United States Distilled Spirits Market SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2024 - 2031)

United States Distilled Spirits Market is Segmented By Product Type (Whiskey, Vodka, Rum, Gin, Tequila, Brandy, Others), By Distribution Channel (Supermarkets, Hypermarkets, Specialty Stores, Drug Stores, Online, Others). The report offers the value (in USD billion) for the above-mentioned segments.

United States Distilled Spirits Market Size

Market Size in USD Bn

CAGR5.2%

Study Period2024 - 2031
Base Year of Estimation2023
CAGR5.2%
Largest MarketU.S.
Market ConcentrationHigh
Major PlayersDiageo plc, Pernod-Ricard SA, Constellation Brands Inc., Brown-Forman Corporation, Remy Cointreau SA and Among Others.
*Disclaimer: Major players are listed in no particular order.
*Source: Coherent Market Insights
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United States Distilled Spirits Market Analysis

The U.S. distilled spirits market size is expected to reach US$ 8.2 Bn by 2031, from US$ 5.51 Bn in 2023, at a CAGR of 5.2% during the forecast period. The consumption of distilled spirits has been a tradition in the U.S. ever since colonial times. Distilled spirits are produced through a process of rapid fermentation and then distillation of various starch and sugary crops such as grains, fruits, or vegetables. With a growing preference for premium and super-premium brands, especially among millennials and Gen Z consumers, the market has expanded to include a wide variety of spirits made from different raw materials.

U.S. Distilled Spirits Market Drivers

  • Increase Demand for Alcoholic Beverages: The increasing demand for alcoholic beverages, particularly distilled spirits, is a significant driving factor for the U.S. distilled spirits’ market. This demand is fueled by several factors, including the growing consumer base, especially among young and steadily growing adult demographics, and the rising buying power of consumers. R&D in the manufacturing of distilled spirits plays an important role in the distilled spirits market, as demand for these products largely depends on changing tastes and preferences of consumers.
  • Improving Economic Conditions: As the U.S. economy continues to strengthen in the aftermath of the COVID-19 pandemic, consumers across the country are increasingly able to spend more freely on discretionary goods. Spirits manufacturers have directly benefited from this rising consumer confidence and spending power. With unemployment rates falling and wages gradually increasing over the past year, households now have greater ability and willingness to treat themselves by enjoying premium spirits either at home or in social settings like bars and restaurants. This economic recovery has created tailwinds for the distilled spirits industry that will keep revenues growing into the foreseeable future.

U.S. Distilled Spirits Market Restraints

  • Alcohol Consumption Causes a High Burden of Disease: Alcohol consumption causes a significant burden of disease, which negatively impacts the distilled spirit market in several ways. The harmful use of alcohol is associated with a range of health problems, including mental and behavioural disorders, major noncommunicable diseases, and injuries. It is estimated that 5.1% of the global burden of disease and injury is attributable to alcohol consumption.
  • Stringent Government Regulations: There are extensive restrictions imposed on marketing and advertising activities for distilled spirits producers. For example, the regulations do not allow printed content, TV, radio commercials or digital promotions that may attract the under-aged population. This heavily limits the scope of outreach for new product launches as well as awareness campaigns for existing brands. As per the 2020 data from WHO, nearly 30% of the target customers in the USA are in the legal drinking age group of 21-40 years. However, lack of promotions reduces the chances of them choosing distilled spirits over other alcoholic or non-alcoholic beverages.

U.S. Distilled Spirits Market Opportunity

  • E-Commerce Platforms Enabling Easy Availability: E-commerce platforms have significantly enhanced the availability of distilled spirits in the U.S. market by providing direct-to-consumer sales and geo-targeted marketing opportunities. Companies like Barcart help distilleries reach new markets and increase sales through e-commerce solutions.
  • Emergence of craft and specialty distilled spirits: The emergence of craft and specialty distilled spirits has truly opened up a great market opportunity in the U.S. distilled spirits industry. In recent years, Americans have shown a growing desire to experiment with unique, small-batch artisanal spirits that offer new flavors and experiences beyond the standard beer, wine, and liquor offerings. This trend has allowed many small, independent distilleries to flourish across the country in both rural and urban areas.

United States Distilled Spirits Market Trends

Popularity of ready-to-drink canned cocktails: The popularity of ready-to-drink canned cocktails has been surging over the past few years. The convenience and portability of canned cocktails has been resonating well with consumers who want a hassle-free drinking experience. This has translated to strong sales growth for companies offering canned cocktail options. For instance, Anheuser-Busch's sales of ready-to-drink cocktails grew over 40% in 2021 compared to the previous year according to the company's financial reports. The success of early entrants into the canned cocktail space has also spurred many large distilled spirits brands like Diageo and Pernod Ricard to launch their own lines of pre-mixed canned spirits.

