The depreciation of the pound sterling had a disproportionate effect on the wine industry, which tends to be reliant on imports. Wines from France, Spain and Italy are increasingly expensive for British retailers to buy, and they reflect these higher costs in their prices.
Despite a challenging economic environment, luxury spirits managed to maintain a good momentum in 2018. The category reaped dividends from the dynamic pace of innovation, successfully stimulating consumers’ interest.
The strong momentum of luxury spirits was also due to the renaissance of gin, through a growing network of microdistilleries offering original flavours and emphasising their use of local botanicals and craft production methods. Brands such as York Gin and Oxford Botanic Garden Physic Gin successfully established themselves at the entry-level price of the luxury segment, not least for their appeal to younger consumers, attracted by the artisan craftmanship and unique flavours.
Whilst traditional large-scale foreign brands often have difficulties adjusting to the weak pound, smaller local brands can be opportunistic. Next to the inflated price points of imported products, the premiumisation of English wines is less perceived as an aberration.
In only a few years, the British group Diageo has taken and consolidated second place in the fine wines/champagne and spirits ranking. Behind this feat lies the strong performance of its brandy, vodka and whisky brands, with names such as Cîroc, Lagavulin and Johnnie Walker.
For the first time in almost a decade, the share of Moët Hennessy UK, the leading player in fine wines/champagne and spirits, suffered a setback in value terms in 2017. Despite reasonable actual performances for its champagne brands Moët & Chandon and Veuve Clicquot, it was not sufficient to cope with the dynamism of other categories, most notably luxury spirits.
You have no recently viewed reports.
Why not browse through our Featured or Trending Reports to see what we have to offer?
Files are delivered directly into your account within a few minutes of purchase.
Discover the latest market trends and uncover sources of future market growth for the Fine Wines/Champagne and Spirits industry in United Kingdom with research from Euromonitor's team of in-country analysts.
Find hidden opportunities in the most current research data available, understand competitive threats with our detailed market analysis, and plan your corporate strategy with our expert qualitative analysis and growth projections.
If you're in the Fine Wines/Champagne and Spirits industry in United Kingdom, our research will save you time and money while empowering you to make informed, profitable decisions.
The Fine Wines/Champagne and Spirits in United Kingdom market research report includes:
Our market research reports answer questions such as:
Why buy this report?