Non-alcoholic, or “non-alc” beverages, have been around for a long time, but in the last few years, the sector has been riding a wave of popularity as more consumers consider health-conscious drinking options.

Based in Adelaide, a city famous for its wine, Polka founder Ben Mellows and his wife Emma wanted to approach their range of non-alcs differently.

“Non-alc has been around for a long, long time, but we wanted to do it in a different way and so we found the right style of products to do that and took it from one product to now six,” said Ben Mellows.

After launching a sparkling cuvee with wild harvested native lilly pilly in 2021, the pair has since expanded their range to include a sparkling rosé made from native botanical Davidson plum, blood orange Italian aperitif, and a refreshing pink grapefruit botanical spirit.

The journey wasn’t without its challenges, especially in ensuring the product tasted great.

“We have a really strong focus on flavour and having textures that will replicate the drinking experience of a normal alcoholic drink,” Ben added.

Growth and expansion

From day one, Polka experienced growth, and their next opportunity was to expand into more ranges.

“We’ve grown from day one and our next opportunity is really going into more product formats,” Ben explained.

The pair is now moving further into ready-to-drink small format products and expanding into other ranges of natural drinks like spritzes.

While Polka’s products have been designed for the Australian climate and taste preferences, Ben and Emma recognise the global demand for non-alcoholic options.

Crucial capital

As a small business owner, Ben emphasised the importance of having access to capital in business, especially when making fast-moving consumer goods. Polka is one of 766,000 small businesses that bank with Australia’s biggest business bank, NAB.

“Having access to capital is a huge part of doing anything in business but particularly if you are looking to make fast-moving consumer goods,” he noted.

Working with manufacturers that required meeting minimum order requirements, and the significant investments needed for marketing, websites, and branding, Ben said capital was crucial for a small business like Polka.

“So having a bank that will support you through your growth is really important. Working with NAB has been very important for that and will continue to be more important as we enter new markets,” he added.

The non-alcoholic beverage market is booming worldwide, with products going from niche to mainstream.

Ben saw an opportunity for brands that did more than just remove the alcohol, saying Polka was aiming to add depth and choice to the NOLO (No and Low Alcohol) industry.

“Using Australian botanical extracts really helps us stand out and create different flavour notes,” Ben said.

A toast to small businesses

Polka’s journey in the non-alcoholic beverage market has highlighted the importance of not only innovation and flavour but having the backing of a supportive bank.

NAB small business executive Krissie Jones said non-alc was an exciting growth industry for emerging small businesses.

“Non-alc has exploded in popularity in recent years and small businesses are uniquely positioned to capitalise on this growth sector,” Ms Jones said.

“Small businesses can bring agility and quick thinking to their product range and can meet the shifting taste preferences of consumers.

“Smaller, bespoke producers also have wide appeal on social media and can target their advertising to different audiences with successful results,” Ms Jones said.

As the market continues to grow, Polka is well-positioned to ride the booming growth wave with a commitment to creating a unique range of great tasting products and the support of Australia’s biggest business bank, NAB.