Whiskey is a distilled spirit, which is made from fermented malted grains such as rye, maize or barley by the distilleries. It is a strong, pale brown alcoholic drink originated from Ireland and Scotland.
The growth of the global whiskey market is majorly driven by the introduction of favorable trade policies by government of various countries coupled with reduction of import duties on spirits. For instance, in July 2018, a deal was signed between the European Union and Japan for removing tariffs on traded goods such as Japanese whiskey and scotch. Moreover, increasing distilleries across the globe, is expected further to drive growth of the market over the forecast period. For instance, Her Majesty's Revenue and Customs stated, in 2018, a total of 54 new distilleries were opened in the U.K. However, the global whiskey market growth is expected to be hampered, owing to fluctuations in the average demand for the aged premium whiskeys.
Based on product type, the global whiskey market is being segmented into American whiskey, Scotch whiskey, Canadian whiskey, Irish whiskey, and others. The Scotch whiskey segment is expected to hold a dominant position in the market over the forecast period. The major factors contributing towards the segment growth include customized services offered by the market vendors, increasing popularity of Scotch whiskey-based tourism, and increasing number of Scotch whiskey distilleries across the globe. For instance, according to the Scotch Whiskey Association, in 2018, the European Union was one of the largest market for scotch whiskey, which accounted for around 36% of total exports in terms of volume.
On the basis of distribution channel, the off-trade distribution held the largest market share in 2018. The off-trade distribution channel is expected to grow, owing to growth of travel and tourism industry, which is expected to drive sales of whiskey through sales channels such as duty-free stores amongst others. The consumers prefer to store premium products for special occasions, which is further expected to drive growth of the market.
Among regions, Europe is expected to witness significant growth of the global whiskey market over the forecast period, owing to increasing demand for premium whiskey products in countries such as France and the U.K. The growth of the European region is followed by the North America, owing to increasing demand for whiskey, which is expected to attract new companies within the market. The distilleries are motivated to indulge in the production of whiskey as the total time required to obtain approval from the state and federal regulatory bodies have been reduced significantly.
Key players operating in the global whiskey market include Diageo plc, Pernod Ricard, William Grant and Sons Ltd., Crown Royal, Beam Suntory, Inc., Allied Blenders & Distillers (ABD) Pvt. Ltd., Brown–Forman Corporation, and Suntory Beverage & Food Limited.
On the basis of product type, the global whiskey market is segmented into:
On the basis of quality, the global whiskey market is segmented into:
On the basis of distribution channel, the global whiskey market is segmented into:
On the basis of region, the global whiskey market is segmented into: