Hard seltzer is basically alcoholic flavored and carbonated water with most being 4.5 to 7% alcohol content. Their popularity has soared and is now estimated to be a $1.5 billion dollar industry.
With so many brand names hitting the market, catchy marketing and packaging along with solid and substantial distribution are keys to their success.
Some of the largest beverage companies are backing the most popular brands and most are household names like Coca-Cola (KO) - Get Coca-Cola Company Report, Molson Coors (TAP) - Get Molson Coors Brewing Company Class B (TAP) Report, and Constellation Brands (STZ) - Get Constellation Brands, Inc. Class A Report.
One of the oldest brands, Topo Chico which was founded in Monterrey Mexico in 1895 is one of the newest to the U.S. market. Molson Coors which distributes the brand is planning to make it available across the country in 2022.
The rise of these relatively "light" drinks can be attributed to their low calorie, low sugar, and low alcohol content which converges with a more health-conscious market.