Spirits Market in South Africa Market
Spirits Market in South Africa Market
1.
www.canadean-Spiritssandspirits.com
Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
Table of Contents
1. Introduction................................................................................................. 5
1.1 What is this Report About?................................................................................... 5
1.2 Definitions ............................................................................................................ 5
1.2.1 This report provides 2015 actual sales; while forecasts are provided for 2016 – 2020 ...... 5
1.2.2 Category Definitions ............................................................................................................ 5
1.2.3 Volume Units and Aggregations .......................................................................................... 7
1.2.4 Methodology Summary........................................................................................................ 7
2. South Africa Spirits Market Analysis, 2010–20 ........................................ 8
2.1 Spirits Value Analysis, 2010–20 ........................................................................... 8
2.1.1 Overall Spirits Market Value, 2010–20 ................................................................................ 8
2.1.2 Spirits Market Value by Category, 2010–20 ...................................................................... 10
2.2 Spirits Volume Analysis, 2010–20 ...................................................................... 12
2.2.1 Overall Spirits Market Volume, 2010–20 ........................................................................... 12
2.2.2 Spirits Market Volume by Category, 2010–20 ................................................................... 13
3. Latest Events: Global Alcoholic Beverages Industry ............................ 15
3.1 PLCB opens fine wine & good spirits store in Brookhaven, Delaware County .... 15
3.2 Sibling Distillery unveils new winter limited edition flavor gin .............................. 16
3.3 Old Pulteney launches second release for 35 year old single malt ..................... 17
3.4 Arbikie Highland Estate launches limited edition strawberry vodka in UK. .......... 18
3.5 Halewood Wines & Spirits launches handcrafted quince gin in UK..................... 19
4. Appendix ................................................................................................... 20
4.1 About Canadean ................................................................................................ 20
4.2 Disclaimer .......................................................................................................... 21
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
List of Figures
Figure 1: South Africa Spirits Market Value (ZAR m) and Growth (Y-o-Y), 2010–20 .................................................................... 9
Figure 2: South Africa Spirits Market Value (ZAR m) by Category, 2010–20 ............................................................................. 11
Figure 3: South Africa Spirits Market Volume (Liters m) and Growth (Y-o-Y), 2010–20 ............................................................. 12
Figure 4: South Africa Spirits Market Volume (Liters m) by Category, 2010–20 ......................................................................... 14
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
List of Tables
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
1. Introduction
1.1 What is this Report About?
This report is the result of Canadean’s extensive market research covering the Spirits consumption in
South Africa. It provides detailed segmentation of historic and future Spirits consumption, covering key
categories and segments. It also includes an analysis of the macro business environment and drivers of
the market in South Africa.
1.2 Definitions
All the data is collected in volume terms. Spirits consumption refers to domestic consumption only and
includes imports. Please note that rounding errors may occur.
1.2.1 This report provides 2015 actual sales; while forecasts are provided for 2016
– 2020
Other Grape Brandy Spirit produced through the distillation of grape wine in regions excluding
Armagnac and Cognac
Gin & Genever Spirit which has its flavor from Juniper berries and produced by distillation of
malted barley, rye or maize grain.
Liqueurs Bitters A spirit in which a bitter herb, root or leaf is steeped. Brands usually include at
least one of the following: quinine, angelica, gentian, bitter orange, rue, rux
vomica, artichokes, wormwood, bitteraloes and rhubarb root.
Cream Liqueurs Sweet drinks with over 17% alcohol by volume (ABV) and at least 2.5% sugar
content manufactured using a distilled spirit and cream (e.g. Bailey's Irish Cream)
Fruit Liqueurs Sweet drinks with over 17% alcohol by volume (ABV) and at least 2.5% sugar
content manufactured using a distilled spirit and extracts of fruit (e.g. Grand
Marnier, Southern Comfort)
Other Liqueurs Drinks with over 17% alcohol by volume (ABV) and at least 2.5% sugar content
manufactured using a distilled spirit and a flavouring ingredient such as seeds,
herbs, flowers, buts or spices (e.g. Amaretto, Galliano)
Rum Dark Rum Spirit made from sugar cane which is darkened using additives such as caramel or
by maturation in oak containers (e.g. Captain Morgan).
