UK White Spirits and RTD Market Report 2023

Understand the current market and opportunities in the white spirits and ready to drink market. Use Mintel’s leading market intelligence to become more informed and tackle challenges in your industry. This report examines market size, market segmentation and consumer behaviours. Read on to discover our insights and analysis.

Current Market Overview

The UK white spirits market saw a decline in volume sales in 2022, both on- and off-trade. This trend is expected to continue, with the ongoing cost-of-living crisis causing consumers to cut back on nights-out and unnecessary spending.

By contrast, the RTD market experienced a modest growth in total volume sales during the same period. Mintel’s market research suggests that there is an opportunity for RTDs sold in retail environments to benefit from the negative economic outlook, with consumers switching to them from mixed drinks or cocktails sold at bars and restaurants.

• RTD market consumer behaviour: Buying a pre-mixed alcoholic drink from a shop is seen as a good alternative to cocktails or mixed drinks from a bar by 36% of adults.

White Spirits and RTD Market Research – Trends and Opportunities

Pressure on household incomes has impacted the white spirits market, with almost half of regular consumers having cut back on their purchases. Smaller bottles offer a means to keep white spirits on people’s shopping lists. Smaller formats can also appeal to consumers on health grounds. Through offering portion control, white spirits brands can align themselves with the alcohol moderation trend. 

Beyond price, more consumers are considering environmental factors when shopping, with sustainable production ranking high among consumers of white spirits. It is expected that sustainability will not lose its importance to consumers over the next few years.

• White spirits consumer trends: Sustainable production is regarded as important by 57% of white spirits buyers, though only 19% are prepared to pay more for this sustainability. Suggesting that makers of higher-priced sustainable products will, therefore, need to highlight aspects beyond sustainability if they are to persuade people to pay more.
• White spirits market opportunity: 68% of consumers who have cut back on buying white spirits at retail said that smaller bottles would allow them to buy brands they couldn’t otherwise afford. This presents an opportunity for newcomer brands, who can encourage risk-averse consumers to trial their product with half-size or smaller formats.

Future Trends in the UK White Spirits and RTD market

Due to the ongoing economic crisis, consumer behaviour has been impacted in the white spirits and RTD market, particularly around on-trade sales. However, this changing consumer behaviour creates opportunities for growth.

White spirits are seen as making at-home occasions feel more special by 31% of adults. Linking up with snack brands on bundle deals should help white spirits brands to strengthen associations with evening in, with other alcoholic drinks categories such as wine offering cues here.

RTDs’ lower unit price mean consumers see them as more of an affordable treat than unmixed white spirits. By putting a stronger emphasis on ingredient quality, RTD brands can reinforce the ‘quality for less’ perception among consumers. Highlighting any unusual ingredients should help RTDs carve out a point of difference and encourage purchase.

Read on to discover more about the UK White Spirits and RTDs Market Report 2023, read our How People Shop for Alcoholic Drinks Market Report 2022, or take a look at our other Drinks Market Research.

Quickly Understand

• The effects of inflation and pressure on household incomes on value and volume sales of white spirits and RTDs in 2022.
• The likely effects on the category of a further income squeeze over 2023-24.
• Shifts in buying channels in the aftermath of the COVID-19 pandemic and with renewed pressure on household incomes.
• Factors influencing purchase of white spirits and whether people are prepared to pay more for these.
• Trends in launch activity for both white spirits and for RTDs and opportunities for further innovation.
• Attitudes towards low/non-alcoholic alternatives to white spirits.

Products and Brands covered in this report

Products: Vodka, Gin, White Rum, Tequila, Ready-to-Drink Beverages (White & Dark Spirits).

Brands: Smirnoff, Glen’s, Absolut, Grey Goose, Gordon’s, Tanqueray, Bombay Sapphire, Greenall’s, Bacardi, Malibu, Jose Cuervo, Jack Daniel’s.

Expert Analysis from a Specialist in the UK Drinks Market

This report, written by Alice Baker, a leading senior analyst in the drinks industry, delivers in-depth commentary and analysis to highlight current trends in the UK white spirts and RTDs market and add expert context to the numbers.

As an expensive, discretionary product, white spirits have seen volume sales decline in 2022 amid pressure on household incomes, a trend that will continue over 2023-24. Marketing messages focused on enhancing at-home occasions and NPD in smaller bottles will help companies to keep white spirits on people’s shopping lists amid the cost-of-living crisis. Meanwhile RTDs sold in retail have the chance to benefit as people cut down on going out.

Alice Baker
Senior Food and Drink Research Analyst