Market Insights Consumer Alcoholic Drinks

Spirits - United Kingdom

United Kingdom

Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Spirits market amounts to US$8,401.0m in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$8,465.0m in 2024.
Revenue, combined amounts to US$16.9bn in 2024.
The revenue, at home is expected to grow annually by 1.29% (CAGR 2024-2029).
In global comparison, most revenue, at home is generated in China (US$146,400m in 2024).
In relation to total population figures, the average revenue per capita, at home of US$123.60 are generated in 2024.
In the Spirits market, volume, at home is expected to amount to 247.0m L by 2024.
Volume, out-of-home is expected to amount to 50.4m L in 2024.
Volume, combined is expected to amount to 297.3m L in 2024.
The Spirits market is expected to show a volume growth, at home of -1.3% in 2025.
The average volume per person, at home in the Spirits market is expected to amount to 3.63L in 2024.

Key regions: United States, United Kingdom, Worldwide, United Kingdom, Australia

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.

Market

Region

Region comparison

Currency

Analyst Opinion

The Spirits market in United Kingdom has been experiencing significant growth in recent years.

Customer preferences: In the United Kingdom, customers have shown a growing interest in premium and craft spirits. They are increasingly seeking unique and high-quality products that offer a distinct flavor profile. This shift in preferences can be attributed to the rising consumer awareness about the production process and ingredients used in spirits. Customers are also becoming more adventurous in their choices, exploring different types of spirits such as gin, whisky, and vodka.

Trends in the market: One of the key trends in the Spirits market in the United Kingdom is the increasing popularity of gin. Gin has seen a resurgence in recent years, with numerous new distilleries opening across the country. This trend can be attributed to the rise of craft gin producers who offer a wide range of flavors and botanicals, appealing to consumers looking for unique taste experiences. Additionally, the growing interest in gin-based cocktails has also contributed to the rise in gin consumption in the United Kingdom. Another trend in the market is the rise of whisky consumption. Whisky has long been a popular spirit in the United Kingdom, but there has been a renewed interest in recent years. This can be attributed to the growing appreciation for single malt whiskies and the increasing number of whisky connoisseurs. The United Kingdom has a rich history of whisky production, and this heritage has played a significant role in driving the demand for whisky.

Local special circumstances: The United Kingdom has a strong tradition of alcohol consumption, with spirits being an integral part of its drinking culture. This has created a favorable environment for the growth of the Spirits market. Additionally, the country has a well-established distribution network, with a wide range of retail outlets and bars that cater to the diverse preferences of consumers. The presence of a thriving hospitality industry also contributes to the demand for spirits.

Underlying macroeconomic factors: The growth of the Spirits market in the United Kingdom can also be attributed to favorable macroeconomic factors. The country has experienced steady economic growth in recent years, which has resulted in increased disposable income for consumers. This has allowed them to spend more on premium and craft spirits. Additionally, the United Kingdom has a large population of legal drinking age, providing a substantial consumer base for the spirits industry. In conclusion, the Spirits market in the United Kingdom is witnessing significant growth due to changing customer preferences, including a growing interest in premium and craft spirits. The rise of gin and whisky consumption, along with the country's strong drinking culture and favorable macroeconomic factors, are driving the growth of the market. The United Kingdom's well-established distribution network and thriving hospitality industry further contribute to the demand for spirits in the country.

Methodology

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.