The gin market in the United States is experiencing a period of fragmentation, with premium and value brands losing market share while super-premium labels are seeing year-over-year gains. Despite the lower end of the category dragging total U.S. volume down, the higher end is a hub of innovation and emerging brands that are keeping the category interesting. According to Impact Databank, U.S. gin volume decreased to approximately 8.34 million cases in 2024 from 9.33 million in 2021.
Ammar Sheikah, co-owner of Joe’s Beverage Warehouse in the Chicago suburbs, highlights the split consumer base within the gin market. He notes that older, retired gin drinkers tend to prefer value brands like Seagram’s or Gordon’s for mixed drinks, while younger, hip customers are gravitating towards top-shelf gin such as Hendrick’s, Monkey 47, Koval, F.E.W., and flavor-infused gins like Drumshanbo and Empress 1908. This diversity in consumer preferences is reflected in Hazel’s Beverage World in Boulder, where Max Girardin, the liquor department manager, observes an increase in gin sales and a wider range of consumers purchasing gin, particularly among 25-to-40-year-old cocktail enthusiasts.
Premium brands like Bombay Sapphire and Tanqueray dominate sales at Hazel’s, but super-premium labels such as Hendrick’s, The Botanist, Empress 1908, Citadelle Jardin d’Ete, and Monkey 47 are also popular among consumers. Michael Giardina, vice president of marketing for Hendrick’s gin, emphasizes the trend of consumers prioritizing super-premium, unique, and craft-focused brands, which has positioned Hendrick’s as the No. 1 gin in the super-premium category with year-over-year increases in volume and value.
Simon Ford, co-founder and managing director of Fords gin, owned by Brown-Forman, acknowledges that while the gin category has not experienced the same growth as Tequila and whisk(e)y, smaller brands are contributing to the excitement in the market through innovation and marketing efforts. Ford believes that the dominance of a few major gin brands creates opportunities for smaller brands to thrive and drive creativity within the category.
Sheikah also notes the growth of American gin brands in the market, with labels like Aviation and Gray Whale gaining traction and improving sales each year. This shift reflects a broader trend towards diversification and innovation within the gin industry, as consumers seek out unique and high-quality products.
In conclusion, the U.S. gin market is undergoing a period of transformation, with a shift towards super-premium and innovative brands driving growth and excitement within the category. Consumers are increasingly prioritizing quality and uniqueness in their gin choices, creating opportunities for both established and emerging brands to thrive. As the market continues to evolve, the gin industry is poised for further innovation and expansion, making it an exciting and dynamic sector within the spirits industry.