Table of Contents
Executive Summary
-
- Top takeaways
- Market overview
-
- Figure 1: Total US sales and forecast of distilled spirits, at current prices, 2015-25
- Figure 2: Total US sales and forecast of distilled spirits, at current prices, 2015-25
- Impact of COVID-19 on spirits
-
- Figure 3: Short, medium and long term impact of COVID-19 on spirits, November 2020
- Opportunities and challenges
- Reemergence (July 2020-Dec 2021)
-
- Figure 4: Alcohol purchasing behaviors during financial uncertainty, among dark spirit drinkers, September 2020
-
- Figure 5: Spirit trial method, among dark spirit drinkers, September 2020
-
- Figure 6: Premium spirit indicators, by spirit consumer segmentation, September 2020
- Recovery (2022-25)
-
- Figure 7: Important spirit attributes, by age and HHI, September 2020
-
- Figure 8: Spirit product interest, by gender and age, September 2020
The Market – Key Takeaways
-
- Thriving market falls
- Macroeconomic conditions are detrimental to the spirits market
- American whiskey defines the market
- Consumer social behaviors have changed
- Small distilleries fight for survival
Market Size and Forecast
-
- Thriving market cut down by decline of on-premise sales
-
- Figure 9: Total US sales and forecast of distilled spirits, at current prices, 2015-25
- Figure 10: Total US sales and forecast of distilled spirits, at current prices, 2015-25
-
- Figure 11: US unemployment rate, January 2007-September 2020
- Figure 12: Consumer Sentiment Index, January 2007-October 2020
- Figure 13: Consumer expenditure on alcohol for off- and on-premise consumption, 2005-12
- Impact of COVID-19 on spirits
-
- Figure 14: Short, medium and long term impact of COVID-19 on spirits, November 2020
- Lockdown
- Reemergence
- Recovery
- COVID-19: US context
Segment Performance
-
- American whiskey gains market share
-
- Figure 15: US volume sales of whiskey/whisky, by type, 2015-20
- Figure 16: US volume sales of whiskey/whisky, by type, 2015-20
-
- Figure 17: US whiskey/whisky market share, by volume, by type, 2015-19
Market Factors
-
- Economic uncertainty muddles the market
-
- Figure 18: US unemployment rate, January 2007-September 2020
- Figure 19: Consumer Sentiment Index, January 2007-October 2020
- Researchers urge revisions to alcohol guidelines
- Scotch and whiskey get stuck in the trade war
- Spirit brands lose crucial foodservice business
-
- Figure 20: Total US on-premise alcohol sales, at current prices, 2015-25
- Figure 21: Total US on-premise alcohol sales, at current prices, 2015-25
Market Opportunities
-
- Consumers adopt new social behaviors during the pandemic
-
- Figure 22: Activities during pandemic, September 2020
-
- Figure 23: Activities during pandemic, virtual happy hours, by generation, September 2020
- Online retailers can facilitate discovery
- Build bourbon back better
- Dark spirit brands can market to the needs of younger women
-
- Figure 24: Consumer behavior motivators, “describes me very well,” July 2020
Companies and Brands – Key Takeaways
-
- Premium brands experience market gains
- Dark spirits keep their heritage while also embracing innovation
Dark Spirit Brand Performance
-
- Consumers gravitate toward affordable premium straight whiskey
-
- Figure 25: Volume sales of straight whiskey, top 15 brands, on- and off-premise, thousand 9-liter cases, percentage change 2018-19
- Pour one out for blended whiskey
-
- Figure 26: Volume sales of blended whiskey, top 10 brands, on- and off-premise, thousand 9-liter cases, percentage change 2018-19
- Crown Royal thrives while other Canadian whiskys get lost in the market
-
- Figure 27: Volume sales of Canadian whisky, top 10 brands both foreign and US bottled, on- and off-premise, thousand 9-liter cases, percentage change 2018-19
- Premium scotch brands outperform the sluggish market
-
- Figure 28: Volume sales of scotch whisky, top 15 brands, on- and off-premise, thousand 9-liter cases, percentage change 2018-19
- Innovation keeps Irish whiskey brands competitive
-
- Figure 29: Volume sales of Irish/other imported whiskey, top 10 brands, on- and off-premise, thousand 9-liter cases, percentage change 2018-19
- Cognac carries the market
-
- Figure 30: Volume sales of cognac/brandy, top 15 brands, on- and off-premise, thousand 9-liter cases, percentage change 2018-19
Competitive Strategies
-
- Scotch can broaden its base
- Dark spirit brands can it
- Paper packaging offers sustainable benefits
-
- Figure 31: Beverage packaging type associations, April 2020
The Consumer – Key Takeaways
-
- Dark spirit brands adjust to pandemic-induced behaviors
- Spirit preferences vary widely by age
- Consumers want to explore spirits on a budget
Alcohol Consumption
-
- Dark spirits are primarily an “also drink” beverage
-
- Figure 32: Alcohol consumption, most vs also drink, September 2020
- Dark spirit brands still aren’t connecting with women
-
- Figure 33: Alcohol consumption, by age and gender, any drink, September 2020
- Figure 34: Alcohol consumption, among women aged 22-34, 2019 vs 2020, September 2019; September 2020
Alcohol Consumption by Occasion
-
- Spirits struggle from the loss of on-premise sales
-
- Figure 35: Alcohol consumption by occasion, by those who drink alcohol type, September 2020
Dark Spirit Purchases
-
- Party’s on pause for flavored whiskey
-
- Figure 36: Trended dark spirit consumption, 2019-20, September 2019; September 2020
