The whiskey market Value is expected to expand its roots at a steady CAGR of 12% during the forecast period. The market is likely to hold a revenue of USD 84.3 billion in 2023 while it is anticipated to cross a value of USD 270.09 billion by 2033.
The consumption of spirits has shifted away from beer and wine. Millennials place a premium on quality, originality, and provenance, and are willing to pay more for it. Furthermore, they are likelier to experiment with their alcoholic beverages, resulting in the growth of a 'cocktail culture.'
As a result of this tendency, the use of whiskey as an ingredient has increased, propelling the global whiskey market forward. Similarly, an increase in spirit tourism, particularly in Western countries, encourages travelers from other countries to indulge in and develop a taste for local beverages, such as whiskeys.
Supporting the on-trade recovery, finding emerging sales channels, and adapting to a digital frontier. This has become more crucial than ever can help brands navigate the turbulence produced by different market dynamics. These dynamics are expected to expand the market boundaries.
| Attributes | Details |
|---|---|
| Whiskey Market CAGR (2023 to 2033) | 12% |
| Whiskey Market Size (2023) | USD 84.3 billion |
| Whiskey Market Size (2033) | USD 270.09 billion |
Don't pay for what you don't need
Customize your report by selecting specific countries or regions and save 30%!
Due to the closure of several hotels, restaurants, and alcohol outlets globally, during the early stages of COVID-19, the market was severely damaged, limiting whiskey market sales. Furthermore, falling tourism across the world had a negative impact on whiskey sales since fewer tourists meant less whiskey and other alcoholic beverages were consumed.
Consumers have been dedicating a significant share of their disposable income to entertainment and events for some time as the experience economy has grown. A trend that the Covid-19 crisis has turned into an at-home phenomenon. Consumers have been drawn to domestic experiences such as virtual tastings, happy hour beverages, and digital festivals during the lockdown and as limitations loosen.
Due to this perceived increasing adaption to the new trends of the consumers, global demand for whiskey is anticipated to soar impressively in forthcoming years. It is expected to thrive at a CAGR of 12% in contrast to the CAGR of 12.4% during 2017 and 2021.
Higher Consumption through Millennials along with the Higher Whiskey Imports are Garnering the Market Growth
Millennials account for only 29% of the drinking-age population, but they over-index on the consumption of all types of alcohol. Whiskies alone account for 32 percent of total consumption. This trend is projected to continue as millennials grow older and their purchasing power grows.
Millennials are also likely to have influenced market growth in one type of alcohol over another. According to FMI research, millennial consumption patterns have played a significant part in the transition from beer to whiskey.
Principal Consultant
Country-wise Revenue Share
| Country | Revenue Share % (2022) |
|---|---|
| United States | 33.5% |
| Germany | 9.1% |
| Japan | 4.1% |
| Australia | 2.0% |
Country-wise CAGR
| Country | CAGR % (2023 to 2033) |
|---|---|
| China | 13.4% |
| India | 14.5% |
| United Kingdom | 15% |
Rise of Clubs and Direct Shipping Impacting United States Market Positively
Due to the relaxing shipping rules in some states of the country, businesses have been able to continue to serve customers who have been impacted by the closure of tasting rooms, taverns, and restaurants. By linking consumers with local businesses, home delivery systems like Drizly and Reservebar are helping more brands get discovered. Meanwhile, whisky membership clubs like Flaviar, Caskers, and Drammers help whisky connoisseurs throughout the world discover new whiskies and interact with like-minded people.
Increasing investment in high-quality at-home experiences and the emergence of new ways to try whisky at home. Increasing availability online has helped New World Whisky thrive, especially where brand-retailer relationships are formed, sophisticated digital advances are made, and established distribution channels thrive.
International Trade in Indian Alcoholic Beverages Market Creating Lucrative Prospects
In the worldwide alcoholic beverage trade, India is a minor player. In 2019, India's total proportion of global alcoholic beverage exports was only 0.27%, putting it in 32nd place globally. This is far below several developing countries. India's share of global imports was 0.75% in the same year, putting it in 20th place. The country thrives at a strong CAGR of 14.5% between 2023 and 2033.
India has export potential in this industry, which may be realized by lowering tariffs and establishing regulatory clarity across states to promote manufacturing and ‘Make in India.’
| Category | By Beverage Type |
|---|---|
| Leading Segment | Alcoholic |
| Market Share (2022) | 89.7% |
| Category | By Product Type |
|---|---|
| Leading Segment | Bourbon Whiskey |
| Market Share (2022) | 26.8% |
Focus on Wellness Driving Non-alcoholic Whiskey Sales
Wellness is a deliberate effort to become aware of and make choices that lead to a healthy and fulfilling life. The absence of any sickness, as well as enjoyment and stability in one's life, is referred to as health. Consumers all over the world are becoming increasingly concerned about their health.
They're all attempting to maintain mental and physical fitness. At a CAGR of 15.2%, the global market for drinks with health benefits is expected to grow rapidly. Presenting huge opportunities for companies that supply non-alcoholic whiskey.
Flavored Whiskey is Preferred More by the Younger Generation
The youth-centric product trend is likely to stimulate demand for flavored whiskey. Over the projection period, demand for flavored whiskey is expected to rise due to an aging population. Furthermore, a rise in the female drinking population is on the cards, necessitating a distinct taste profile to target. This is why flavored whiskeys are forecast to increase at a CAGR of 15.4% in developing regions around the world.
Intricacy and Distinct Flavor Make Scotch Whiskey a Global Favorite
The intricacy and distinct flavor of Scotch Whiskey have piqued the interest of millennials, who are expected to drive the market forward. Even though the United States has more distilleries than Scotland, demand for scotch whiskey is predicted to increase during the projection period due to the population's desire to sample the original.
Focus on Establishing Online Sales Channels to Grow
These days, consumers can buy just about anything from the comfort of their homes, and spirits are no exception. Business to consumers (B2C) and other online retail channels that sell whiskey and other spirits have the potential for strong growth from a small base. B2C players have employed different business models to legally sell to consumers directly. According to FMI, the segment is likely to capture a CAGR of 16.1%.
Get the data you need at a Fraction of the cost
Personalize your report by choosing insights you need
and save 40%!
The key players in the global whiskey market Growth are adopting marketing strategies such as collaborations and acquisitions to enhance their supply chain. The brands also work on their quality, bottling, prices, and promotions. Players also adopt elements like product expansions to maximize their business reach and enhance their market position. Let’s look at some recent market developments:
Whiskey Market Developments
The global market is expected to be valued at US$ 84.3 billion by the end of 2023.
Diageo, Chivas Brothers, and William Grant & Sons are the leading global whiskey industry players.
The global whiskey industry is set to surge at a CAGR of 12% from 2023 to 2033.
The United Kingdom whiskey market is likely to surge at a CAGR through 2023.
Millennials, 29% of drinkers, prefer whiskey (32%), reshaping the whiskey market throughout the forecast period.
Explore Food and Beverage Insights
View Reports
Whiskey Market
