By Sakshi Singh, Contributory Author
Nov 17, 2023 / 8 MIN READ
In the vibrant landscape of India's food and beverage industry, a sparkling revolution is underway, with tonic water emerging as the mixer of choice, outshining traditional sodas. No longer confined to the classic cocktail realm, tonic water has transcended its supporting role to become a standalone beverage, finding a prominent place in restaurants and bars across the country.
The tonic water wave began making ripples in India in recent years, signaling a departure from the long-standing dominance of conventional sodas. This shift is fueled by a surge in health-conscious consumers seeking alternatives to sugar-laden soft drinks. Brands like Schweppes, with its legacy in the beverage industry, played a pivotal role in introducing tonic water to Indian consumers. Its classic tonic water quickly gained popularity, paving the way for the tonic trend. Other players, such as East Imperial and Raw Pressery, have joined the fray, offering premium tonic waters with unique flavor profiles, catering to the evolving preferences of Indian consumers.
“We always planned to be a big beverage company, but our choice to launch tonics as our first core category has everything to do with the spotlight on gin,” says Aneesh Bhasin, co-founder of Svami, one of India’s leading beverage retailers speciliaising in mixers, ready-to-drink beverages and non-alcoholic drinks.
Teja Chekuri, Founder and Managing Partner of Ironhill India, asserts that the food and beverage industry has experienced a significant change in recent years, marked by a shift in consumer preferences towards tonic water as a popular alternative to traditional sodas. According to Chekuri, several factors contribute to this change, including heightened health consciousness, the allure of unique flavor profiles, and a growing willingness among consumers to invest more in premium drinks.
Speaking on the evolution of tonic water's role, Chekuri notes that while initially renowned for its presence in classic cocktails like the Gin and Tonic, tonic water has expanded its horizons and now stands on its own as a standalone beverage. He emphasizes the significance of understanding why this carbonated concoction is gaining popularity and how it is gradually replacing sodas in the ever-evolving F&B industry.
"The perception of tonic water as a healthier choice is a driving force behind its rising popularity," says Chekuri, underlining the increasing health consciousness among consumers. This aligns with the broader trend of people seeking alternatives to sugary drinks, with tonic water emerging as a refreshing and guilt-free option.
Craft tonic waters, with unique flavors such as elderflower, cucumber, and citrus, have played a crucial role in reshaping the tonic water landscape. Siddharth Saraf, Co-Founder of Vaum, adds to this perspective, stating, "Craft tonic waters are akin to the craft beer movement, offering artisanal, small-batch production with innovative flavors. Consumers are willing to pay more for quality, craftsmanship, and unique taste experiences. We at Vaum have introduced some flavors in this category that haven't been experienced in India before – viz. Mango – Fig., Elderflower Rosemary, Grapefruit Rosemary, Cucumber Mint."
The major consumption of tonic water still is concentrated in the mass segment, and the leader in that segment is Schweppes Tonic Water, a brand owned by FMCG giant Coca Cola. Schweppes was launched in India in the year 1999 and has since then penetrated almost all retail and HORECA points. Whether we look at tonic water availability during functions and weddings, hotels, modern trade, general trade, etc., it is all dominated by Schweppes tonic water. The Schweppes/Coca Cola team has done an outstanding job in product placement, making it the number one selling tonic water brand in the market.
Premium tonic water brands in the west include Fever Tree, Double Dutch, and East Imperial. Premium tonic water brands in India have also emerged, which include Svami (launched in 2018), Bengal Bay (launched in 2020), Sepoy (launched in 2018), Jade Forest (launched in 2018).
Teja Chekuri also highlights the rise of art and premium tonic water brands, emphasizing how these offerings entice consumers to pay more for quality. He underscores the craftsmanship and uniqueness associated with these products, noting that consumers are increasingly appreciating the value of investing in beverages that offer a premium and distinct experience.
"The effervescence and richness of tonic water provide a universal canvas for mixologists to work their magic," Chekuri states. This versatility in mixing makes tonic water an attractive choice for bars and restaurants, where mixologists can create innovative and well-crafted beverages, elevating the overall drinking experience.
Furthermore, Chekuri notes that tonic water's adaptability as a non-alcoholic beverage contributes significantly to its popularity. This characteristic allows it to cater to a broad audience, including those who seek a refreshing beverage without the presence of alcohol. Tonic water, according to Chekuri, transcends geographical and cultural boundaries, making it accessible to a diverse consumer base.
As wellness becomes a focal point for consumers, bars and restaurants are adapting by including tonic water in their health-focused menus. Tonic water's suitability for low-calorie and sugar-free options aligns with the demand for healthier beverage choices. The rise of tonic water in the Indian F&B industry is not just a trend; it's a transformative shift in consumer preferences. From the retail shelves to the bar counter, tonic water has become synonymous with sophistication, health consciousness, and mixology innovation. Leading brands and establishments are at the forefront of this effervescent revolution, ensuring that tonic water's journey from classic cocktail mixer to premier mixer in Indian restaurants and bars is not just a fizz but a flavorful, enduring effervescence.
In the vibrant landscape of India's food and beverage industry, a sparkling revolution is underway, with tonic water emerging as the mixer of choice, outshining traditional sodas. No longer confined to the classic cocktail realm, tonic water has transcended its supporting role to become a standalone beverage, finding a prominent place in restaurants and bars across the country.
The tonic water wave began making ripples in India in recent years, signaling a departure from the long-standing dominance of conventional sodas. This shift is fueled by a surge in health-conscious consumers seeking alternatives to sugar-laden soft drinks. Brands like Schweppes, with its legacy in the beverage industry, played a pivotal role in introducing tonic water to Indian consumers. Its classic tonic water quickly gained popularity, paving the way for the tonic trend. Other players, such as East Imperial and Raw Pressery, have joined the fray, offering premium tonic waters with unique flavor profiles, catering to the evolving preferences of Indian consumers.
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