by The Global Scottish Whisky Market is estimated to be valued at US$4.97 billion in 2018 and is expected to exhibit a CAGR of 5.3% over the forecast period from 2019 to 2027, according to a new report published by Coherent Market Insights. The market is witnessing significant growth due to the rising popularity of premium spirits worldwide. However, there are some obstacles in the market including high tariffs and trade barriers in certain countries.
Market Key Trends: Single Malt Segment Driving Growth
The key trend dominating the Scottish Whisky market is the growing demand for single malt whisky, which is driving the overall market growth. Single malt whisky refers to whisky made from malted barley in a single distillery, providing a distinct and rich flavor profile. The increasing preference for premium and high-quality spirits among consumers, particularly in the United States, has led to a surge in demand for single malt whisky. For example, it has been reported that single malt Scotch whisky sales in the United States increased by 12.8% in 2018 compared to the previous year.
Segment Analysis: Dominance of Single Malt Whisky
The Scottish Whisky market is segmented based on the type of whisky, distribution channel, and region. Among these segments, the single malt whisky segment is dominating the market. Single malt whisky holds a significant share in the market due to its premium nature and unique flavor profile. The segment is expected to continue its dominance over the forecast period as consumers increasingly seek high-quality and distinctive spirits. Moreover, single malt whisky is highly regarded in the US market, which is one of the largest consumers of Scottish Whisky.
Key Takeaways
In terms of market size, the global Scottish Whisky Market is expected to witness high growth, exhibiting a CAGR of 5.3% over the forecast period. This growth can be attributed to the increasing demand for premium spirits, particularly single malt whisky. The rising popularity of single malt whisky in the US market is driving the overall market growth.
In terms of regional analysis, the US is the fastest-growing and dominating region in the Scottish Whisky market. The US market is witnessing a surge in demand for premium spirits, including single malt whisky, due to changing consumer preferences and increased disposable income.
Key players operating in the global Scottish Whisky market include Diageo Plc., Pernod Ricard, William Grant and Sons Ltd., Bacardi Limited, Bowmore Distillery, Suntory Beverage & Food Limited, Brown-Forman Corporation, LVMH, Isle of Arran Distillery, La Martiniquaise, and The Edrington Group. These key players play a crucial role in driving market growth through product innovation, expansion strategies, and marketing initiatives.
In conclusion, the Scottish Whisky market is experiencing significant growth due to the rising demand for premium spirits, particularly single malt whisky. The US market is the fastest-growing and dominating region in the market. Key players in the market are focused on product innovation and marketing strategies to capitalize on the growing opportunities in the global Scottish Whisky market.
Scottish Whisky Market is Estimated to Witness High Growth Owing to Increasing Exports and Rising Demand for Premium Whiskies
The global Scottish Whisky Market is estimated to be valued at US$ 4.97 Bn in 2018 and is expected to exhibit a CAGR of 5.3% over the forecast period 2019 to 2027, as highlighted in a new report published by Coherent Market Insights.
- A) Market Overview:
Scottish whisky, also known as Scotch whisky, refers to a whisky that is distilled and aged in Scotland. It is known for its unique production process and flavor profiles. The market for Scottish whisky has been growing steadily, driven by increasing exports and the rising demand for premium whiskies worldwide. Scottish whisky is highly regarded for its quality and has a strong reputation in the global spirits industry.
- B) Market Dynamics:
The Scottish whisky market is driven by two major factors. Firstly, the increasing exports of Scottish whisky to international markets have played a significant role in driving market growth. The popularity and demand for Scotch whisky have been rising in countries such as the United States, France, India, and China. These export opportunities have fueled the growth of the market.
Secondly, the rising demand for premium whiskies has also contributed to the growth of the Scottish whisky market. Consumers are increasingly seeking high-quality and unique spirits, and premium scotch whiskies fit this criteria perfectly. The exclusivity and craftsmanship associated with premium Scotch whiskies have attracted connoisseurs and collectors, driving market growth.
- C) Market Key Trends:
One key trend in the Scottish whisky market is the increasing popularity of single malt whiskies. Single malts are made from malted barley and distilled at a single distillery, resulting in distinct flavors and characteristics. The demand for single malt whiskies has been rising steadily due to their premium status and unique taste profiles. For example, brands such as Macallan and Glenfiddich have gained popularity for their single malt expressions.
- D) SWOT Analysis:
Strengths:
- Rich heritage and tradition
- High-quality production process
Weaknesses:
- Limited production capacity
- Dependence on international markets
Opportunities:
- Expansion into emerging markets
- Increasing popularity of whiskies in cocktails
Threats:
- Competitor offerings from other whisky-producing regions
- Regulatory challenges and trade barriers
- E) Key Takeaways:
- The global Scottish whisky market is expected to witness high growth, exhibiting a CAGR of 5.3% over the forecast period, due to increasing exports and rising demand for premium whiskies.
- The United States is the fastest growing and dominating region, fueled by the rising popularity of Scotch whisky among American consumers.
- Key players operating in the global Scottish whisky market include Diageo Plc., Pernod Ricard, William Grant and Sons Ltd., Bacardi Limited, Bowmore Distillery, Suntory Beverage & Food Limited, Brown-Forman Corporation, LVMH, Isle of Arran Distillery, La Martiniquaise, and The Edrington Group.
In conclusion, the Scottish whisky market is witnessing high growth due to increasing exports and the rising demand for premium whiskies. With a rich heritage and tradition, Scottish whisky has established its position in the global spirits industry. The market is expected to continue growing, driven by factors such as the popularity of single malt whiskies and expanding into emerging markets. However, it also faces challenges such as competition from other whisky-producing regions and regulatory barriers. Overall, the Scottish whisky market is poised for continued success in the coming years.
Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. With an MBA in E-commerce, she has an expertise in SEO-optimized content that resonates with industry professionals.
