USD 174.16 billion
Premium Spirit Market Size, Share, Growth Analysis, By Product(Vodka, Whiskey, Gin, Tequila), By Source(Natural and Flavored), By Distribution Channel(On-trade and Off-trade), By End User(Household, Commercial, Restaurants, Cafes), By Region - Industry Forecast 2025-2032
Report ID:
SQMIG30F2022 |
Region:
Global |
Published Date: April, 2024
Pages:
198
|Tables:
120
|Figures:
80
Premium Spirit Market Insights
Premium Spirit Market size was valued at USD 191.92 Billion in 2023 and is poised to grow from USD 211.5 Billion in 2024 to USD 460.01 Billion by 2032, growing at a CAGR of 10.2% during the forecast period (2025-2032).
Global market growth has been driven by the millennial generation's growing demand for high-end drinks. The appeal of cocktails like margaritas, martinis, and Manhattans has significantly increased in North America and Europe's developed economies. Furthermore, it is expected that the scope of premium spirits would be expanded by the growing popularity of cocktail culture in developing nations such as India and China. For the past few years, the high-end alcohol market's growth has outpaced that of the total market, increasing global alcohol consumption.
The Distilled Spirits Council, the U.S. has established records for the ninth consecutive year for both the income and volume of spirits, increasing its market share in the world of alcoholic beverages. This market's expansion is mostly related to millennials' growing preference for authentic, diverse, and high-end alcoholic beverages. The premiumization of alcohol is now a widespread trend. The majority of the industry's categories have become substantially costlier. Tequila in particular has been increasing in popularity among customers over time. Consumers have already been preferring quality over quantity over the last few years as a result of lifestyles.
Consumers in the beverage industry are asking for openness and sustainable manufacturing techniques, just like those in the food industry. The opportunities for businesses to provide products at premium pricing points have grown because of this trend. Also, health-conscious consumers are increasingly preferring low- or no-alcohol beverages over traditional alcoholic beverages, which could restrain market growth in the future.
Market snapshot - 2024-2031
Global Market Size
Largest Segment
On Trade
Fastest Growth
Off Trade
Growth Rate
10.2% CAGR
Global Ready-to-Drink Tea & Coffee Market ($ Bn)
Country Share for Europe Region (%)
To get more reports on the above market click here to Buy The Report
Premium Spirit Market Segmental Analysis
Global Premium Spirit Market is segmented based on product, source, distribution channel, end user and region. Based on product the market is segmented into vodka, whiskey, gin, tequila, rum, brandy, others. Based on source the market is segmented into natural and flavored. Based on distribution channel the market is segmented into on-trade and off-trade. Based on end user the market is segmented into household, commercial, restaurants, cafes, hotels, others. Based on region the market is segmented into North America, Europe, Asia-Pacific, South America, and MEA.
Analysis by Product
Vodka contributed more than 25.0% of total income in 2021. Because there are now many vodkas to pick from, including flavored and gluten-free options, product sales have increased on a global scale. The luxury vodka brands Ketel One (Diageo), Tito's, Chase, Chopin, Grey Goose, Van Gogh, Belvedere, Absolut, Stolichnaya, Three Olives', Zyr, Crystal Head, and Cîroc are among those that are becoming more well-known globally because to their superior quality. Businesses have started adding novel flavors like marmalade, oak-smoked, coconut, berries, citrus, vanilla, and rhubarb to their products in an effort to reach a broader range of consumers.
Tequila is anticipated to have the fastest CAGR of 11.6% in terms of sales. Tequila has been gaining a lot of traction among customers. Tequila demand has been rising all throughout the world, but mainly in the U.S. and Mexico, thanks to the burgeoning cocktail culture. Tequila is very new to giving premium options, unlike brandy or whisky, where high-end products are long established. This gives tequila manufacturers the opportunity to research the market. Tequila use has changed from the traditional "party shot" to upscale cocktails like the margarita and tequila sunrise. The producers are anticipated to invest in premium tequilas as a result of this expanding interest.
