Impact Databank: Spirits’ Premium And Above Tier Driving Industry Growth
November 1, 2021While the overall spirits category has slowed down notably in 2021 after last year’s pandemic-driven surge, brands priced at least $25 a 750-ml. bottle have maintained their strong momentum. In dollar terms, Hennessy Cognac was the top-selling brand in the U.S. last year, one of only two spirits—along with Tito’s vodka—to exceed $2 billion by retail value, according to The U.S. Spirits Market: Shanken’s Impact Databank Review & Forecast, 2021 Edition.
Off-premise, total spirits dollars grew just 1.5% in Nielsen channels for the 40-week period ending October 9—and the category fell 0.8% in volume terms. However, premium-priced brands (averaging $18.44 a 750-ml. bottle) grew a solid 5.9% by volume and 2% in dollar terms year-to-date, while ultra-premium-priced spirits (averaging $68.98), surged 24% and 28% by volume and value, respectively—led by ultra-premium Tequila ($76.76 on average) and ultra-premium whiskies ($69.86 on average).
Among the 50 largest-selling spirits in IRI channels for the 52-week period ending October 3, the fastest-growing brands were all super-premium-priced Tequila labels—Teramana (+428% in dollar terms), Casamigos (+61%), and Don Julio (+45%). Last year, $25 and over Tequila brands accounted for over half of the category’s volume, according to Impact Databank’s 296-page report—the third-highest share among all spirits sectors, behind only Cognac and imported whiskies.
According to NABCA, among the 25 largest-selling brands in control states, the fastest-growing spirits year-to-date through September were also priced at least $25 a 750-ml. bottle, including Jameson Irish whiskey (+20% by volume) and Patrón Silver Tequila (+19%). Spirits volumes in control states advanced 4% in September to bring growth to a cumulative 5.3% year-to-date. Overall, control states comprised just over 23% of the total spirits market in the U.S. last year, according to Impact Databank.—Juan Banaag
| U.S.—Top 10 Super-Premium Spirits1 | |||||
| Rank | Brand | Company | Origin/Type | Total 2020 Case Volume2 |
2021 YTD Percent Change in Control States3 |
|---|---|---|---|---|---|
| 1 | Crown Royal4 | Diageo | Canadian Whisky | 7,295 | 6.9% |
| 2 | Hennessy | Moët Hennessy | Cognac | 5,135 | -9.0% |
| 3 | Jameson | Pernod Ricard | Irish Whiskey | 3,580 | 17.3% |
| 4 | Patrón | Bacardi | Tequila | 2,692 | 16.6% |
| 5 | Grey Goose4 | Bacardi | Imported Vodka | 2,063 | 19.5% |
| 6 | Maker’s Mark | Beam Suntory | Bourbon | 1,988 | 18.0% |
| 7 | Johnnie Walker | Diageo | Scotch Whisky | 1,860 | 4.2% |
| 8 | Bulleit | Diageo | Bourbon/Rye | 1,545 | 9.0% |
| 9 | 1800 | Proximo Spirits | Tequila | 1,531 | 18.9% |
| 10 | Baileys | Diageo | Imported Liqueur | 1,515 | 8.4% |
| Total Top 10 | 29,202 | 8.1% | |||
| 1 $25 and over a 750-ml. 2 Thousands of nine liter cases. 3 Year to date through September. 4 Includes flavors. Source: NABCA and IMPACT DATABANK © 2021 |
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Tagged : 1220 Artisan Spirits, Casamigos, Don Julio, Hennessy, IRI, Jameson, Patrón, Teremana, Tito's
