The most influential Megatrends set to shape the world through 2030, identified by Euromonitor International, help businesses better anticipate market developments and lead change for their industries.
Learn moreEuromonitor addresses your unique questions and challenges across all B2B and B2C industries and geographies through custom, tailor-made research projects, designed to your specific goals.
Learn moreFeb 2016
US$1,325Added to Cart
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE!
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE!
Wine and particularly spirits have seen a period of consolidation. The briefing looks at what has taken place, particularly the recent Diageo wine and Brown-Forman’s liqueurs divestments. It also looks at the strategic health of many of the world’s biggest distillers and how M&A has benefited some but also how M&A is not necessary to grow. With limited opportunities to grow through M&A the latter will become particularly important for those companies that have remained too narrowly focused.
Files are delivered directly into your account within a few minutes of purchase.
Gain competitive intelligence about market leaders. Track key industry trends, opportunities and threats. Inform your marketing, brand, strategy and market development, sales and supply functions.
Both spirits and wine are expected to see faster growth over 2014-2019 than over 2009-2014, leaving growth opportunities for companies but they need to select options carefully.
The wine category still remains very fragmented compared to all other alcoholic drinks categories. Companies are still focused on a small number of markets, with M&A activity focusing on improving/premiumising their presence in core markets.
The one acquisition that has affected the global top 10 wine ranking, Treasury Wine Estates’s purchase of most of Diageo’s wine portfolio does fits the template of wine acquisitions, by focusing on two of Treasury’s two key markets, the US and the UK.
The spirits category has seen far more consolidation, most notably by Diageo with its purchase of United Spirits. This M&A activity has boosted growth, as Pernod Ricard has shown with its Absolut brand.
Following Diageo’s series of acquisitions, the company is well placed to exploit future growth, however it still suffers from a legacy of too narrow a focus on core markets and faces difficulties in some key emerging markets.
Diageo’s sluggish performance is due to a historic narrow focus, however, it is well off compared to small rivals such as Suntory and Bacardi whose particularly narrow focus is limiting growth.
With opportunities for M&A in spirits limited, there are still a large number of opportunities for organic growth in spirits.
Gain competitive intelligence about market leaders. Track key industry trends, opportunities and threats. Inform your marketing, brand, strategy and market development, sales and supply functions.