Luxury as Defined by Whisky

There has been a definite shift in the whisky segment in India which has fuelled growth in the single malt category in the country as discerning Indian consumers’ increased interest is driving premiumisation. With a younger and diverse population opting for premium spirits, the category is upgrading. Spotlighting the trend, Praveen Malviya, CEO (IMFL), Piccadily Agro Industries Limited, shares his experiences.

In the last decade or so, there has been a swift transformation in the perception of Indian spirits. Previously associated with molasses-based production, India’s spirit-making landscape has undergone a significant evolution. Today, Indian spirits brands are dedicated to sourcing high-quality raw materials, are engaging in product innovations and employing expert craftsmanship to craft their spirits. Apart from this, India’s whisky consumption trends have also shifted drastically to cater to the evolving consumer preferences.

Growth of Single Malt

Premium category are attracting whisky purists, sparking excitement as consumers are exploring beyond taste to understand the whisky-making process, its legacy, craftsmanship and traditions. The demand for whiskies in the country, particularly premium and single malt varieties, has seen significant growth over the last few years. Indian single malts soared 144 percent in 2021-22, beating the 32 percent growth in Scotch, as per data from IWSR Drinks Market Analysis. For the period until 2027, it predicts that the consumption of Indian malts is set to grow 13 percent a year compared to Scotch at 8 percent. The growth of single malt whiskies can be exemplified by Indri-Trini’s performance. “The exceptional growth of Indri-Trini, boasting a staggering 599 percent increase compared to the previous year has propelled it into an elite league of top-selling single malt whiskies globally. Our company’s performance in the last financial year has been a testament to the growing global recognition for Indian single malt whiskies,” says Praveen Malviya.

Indri’s Success Story

Given this trend, Piccadily Agro Industries has witnessed a remarkable increase in sales numbers with an annual revenue of Rs 829 crore, up by 30 percent, driven by its expansion into new markets and the growing demand for premium quality spirits. Indri Trini has achieved the distinction of being the fastest growing single malt in the world by selling over 100k cases within two years of its launch. “ Our Indri Diwali Collector’s Edition 2023 has further elevated our brand’s status by being recognised as the best whisky in the world, among several other prestigious global awards, thereby reflecting our commitment to excellence and innovation in the industry,” Praveen states. Indri’s superlative performance mirrors this broader industry trend, highlighting the growing demand for premium Indian whiskies on both domestic and international stages. For instance, in the creation of its single malt Indri, the company uses the indigenous six-row barley from Rajasthan and matures the spirit in three distinct barrels: ex-Bourbon, ex-French wine and PX sherry casks. By blending traditional craftsmanship with modern techniques, the company has introduced distinct expressions that stand out in the global whisky landscape, catering to both connoisseurs and new whisky enthusiasts alike.

Premium Takes the Lead

Indian whisky lovers are indeed showing a growing willingness to spend on super-premium and luxury whiskies. This shift is driven by a combination of increasing disposable income, a growing appreciation for fine spirits, and a rising interest in global whisky trends. The percentage of customers who fall into the super-premium and luxury category can vary by brand and market segment, but for many brands, this demographic is becoming a significant part of their consumer base. As per global agency IWSR’s 2023 report, while Indian whisky is growing at a CAGR of 3.8 percent (2022-27), the premium Indian whisky category is growing at 16 percent (2022-27). In terms of cities, metropolitan areas like Mumbai, Delhi, Bengaluru and Chennai are the primary hubs for super-premium and luxury whisky consumption in India.

Creating USPs 

Innovation is now the ballgame in the whisky market. For example, innovation at Piccadily Agro Industries has been pivotal in redefining the liquid profile of its whisky, leading to the creation of unique and exceptional single malts. “To attract a broader consumer base, we leverage strong and impactful PR efforts combined with strategic marketing initiatives,” Praveen says. This approach includes curating experiential events that offer consumers an immersive experience with its whiskies, enhancing brand engagement and creating memorable interactions in the process. The company focuses on impactful marketing collaborations with premium bars, restaurants and influential figures in the industry, which help to elevate the brand’s visibility and credibility. Its strong presence in both on[1]trade and off-trade channels ensures that their products are accessible across various retail environments, while targeted promotions drive consumer interest and sales. “Additionally, we rely on strong social media presence with engaging content that connects with our audience, fosters brand loyalty, and amplifies our marketing efforts,” Praveen informs.