Premiumisation & Innovation Redefining Whisky

India’s whisky market is undergoing a premiumisation trend, with consumers increasingly willing to spend on luxury whiskies. The demand for premium spirits is driven by rising disposable incomes, global exposure, enhanced infrastructure, world-class bars, burgeoning mixology culture and aspirational appeal. Further, as Rishi Walli, Senior Director Marketing and IMFL Brands, Suntory Global Spirits India, puts it, whisky has also become the right drink to toast on special occasions.

Over the past few years, there has been a notable shift in demand for premium whiskies, as consumers are increasingly experimenting with whiskies from around the globe. “This trend with increased accessibility has fuelled interest in a diverse range of international whiskies. Japanese whiskies, known for their high-quality craftsmanship, have seen surge in popularity, with premium spirits like Yamazaki and Hibiki being particularly in demand for their quality and unique flavour profiles. On the other hand, Toki is a vivid blend of Suntory’s Yamazaki, Hakushu single malts and Chita grain whisky that challenges conventions of blending malts and grains,” explains Rishi. He further observes that similarly, American whiskeys, such as Jim Beam and Maker’s Mark, have also seen growing popularity due to their smoother feel, versatility and distinct taste profile. Currently, the demand among consumers is particularly strong for mid-to-premium range whiskies.

Premium Moves

“India’s whisky market is undergoing a premiumisation trend, with consumers increasingly willing to spend on luxury whiskies. The demand for premium spirits is driven by rising disposable incomes, global exposure, enhanced infrastructure, world-class bars, burgeoning mixology culture and aspirational appeal,” observes Rishi. India’s whisky lovers, particularly in major cities, are embracing quality over quantity. This trend, according to Rishi, is particularly prominent in major cities like Mumbai, Delhi-NCR, Bangalore, Hyderabad, Chennai and Kolkata. “Additionally, we are also seeing a growing interest in premium whiskies in smaller cities such as Guwahati, Lucknow, Jaipur, Udaipur, Indore and Chandigarh, where the evolving landscape of luxury and refined experiences is are contributing to the overall market growth,” Rishi affirms. These developments signal a bright future for the premium whisky segment in India, as consumers across various regions in India continue to seek out exceptional and exclusive whisky experiences.

Flowing with the Trend

Taking the aspirational movement across the country into account, Suntory Global Spirits India has been tweaking its portfolio accordingly. The sustained growth of its time[1]tested premium single malts from the Scotch portfolio that include Laphroaig, Bowmore and The Ardmore reflects a broader trend towards exploring and investing in high-quality, globally recognised whiskies as part of a more sophisticated and adventurous drinking experience. In fact, Suntory Global Spirits has introduced some of the world’s most iconic premium spirits to the Indian market. Teacher’s, a legacy brand from its diverse portfolio, continues to be a loved brand in India, and many years back made Scotch a household name in the country. Oaksmith, an Indian whisky brand, has sold over more than 1 million cases since its launch in India and expanded to about 20+ markets while continuing to scale rapidly across geographies. Jim Beam Bourbon Whiskey has expanded its availability and demand across several markets in India, in the recent years. In 2019, Suntory Global Spirits brought the globally renowned The House of Suntory portfolio to India, including Yamazaki, Hibiki and Toki Suntory whiskies and Roku Japanese craft gin, fuelling the growing interest in and demand for premium Japanese spirits amongst Indian consumers. With other premium single malts like Bowmore, The Ardmore and Laphroaig, Suntory Global Spirits continues to bring innovation and premiumisation to the Scotch category.

Innovative Spirits

There is a growing curiosity and appreciation for unique and diverse whisky experiences in India’s food and beverages space. “Our portfolio features several brands that embody this innovative spirit. For instance, Oaksmith, our Indian whisky brand, stands out with its unique fusion of Scottish and American liquid combined with Japanese craftsmanship, creating a distinctive blend of flavours and traditions,” says Rishi. Additionally, Toki, a whisky from Suntory, exemplifies its dedication to innovation with its smooth, refreshing and versatile profile that appeals to a wide range of consumers. These brands exemplify the dynamic and evolving nature of the whisky market, catering to the adventurous tastes of today’s consumers. As Rishi explains, the Indian single malts are creating the right consumer interest as India is producing some really good quality whiskies which are at par with global standards and they are winning accolades globally. The rise of Indian single malts is indeed an exciting development and this growing interest in domestically-produced whiskies is a positive trend for the entire segment, as it indicates a more adventurous and informed consumer base that is willing to explore and appreciate diverse whisky offerings. “At Suntory Global Spirits, we recognise and welcome this shift. We believe that as consumers become more experimental, they are more likely to explore both international and Indian whiskies, providing us with the opportunity to introduce them to the world-class quality and unique experiences, which our brands offer,” Rishi states. The company is committed to innovation and ensuring that its products remain relevant and accessible. This includes launching new expressions, creating unique blends, and offering immersive experiences that allow consumers to connect with the brands on a deeper level. For instance, with Oaksmith, it has crafted a whisky that blends the best of Japanese precision with Indian craftsmanship; offering a distinctive product that resonates with local consumers while maintaining global standards.

Expanding Footprint

Given the increasing demand for whiskies, Suntory Global Spirts has been expanding its distribution network to ensure that its whiskies are available in more locations, making it easier for consumers to find and enjoy these products. “At the heart of our philosophy is the belief that our brands should cater to the diverse needs and occasions of our consumers. Our portfolio is thoughtfully curated to delight and inspire across the many moments that shape their lives,” Rishi says. Whether it’s a special celebration or a simple gathering, the goal is to be present and accessible, ensuring that the products are there to elevate every experience. The company’s distribution strategy is fuelled by a commitment to being present in these key moments. Also, the brand-building initiatives are deeply inspired by the vision of its founders, aiming to create unforgettable experiences that resonate with consumers and enhance the significance of every occasion. “We strive to exceed the expectations of our consumers, making our brands an integral part of life’s celebrations and everyday moments alike,” is how Rishi puts it.