Spirits have smashed it. Brits have splashed out a whopping extra £329.1m on the hard stuff this year, making spirits the fastest-growing category, in absolute terms, in this report. Thirty-four of the top 50 brands are in growth. So what’s to thank?
The simple answer is gin. The five fastest-growing brands (counting Gordon’s and Gordon’s Pink as one brand) are all mother’s ruin. The gains are spectacular: Edinburgh Gin is up £12.2m (287.1%). Whitley Neill Rhubarb & Ginger has sold over £18m since its release just over a year ago. Tanqueray has grown sales by over a third (33.7%) to £46.2m.
Data Box
Top 20 Spirits
Any speculation that the proliferation of fancy gins could lead to shopper fatigue has proved thoroughly misplaced - at least for now. In fact, that you can buy more flavoured gins than ever before has helped keep shoppers interested, says Nielsen senior client manager Samantha Hall. Thanks to gin’s “quick and easy” production, she points out, brands can produce new flavours in a remarkably short time. A special mention should go to Gordon’s Pink, last year’s Top Launch, which since its debut last summer has racked up value sales of £87.6m - making it the UK’s 11th biggest spirits brand.
Still, it’s not all about gin. By tapping the trends for premiumisation and mixability pioneered by gin brands, imported whiskies have also made significant gains. Jameson grew by 20.2% to £36.3m, while Jim Beam added a cool £4.9m to its value, growing 17.6% to £32.8m. Beleaguered blended scotch brands have been watching closely (see Top Launch).
Across the total market, the biggest losses came from budget-tier brands such as Glen’s and Bell’s, as well as the likes of New Amsterdam Vodka (down 21% to £12.6m), Martell VS Cognac (down 23.3% to £12.7m) and High Commissioner (down 17.1% to £22.4m). In short, the less flashy stuff.
Barring these examples, the picture is overwhelmingly positive for hard liquor. Brits have proved themselves happy to pay more for spirits across the board. Average prices per litre of spirits are up approximately 3.6%, which Hall attributes largely to posher NPD coming into the category and, to a lesser degree, the introduction of minimum unit pricing in Scotland, which has sent the prices of many budget and own-label spirits SKUs surging north of the border.
RTDs are booming thanks to massive gains for the likes of Gordon’s Pink & Tonic (which has pulled in an impressive £7.2m since launching in February) and similar canned cocktails from big brands. But sales of traditional alcopops like WKD stagnated: it seems RTD drinkers have finally grown up.
TOP LAUNCH
The Woodsman, Whyte & Mackay
There’s a whisky revolution underway. Emboldened by booming sales of single malts and imported whiskies, beleaguered blended scotch brands are rethinking their approach. Whyte & Mackay’s latest launch (40% abv) is aimed squarely at younger shoppers with its bourbon-esque embossed bottle, and is billed as “the perfect whisky for mixing”, with an eye to tapping the booming cocktail trend. Aged in oak and ex-bourbon barrels, it’s also considerably sweeter than the average blend.
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