s innovative product range will be introduced to mainstream US consumers through a nationwide rollout, which started last month in Target and expanding to Walmart stores from today.
Lisa King, Founder of AF, says: “Since launching in the US just one year ago with Sprouts and Amazon as early retailers, our growth has been phenomenal. We are incredibly proud of what’s been achieved in terms of brand awareness, sales and distribution.
“Partnerships with major retailers like Target and Walmart will help play a critical role in introducing AF to new customers and fostering positive conversations about drinking less and normalising AF choices across the wider consumer landscape,” adds King.
According to industry insights, the alcohol-free drinks category is experiencing significant growth as consumer mindsets shift:
- The global no/low alcohol category is now valued at $13 billion, presenting a growth of five per cent over the previous year;
- A fifth of all no-alcohol consumers in 2023 were newcomers to the category, and;
- 94 per cent of no-alcohol buyers also purchased alcoholic beverages on the same occasion.
“Achieving distribution with such well-known retailers marks a huge milestone for AF, one that was unimaginable when the brand first launched in New Zealand four years ago,” says King.
“It signifies a pivotal moment as the category transitions from niche to mainstream and highlights the growing acceptance of the alcohol-free movement.
“These trends are further mirrored across our company’s performance in both New Zealand and the US.”
AF’s award-winning alcohol-free drinks are crafted from 100 percent natural ingredients and are designed to be low in sugar and calories. Additionally, all AF products are vegetarian and gluten-free.
In New Zealand, AF has now established a 40 percent market share in New Zealand. In less than four years, New Zealand AF has grown to fast outperform global brands, including Seedlip and Lyres.
AF is forecasting to triple its revenue across both the US and New Zealand markets the next 12 months.
“With such rapid growth taking place across the category, major retailers and alcohol industry operators are recognising the potential of this expanding market and are eager to capture a share of the rising demand for alcohol-free options. And it’s great to see the shift in their support,” says King.
“As we continue our expansion journey and collaborate with key players like Target and Walmart, we are excited about the future of the alcohol-free movement globally. But for now, our fundamental goal remains to make choosing not to drink ‘cool AF’.”
AF’s US product line comprises five ready-to-serve classic cocktails and a sparkling Rosé. AF’s products are distinguished by Afterglow™, a botanical heat extract from New Zealand, which replicates the warming sensation of alcohol without the effects.
