Tito’s now the top selling vodka in the United States (US) and wine ended a 25 year trend of increased sales in the country according to a leading market research group. IWSR Drinks Market Analysis, just released their annual study on alcohol sales, reporting that 2019 featured some interesting developments for the trade.
“The beverage alcohol industry in the US continued to innovate in 2019, especially in the ready-to-drink category, as the fight for consumption occasions intensified across all categories, something we fully expect to see in 2020 as well,” said Brandy Rand, COO for the Americas at IWSR. “It’s also interesting to note that the value increase of beverage alcohol in the US continues to outpace volume growth, a clear indicator that US consumers are willing to pay for more premium products.”
Check out the key points from IWSR below.
- Wines 25 year growth streak is the US is over. In 2019, total wine sale dropped 0.9%. Sparkling wines (volume) were actually up 4% from 2018, but still wines dipped 1.5%.
- Beer volume posted a fourth consecutive year of decline, down 2.3% over 2018. The report noted, “However, craft beer consumption increased last year by 4.1%, and low/no alcohol beer posted a gain of 6.6%. Imported beer increased 3.1%, while domestic beer dropped -3.6%.”
- Despite all the talk of no-proof and cannabis crossovers, total alcoholic beverage sales were up. Volume jumped 0.3% in 2019 (reversing a previous decline), with a value reported at $167bn (up 2.5% from 2018).
- Tito’s Handmade Vodka unseated Smirnoff at the top selling vodka in the US. The leap was a big one with Tito’s upping their sales 20% over the previous year.
- Spirits volume in the US grew by 2.3% in 2019. The categories reporting the largest increases were mezcal (40%), Japanese whisky (23.1%), Irish whisky (8.6%), tequila (9.3%), American whiskey (5.5%), and cognac (4%).
- The Ready-To-Drink (RTD) sector reported a whopping 50% sales growth to $8bn in 2019. The increase makes sense when one considers that hard seltzers comprise 43% of the total RTD.
For even more info, check out IWSR’s website.