Baijiu tops most valuable spirits listBy Nicola Carruthers
The Chinese baijiu market has dominated the world’s most valuable spirits list once again, with Moutai retaining its top spot at US$21.2 billion, according to a recent report.
In the 2018 Brand Finance Spirits 50 report, Moutai grew by 73%, followed by Wuliangye baijiu, which was also the fastest-growing spirit on the list. The brand grew 161% year-on-year to US$14.6 billion.
Yanghe baijiu overtook Johnnie Walker blended Scotch whisky for third place, up 82% to US$7.8bn. In fourth place, Diageo-owned Johnnie Walker was the only brand to decline in the top 10, falling by 6% to US$4.3bn.
Chinese brands Luzhou Laojiao and Gujing Gong Jiu also took top spots at fifth and ninth place, respectively.
With an aggregate value of US$49.9bn, Chinese spirits accounted for 54% of the total brand value on the list.
Don Julio Tequila was named the strongest spirits brand in the ranking, with a brand strength index score of 87.4. The brand has a “very strong celebrity fan following” along with “memorable” marketing initiatives and high-profile global brand ambassadors. The Diageo-owned brand took the title from Canadian whisky brand Crown Royal, also owned by the drinks giant.
David Haigh, CEO of Brand Finance, commented: “The big three Chinese baijiu brands have taken the podium because of the extraordinary celebratory culture that the Chinese customers hold for their products. These are brands that have remarkable value based upon centuries of tradition.
“It will now be interesting to see whether they will translate this success across China to global markets as they make their first steps in Europe, the United States, Canada, and further afield.”
The 2018 Brand Finance Spirits 50 top 10 ranks as follows:
- Moutai – US$21.2bn
- Wuliangye – US$14.6bn
- Yanghe – US$7.8bn
- Johnnie Walker – US$4.3bn
- Luzhou Laojiao – US$3.8bn
- Jack Daniel’s – US$3.5bn
- Hennessy – US$3.3bn
- Smirnoff – US$3.2bn
- Gujing Gong Jiu – US$2.4bn
- Bacardi – US$2.3bn
Earlier this year, Kweichow Moutai Company announced its plans to increase its focus on the UK market as part of the Chinese group’s international expansion into Europe.