- Young affluent consumers have full home bars
-
- Figure 37: Repertoire analysis – Dark spirits purchased, among consumers who purchased any dark spirit, September 2020
-
- Figure 38: Repertoire analysis – Dark spirits purchased, among consumers who purchased any dark spirit, September 2020
- Key opportunities to connect with multicultural consumers
-
- Figure 39: Dark spirit consumption, by race/ethnicity, September 2020
- Younger women are focusing on their favorites during the pandemic
-
- Figure 40: Dark spirit consumption, by gender and age, September 2020
-
- Figure 41: Trended spirit consumption, 2019-20, delta, by gender and age, September 2020
Brand Tier Purchases
-
- Pandemic pushes consumers to the ends of the spectrum
-
- Figure 42: Brand tier purchases, 2019 vs 2020, September 2020
- Premium remains the key trend within the dark spirits market
-
- Figure 43: Brand tier purchases, among dark spirit drinkers, September 2020
Spirit Format Consumption
-
- Dark spirit drinkers keep it neat
-
- Figure 44: Spirit format consumption, any drink, among dark spirit drinkers, September 2020
-
- Figure 45: Spirit format consumption, any drink, by gender and dark spirit consumption, September 2020
- Connect with the home bartender
-
- Figure 46: Spirit format consumption, any drink, by age, September 2020
- Create cocktail occasions
-
- Figure 47: Spirit format consumption, any drink, by spirit consumer segmentation, September 2020
Premium Spirit Indicators
-
- Heritage enhances
-
- Figure 48: Premium spirit indicators, among dark spirit drinkers, September 2020
-
- Figure 49: Premium spirit indicators, by dark spirits purchased, September 2020
- Older consumers go for tradition, younger consumers check online
-
- Figure 50: Premium spirit indicators, by age, September 2020
- Heritage messages resonate with purists
-
- Figure 51: Premium spirit indicators, by spirit consumer segmentation, September 2020
Premium Spirit Region Associations
-
- APAC spirits lag behind
-
- Figure 52: Regions associated with premium spirits, among dark spirit drinkers, September 2020
-
- Figure 53: Regions associated with premium spirits, by age, September 2020
- Young affluent consumers think globally
-
- Figure 54: Regions associated with premium spirits, by age and income, September 2020
New Spirit Trial
-
- Pandemic places barriers to new brand trial
-
- Figure 55: Spirit brand trial behaviors, among dark spirit drinkers, September 2020
-
- Figure 56: Spirit trial method, among dark spirit drinkers, September 2020
- Younger men can be brand evangelists
-
- Figure 57: Spirit brand trial behaviors, by gender and age, September 2020
-
- Figure 58: Spirit trial method, by gender and age, September 2020
- Dark spirit enthusiasts are key online consumers
-
- Figure 59: Spirit trial method, by number of dark spirits purchased, September 2020
- Strong online presence catches the attention of Healthful Explorers
-
- Figure 60: Spirit brand trial behaviors, by spirit consumer segmentation, September 2020
-
- Figure 61: Spirit brand trial behaviors, by spirit consumer segmentation, September 2020
Important Spirit Attributes
-
- Health claims can be a differentiator
-
- Figure 62: Important spirit attributes, among dark spirit drinkers, September 2020
-
- Figure 63: Important spirit attributes, by age and HHI, September 2020
- BFY claims appeal to trend-forward consumers
-
- Figure 64: Important spirit attributes, by spirit consumer segmentation, September 2020
Alcohol Purchasing Behaviors During Financial Uncertainty
-
- Consumers prioritize the familiar during uncertainty
-
- Figure 65: Alcohol purchasing behaviors during financial uncertainty, among dark spirit drinkers, September 2020
-
- Figure 66: Alcohol purchasing behaviors during financial uncertainty, by financial situation, September 2020
- Troubled times for on-premise sales
-
- Figure 67: Alcohol purchasing behaviors during financial uncertainty, by age, September 2020
Spirit Product Interest
-
- Think small and offer experiences
-
- Figure 68: Spirit product interest, among dark spirit drinkers, September 2020
- Young consumers will be home bartenders
-
- Figure 69: Spirit product interest, by gender and age, September 2020
-
- Figure 70: Spirit product interest, by age and HHI, September 2020
- Make things simple for Situational Drinkers
-
- Figure 71: Spirit product interest, by spirit consumer segmentation, September 2020
Spirit Attitudes
-
- Now is the time for consumers to upgrade their home bar
-
- Figure 72: Spirit attitudes, any agree, among dark spirit drinkers, September 2020
-
- Figure 73: Spirit attitudes, any agree, by age, September 2020
Appendix – Data Sources and Abbreviations
-
- Data sources
- Sales data
- Forecast
- Consumer survey data
- Abbreviations and terms
- Abbreviations
- Terms
Appendix – The Market
-
-
- Figure 74: Total US sales of distilled spirits, 2015-23
- Figure 75: US volume sales and forecast of dark spirits, 2015-23
-
- Figure 76: Total US volume sales and forecast of dark spirits, by segment, 2015-23
- Figure 77: Total US volume sales of dark spirits, by segment, 2018 and 2020
-
- Figure 78: US volume sales of total distilled spirits, by channel, 2015-19
-
Appendix – Spirit Consumer Segmentation
-
- Segment definitions
- Healthful Explorers
- Spirit Purists
- Occasional Drinkers
- Situational Drinkers
Back to top