Hard Solo and Gen Z are driving a new wave of lemon drinks, says Endeavour boss

The popularity of the controversial Hard Solo, now known as Hard Rated, and the drinking preferences of Generation Z have hailed a new boom in lemon drinks, says the boss of Dan Murphy’s and BWS’ parent company after unveiling a modest rise in group sales and earnings.

Endeavour Group chief executive Steve Donohue said Hard Rated had precipitated higher demand not only for lemon-flavoured premixed drinks but also across the broader beverages category.

“People are loving anything that is refreshing and lemon flavour is one of the most refreshing drinks out there,” Donohue said. “What we’ve also seen is an explosion in demand for limoncello, for example. We just about doubled our sales in limoncello in Dan Murphy’s in December.”

Gen Z, in particular, are eager to reach for more innovative, convenient drinks and tend to prefer lighter, more refreshing beverages in smaller sizes, such as 330ml cans instead of 750ml.

The next type of alcoholic beverage to come back into fashion would be spritzers, he said.

“The old wine spritzer that was big in the ’70s is going to be back, and it’s already demonstrating that it’s back through some of the initial data that we’re seeing.

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“Lighter, refreshing styles with fruit characters in them – this is what customers are looking for.”

Endeavour Group, which operates liquor stores and pubs and is the largest poker machine operator in the country, notched a 2.5 per cent uplift in sales to $6.7 billion while group earnings lifted 2.6 per cent higher to $661 million. Meanwhile, net profits declined 3.6 per cent to $351 million for the six months to December 31 as interest rates bit into financing costs.