The estimated size of the global vodka market for 2023 is USD 39.96 billion, and growth between 2023 and 2033 is predicted to occur at a CAGR of 5.5%. By 2033, the size of the global vodka market is anticipated to be USD 68.25 billion.
This can be attributed to a rise in the consumption of premium vodka drinks in advanced economies like the USA and Germany. Vodka with cranberry, lime, and raspberry flavors is becoming popular, which is helping to boost sales of vodka. It is projected that over the projection period, the expanding Off commerce of alcoholic beverages is anticipated to accelerate market expansion.
| Attributes | Details |
|---|---|
| Vodka Market CAGR (2023 to 2033) | 5.5% |
| Vodka Market Size (2023) | USD 39.96 billion |
| Vodka Market Size (2033) | USD 68.25 billion |
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The main driver of market expansion is the rising popularity of grain-based vodkas with delectable fruit flavors. It is predicted that the market expansion is anticipated to be refueled by the increased demand for natural and authentic flavors.
Other elements contributing to the expansion of the global market include the influence of social media and blogging platforms. The number of consumers using social media and blogs to educate themselves about the range of flavored vodkas and cocktails has increased recently.
On a company's social media platform, for instance, the Tito Vodka brand name is promoted as handcrafted vodka. There are a lot of blog posts online that address different types of vodka brands, such as flavored vodka and organic vodka.
Key players' increasing investment in obtaining better quality blueberry vodka goods is fueling market expansion. The major players are acquiring high-quality crushed ruby red grapefruit cocktails. Global demand for organic infusions of white spirits is propelling market expansion.
Premium manufacturers are concentrating on introducing flavored vodkas that are both delectable and crunchy in taste and have become widely known in a short period. The demand for such brands expanded dramatically as a result of the various delectable flavors.
There are many flavors available from brands including Absolute, Smirnoff, and Russian Standards, including coffee, chocolate, apple, and orange. To increase sales of the vodka business, the leading firms are heavily utilizing online retailing platforms. This kind of action increased demand for vodka on a global scale, which is anticipated to spur market expansion.
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The growing influences of craft beer among consumers, as well as the availability of alternatives on the market, are expected to limit the growth of the global market. The government's tight rules and excessive taxation are impeding the expansion of the worldwide vodka business.
Despite this, consumption trends and various innovations such as fruit-based healthy vodka are expected to present significant potential for the global vodka industry throughout the anticipated period. In contrast, the vodka business is witnessing competition from non-alcoholic beverage alternatives, which is posing a significant challenge to the market.
Intemperate intake of such alcoholic beverages can lead to a variety of health concerns, including strokes, lung failure, unstable digestion, cognitive disorders, and depression.
Alcohol abuse is a contributing factor in over 200 diseases and injuries. In terms of disability-adjusted life years, alcohol is responsible for 5.1% of the worldwide burden of disease and injury (DALYs). Alcohol intake causes death and disability at a young age.
As a result, many people may get averse to it and reduce their use. On the other hand, governments' stringent pandemic regulations are expected to stifle demand for vodka and disrupt supply chains, posing significant difficulties to the expansion of the vodka market.
Last but not least, strict restrictions governing the open marketing of alcohol such as vodka might stymie the vodka market's continuous expansion.
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| Attributes | Details |
|---|---|
| Flavored Vodka - CAGR | 4.5% |
With a CAGR of 4.5% over the projected period, the category for flavored vodka is anticipated to develop quickly. The flavored segment has a wide range of cherry cola, cherry limeade slash, and bitter raz with a unique strawberry-lemon vodka flavor.
The vodka market growth is poised to accelerate in the next years due to the rising popularity of spirits with cucumber and lime flavors. Due to rising demand for fuzzy mules, which are thought to be good for the digestive system, sales of the flavored category are likely to rise over the forecast year.
The non-flavored segment may expand the most during the predicted period. This is due to increased demand for Grainger's luxury organic vodka across Europe. In Russia, the Kozuba & Sons Starkus Vodka is an emerging trend to meet the need for unflavored white spirits. During the assessment period, gluten-free vodka is anticipated to increase non-flavored sector sales.
| Attributes | Details |
|---|---|
| Off Trade - Segment Share | 75% |
During the anticipated period, off-trade accounted for more than 75% of global market revenue. Various providers, including supermarkets, liquor stores, specialty shops, pubs, bars, and restaurants, are a part of off-trade.
The range of white spirits offered by domestic restaurants at competitive prices is anticipated to stimulate segmental growth. Growth of the market is poised to be further fueled by the increasing adoption of drinking habits in Asia and the Pacific.
During the forecast period, the on-trade category is expected to develop at a considerable rate. This increase is due to retailers' greater focus on using internet selling to sustain business with the support of current trade technology.
