You couldn’t have missed the growth in the gin market over the last couple of years, as what seems to be an endless array of gin, showcased in elegant bottles, containing extraordinary botanicals, hit the retailer shelves. After the hugely successful #WorldGinDay this month we wanted to share with you the growth of the gin market and why we just can’t get enough.
The Brits have enjoyed 12% more gin last year, this has seen an increase in duties on spirits which includes whisky and gin rise by 7% to £3.37bn for the 2016-17 tax year.
We love this stat from the Guardian that “British drinkers bought 40m bottles of gin in 2016, in a spending spree that outstripped sales growth in beer and sparkling wine, enough to make 1.12bn gin and tonics, or 28 for every person of legal drinking age in the UK.”
40 New distilleries opened in 2016 and this growth is not showing any sign of slowing down, as new distilleries are opening and new brands launching it continues to be an exciting time in the market. Gin sales are equating to 10% of the total market spirit sales, so there is still room for the gin renaissance to continue.
Millennials are Fuelling Growth
Fuelling growth in market is a new generation of consumers at the same time as the resurgence of cocktail culture. In 2015, Mintel revealed that Millennials were some of the biggest gin drinkers with 42% of the age group suggesting they had consumed gin in the previous 12 months, compared to just 27% of over-45s. Today, as the trend towards younger drinkers selecting gin as their spirit of choice continues, this generation is becoming a driving force behind the sector’s continued growth.
National Drinks Wholesalers, Matthew Clarke have recently commented on the gin market stating
“We recently reported that we’ve seen a double digit growth in gin with volume sales up 30%*, outperforming the market which has seen sales increase by 13%** in the same period. Our market share of the On-Trade gin market is 28%, up 4% from last year”
So as you can see it is a great opportunity for gin brands to establish themselves in both the retail market and the on-trade market.
We caught up with Tom Warner from Warner Edwards and asked what he put the success of their gin brand down to.
“We put our success down to creating a truly authentic product that are consumers can really buy into. Consumers can see the whole process of our gin being made with our tours. Innovation and the use of natural ingredients has been key to our growth and development. Gin is a growing market and we are thoroughly enjoying our journey”.
Graham Carr-Smith from the English Drinks Company reported that he has seen a great demand for his Cucumber and gin and is continually converting non-gin drinkers with his gin.
12% International Growth
So as you can see the World gin day and the gin market have a lot to be celebrating. It is not just the UK market that has seen increases, the export market has grown by 12% in 2016 and is predicted to carry on growing in 2017.
Eleanor Bannister from Adnams said that they are seeing an increase in craft gins being mirrored globally, but the British gin still holds a kasha globally. Our gin market in growing internationally and we are looking forward to further growth in the months and years to come.
So in summary the gin market is not showing any signs of slowing and we look forward to seeing more of our Great British Gins being enjoyed around the globe. We are sure there will be some amazing new brands and some creative cocktails on offer at Imbibe next month.