Rum Global Market Report 2024

The rum market size has grown strongly in recent years. It will grow from $13.94 billion in 2023 to $14.74 billion in 2024 at a compound annual growth rate (CAGR) of 5.7%. The expansion observed during the historical period can be attributed to robust economic growth in emerging markets, the increasing disposable income of consumers, the growth of e-commerce, the expansion of the tourism industry, and advancements in brewing technology.

The rum market size is expected to see strong growth in the next few years. It will grow to $18.05 billion in 2028 at a compound annual growth rate (CAGR) of 5.2%. The anticipated growth in the forecast period can be attributed to the increasing popularity of flavored rums, the rising demand for cocktails, the growing population, increased consumption of alcoholic drinks, and the heightened demand for gluten-free beverages. Key trends expected during the forecast period include a focus on product innovation, an emphasis on premiumization and craft offerings, attention to heritage and origin, innovation in rum cocktails and mixology, the use of innovative marketing campaigns, and a focus on strategic partnerships within the rum industry.

The anticipated growth of consumer disposable income is poised to drive the rum market in the forthcoming years. Consumer disposable income, defined as the remaining cash available after deducting income taxes, significantly influences alcohol consumption, particularly in the rum sector. An upswing in disposable income correlates with increased rum consumption, as evident in the USA, where disposable personal income rose by 2.0% in January 2023 compared to December 2022. The surge in consumer disposable earnings is identified as a key driver propelling the growth of the rum market.

The escalating demand for e-commerce is projected to fuel the expansion of the machine vision market in the foreseeable future. E-commerce, a digital platform for buying and selling goods and services, offers enhanced convenience, accessibility, and growth opportunities for the rum industry. The United Kingdom, for instance, witnessed a significant increase in consumer eCommerce, accounting for 30% of the overall retail industry and generating over $120 billion in yearly sales in September 2022. With 82% of the UK population making online purchases in 2021, the surge in e-commerce is recognized as a driving force behind the growth of the machine vision market.

Product innovation stands out as a prominent trend gaining traction in the rum market, with major companies concentrating on creating innovative products to fortify their market position. Bacardi Limited, a leading spirits firm, exemplifies this trend by launching Bacardí Caribbean Spiced rum in March 2023. This premium spiced aged product features a unique blend of heavily aged rum foundation, coconut blossom sugar, pineapple, and coconut water, infused with cinnamon and vanilla. Such innovative offerings contribute to the evolving landscape of the rum market.

Major players in the rum industry are placing a strong emphasis on strategic partnerships. For instance, in May 2023, Pa'lante Rum, a premium Mexican rum crafted in the Cuban tradition, secured the prestigious title of the Official Rum Partner for Orlando City SC and the Orlando Pride, esteemed American professional soccer clubs based in Orlando, Florida. This innovative partnership aims to immerse fans in authentic Latin experiences, allowing Pride and Lions enthusiasts to savor Pa'lante's White Rum and 8-year Dark Rum in various beverages, including the Lion's Pride Mojito, a delightful berry-infused mojito available on tap at select concession stands within Exploria Stadium. Additionally, Pa'lante rum will be showcased at the Mane Street Plaza, presented by Publix, providing fans with opportunities to sample its superior quality during several events throughout the season. The collaboration extends to CITYiD Patch of the Match offerings, integration with local artists in the Central Florida area, and the role of Associate Sponsor for the Club's pub partner program throughout Greater Orlando, enhancing the fan experience during watch parties.

In January 2023, Brown Forman Corporation, a prominent US-based manufacturer of alcoholic beverages and spirits, completed the acquisition of Diplomático Rum for a substantial $0.725 billion. This strategic acquisition significantly bolsters Brown Forman's super-premium product line, catering to the discerning tastes of global spirits consumers. The deal not only expands Brown Forman's portfolio but also welcomes over 100 new employees into its fold. Diplomático Rum, a distinguished manufacturer of super-premium and ultra-premium rums based in Venezuela, adds its world-renowned offerings to Brown Forman's impressive lineup, marking a significant move in the ever-evolving spirits market.

Major companies operating in the rum market report are Bacardi and Company Ltd., Diageo PLC, Pernod Ricard, Radico Khaitan, LT Group Inc., Suntory Holdings Ltd., Davide Campari-Milano N.V., Edrington, La Martiniquaise, Remy Cointreau Group, Shanghai Rum Lift Co. Ltd., Shandong Yuncheng Ruisheng Glass Co. Ltd., Kweichow Moutai Co. Ltd., Rum Co. of Fiji, Beenleigh Artisan Distillery, Plantation Rum, Pusser's Rum, The Kraken Rum, Neptune Rm, Duppy Share, Beluga Group, JSC Ussuriyskiy Balsam, Podlaska Wytwórnia Wódek, Polmos S.A., Polmos Łańcut, Bayadera Group, Obolon, Deadhead Rum, Ten-to-One, Wilderness Trail Distillery, Richland Rum, Siesta Key Rum, Ron Santa Teresa, Cachaça Leblonare, Destilerías Unidas S.A., Diplomático Rum, Accolade Wines, Halewood International Limited.

Asia-Pacific was the largest region in the rum market in 2023. Europe was the second-largest region in the rum market in 2023. The regions covered in the rum market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the rum market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The main categories of rum include white rum, gold rum, dark rum, spiced rum, and others. White rum, also known as clear or light rum, lacks color, and any hue is typically filtered out after aging for one or more years. The nature of rum can be categorized into organic rum and conventional rum, with these varieties being sold through business channels such as offline trading and online trading.

The rum market research report is one of a series of new reports that provides rum market statistics, including rum industry global market size, regional shares, competitors with rum market share, detailed rum market segments, market trends, and opportunities, and any further data you may need to thrive in the rum industry. This rum market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The rum market consists of sales of standard, agricole, naval strength, overproof, black, and premium aged rums. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.