Spirits in the United Kingdom

PRE-COVID-19 PERFORMANCE

Spirits growth being driven by flavour innovations, experimentation and premiumisation

Spirits recorded strong total volume growth in 2019. English gin, single grain and malt Scotch whiskies, bitters and dark spiced rum were among the best performers, while vodka and white rum were in decline.

Non/Low alcohol spirits for the health conscious and ethical brands for sustainable consumers

Health is a major long-term trend that is shaping the future of spirits. Consumers are becoming increasingly aware of their health, paying more attention to the number of calories and alcohol units in their drink.

Private label increasingly competing with leading brands for share

Diageo continued to hold the biggest share of total volume sales in spirits in 2019, followed by Bacardi Brown-Forman Brands and Pernod Ricard. However, private label recorded a strong increase in its share in 2019, recording growth across a number of spirits categories, most notably gin.

2020 AND BEYOND

COVID-19 impact

On-trade volume sales of spirits are expected to fall by 42% in 2020 in light of the impact of COVID-19. This compares to the 7% increase forecast for 2020 during research conducted in May 2019, ie before the spread of COVID-19.

Affected products within spirits

One product seemingly unaffected by the COVID-19 pandemic is English gin, with its sales continuing to record dynamic growth in 2020. Otherwise, all other spirits products will record declining total volume sales in 2020.

Recovery and opportunities

Sales of spirits will rebound strongly in 2021, with off-trade volume sales growth edging up slightly on the previous year and on-trade sales recording dynamic growth, albeit after collapsing in 2020, with on-trade volume sales not expected to return to their 2019 levels before the end of the forecast period. Consumers may well have reduced purchasing power in the next few years due to economic slowdown and potential global economic recession.

Files are delivered directly into your account within a few minutes of purchase.