Cognac and Brandy - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The cognac and brandy market size is expected to grow from USD 43.42 billion in 2025 to USD 44.67 billion in 2026 and is forecast to reach USD 52.15 billion by 2031 at 3.14% CAGR over 2026-2031. This report is Segmented by End User (Men and Women), Distribution Channel (On-Trade and Off-Trade), and Geography (North America, Europe, Asia-Pacific, South America, Middle East and Africa). The Market Forecasts are Provided in Terms of Value (USD) and Volume (Litres).

Global Cognac and Brandy Market Trends and Insights

Growing consumer preference for aged and craft spirits

Growing consumer preference for aged and craft spirits is a significant driver of the cognac and brandy market, as consumers increasingly seek premium, authentic, and high-quality alcoholic beverages. Rising interest in artisanal production methods, unique flavor profiles, and heritage-driven brands has encouraged manufacturers to expand their portfolios with aged, small-batch, and limited-edition offerings. This trend is further supported by the broader growth of the craft alcohol industry. According to the Brewers Association, the number of U.S. craft breweries increased from 9,118 in 2021 to 9,796 in 2024, reflecting strong consumer demand for craft alcoholic beverages. The growing appreciation for craftsmanship and product differentiation is fostering innovation and premiumization across the spirits sector, prompting producers to introduce premium cognac and brandy variants that cater to evolving consumer tastes and higher spending on luxury alcoholic drinks.

Expansion of the tourism and hospitality sector contributing to strong market growth

The expansion of the tourism and hospitality sector is a key driver of growth in the cognac and brandy market, as increasing travel activity boosts consumption of premium alcoholic beverages across hotels, restaurants, bars, resorts, and duty-free retail channels. International tourists often seek authentic local drinking experiences and premium spirits, supporting higher demand for cognac and brandy in major tourism destinations. According to the United Nations Tourism Report, approximately 1.52 billion international tourists were recorded globally in 2025, nearly 60 million more than in 2024, highlighting the continued recovery and expansion of global travel. This rise in tourist arrivals is increasing on-trade sales and encouraging hospitality operators to expand their premium spirits offerings. In addition, luxury tourism trends and growing spending on experiential dining are driving greater consumption of aged and high-end cognac and brandy products, thereby contributing to sustained market growth worldwide.

Stringent alcohol regulations, advertising restrictions, and licensing requirements

Stringent alcohol regulations, advertising restrictions, and licensing requirements act as significant restraints on the growth of the cognac and brandy market. Governments across many countries impose strict rules on the production, distribution, marketing, and sale of alcoholic beverages to address public health concerns and reduce alcohol misuse. Restrictions on alcohol advertising and promotional activities limit brand visibility and make it more challenging for companies to attract new consumers and expand market reach. In addition, complex licensing procedures and compliance requirements can increase operational costs and create barriers to market entry, particularly for smaller producers. Frequent regulatory changes and varying legal frameworks across regions further complicate business expansion strategies. High excise duties and regulatory oversight may also affect product pricing and consumer affordability.

Other drivers and restraints analyzed in the detailed report include:

• Rising demand for high-end and premium alcoholic beverages
• Product innovation through flavored, limited-edition, and cask-finished variants
• Increasing health concerns related to heavy alcohol intake

Segment Analysis

Men accounted for the largest share of the cognac and brandy market in 2025, representing 68.26% of total revenue. The segment's dominance is largely attributed to the long-established consumption culture of cognac and brandy among male consumers across both developed and emerging markets. Premium and super-premium cognac varieties continue to enjoy strong demand from men, particularly in social gatherings, celebrations, business events, and luxury consumption occasions. Higher spending capacity and greater brand awareness among male consumers have also contributed to the segment's leadership position. In addition, the popularity of aged spirits, craft distillations, and collector-grade cognac products remains significantly higher among men, supporting sustained market demand.

