Whiskey Market - By Product (American Whiskey, Irish Whiskey, Canadian Whiskey, Scotch Whiskey, Other Whiskey), By Distribution Channel (On-Trade, Off-Trade) & Forecast, 2024–2032

Whiskey Market Size

Whiskey Market expanded to USD 69 billion in 2023. The market will demonstrate a 6.9% CAGR from 2024 to 2032, driven by new product innovations, such as unique flavors and rare blends, combined with a strategic focus on travel retail and limited edition releases. These initiatives cater to collectors and enthusiasts seeking exclusive experiences while expanding market reach and enhancing brand prestige. The blend of innovation and targeted retail strategies creates a dynamic market environment, driving increased consumer interest and sales.
 

For instance, in December 2023, Johnnie Walker introduced Johnnie Walker Blue Label Xordinaire exclusively in travel retail using just 1 in 10,000 casks from their aged Scotch reserves, now a permanent addition to their travel retail offerings.
 

The growth of e-commerce platforms for alcohol sales has significantly contributed to the expansion of the whiskey industry, providing consumers with easier access to a wide range of products. Also, rising disposable incomes in emerging markets like Asia-Pacific have fueled demand for premium whiskey, driving sales and market expansion. This dual trend of digital accessibility and economic empowerment continues to shape the industry's growth trajectory globally.
 

For instance, in October 2023, DIAGEO launched the Spirited Xchange Special Releases Scotch Whiskey Collection, showcasing eight rare single malts selected by Master Blender Dr. Stuart Morrison. It celebrates the diverse flavors and craftsmanship across DIAGEO's Scotch portfolio annually.
 

However, stringent government regulations and taxation policies, alongside fluctuations in raw material prices, pose challenges to the whiskey industry's growth, yet they drive innovation and efficiency. These hurdles encourage producers to optimize operations, enhance product quality, and explore alternative ingredients and sustainable practices. By navigating these complexities, companies can strengthen their resilience and competitiveness, benefiting consumers with superior whiskey offerings and fostering a more robust industry landscape.
 

Whiskey Market Trends

The whiskey industry is propelled by the increasing demand for high-quality luxury products and expansion into new international markets. Consumers seek premium experiences, prompting distillers to innovate with rare blends and aged varieties.
 

Moreover, companies explore untapped markets like Asia-Pacific and emerging economies, capitalizing on rising disposable incomes and evolving tastes. This convergence of quality and global expansion fuels growth, enticing both connoisseurs and new whiskey enthusiasts alike. For instance, in December 2023, Don Julio, a Diageo tequila brand, expanded into India with its lineup featuring Don Julio Blanco, Reposado, Anejo, and the luxury spirit Don Julio 1942.
 

Whiskey Market Analysis

Based on product, the market is segmented into scotch whiskey, American whiskey, Canadian whiskey, Irish whiskey, and other whiskey. The Scotch whiskey segment is set to surpass USD 46.3 billion and exhibit a 7% CAGR through 2032, owing to its longstanding global reputation for quality and tradition. Scotch whiskey's rich heritage, diverse range of flavors, and stringent production standards attract a loyal consumer base. Increasing demand for premium spirits and interest in craft beverages further bolster its dominance. Besides, the rising popularity of whiskey tourism in Scotland enhances brand visibility and consumer engagement, solidifying Scotch whiskey's leading position in the market.
 

Based on distribution channel, the whiskey market is fragmented into on-trade and off-trade segments. The on-trade segment is poised to cross USD 63.78 billion and register a 6.7% CAGR from 2024 to 2032, fueled by the growing popularity of social drinking and premium experiences in bars, restaurants, and hotels. Consumers' preference for unique, crafted cocktails and premium whiskey brands in social settings fuels this trend. Moreover, the revival of whiskey-based cocktails and increased spending on nightlife and dining out contribute to the segment's dominance. Enhanced customer engagement and experiential offerings by establishments will further bolster the on-trade segment's significant market share.
 

Asia Pacific whiskey industry is expected to register a 7.3% CAGR during 2024 and 2032, attributed to rapid urbanization, rising disposable incomes, and changing consumer preferences. The region's growing middle class and increasing demand for premium alcoholic beverages drive market growth. Countries like India, China, and Japan have a strong tradition of whiskey production and consumption, making them significant whiskey consumers. Additionally, the influence of Western lifestyles and expanding retail networks bolster whiskey sales, making the Asia Pacific a crucial market contributor.
 

Whiskey Market Share

Key players, including Diageo, Brown Foreman, Pernod Ricard, Suntory Holdings Ltd., Bacardi Limited, and William Grant and Sons, are augmenting their market presence by investing in brand innovation and product diversification. They are launching limited-edition and premium products to attract high-end consumers and connoisseurs. Strategic partnerships and collaborations with celebrities and influencers also help boost brand visibility and appeal. Furthermore, companies are leveraging digital marketing and social media platforms to reach a broader audience and engage with consumers directly.
 

Expansion into emerging markets is another key strategy. Companies are establishing new distribution channels and increasing their presence in countries with growing demand for whiskey. They are also investing in local production facilities to cater to regional tastes and preferences, ensuring quicker market penetration and cost-efficiency. Enhanced customer experiences through whiskey tastings, tours, and exclusive events further solidify their market position and foster brand loyalty.
 

Whiskey Market Companies

Major players operating in the whiskey industry include:

• Suntory Holdings Ltd.
• Diageo
• Angus Dundee Distillers Plc.
• Pernod Ricard
• William Grant and Sons 
• Constellation Brands, Inc.
• Chivas Brothers
• Brown Foreman
• La Martiniquaise
• Allied Blenders and Distilleries Pvt. Ltd.
• Bacardi Limited
• King Car Group (Kavalan Distillery)
• The Edrington Group
• Whyte & Mackay
   

Whiskey Industry News

In December 2023, the Prisoner reintroduced their Complicit Red Blend, a unique collaboration with High West Whiskey under Constellation Brands. Available exclusively online or at The Prisoner Wine Company Tasting Room in St. Helena, it offers a limited-time opportunity for enthusiasts.

In December 2023, Pernod Ricard is launching its new prestige malt whiskey, The Chuan Pure Malt, specifically targeting the Chinese market with this exclusive release.
 

The whiskey market research report includes in-depth coverage of the industry, with estimates and forecasts in terms of revenue and volume (USD Million) (Tons) from 2024 to 2032 for the following segments:

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Market, By Type

• American Whiskey
• Irish Whiskey
• Canadian Whiskey
• Scotch Whiskey
• Other Whiskey

Market, By Distribution Channel

• On-Trade
• Off-Trade

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia
  • Malaysia
  • Indonesia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America
• MEA
  • Saudi Arabia
  • UAE
  • South Africa
  • Rest of MEA