Light Rum Spirit made from sugar cane without using any coloring additives (e.g. Bacardi)
Speciality Spirits Other Specialty Spirits Distilled beverages not defined within the other categories and segments.
Generally includes local specialties. (e.g. Aquavit)
Ouzo Ouzo is an colourless, unsweetened anise-flavored aperitif that is widely
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
Liqueurs Liters m
Rum Liters m
Vodka Liters m
Whiskey Liters m
In order to create the data for all the reports in this series and ensure its robustness, a comprehensive
and empirically robust research methodology has been adopted. This combines both a large-scale
program of industry research with the results of extensive primary industry interviewing and calling.
Furthermore, all definitions are standardized across products and countries to ensure comparability.
The two main research methods, secondary research and primary research (the program of interviewing
industry contacts), are brought together and because both sets of research processes have been
designed in conjunction with each other they can be combined and consolidated into the final, integrated
data sets.
The secondary research process involves covering publicly available sources, trade associations,
specialist databases, company annual reports, and industry publications. While primary research involves
a major program of interviewing leading industry executives for each category covered in each country –
all with local country experts; typically brand, product and marketing managers for major brands within
each country. These processes help analysts in capturing both qualitative and quantitative information
about the market.
The final stage of the process is the triangulation of inputs obtained from all the research methods with
the analyst’s own understanding of the market in order to finalize the data. Once the data is finalized, it
goes through various top level quality checks prior to publishing.
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
The overall market value of the South African Spirits market grew by 2.03% from 2014 through 2015,
which is forecast to register a compound annual growth rate (CAGR) of 2.80% from 2015 through 2020.
The market has seen its highest growth rate during 2012, when the market grew by 2.64%
Table 3: South Africa Spirits Market Value (ZAR m) and Growth (Y-o-Y), 2010–15
Table 4: South Africa Spirits Market Value (ZAR m) and Growth (Y-o-Y), 2016–20
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
Figure 1: South Africa Spirits Market Value (ZAR m) and Growth (Y-o-Y), 2010–20
40,000.0 4.00%
Spirits Market Value (ZAR m)
35,000.0
3.00%
30,000.0
2.00%
Growth % (Y-O-Y)
25,000.0
20,000.0 1.00%
15,000.0
0.00%
10,000.0
-1.00%
5,000.0
0.0 -2.00%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Market Value Y-O-Y growth %
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
In 2015, Whiskey was the largest category in the South African Spirits market, accounting for 43.85% of
the total market with a value of ZAR 14,004.65 million. Rum was the fastest growing category of South
African Spirits market during the review period, registering a CAGR of 5.47%, which is expected to
register a growth of 4.40% during the forecast period.
Tequila & Mezcal 596.59 531.87 549.44 733.59 676.50 692.21 3.02%
Gin & Genever 1,137.64 1,090.10 1,050.18 1,040.09 1,065.39 1,072.15 -1.18%
Tequila & Mezcal 692.21 707.98 727.14 745.42 765.68 788.06 2.63%
Gin & Genever 1,072.15 1,083.16 1,101.50 1,127.49 1,155.57 1,185.87 2.04%
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
40,000
Spirits Market Value by Category (ZAR m)
35,000
30,000
Whiskey
25,000 Liqueurs
Vodka
20,000
Gin & Genever
Rum
10,000
Tequila & Mezcal
5,000
Brandy
0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
The overall market value of the South African Spirits market grew by 0.33% from 2014 through 2015,
which is forecast to register a compound annual growth rate (CAGR) of 0.83% from 2015 through 2020.