The women segment is expected to register the fastest growth in the cognac and brandy market, expanding at a CAGR of 4.56% through 2031. Rising participation of women in premium alcoholic beverage consumption is creating new growth opportunities for manufacturers and distributors. Changing social norms, increasing disposable incomes, and growing interest in luxury lifestyle products are encouraging greater adoption of cognac and brandy among female consumers. Brands are also introducing innovative flavors, lighter blends, and targeted marketing campaigns that resonate with women, further supporting segment expansion. The increasing popularity of cocktail culture and mixology has made cognac and brandy more accessible to female consumers who prefer versatile drinking experiences.

Complete Report Scope:

• By End User
  • Men
  • Women
• By Distribution Channel
  • On-Trade
  • Off-Trade
    • Specialty/Liquor Stores
    • Other Off Trade Channels
• By Geography
  • North America
    • United States
    • Canada
    • Mexico
    • Rest of North America
  • Europe
    • United Kingdom
    • Germany
    • France
    • Italy
    • Spain
    • Netherlands
    • Sweden
    • Belgium
    • Poland
    • Rest of Europe
  • Asia-Pacific
    • China
    • Japan
    • India
    • South Korea
    • Australia
    • Indonesia
    • Thailand
    • Singapore
    • Rest of Asia-Pacific
  • South America
    • Brazil
    • Argentina
    • Chile
    • Colombia
    • Peru
    • Rest of South America
  • Middle East and Africa
    • United Arab Emirates
    • South Africa
    • Saudi Arabia
    • Nigeria
    • Egypt
    • Morocco
    • Turkey
    • Rest of Middle East and Africa

Geography Analysis

Europe dominated the global cognac and brandy market in 2025, accounting for 34.12% of total revenue. The region’s leadership is primarily supported by its long-standing heritage in spirit production and consumption, particularly in countries such as France, Spain, Germany, and Italy. France remains the global center of cognac production, benefiting from strong domestic demand and substantial export volumes to international markets. European consumers demonstrate a high preference for premium and aged spirits, supporting the growth of high-value cognac and brandy categories. The region also benefits from a well-established distribution network comprising specialty liquor stores, supermarkets, and hospitality venues. In addition, strong brand recognition, premiumization trends, and a mature alcoholic beverage culture continue to reinforce Europe’s leading position in the market.

Asia-Pacific is projected to be the fastest-growing regional market, registering a CAGR of 4.23% through 2031. Rising disposable incomes, rapid urbanization, and the expansion of middle-class populations across countries such as China, India, Japan, and South Korea are driving demand for premium alcoholic beverages. Consumers in the region are increasingly shifting toward imported and luxury spirits, including cognac and premium brandy products. The growing influence of Western drinking habits, cocktail culture, and luxury lifestyle trends is further accelerating market expansion. E-commerce penetration and the development of modern retail infrastructure are also improving product accessibility across key markets. As international brands continue to invest in marketing, distribution, and product innovation, Asia-Pacific is expected to remain the primary engine of future market growth.

North America represents a significant market for cognac and brandy, supported by strong consumer interest in premium spirits and a thriving cocktail culture, particularly in the United States and Canada. South America is witnessing gradual growth as rising urbanization and improving economic conditions encourage greater consumption of imported alcoholic beverages, especially in countries such as Brazil and Argentina. Meanwhile, the Middle East and Africa region is experiencing steady expansion, driven by growth in tourism, hospitality, and premium beverage consumption in select markets. Demand in these regions is further supported by increasing availability of international brands through organized retail and duty-free channels.

List of Companies Covered in this Report:

• Rémy Cointreau SA
• Pernod Ricard SA
• LVMH Moët Hennessy Louis Vuitton SE
• Diageo plc
• Becle, S.A.B. de C.V.
• Emperador Inc.
• Sazerac Company, Inc.
• Davide Campari-Milano N.V.
• Stock Spirits Group PLC
• Marnier Lapostolle Bisquit SAS
• Tilaknagar Industries Ltd.
• Radico Khaitan Limited
• Allied Blenders and Distillers Limited
• McDowell Holdings Limited
• Distell Group Holdings Limited
• La Martiniquaise-Bardinet SAS
• Thomas Hine & Co.
• Maison Ferrand SAS
• Old Bushmills Distillery Company Limited
• MGM Muthu Hotels Management Services SL

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support