Premium brands are driving growth in the gin category, according to the latest market report by drinks producer William Grant & Sons UK.
The William Grant & Sons 2015 report showed premium gin is now worth £155 million in the UK on-trade and is said to be driving category growth, up 25.7% on last year.
The analysis showed the overall gin market is worth £477m in the UK’s bars, restaurants and hotels, up 16.9%. The report also claimed gin is the fourth largest spirit category in the on-trade, accounting for 8.7% of spirit sales last year.
Sales of gin in the UK on-trade have also increased in volume terms, according to the Wm Grant report. The volume of gin sold in bars, restaurants and hotels was said to be up 9.9%.
‘Mainstream’ brands, which have a 90.5% share of the on-trade gin market, climbed 6.7% in volume terms, while sales of premium brands, which make up the remaining 9.5% of the market, were up 52.6%.
However, the report said only 19% of outlets stock premium gin which represents a “large opportunity” for more to benefit from growth in the category.
Gary Keogh, marketing director at William Grant & Sons UK, said premium brands across all spirits categories “continue to thrive”.
“Consumers will spend money on those brands that offer something more to them, including the opportunity to associate themselves visibly and proudly with brands that project their values,” he said.