Analysis by Distribution Channel
The on-trade segment contributed for more than 55.0% of global income in 2021. This supply chain includes hotels, restaurants, bars, clubs, and cafes. The sale of the goods relies on bartenders, servers, and other specialists employed by on-trade establishments.
In terms of revenue, the off-trade distribution channel is anticipated to have the quickest CAGR of 10.4%. In the coming years, it is anticipated that the growth of the distribution channel will be fueled by an increase in the number of large supermarket chains and their in-store promotions in developing countries. A sizable portion of the product's off-trade sales occur at specialized alcohol outlets. Also, this distribution route is growing as a result of the growing popularity of e-commerce, especially in countries like the United States and the United Kingdom.
Global Premium Spirit Market
To get detailed analysis on other segments, Request For Free Sample Report
Premium Spirit Market Regional Insights
In 2021, the Asia Pacific region had the largest volume share, which was over 40.0%. Premium spirits are more in demand now than ever before thanks to rising social media usage and greater public awareness of local health problems. Real cocktails with low alcohol are what consumers are looking for. The development of bar cultures in developing countries like China, India, and Thailand has contributed to the expansion of the regional sector. Together with rising disposable money, another important factor is the rise of the region's capacity to consume upmarket spirits of premium quality.
The region's key markets are China, India, Hong Kong, Australia, New Zealand, and South Korea. Due to a growth in the domestic sales of premium spirits, China held the largest share of the Asia Pacific market. The nation's market is also expected to rise in the near future due to a rising middle-class population and an increase in the number of urban dual-income families.
Europe is the largest region in the world of premium spirits. Many of the most popular and respected brands of whisky, gin, vodka, rum, and other spirits come from Europe, with a long tradition of producing great spirits. Whisky is especially recognized in countries like Scotland, Ireland, and France, while gin is popular in nations like England and Germany. While the vodka made in other countries like Russia and Poland is well-known, the rum made in the Caribbean is.
Global Premium Spirit Market By Region
- Largest
- Fastest
To know more about the market opportunities by region and country, click here to
Buy The Complete Report
Premium Spirit Market Dynamics
Drivers
High Quality Alcohol to Bolster Demand for Premium Spirit in Global Market
- Growing discretionary income has shown that adults in prosperous societies prefer to spend money on more expensive food and drink goods like premium brand wines and spirits. Adults are spending a lot more money on luxury spirits for themselves and their visitors' amusement and occasionally even to display their standards, which will support the market's growth.
- Because they undergo more meticulous distillation and maturing procedures, premium spirits are of higher quality than cheaper alcohol. Instead of using industrial alcohol and artificial chemicals, premium brands often use higher-grade fruits, grains, and grapes to produce a beverage of superior quality. Many consumers choose to drink fewer, better-quality alcoholic beverages as a result. These high-end alcoholic beverages are becoming more and more in demand worldwide. Hence, the market will grow in the coming future.
Restraints
Stringent Regulations to Hinder Market Growth
- The government is taxing the manufacture of spirits more heavily, which produces slower sales and higher retail costs for spirits. In emerging countries like India, government regulations and rising tariffs just on the sale of spirits make it challenging for the spirit business to grow.
Request Free Customization of this report to help us to meet your business objectives.
Premium Spirit Market Competitive Landscape
The market is highly competitive with so many competitors functioning on a global scale. The sales of the firms' high-end products have significantly increased over time. Diageo's premium-and-above brands, for instance, had their best year ever in developed markets in 2019. The "Reserve" collection from these brands increased by 11%. Pernod Ricard, Rémy Cointreau, and Suntory Group are focusing on premiumization in a manner similar to this because they are also seeing rapid expansion in the high-end market segments.
Top Player’s Company Profiles
- Pernod Ricard (France)
- Brown-Forman (U.S)
- Constellation Brands, Inc. (U.S)
- BACARDI (Bermuda)
- Gruppo Campari. (Italy)
- HITEJINRO CO., LTD (South Korea)
- Heineken N.V (Netherlands)
- JOSE CUERVO (Mexico)
- PATRÓN (U.S.)
