Has Tequila peaked in travel retail?
The annual high double-digit increases for travel retail are over, so the question stands: does Tequila still have headroom to grow?
*This feature was originally published in the April 2026 issue of The Spirits Business magazine.
Since international travel restarted in earnest following the Covid-19 pandemic lockdowns, the Tequila category has been on fire in global travel retail (GTR), leaving other white spirits trailing in its wake.
Tequila’s success mirrored its strong upward climb in domestic markets outside of the Americas, where consumer demand has been driven by popular cocktails, such as the Margarita and Paloma.
IWSR has yet to release year-on-year growth figures for 2025, but Charlotte Reid, its senior insights manager for GTR, reveals Tequila’s “strong momentum” will likely continue, although perhaps not at the “double-digit surge” seen in recent years. “As assortments expand, there is an increasing risk of shopper confusion, which may temper overall category acceleration,” she warns.
Reid adds that Tequila’s brightest prospects lie in the ultra-premium and prestige price tiers as new travelling shoppers enter the category and trade up. The cristalino style, essentially a colourless, filtered añejo, is well poised to capitalise. “Cristalinos happen to align well with the travel retail environment from a pricing perspective,” she says. “They typically sit at super-premium-and-above price points, which fits comfortably in the generally more premium positioning of GTR. There is long-term potential for the ‘whisky-fication’ of Tequila as more travellers browse the category.”
Reid highlights Western Europe as the category’s biggest GTR growth market, with the UK, Spain, Germany, and Türkiye leading from the front.
If Tequila is to follow in the footsteps of the much larger, successful Scotch whisky category, producers will need to raise their game in developing GTR-exclusive expressions. They deliver a point of difference from domestic market ranges, and, if executed well, satisfy a demand for premium gifts among travellers.
Proximo GTR is leading the charge when it comes to travel-exclusive Tequilas. At airports worldwide this year, it is rolling out the new 1800 Triple Cask Añejo – a 100% Blue Weber agave Tequila matured in a combination of French oak, American oak, and Cabernet Sauvignon wine casks. Roy Summers, head of GTR, says the new expression’s exclusivity gives it a point of difference in a crowded category, delivering a distinctive story around “craftsmanship, provenance, and collectability. For 2026, differentiation will come not just from the liquid, but from how we bring it to life in-store.”
He adds. “We have a strong global activation programme across key hubs, including New York JFK, Frankfurt, Munich, and Dubai [airports], built around sampling, education and a striking visual identity that explains the triple-cask maturation process.”
Another area of GTR growth for Tequila is the cruise sector, an expanding channel combining upscale retail stores, onboard cocktail bars and a captive, wealthy customer base. Joanna Black, senior buyer for liquor at leading onboard cruise retailer Harding+, whose customer portfolio includes Cunard, Carnival and Princess Cruises, reveals Tequila sales grew by 21% in 2025 compared to 2024.
“We’re noticing a clear shift towards more premium options, with growing demand for higher-end and ultra-premium expressions rather than standard ones,” Black reveals. She says upscale brands such as Bacardi-owned Patrón and Diageo’s Casamigos are selling very well. “Guests are more often choosing to trade up for bottles that feel a bit more special or offer greater quality.”
Focus on cruises
With more time available to sell to potential customers, the cruise channel is ideally suited to experience-led promos, Black argues, such as guided tastings, brand-led storytelling and mixology demonstrations. “Tequila is not a passive shelf category at sea,” she concludes. “It is an experience category where trial and guided discovery clearly make a difference.”
Airport stores are naturally the first target of many Tequila brands wanting to break into the competitive GTR sector, but airport bars, airline lounges, and inflight pouring menus are often overlooked avenues to explore. British ready-to-drink Tequila brand Pimentae has done just that, winning listings for on-tap and takeaway Margaritas at major UK airports this year.
The company’s five-litre bag-in-box-format Margaritas are now available at Big Smoke Taphouses in Heathrow Terminals 3 and 5, London Gatwick, and London Luton, while the brand has also debuted six on-tap lines and its full canned range at Manchester Airport’s Great Northern Market. These on-trade gains build on an in-flight listing with British Airways last year. “Our multi-format strategy is one of the factors that sets us apart; delivering premium Margaritas in 20L kegs, 5L bag-in-box as well as 125ml cans,” explains co-founder Alice Parmiter. “This enables us to offer a solution to cruise operators where there is still a demand for quality, but logistics and cost can be a challenge. This year, we are partnering with Cavendish Ships Supply to expand onto cruises.”
In the first quarter of 2026, the outlook for the wider GTR business has darkened considerably following a solid year of international travel growth. The spiralling war in the Middle East could prove the next big industry shock following the pandemic, but the Tequila category’s strength in the Americas and Western Europe, two regions likely to be less directly affected by the war, means it is less likely to be as heavily affected than other spirits, such as Scotch and Cognac.
World cup boost
Indeed, this summer’s Fifa World Cup, jointly hosted by the US, Canada, and Mexico, could act as a major boost for the category. Mexico co-hosting this year’s Fifa “represents a major opportunity for Tequila in GTR”, says Aisling Tobin, head of marketing at Pernod Ricard Travel Retail Americas. “With millions of international travellers expected to pass through key airports in the US and Mexico, the tournament creates a powerful platform to showcase the richness, authenticity and versatility of Tequila to a truly global audience. Since the launch of Código 1530 in Mexico airports last August, we have seen consistent growth, which reinforces our confidence in the brand’s potential with international travellers.”
Having launched a limited edition Don Julio 1942 Fifa World Cup celebratory bottle in March, Diageo Global Travel is also confident the men’s World Cup this summer will provide a significant boost to Don Julio this year. “We’re deeply connected to our consumers, and the Fifa World Cup 2026 is the ultimate occasion for football fandom,” says managing director Andrew Cowan. “It’s a perfect pairing for our brands, both on the ground and in travel retail. In GTR, we are bringing our Tequila brands to life through more than 100 activations across 34 airports, including all host cities,” he adds. “We will be engaging fans travelling to the tournament through immersive and memorable experiences featuring our Don Julio and Casamigos brands.”
The days of effortless, post-pandemic spikes may be transitioning into a period of steadier gains, but Tequila’s journey in GTR is far from over. Between the premiumisation of the cruise sector, the opportunities offered by airport F&B, and the global stage of the World Cup, there is still plenty of runway for the category to soar.
Industry insights
What opportunities do you see for Tequila in GTR over the next three to five years?
Josh Irving – CEO and co-founder, I & A Agave Spirits
“The biggest opportunity in GTR is for brands built on origin, craftsmanship, and truth. Transparency has and will continue to change the Tequila landscape. Take pride in the craft, people will notice. Try to market a label, people will notice. Celebrities can create noise, but they can’t create quality. Over the next few years, consumers will continue rewarding Tequila that has real roots, real owners, and real makers who care most about the quality inside the bottle.”
Related news
Top 10 best-selling Tequila Brand Champions
