Analysis

Analysis - Vodka's global growth set to stay strong

Most popular

Hard coffee founder details Diageo lessons

The just-drinks Analyst returns

How will Diageo change Cuban rum?

The just-drinks Analyst returns

Interview - Treasury CEO Mike Clarke - Part I

MORE

Vodka's global growth prospects remain “positive” with an opportunity for producers to grow volumes in mature and emerging markets, according to an analyst. 

//i2.aroq.com/1/spirits.jpg

In a detailed report on the global vodka market, Bernstein Research said companies have an opportunity among female consumers in emerging markets in the mid-to-long term. This is as women become “more important” as purchasers and consumers of alcohol in these markets, the report said. 

Bernstein also flagged an opportunity for continuing premiumisation. “It (vodka) is a category that is still extremely crowded with cheap vodka, and we believe there is still a lot of potential to move from cheap vodka to standard vodka, and ultimately premium vodka over time,” the study said. 

Turning to two global producers, the report suggested Pernod has a “slightly more premium vodka portfolio overall” than its rival Diageo, but the French firm “lacks the strength Diageo has in the super-premium vodka markets, particularly with Cîroc”. 

“Over the last five years, Diageo has gained global value share in vodka, growing at approximately 7% per annum according to IWSR, driven by solid performance of Smirnoff and explosive but slowing growth of Cîroc,” the report said.

“Over this time frame, Pernod has lost underlying share, growing at an average 1%, due to relatively weak performance from Absolut, notably in the US.” 


Sectors: Spirits

Companies: Diageo, Pernod Ricard, Absolut, Smirnoff

Related Content

"The door is open" for guidance upgrades - Carlsberg H1 2019 - Analysis...

How can Scotch whisky build on 2017 growth in the years to come? - Research in Focus

How can Scotch whisky build on 2017 growth in the years to come? - Research in Focus...

Why the usual vodka suspects will have to sit out the short-term in the US - Comment

Why the usual vodka suspects will have to sit out the short-term in the US - Comment...

Ultra-premium baijiu set for fast growth as consumer profiles hit the

Ultra-premium baijiu set for fast growth as consumer profiles hit the "sweetspot" - study...

Oops! This article is copy protected.

Why can’t I copy the text on this page?

The ability to copy articles is specially reserved for people who are part of a group membership.

How do I become a group member?

To find out how you and your team can copy and share articles and save money as part of a group membership call Sean Clinton on
+44 (0)1527 573 736 or complete this form..



Forgot your password?