The rise of export only SKUs – and why they work
What if the beer or cider that works best in the UK isn't the beer or cider that works best overseas?
For producers looking to grow internationally, the answer isn't always to take an existing domestic range and simply find new markets for it. Increasingly, there are good commercial reasons to develop products, formats or pack sizes specifically for export.
An “export only” SKU might be a different ABV, a different label or pack format, a different flavour or even a product created specifically for one market. And while that might sound like an unnecessary complication, adapting a product to its destination can sometimes be what makes an export opportunity commercially viable.
There isn't one reason behind the development of export-only products. Consumer preferences, retail environments, pricing, regulation and taxation can all play a part.
And in the UK, one particularly interesting example is the impact of Alcohol Duty.
What is an “export only” SKU?
An export-only SKU is essentially a product that has been developed or adapted specifically for one or more international markets, rather than being part of a producer's standard domestic range.
That could mean something relatively simple, such as changing the pack size or format to suit a particular retailer. It could involve creating a different flavour or recipe for a specific market. Or, as we're increasingly seeing with lower-strength beer, the difference could be the alcohol content itself.
The idea isn't necessarily to create a completely new product for every country. That would quickly become complicated and expensive.
Instead, it's about understanding where the existing portfolio fits – and where it doesn't – and identifying when a targeted adaptation could unlock an opportunity that the standard range can't.
Why wouldn't your domestic range work overseas?
It can be tempting to assume that if a product sells well at home, the obvious next step is to export exactly the same product.
But international markets don't all operate in the same way.
Consumer preferences can differ, as can drinking occasions and expectations around different categories. A format that works well in the UK may not suit the way a product is sold or consumed elsewhere. Pack sizes can vary, and the price at which a product needs to sit on shelf can look very different once shipping, distribution, duties and wholesale/retailer margins are taken into account.
There can also be practical considerations. A distributor or retailer may be looking for a particular format or proposition, while local labelling and regulatory requirements can influence how a product needs to be presented.
And then there is taxation.
Alcohol Duty is just one example of how the economics surrounding a product can change from one market to another.
When tax changes the recipe
The UK's Alcohol Duty system creates a particularly significant difference for beer below and above the 3.5% ABV threshold.
As of February 2026, beer between 1.3% and 3.4% ABV has been subject to Alcohol Duty of £9.96 per litre of pure alcohol, compared with £22.58 for beer from 3.5% to 8.4% ABV.
For example, the duty on a 440ml can increases from approximately £0.15 at 3.4% ABV to £0.35 at 3.5% ABV, an increase of around £0.20 per can.
For cider, the difference is much smaller. Cider between 1.3% and 3.4% ABV is also charged at £9.96 per litre of pure alcohol, compared with £10.39 for cider from 3.5% to 8.4% ABV.
That creates a strong economic incentive, particularly for brewers, to consider products around the 3.5% threshold.
But the UK duty calculation doesn't necessarily apply once that beer is exported.
Alcohol Duty applies to products released for consumption in the UK. Exported products are subject to different rules, and the destination country's own excise and import arrangements come into play.
In other words, the UK tax incentive doesn't simply travel with the beer.
Once a product reaches another country, the destination market's own excise and import rules become part of the calculation.
So a brewery could have a 3.4% beer for the UK market, where the lower duty rate provides a significant benefit, while retaining a higher-strength version for export markets where that same tax incentive doesn't exist.
And while the difference is much less pronounced for cider, the same broader principle applies: the commercial calculation can change when a product crosses a border.
Tax is only part of the equation
The differences in tax treatment can provide a reason for a producer to develop or retain a higher-strength SKU for export. But other characteristics of an export market could point in the opposite direction.
A market with strong demand for lower-strength or alcohol-free drinks, for example, may give a producer a reason to develop an export-only SKU at a lower ABV – or without alcohol at all. We've previously explored the growing international opportunity for low and no-alcohol beer and cider.
A market-specific product can allow a producer to respond to local demand without changing its entire domestic portfolio.
It could help a brand:
Reach a particular retail price or margin.
Meet a distributor or retailer's requirements.
Offer a format that suits a different retail environment.
Respond to local consumer preferences or drinking occasions.
Differentiate itself in a competitive category.
Test a new product or proposition in a particular market.
For the producer, this can create flexibility without requiring the domestic range to change every time an international opportunity appears.
It also turns the relationship between exporting and product development into a two-way process.
Rather than simply asking, “Where can we sell what we already make?”, producers can start asking, “What does this market need, and can we create something that meets it?”
When does an export-only SKU make commercial sense?
Of course, creating a different product for export isn't automatically the right answer.
Every additional SKU can bring additional production, packaging, stock management and logistics considerations. There may be minimum production runs to consider, as well as the costs of developing and maintaining a product that isn't sold domestically.
So the opportunity needs to justify the complexity.
That means understanding the market before developing the product. What is the consumer demand? What does the competitive landscape look like? What price point is realistic? What does the distributor or retailer actually need? And is there enough potential volume to make the proposition commercially worthwhile?
Understanding the cultural differences between markets is part of that picture too. We've previously explored how cultural differences can affect consumer preferences in the global drinks market.
An export-only SKU should solve a problem or create an opportunity – not simply exist because it is possible to make something different.
What does this mean for the wider portfolio?
One of the biggest advantages of taking this approach is that an export-only product doesn't necessarily have to compete with the domestic range.
In fact, it can complement it.
A producer can maintain the products and positioning that work in its home market while developing something different for an international audience. In some cases, an export market may even provide a useful testing ground for a new product, format or proposition that could eventually have wider potential.
This can also help producers think differently about what “exporting” actually means.
International growth isn't always about taking a successful domestic product and selling it in more places. Sometimes it means adapting the proposition to fit the market – whether that's because of consumer demand, retail structures, commercial economics or tax.
The challenge is finding the right balance between localisation and complexity.
Different markets, different opportunities
Export-only SKUs aren't necessarily a marketing gimmick; they can be a rational response to the fact that markets are different.
The 3.4% ABV threshold in the UK's Alcohol Duty system is a particularly clear example. A brewer may have a good reason to formulate around that threshold for the UK, while a different strength makes more sense in an export market where the tax calculation is different.
But tax is only part of the picture.
The more important lesson for producers considering international growth is that the best export product isn't necessarily the one already sitting on the domestic shelf.
Sometimes the opportunity is to take what you already make and find the right market for it.
Sometimes it's to find the right market first – and then create something specifically for it.
The product doesn't always need to be the same on both sides of the border. The strategy shouldn't be either.
To the best of our knowledge, all information was accurate at the time of publishing in September 2026.