As retailers stock up for what promises to be a scorching summer, SalesOut has taken a look at performance of spirits to help shop owners maximise sales in this category.
Based on data for over 11,000 independent stores, 5,000 of which are in symbol groups, spirits have seen a huge 10.1% growth for the 52 weeks to June 4, 2010, although this is tempered by a significant slowdown in growth to 1.8% in the last 13 weeks. This slowdown in growth coincided with the former government’s budget that came into force at the end of March, which saw a 1% increase in duty on spirits.
Despite the apparent price sensitivity, big brands have had a good year observes SalesOut’s commercial director Steve Collins.
“The top 10 spirits brands account for 76% of sales and outperformed the total category with growth rates of 14% over the last year and 4.5% in the last quarter,” he says. “Conversely, own labels sales underperformed as sales fell by -0.9% and -5.8 respectively. This decline in own label sales has however been compensated somewhat by the significant increase in sales of the Glens value brand, which saw continued growth of 8% – underlining the need for independent stores to offer a value for money selection to support the brands that flagship the category.”
The spirits category continues to be dominated in the independent sector by vodka and whisky, which collectively account for over 69% of all sales. However, significant gains have been made by tequila and liqueurs, which have seen growth of 44% and 22% respectively.
“On the whole, spirits have benefited from heavyweight promotional activity highlighting the growing popularity of various cocktails and long drinks over ice,” Collins continues. “With a summer of sun promised, consumers are looking to extend the range of drinks on offer at BBQs and social events beyond the traditional combination of beer and wine. This is good news for brands like Pimm’s, which has seen 39% growth, and Morgans Spiced – growing a massive 227% in the last year – with both brands having a strong association with good weather.
TOP 30 SPIRITS LINES (52 weeks to June 4, 2010)
RANK PRODUCT MAT 52 WEEKS Change
1 SMIRNOFF RED VODKA 35/70CL +19.5%
2 GLENS VODKA 35/70CL +10.0%
3 OWN LABEL VODKA 35/70CL -6.2%
4 BELLS 8YO WHISKY 35/70CL +47.8%
5 OWN LABEL WHISKY 35/70CL -8.0%
6 JACK DANIELS 35/70CL +25.2%
7 FAMOUS GROUSE WHISKY 35/70CL +14.5%
8 GLENS VODKA 1L +4.6%
9 HIGH COMMISIONER WHISKY 35/70CL +3.5%
10 OWN LABEL BRANDY 35/70CL +8.8%
11 OWN LABEL VODKA 1L -0.2%
12 OWN LABEL VODKA 20CL +3.7%
13 GORDONS GIN 35/70CL +19.0%
14 SMIRNOFF RED VODKA 1L +53.7%
15 BACARDI WHITE RUM 35/70CL -17.9%
16 GRANTS WHISKY 35/70CL +66.5%
17 GLENS VODKA 20CL +5.2%
18 TEACHERS WHISKY 35/70CL +0.8%
19 OWN LABEL GIN 35/70CL +6.8%
23 RUSSIAN STANDARD VODKA 35/70CL +73.0%
20 OWN LABEL WHISKY 1L -0.5%
21 COURVOISIER VS COGNAC 35/70CL +7.4%
22 BAILEYS ORIGINAL 35/70CL +19.0%
24 OWN LABEL WHISKY 20CL +7.0%
25 SOUTHERN COMFORT 35/70CL +8.3%
26 MORGANS SPICED RUM 35/70CL +266.7%
27 BELLS 8YO WHISKY 1L +143.1%
28 THREE BARRELS BRANDY 35/70CL +25.0%
29 VODKAT SCHNAPPS 35/70CL -2.9%
30 FAMOUS GROUSE WHISKY 1L -23.6%
...AND FIVE TO WATCH
Watch GORDONS DRY LONDON GIN 1L +81.0%
Watch GLENFIDDICH 12 YO MALT 35/70CL +54.3%
Watch PIMM’S NO 1 70CL +50.0%
Watch CAPTAIN MORGAN DARK RUM 35/70CL +26.5%
Watch JAMESONS IRISH WHISKEY 35/70CL +17.2%
TOP 15 BRANDS (all packs combined)
RANK BRAND MAT 52 WEEKS Change
1 OWN LABEL -0.9%
2 GLENS +7.9%
3 SMIRNOFF +20.8%
4 BELLS +46.7%
5 FAMOUS GROUSE +5.7%
6 WKD -7.1%
7 HIGH COMMISSIONER +5.0%
8 JACK DANIELS +23.9%
9 BACARDI -10.2%
10 GORDONS +31.2%
11 GRANTS +86.6%
12 TEACHERS -18.9%
13 BAILEYS +32.7%
14 VODKAT -10.1%
15 COURVOISIER +9.0%
Watch RUSSIAN STANDARD +56.2%
Watch MORGANS SPICED +227.0%
Watch VK +34.9%
Watch CAPTAIN MORGAN +24.1%
Watch PIMMS +39.0%
TOTAL CATEGORY SALES
PRODUCT SALES (£) MAT 52 WEEKS Change % of TOTAL CAT
VODKA £87,430,000 +7.8% 38.9%
WHISKY £69,210,000 +13.8% 30.8%
RTD & PRE MIXED £16,630,000 +3.4% 7.4%
BRANDY £14,550,000 +9.6% 6.5%
RUM £13,630,000 +5.6% 6.1%
GIN £10,740,000 +18.3% 4.8%
LIQUEURS £9,320,000 +22.3% 4.1%
SCHNAPPS £2,270,000 -9.6% 1.0%
TEQUILA £880,000 +44.3% 0.4%
OTHERS £340,000 -19.0% 0.2%
TOTAL £225,000,000 +10.1%
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