Industry Analysis & Industry Trends
As disposable income levels began to recover at the beginning of the five-year period, consumers began spending on discretionary items again, helping drive demand for value, premium and super-premium spirit brands. Moreover, revenue grew at a double-digit rate, partly due to a strengthening economy and pent-up demand from the recession. Additionally, rising spirits consumption in emerging markets and increasing demand for higher-value spirits in developed markets is expected to result in solid revenue growth during the next five years... read more
The industry's product segments are based on revenue generated from various categories of spirits. In addition to the product types described below, spirits can also be categorized by value from low-price and value to super-premium or prestige. Value spirits are marketed on the basis of low price and are not heavily promoted. Premium spirits are generally more expensive and supported by substantial spending on advertising, while prestige products are expensive and exclusive (i.e. produced in limited quantities or made available at select retailers).
Vodka is a distilled spirit derived primarily from potatoes or other fermented cereal grands. Since vodka is often clear in color and neutral in flavor, it is a very popular spirit for cocktails and mixed drinks... read more