The market has seen itsslowest decline rate during 2012, when the market grew by 1.00%
Table 7: South Africa Spirits Market Volume (Liters m) and Growth (Y-o-Y), 2010–20
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Market Volume 117.0 114.5 115.7 114.4 114.0 114.4 114.9 115.6 116.6 117.9 119.2
Y-o-Y growth -2.15% 1.00% -1.13% -0.27% 0.33% 0.43% 0.61% 0.81% 1.15% 1.14%
Figure 3: South Africa Spirits Market Volume (Liters m) and Growth (Y-o-Y), 2010–20
120.0 1.50%
119.0 1.00%
Spirits Market Volume (Liters m)
118.0
0.50%
Growth % (Y-O-Y)
117.0
0.00%
116.0
-0.50%
115.0
-1.00%
114.0
-1.50%
113.0
112.0 -2.00%
111.0 -2.50%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
In 2015, Whiskey was the largest category in the South African Spirits market, accounting for 35.88% of
the total market with a volume of 41.05 Ltr million. Rum was the fastest growing category of South African
Spirits market during the review period, registering a CAGR of 4.87%, which is expected to register a
growth of 3.11% during the forecast period.
Tequila & Mezcal 0.91 0.81 0.83 1.11 1.02 1.03 2.54%
Gin & Genever 5.65 5.39 5.17 5.10 5.20 5.21 -1.61%
Tequila & Mezcal 1.03 1.05 1.08 1.10 1.12 1.14 1.99%
Gin & Genever 5.21 5.23 5.29 5.39 5.52 5.65 1.65%
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
140
Spirits Market Volume by Category (Liters m)
120 Whiskey
Liqueurs
100
Vodka
Specialty Spirits
60
Rum
40
Tequila & Mezcal
20 Brandy
0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
With almost 5,200 square feet of space, this store, which is located in a popular shopping center
anchored by a grocery store, features more than 2,600 wines and spirits, including Chairman's Selection
and Chairman's Advantage products, which are hand-selected, highly rated wines, some of which are
available for less than $10 a bottle.
The new Fine Wine & Good Spirits store offers a warm, welcoming atmosphere for consumers to browse
the extensive selection.
The focal point of the store is the center table, where customers can find staff to answer questions or
provide recommendations.
The center table provides counters for highlighting promotional items and educational materials for
customers such as:
A vintage chart
A calorie chart
The new store has a "Made in Pennsylvania" section to highlight wines and spirits produced in the
commonwealth. Also, this store features Pennsylvania Lottery ticket sales.
Throughout the design and construction, the PLCB was committed to developing a store that is attractive
and environmentally responsible.
The majority of the lighting is state-of-the-art LED or energy-efficient compact-fluorescent lighting, using a
fraction of the energy of traditional lighting.
The new Brookhaven Fine Wine & Good Spirits store will be open from 9:00 AM to 9:00 PM Monday
through Saturday and from 11:00 AM to 7:00 PM Sunday.
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
3.2 Sibling Distillery unveils new winter limited edition flavor gin
UK-based Sibling Distillery has released its latest limited edition flavor gin infused with cranberries and
clementine peel.
The new gin with a bitter sweet finish blends perfectly with classic tonic, warming ginger ale or cloudy
lemonade, according to the company.
Sibling’s triple distilled gin features botanicals including Madagascan vanilla and fresh blueberries, as well
as fresh orange and lemon zests.
Felix said: “During our childhood we spent a lot of time helping out our parents in the brewery; after
leaving school we felt it was the next logical step for us all.
“We use subtle, exotic botanicals, which have become a benchmark for quality small batch distilling and
gin innovation.
“Our winter limited edition gin – with cranberries and clementine peel – is the perfect winter warmer. Try
adding it to ginger ale for a cocktail with a kick. This limited edition is sure to cure the winter blues."
.
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
3.3 Old Pulteney launches second release for 35 year old single malt
Old Pulteney Single Malt Scotch Whisky has launched the second release of its limited edition 35 year
old expression.
It follows the success of its initial release in 2014 which sold out globally.
The whisky brand owned by International Beverage Holdings said that only 1254 bottles of Old Pulteney
will be available through specialist outlets around the world. The suggested price per bottle is £515.
