The Distilled Series: 3 – Expanding Reality and our Breakthrough ‘Hunting Grounds’

The Distilled Series: 3 – Expanding Reality and our Breakthrough ‘Hunting Grounds’

In December 2023 Diageo launched ‘Distilled’, a foresight report that sets out the most pressing consumer trends facing brands today. Each month, Diageo will focus on one of these trends and see how this business has been delivering innovative solutions to align to it.

In December 2023 Diageo launched ‘Distilled’, a foresight report that sets out the most pressing consumer trends facing brands today. Each month, Diageo will focus on one of these trends and see how this business has been delivering innovative solutions to align to it.

From spatial computing to artificial intelligence, find out how Diageo’s Breakthrough Innovation team is test & learning new technologies to give today’s consumer engaging new ways to experience our brands.

The Distilled Series

Regardless of geography or sector, technological and digital transformation is essential today to unlock the full potential of brands. Diageo has seen with the likes of ‘What’s Your Whisky’ and ‘Message in a Bottle’ that digital innovation not only adds incredible value, but importantly gives the modern consumer new and exciting ways to interact with brands, even those that are hundreds of years old. This ‘Expanding Reality’ trend will increasingly redefine how consumers experience life, and I’m so excited to see how Diageo’s Breakthrough team shapes this future of celebration in a digital-first world.

Benni Lickfett
Global Head of Breakthrough Innovation – Digital
Benni Lickfett

From office life to how people socialise, the rapid adoption of digital infrastructure has blurred the boundaries between the online and offline. Daily interactions between consumers now span the digital and physical worlds seamlessly, with Diageo‘s inaugural consumer trends report ‘Distilled’ highlighting that discussions around technological advancements rose by 94% between 2021 and 2023.

This is a trend we labelled ‘Expanding Reality’, and driven by topics such as AI-enabled relationships and high-tempo digital experiences it’s a movement that brings boundless opportunities for brands to enhance everyday life. So if Diageo is to shape the future of social celebration, we know we must take a lead and shape consumer trends such as ‘Expanding Reality’, with our innovation function at the forefront of this commitment.

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Core innovation at Diageo predominately builds ideas in-house using current capabilities, with recent successes including the launch of Smirnoff Electric Guava in Mexico and ‘The Cocktail Collection’ in GB. However, to be a truly innovative company we need to be at the edge of our comfort zone, with our recently launched Breakthrough Innovation team on a journey to find new and exciting ways for consumers to love our brands in this increasingly digital-first world.

With its experience and diversity stimulating creativity, Diageo’s end-to-end Breakthrough Innovation team will rapidly test and learn platforms under three main themes, or as the team is calling them, ‘Hunting Grounds’. These provide the basis of what will guide the team, with each entertaining a consumer, and society, that is increasingly digital-first. But what are the ‘Hunting Grounds’?

‘NEXT GEN SOCIAL EXPERIENCES’

Consumers today are increasingly looking to celebrate in ways that blur the lines between ‘in-real-life’ and virtual. With ‘Distilled’ highlighting that there were 4.6 million conversations regarding the ‘Expanding Reality’ trend between 2021 and 2023, the lines between imagination and tangible experiences are changing the future of human experience.

Diageo’s Breakthrough team will therefore provide platforms that expand the boundaries of celebration beyond "just alcoholic drinks”, delving into the transformational power of technologies such as Artificial Intelligence, Virtual Reality, and more recently Spatial Computing.

In March, Diageo announced it was partnering with Apple Vision Pro on a Don Julio experience, to offer groundbreaking new ways for global consumers to engage with the brand and the world of tequila. In a first-of-its kind update for the Beverage industry, this experience provides an exciting opportunity for Diageo, and initially Don Julio, to build upon what consumers already love about our brands and extend it to engage with sight, sound, and touch, allowing consumers to truly immerse themselves into our brand like never before.