Gin category set to grow by US$6.68 billion by 2026
The gin category size is expected to grow by US$6.68 billion during 2021-2026, at a CAGR of 7.59%, according to analysts.
In a report by Technavio, drinks analysts identified how the growing demand was going to be due to the expansion of organised retailing, increased demand in developing countries and rising demand for premium gin products.
However, the report outlined how, alongside this, “distribution challenges, increasing competition from other spirits and alcoholic beverages, and stringent regulations on alcoholic products will challenge the growth of the market participants” and advised that “to make the most of the opportunities, market vendors should focus more on the growth prospects in the fast-growing segments, while maintaining their positions in the slow-growing segments”.
The gin category’s market share growth in the standard gin segment will “be significant” during the forecast period, the analysts claimed in the report.
The data noted how “on-trade distribution is a popular distribution channel for standard gin” and ”43% of the market’s growth will originate from Europe”.
The report also outlined how “the increasing on-trade consumption of gin and the rising popularity of and demand for premium and super-premium gin products will facilitate the gin market growth in Europe”.