Spirits - Sri Lanka | Statista Market Forecast

Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Spirits market amounts to US$2.0bn in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$102.4m in 2024.
Revenue, combined amounts to US$2.1bn in 2024.
The revenue, at home is expected to grow annually by 9.11% (CAGR 2024-2029).
In global comparison, most revenue, at home is generated China (US$146bn in 2024).
In relation to total population figures, the average revenue per capita, at home of US$89.20 are generated in 2024.
In the Spirits market, volume, at home is expected to amount to 97.5m L by 2024.
Volume, out-of-home is expected to amount to 3.5m L in 2024.
Volume, combined is expected to amount to 101.1m L in 2024.
The Spirits market is expected to show a volume growth, at home of -1.0% in 2025.0.
The average volume per person, at home in the Spirits market is expected to amount to 4.44L in 2024.

Definition:

The Spirits market includes alcoholic beverages that have been produced through the distillation of wine, fermented fruits, or grains. Due to the distillation process, the alcohol content of spirits is much higher than that of most wines and beers, typically ranging from 20% to 50% alcohol by volume (ABV).

Structure:

The Spirits market is divided into 8 markets:

The Whisky market encompasses spirits on a grain basis that have been aged in wooden casks for a duration of at least three years.
The Vodka market encompasses spirits based on grain and/or potatoes.
The Rum market encompasses spirits based on sugar cane.
The Gin market encompasses spirits based on juniper berries.
The Brandy market encompasses spirits based on fermented fruit juice.
The Tequila market encompasses spirits made primarily from the blue agave plant (Agave tequilana) in Mexico.
The Soju market encompasses the Korean distilled beverage, Soju, which is traditionally made from rice, barley, or sweet potatoes.
The Liqueurs & Other Spirits market encompasses all other spirits not previously mentioned as well as Ready-to-Drink (RTD) cocktails.

Additional information:

The market comprises revenue and average revenue per capita, volume and average volume per capita, price per liter, as well as sales channels. Per capita figures refer to a country’s or region’s whole population.

At-home market data covers retail sales via super- and hypermarkets, eCommerce, convenience stores, and similar sales channels. Out-of-home market data includes all sales in hotels and restaurants, sales by catering companies, as well as sales in cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. All prices are valued at retail selling prices, including all sales and consumption taxes.

Key players include Diageo (e.g., Johnnie Walker, Smirnoff, and Tanqueray), Pernod Ricard, and Kweichow Moutai.

Whisky, such as Jack Daniel's Tenessee Whiskey
Vodka, such as Absolut Vodka
Rum, such as Bacardi Rum
Gin, such as Ginebra San Miguel
Brandy, such as Ararat Brandy

Wine, such as Red Wine
Beer, such as Budweiser
Non-Alcoholic Spirits, such as Tanqueray 0.0

The Spirits market in Sri Lanka has been experiencing significant growth in recent years. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors have all contributed to this development. Customer preferences in Sri Lanka have shifted towards premium and high-quality spirits. Consumers are increasingly willing to spend more on premium brands, as they seek unique and sophisticated drinking experiences. This trend is driven by a growing middle class with higher disposable incomes and a desire for luxury products. Additionally, there is a rising interest in cocktail culture and mixology, which has further fueled the demand for premium spirits. Trends in the market indicate a shift towards imported spirits, particularly whiskey and vodka. Sri Lankan consumers are becoming more adventurous in their choices and are open to trying new and international brands. This trend is supported by a growing number of bars and restaurants offering a wide selection of spirits. The popularity of imported spirits can also be attributed to their perceived higher quality and status symbol value. Local special circumstances in Sri Lanka have also influenced the development of the Spirits market. The country has a long history of alcohol consumption, with arrack being a traditional local spirit. However, the market has evolved to include a wider range of spirits, including whiskey, vodka, rum, and gin. This diversification has been driven by changing consumer preferences and the availability of international brands. Underlying macroeconomic factors have played a significant role in the growth of the Spirits market in Sri Lanka. The country has experienced steady economic growth, leading to an increase in disposable incomes and consumer spending. This has created a larger consumer base with the ability to afford premium spirits. Additionally, Sri Lanka has seen a rise in tourism, attracting international visitors who contribute to the demand for spirits. In conclusion, the Spirits market in Sri Lanka has witnessed growth due to changing customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors. The shift towards premium and imported spirits, along with a growing interest in cocktail culture, has fueled this development. As the economy continues to grow and consumer spending power increases, the market is expected to further expand in the coming years.

Data coverage:
The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:
Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on alcoholic beverages, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:
In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:
The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Consumer market, in a PDF format.

The term “spirits” refers to an alcoholic beverage that has been distilled, contains no added sugar, and has at least 20 percent alcohol by volume. The term is derived from the medieval practice of alchemy and refers to the essential liquid element obtained from a substance through distillation, the “spirit” of the substance, so to speak. Popular spirits include whiskey, rum, vodka, tequila, and gin, among others.