Vodka Distilleries in the UK - Industry Research Report

Drink up: Industry revenue is expected to rise in 2023-24 despite alcohol consumption falling

Alcohol consumption, demand from pubs and bars, disposable income, health consciousness and the exchange rate heavily influence vodka distilleries revenue. The COVID-19 pandemic led to strict restrictions imposed on the hospitality sector, with sales to the on-trade tumbling as a result. Rising rates of at-home social gatherings led to an uptick in sales to the off-trade, although this wasn't enough to prevent a substantial fall in revenue and profitability in 2020-21. Revenue rebounded in 2021-22 as social distancing restrictions eased and people flocked back to bars and pubs. Demand for premium spirits is driving revenue growth in 2023-24, although it's heavily constrained by the cost-of-living crisis, with many individuals tightening their purse strings. Over the five years through 2023-24, vodka distilleries' revenue is forecast to fall at a compound annual rate of 2% to £51.8 million, despite growth of 1.4% in 2023-24.

Operators in the Vodka Distilleries industry manufacture vodka from fermented potatoes or cereal grains to create traditional, flavoured, craft and low-calorie spirits for consumption. The distilling of all other spirits is excluded from the industry.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.