Europe turns to Tequila and rum
Eoin Bara, CEO of e-commerce alcohol platform Tipple, has observed that taste preferences in Europe are changing, with agave spirits and rum proving increasingly popular with consumers.
Tipple looked at trends for direct-to-consumer (DTC) alcohol from 2023, combining data from its platform, which operates across Europe, with information from partner brands.
Bara noted that tastes are evolving in the likes of Germany, Austria, France and the Netherlands.
Germany and Austria are enjoying Tequila in particular, with a 30% year-on-year growth in sales for Tequila brands in the region. It also noted that both countries had the highest amount of repurchases for Tequila spirits across all of Europe.
Meanwhile, the Netherlands has taken to mezcal, with a 27% growth for the category. Of this, 16% was from premium mezcal. In Denmark, consumers are becoming partial to rum – with the average rum buyer purchasing 4.6 bottles annually.
For France, Scotch is king with consumers averaging 3.1 bottles over the year, with a preference for single malt products.
The ‘beginning of a wave for DTC alcohol’
Bara pinpointed DTC as a driver for growth, with repurchasing a huge contributor. He said: “DTC has become a crucial element in a successful omnichannel strategy for brands. Brands are driving, on average, 25% of their revenue and 50% of their profit through the Tipple platform.”
He continued: “The data has also shown that aside from driving direct sales, DTC channels have been pivotal in contributing to extra sales on B2B [business-to-business] channels and, as a result, have become a popular route to market for brands.”
Bara surmised that the growing demand for Tipple is the “beginning of a wave for DTC alcohol”.
There were great expectations for e-commerce alcohol sales, which have recently been downgraded. However Constellation Brands reported a 40% rise in DTC sales earlier this year.
Diageo and Bacardi have also outlined their consumer trends to look out for next year.
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