- Tanduay Distillers, Inc. (Philippines)
- Allied Blenders and Distillers Pvt. Ltd. (India)
- William Grant & Sons Ltd
- Rémy Cointreau
- Beam Suntory Inc.
- Campari Group
- The Edrington Group
- Moët Hennessy
- Sazerac Company
- Davide Campari-Milano S.p.A
- Others.
Recent Developments
-
In January 2024, the Ukrainian brand Nemiroff made its debut in India through a collaboration with Amistad Spirits, marking a significant step toward its goal of becoming one of the top five vodka brands. Amistad Spirits boasts an extensive distribution network across India, representing over 100 premium liquor brands. Its coverage spans regions such as Rajasthan, Chandigarh, Punjab, Uttar Pradesh, Uttarakhand, Jammu and Kashmir, Leh, and Haryana.
-
In March 2024, The University of Kentucky's James B. Beam Institute for Kentucky Spirits and Beam Suntory, a renowned leader in premium spirits, have announced the renewal of their strategic partnership. This collaboration aims to further fortify Kentucky's iconic spirits industry for future generations. By continuing their partnership, Beam Suntory and the University of Kentucky are committed to providing unparalleled expertise for teaching and research at the Institute, ensuring its ongoing contribution to the industry's growth and excellence.
-
In March 2024, Kunal Patel, Managing Director & CEO of Monika Alcobev, shared excitement about their fruitful collaboration with VH1 Supersonic Pune 2024, featuring Jose Cuervo Margarita Mix. The partnership reflects their shared goal of reaching out to younger, socially engaged consumers and boosting brand visibility. Through immersive experiences like Cuervo Margarita Land and highlighting premium spirits such as Jose Cuervo Tequila & 1800 Tequila, the collaboration enhances the brand's distinctive identity and fosters stronger connections with consumers.
Premium Spirit Key Market Trends
- It is expected the millennials will continue to represent a sizable portion of the alcohol market over the forecast period, as they did in recent years. The generation has substantial purchasing power and is of legal drinking age (LDA). Premium spirits also have superior quality compared to conventional alcohol since they're made with natural ingredients. During the projected period, these factors are estimated to spur the market forward.
- An increase in disposable income is the main factor of the premium spirits market. Consumers with large amounts of discretionary income have access to the best spirits. Because consumers are becoming more aware of their drinking habits, they are paying more for high-quality, premium items. Furthermore, it is expected that the industry would grow because of the rising trend of young people frequent pubs and bars.
Premium Spirit Market SkyQuest Analysis
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates and Analyses the Data collected by means of Primary Exploratory Research backed by the robust Secondary Desk research.
According to our analysis, we found that the Premium Spirit market is Global market growth has been driven by the millennial generation's growing demand for high-end drinks. The appeal of cocktails like margaritas, martinis, and Manhattans has significantly increased in North America and Europe's developed economies. Furthermore, it is expected that the scope of premium spirits would be expanded by the growing popularity of cocktail culture in developing nations such as India and China. For the past few years, the high-end alcohol market's growth has outpaced that of the total market, increasing global alcohol consumption. Consumers in the beverage industry are asking for openness and sustainable manufacturing techniques, just like those in the food industry. The opportunities for businesses to provide products at premium pricing points have grown because of this trend. Also, health-conscious consumers are increasingly preferring low- or no-alcohol beverages over traditional alcoholic beverages, which could restrain market growth in the future.
| Report Metric | Details |
|---|---|
| Market size value in 2023 | USD 174.16 billion |
| Market size value in 2031 | USD 417.43 billion |
| Growth Rate | 10.2% |
| Forecast period | 2024-2031 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
|
| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
To get a free trial access to our platform which is a one stop solution for all your data requirements for quicker decision making. This platform allows you to compare markets, competitors who are prominent in the market, and mega trends that are influencing the dynamics in the market. Also, get access to detailed SkyQuest exclusive matrix.
Buy The Complete Report to read the analyzed strategies adopted by the top vendors either to retain or gain market share
Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Premium Spirit Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Premium Spirit Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Premium Spirit Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Premium Spirit Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Premium Spirit Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Premium Spirit Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
USA (+1) 351-333-4748