The growing demand for value-added white spirit products generated by online marketing is fueling the rise of the vodka market. The government of the United States favorable initiatives to bring out digital payments are igniting segmental growth.
| Attributes | Details |
|---|---|
| Market Share | 35% |
Due to the rising demand for Heritage 176 vodka in the United States and Canada, North America contributed the most to the global vodka market during the forecast period with over 35% of the market. The increased popularity of flavored vodkas such as Texas Grapefruit, Blood Orange, Bartlett Pear, and Sun-Ripened Watermelon is what is driving the United States market share.
The growing popularity of tart cherry and limeade vodka flavors combined with sweet citrus in Canada is poised to support the sector's expansion. Alcoholic drinks including Pyat Ozar, Svedka, and Hlibny Dar are anticipated to contribute to the market's expansion.
Market expansion is projected to be sparked by the Canadian government's help in improving the premium white spirits distribution network.
| Attributes | Details |
|---|---|
| Market CAGR | 6.4% |
From 2023 to 2033, Asia Pacific is expected to grow at a CAGR of 6.4%. This can be attributable to the rising demand for agave-based non-flavored vodka goods from emerging nations.
The growing trend in China of consuming vodka flavored with mint and a vibrant blend of lemonade is fueling the vodka market expansion. India is expected to have a significant growth rate in the adoption of vodka soda.
The expansion is due to the increasing western influence. Asian nations have imported the vast majority of European culture, including culinary habits, clothing styles, and many other things. Improving infrastructure and rising disposable incomes have contributed to market growth across the Asian continent.
| Attributes | Details |
|---|---|
| Market Share | 38% |
During the projection period, Europe held the major share of the market, accounting for 38% of it. The increase in the vodka market is attributable to elements like substantial yearly vodka consumption. With an average annual intake of more than 11 liters, Russia is by far the world's most significant user of vodka.
Similar to this, other European nations including Poland, Bulgaria, Slovakia, and Ukraine have earned a seat on the list of top consumers of vodka. Due to Europe's unusual affinity for alcohol, the vodka market has flourished across the continent.
On the other hand, excellent living standards, pleasant GDP per capita earnings, and vibrant nightlife are a few of the key elements promoting the expansion of the vodka market in the relevant sector.
To fulfill the growing demand for vodka, businesses are mostly focused on launching white spirits with authentic, natural ingredients. The primary players are concentrating on preserving the less bitter flavor of the white spirits in various flavored formats.
Absolut Vodka is upgrading its flavor line-up as it moves into the next stage of innovation, according to the poll. Introducing the exciting new taste of Absolut Passion fruit, which is currently available in Australia and the United Kingdom.
With the aid of cutting-edge technology, offline sales tactics are being expanded, but this has its own set of difficulties and restrictions. The market for premium flavored vodka products is being targeted by several businesses.
Recent Development:
Acquisition
| Date | September 2021 |
|---|---|
| Company | Pernod Ricard |
| Details | The successful acquisition of The Whiskey Exchange, a reputable online retailer of premium spirits situated in the United Kingdom, was announced on September 23, 2021, by Pernod Ricard, a well-known French manufacturer of pastis aperitifs. According to Pernod, this acquisition was made primarily to expand the company's internet sales portfolio. |
| Date | August 2020 |
|---|---|
| Company | Aviation Gin LLC |
| Details | Announcing the successful acquisition of the United States-based business Aviation Gin LLC on August 17, 2020, the United Kingdom-based beverage alcohol company Diageo said it had added American Aviation Gin, a gin brand, to its portfolio. To complete the deal, Diageo contributed a total of USD 610 million. |
| Date | February 2020 |
|---|---|
| Company | Davide Campari-Milano |
| Details | Davide Campari-Milano situated in Sesto San Giovanni, Italy, stated on February 28, 2020, that it has successfully purchased its France-based distributor Baron Philippe de Rothschild. A payment of 60 million euros was made to complete the acquisition. Furthermore, because France is one of the company's leading commercial markets, the acquisition has provided significant business benefits to the company. |
The market was valued at USD 37.87 billion in 2022.
By 2033, the market is anticipated to produce USD 68.25 billion.
The market is expected to yield USD 39.96 billion by 2023.
From 2023 to 2033, the market is expected to rise at a robust CAGR of 5.5%.
The category for flavored vodka is likely to grow more quickly, with a CAGR of 4.5% during the forecast period.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Type 5.1. Plain Vodka 5.2. Flavoured Vodka 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Quality 6.1. Average 6.2. Premium 6.3. Ultra-Premium 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Distribution Channel 7.1. Off-trade 7.2. On-trade 8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region 8.1. North America 8.2. Latin America 8.3. Europe 8.4. Asia Pacific 8.5. MEA 9. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 10. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 11. Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 12. Asia Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 13. MEA Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 14. Key Countries Market Analysis 15. Market Structure Analysis 16. Competition Analysis 16.1. Brown-Forman 16.2. Belvedere 16.3. Bacardi 16.4. Constellation Brands 16.5. Diageo 16.6. Suntory Holdings 16.7. Pernod Ricard 16.8. Davide Campari-Milano N.V. 16.9. Anheuser Busch 16.10. Iceberg Vodka 17. Assumptions & Acronyms Used 18. Research Methodology
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