Craft spirits account for one in seven spirit launches
Mintel reports that spirits positioned as ‘craft’ have so far accounted for one in seven (15%) new global spirit launches to date in 2016, up from just one in 20 (5%) in 2011.
Overall, research from Mintel’s Global New Products Database reveals craft spirit launches increased by 265% globally between 2011 and 2015. Of all craft spirits launched in this time, half (49%) have been in the US and 42% in Europe, compared to just 4% in Latin America and 3% in Asia Pacific.
The surge is backed globally by strong consumer demand for artisanal alcoholic beverages. Over half (55%) of US alcohol drinkers agree that craft alcohol brands are of higher quality than big brands and demand is mirrored across Europe too, where around half of consumers in France (55%), Italy (53%), Germany (50%) and Poland (46%) agree that spirits from small/craft distillers are more appealing than large, mass produced brands. In the UK, 37% of dark spirits/liqueur drinkers are prepared to pay more for craft variants.
Jonny Forsyth, global drinks analyst at Mintel, comments, “Craft spirit launches are growing at a rapid pace and will continue to rise in more mature markets – particularly the US – as consumers continually seek out ‘special’ offerings. Despite being a relatively small sector of the market, craft spirits are growing in response to the huge consumer led demand for more authentic, more distinctive, more local, less processed and more interesting spirit brands.”
When it comes to the ‘craftiest’ spirit, currently whisky reigns supreme, accounting for 43% of global craft spirit launches in 2015, up from 37% in 2011. However, gin is hot on its heels, accounting for 23% of global craft spirit launches in 2015, up from 9% in 2011.
“For craft producers, gin has the advantage of taking days rather than years to produce, unlike whisky. Therefore as start-ups seek to balance production of more nuanced spirits with the commercial realities, gin is an appealing choice,” adds Forsyth.
