Surfside, a brand known for its iced tea and lemonade-vodka RTDs, is experiencing great success in the booming ready-to-drink cocktail market. The company, which started as part of Stateside Vodka in Philadelphia, has recently expanded nationwide with five new summer-friendly flavors, including Raspberry Lemonade, Strawberry Lemonade, Black Cherry Lemonade, Raspberry Iced Tea, and Green Tea. These fruit-forward offerings are all canned at 4.5% ABV and typically retail for around $11 per 4-pack. Surfside has quickly become a category leader by offering low-calorie, non-bubbly options that appeal to today’s drinkers seeking tasty alternatives to beer.
Clement Pappas, the CEO of Surfside Iced Tea + Vodka, explains that the company saw a gap in the market for spirit-based hard teas and lemonades that were low in calories and free from carbonation. After spending over a year developing the taste formula, Surfside emerged as a standout product in the category. The company experienced phenomenal growth, with sales increasing from 200,000 cases in 2022 to 1.3 million cases in 2023, representing a 563% growth rate. The success of Surfside reflects the overall growth of the RTD market, especially in the spirit-based segment, which has been rapidly gaining traction.
Surfside’s expansion comes at a time when the canned cocktail segment is experiencing remarkable growth. While malt-based RTDs still dominate market share in the US by volume, spirit-based RTDs are steadily gaining ground. The Distilled Spirits Council of the United States reported that spirits-based RTDs captured a 16% share of the overall category by the end of 2023, up from 8% in 2021. This shift reflects a growing consumer preference for sophisticated, spirits-based cocktails rather than traditional beer or malt-based beverages. Surfside’s continued success in this evolving market highlights the demand for high-quality, flavorful options in the RTD category.
The popularity of Surfside and other spirit-based RTDs can be attributed to changing consumer preferences and a desire for convenient, yet premium cocktail options. With the expansion of Surfside’s product line, consumers now have even more refreshing options to choose from this summer. The brand’s commitment to delivering great-tasting, low-calorie beverages without carbonation has resonated with drinkers looking for a more elevated alternative to traditional canned cocktails. As the canned cocktail market continues to evolve, Surfside is well-positioned to meet the demand for innovative, high-quality RTDs that cater to a growing segment of discerning consumers.
The success of Surfside serves as a testament to the broader trend in the RTD market, where spirit-based offerings are gaining momentum and capturing a larger share of the overall category. Consumers are increasingly gravitating towards premium, spirits-based cocktails that offer a refined drinking experience. Surfside’s impressive growth in just a few years underscores the brand’s ability to tap into this shifting consumer preference and deliver on their commitment to quality and flavor. As the RTD market continues to evolve, Surfside’s continued expansion and innovative product offerings are poised to solidify its position as a leader in the competitive canned cocktail segment. With the introduction of new flavors and a focus on quality ingredients, Surfside is well-equipped to attract and retain a loyal following of cocktail enthusiasts seeking a sophisticated, yet convenient beverage option.
