The independent distilling brand is one of the largest in the UK and says that changes in the attitudes of consumers are to blame for the rise in premium spirits.
“Consumer behaviour and habits have continued to evolve in this time of uncertainty,” says Gary Keogh, marketing director of William Grant & Sons UK.
“But still there remains an element of consistency with the trends identified in our previous reports, as the consumer trends and resulting behaviours have adapted to this new normal.”
Premium spirits in the UK are now worth more than £1.2bn, up 9.9% and accounting for 11.7% of the total spirits market.
The report has also discovered that the on-trade is driving the majority of the spirits sector’s performance, up 3.1%, which is more than double the growth within the off-trade market (up 1.5%).
The William Grant & Sons market report also revealed that the growth in the spirits sector is being driven by gin, flavoured/spiced rum, non-cream liqueurs, and malt whisky.
Keogh added: “More than ever, brands need to have a point of view, share their values, and reach heightening expectations to meet consumer needs.
“The brands that succeed will be those that can balance these often conflicting needs and offer inclusive, collective experiences, a playful sense of purpose, and meet on-demand consumer expectations without compromising on quality.”
As well as the premiumisation of spirits, the report has also uncovered that premium mixers have grown 139% in volume and 157% in value.
Rita Greenwood, managing director of William Grant & Sons UK and Ireland, said: “William Grant and Sons is a family owned business and has been for 130 years. This report is our objective view of what is happening in the UK drinks industry.
“The report shows that it is more essential, now than ever before, for businesses and brands to adapt if they are to remain relevant with today’s consumers.”