For this second release of Old Pulteney, ex-American bourbon and ex-Spanish oak casks have been
selected by distillery manager, Malcolm Waring. The whisky has an alcohol-by-volume of 42.5%.
The company says that each bottle reflects Old Pulteney is similar in design to the first release, but has
refreshed colours to emphasise the Spanish oak influence on its flavours. The bottle is enclosed in a
engraved wooden box which features the brand’s herring drifter symbol.
Old Pulteney claims that the spirit is initially sweet and spicy on the palate and quickly brings out a range
of flavours including honey, rum soaked raisins and oranges and some heavy notes such as seasoned
leather, pralines and dried fruit. The whisky also has subtle flavours of vanilla as undertones.
Old Pulteney senior brand manager, Margaret Mary Clarke said: “We are delighted to launch the second
release of Old Pulteney 35 Year Old Single Malt, building on the success of our first release which was in
high demand amongst whisky lovers around the globe.
“It is an exceptional expression, fantastically balanced and a true representation of the skill and quality of
the Old Pulteney distillery team.”
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
The Scottish distillery said that the Arbikie Strawberry Vodka has been distilled using strawberries
produced next to the distillery.
Bottled at the cask strength of 50% abv, the new strawberry vodka has been distilled using this summer’s
fresh strawberrie.
Each release has its own unique vintage, as the fresh strawberries change flavor each year, according to
Arbikie Highland.
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
3.5 Halewood Wines & Spirits launches handcrafted quince gin in UK.
Halewood Wines & Spirits has expanded its Whitley Neill portfolio with the introduction of a new
handcrafted quince gin in the UK.
The handcrafted gin has been inspired by the travels of the Neill family through Persia in the 1900s.
With a 43% alcohol by volume (ABV), the gin is priced at £26. It will come in 70cl bottles.
The company plan sto launch a 5cl and 20cl bottle in the coming months. With this new variant,
Halewood plans to take over a thriving gin market in the UK.
FoodBev Media reported that with complex flavours and aromas, the new gin leberages real quince fruit
juice to create a finished product with a smooth, sweet flavour.
A Halewood representative for Whitley Neill said: “Whitley Neill Gin’s popularity, both in the UK and
abroad, has stemmed from its unique flavour combinations and botanicals, including the use of the
baobab fruit.
“We wanted to develop a liquid which offers consumers something completely different, and this is the
first UK gin which uses real quince fruit juice alongside a range of other ingredients to create a
particularly smooth, sweet gin.
“Whitley Neill Quince Gin also benefits from the continuing growth of premium gins whilst providing
bartenders a genuine point-of-difference in their offering to consumers.
Recently, Whitley Neill entered into the vodka market by launching a new Sicilian-inspired blood orange
flavoured variant.
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
4. Appendix
4.1 About Canadean
Canadean is a world-leading provider of commercial intelligence for consumer businesses. We work with
an enviable portfolio of global brands who turn to us for unique data and valuable insight to enable more
informed business decisions.
Canadean is the only provider whose research and insight spans the full length of the consumer value
chain, from suppliers, manufacturers, distribution channels through to consumer insights and trends.
Backed with over 40 years’ experience, we cover the entire FMCG sector.
Clients engage with our data and analysis resources through a range of research services:
With offices in the world’s major markets plus extensive research and analysis capabilities, Canadean is
resourced to deliver high value commercial intelligence on an international scale.
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Spirits Market in South Africa Market Snapshot to 2020
Published: December 2016
4.2 Disclaimer
All Rights Reserved.
No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by
any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of
the publisher, Canadean.
The facts of this report are believed to be correct at the time of publication but cannot be guaranteed.
Please note that the findings, conclusions and recommendations that Canadean delivers will be based on
information gathered in good faith from both primary and secondary sources, whose accuracy we are not
always in a position to guarantee. As such, Canadean can accept no liability whatsoever for actions taken
based on any information that may subsequently prove to be incorrect
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Reproduced with permission of the copyright owner. Further reproduction prohibited without
permission.