Figure 1. United States Distilled Spirits Market Share (%), 2024

United States Distilled Spirits Market

Competitive overview of United States Distilled Spirits Market

Diageo plc, Pernod-Ricard SA, Constellation Brands Inc., Brown-Forman Corporation, Remy Cointreau SA, Marie Brizard Wine & Spirits, Lapostolle SA, Berentzen-Gruppe AG, Suntory Beverage & Food Limited, Bacardi Limited, Sazerac Company, Pernod Ricard SA.

United States Distilled Spirits Market Leaders

  • Diageo plc
  • Pernod-Ricard SA
  • Constellation Brands Inc.
  • Brown-Forman Corporation
  • Remy Cointreau SA
*Disclaimer: Major players are listed in no particular order.

United States Distilled Spirits Market - Competitive Rivalry, 2023

Market Concentration Graph

United States Distilled Spirits Market

Market Consolidated
(Dominated by major players)
Market Fragmented
(Highly competitive with lots of players.)
*Source: Coherent Market Insights

Recent Developments in United States Distilled Spirits Market

United States Distilled Spirits Market Report - Table of Contents

  1. Research Objectives and Assumptions
    • Research Objectives
    • Assumptions
    • Abbreviations
  2. Market Purview
    • Report Description
      • Market Definition and Scope
    • Executive Summary
      • U.S. Distilled Spirit Market, By Product
      • U.S. Distilled Spirit Market, By Distribution Channel
    • Coherent Opportunity Map (COM)
  3. Market Dynamics, Regulations, and Trends Analysis
    • Market Dynamics
      • Emphasis on Air Quality Has Affected Market Demand
      • High prices of adaptive clothing
      • Technological Advancements
    • Key Highlights
    • Regulatory Scenario
    • Product Launches/Approvals
    • PEST Analysis
    • PORTER’s Analysis
    • Merger and Acquisition Scenario
  4. U.S. Distilled Spirit Market - Impact of Coronavirus (COVID-19) Pandemic
    • COVID-19 Epidemiology
    • Supply Side and Demand Side Analysis
    • Economic Impact
  5. U.S. Distilled Spirit Market, By Product, 2019-2031, (US$ Bn)
    • Introduction
      • Market Share Analysis, 2023 and 2031 (%)
      • Y-o-Y Growth Analysis, 2019 - 2031
      • Segment Trends
    • Whiskey
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Vodka
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Rum
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Gin
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Tequila
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Brandy
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Others
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
  6. U.S. Distilled Spirit Market, By Distribution Channel, 2019-2031, (US$ Bn)
    • Introduction
      • Market Share Analysis, 2023 and 2031 (%)
      • Y-o-Y Growth Analysis, 2019 - 2031
      • Segment Trends
    • Supermarkets
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Hypermarkets
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Specialty Stores
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Drug Stores
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Online
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
    • Others
      • Introduction
      • Market Size and Forecast, and Y-o-Y Growth, 2019-2031, (US$ Bn)
  7. Competitive Landscape
    • Diageo plc
      • Company Highlights
      • Product Portfolio
      • Key Developments
      • Financial Performance
      • Strategies
    • Pernod-Ricard SA
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Constellation Brands Inc.
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Brown-Forman Corporation
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Remy Cointreau SA
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
    • Marie Brizard Wine & Spirits
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Lapostolle SA
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Berentzen-Gruppe AG
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Suntory Beverage & Food Limited
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Bacardi Limited
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Sazerac Company
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Pernod Ricard SA
      • Company Highlights
      • Product Portfolio
      • Key Highlights
      • Financial Performance
      • Strategies
    • Analyst Views

United States Distilled Spirits Market Segmentation

  • Global Distilled Spirits Market, By Product:
    • Whiskey
    • Vodka
    • Rum
    • Gin
    • Tequila
    • Brandy
    • Others
  • Global Distilled Spirits Market, By Distribution Channel:
    • Supermarkets
    • Hypermarkets
    • Specialty Stores
    • Drug Stores
    • Online
    • Others
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Frequently Asked Questions :

What are the key factors hampering growth of the U.S. Distilled Spirit market?

The key factors hampering growth of the U.S. Distilled Spirit market are alcohol consumption causes a high burden of disease, stringent government regulations.

What are the major factors driving the U.S. Distilled Spirit market growth?

Which is the leading component segment in the U.S. Distilled Spirit market?

Which are the major players operating in the U.S. Distilled Spirit market?

What will be the CAGR of U.S. Distilled Spirit market?