Gin is the “it spirit over the last decade, and during the last two years of turmoil it was the most popular tonic for a lot of people. Although it was predicted that the popularity of gin would increase but there are signs of signs that the boom in gin could be coming to an end.
Google Trends data, analysed by Whisky Investment Partners, shows how interest in gin has increased over time, year on year, starting in 2015 and getting to a high in the year 2018 before dipping ever since. Statistics taken from Curren Goodden Associates (CGA) reveal that gin’s total sales are down nearly one third, falling by nearly 38.5 percent in comparison to the same period in the year prior to. After the downturn of earlier years of popularity, gin also was the most slow-growing spirit when contrast to other spirits. It increased by £25m which is £2.6 percent, suggesting a change in the market for spirits.
Whisky has enjoyed significant sales increases in the past year and is now the fastest-growing spirit on the consumer market.
What spirit appears to be poised to surpass Gin in the popularity stakes? There are many however none is more popular than whisky. And then Rum.
Whisky has enjoyed significant growth in sales over the last year and is now the fastest-growing spirit on the consumer market. It’s risen to £154.4m over vodka, rum and brandy.
Whisky sales will be £63.30bn in 2022 compared with £10.81bn in the segment of gin. The market for whisky is projected to grow by 4.63 percent in the next few years.
New whisky offerings are introduced to the market, ranging from single malts with no age statement whiskies matured in stout barrels flavor-packed RTDs – the category’s innovations give whisky a new look and are attracting younger buyers.
Whisky brands have also changed their strategies to appeal to younger consumers by offering new products and are also taking advantage of the home-based cocktail trend by offering recipe recipes of classic drinks. They are also replacing the usual spirit with whisky. There’s been an increase in the consumption of whisky among 18-25-year-olds each year with a 25 percent increase in 2022 to date, an increase of 25 percent from 2022 to 2021 and a 33 per increase over 2020, mostly at home or in pubs as per YouGov.
However the younger of 18-25 years old tend to drink whisky at home, rather than at the pub , 14 percent versus. 8 percent over the last year, data from YouGov illustrates.
In looking at other emerging spirits it’s important to mention that rum is fast becoming the next whisky that will follow whisky’s route to enter the market for premium spirits. Click here for a mini whiskey barrel.
The landscape is changing within the market for whisky and the more traditional whisky categories, like Scotch and Japanese with new rules in place. For Scotch whisky the new guidelines adopted in the Scotch Whisky Association will allow distilleries as well as other Scotch whisky brands to select from a larger selection of barrels that are used i.e. barrels that were used to age Agave-based spirits like Tequila, Schochu, Calvados and many more.
When looking at other spirits that are on the rise It’s worth noting that rum is fast becoming the next whisky that will follow whisky’s route to enter the market for premium spirits. Rum’s market in the world was worth $16.61bn in 2022, and it is predicted to expand at a compound annual rate of 6.67 percent between 2022 until 2025. Rum is the main component in 5 of top 20 cocktail recipes, which shows its place in the drinks market. Rum is present in 23 percent of the cocktails that are that are served.
The small tweaks will allow stockists and distillers to be the driving force behind the development of new categories and compete with others in regions which have enjoyed the ease of rules, and Scottish distilleries will be able to exercise greater control over their products, bringing some fresh air in the business.