Indian Gin gets global spotlight

The gin industry in India has witnessed a remarkable transformation, thanks to pioneers like Nao Spirits. With its flagship brands,the company has redefined consumer expectations and established India as a global player in craft spirits. Abhishek Parameswaran, Chief Sales Officer of Nao Spirits Pvt. Ltd., sheds light on the company’s journey, strategies, especially when it comes to innovating and keeping its ear to the ground as regards the changing preferences in the gin world.

With Indian consumers embracing experimentation and premiumisation, the onus lies upon the producers of alcoholic beverages to stay attuned to the evolving trends. Prior to the craft spirits renaissance, led by Nao Spirits, consumers in India had for long been bereft of quality choices at a reasonable price point. But today, Nao Spirits and its peers in the craft space have shown the world that Indian spirits can stand toe-to-toe with the best globally. “We have truly woken the world up to what India can do,” says Abhishek.

The founders of Nao didn’t just invest in building a brand; they have cultivated a vibrant community of consumers by focusing on areas where business acumen is rarely applied— trade and consumer education. Their efforts have played a crucial role in empowering Indians to think global and drink better.

Abhishek highlighted the changing consumer mindset, noting their fluid approach to drinks and brands. He emphasised, “That doesn’t mean that they’re fickle.” Instead, today’s drinkers embrace variety with intent, forging deeper connections with brands like Greater Than, Hapusa, and Pipa out in a landscape of endless choices.

Opening Up Choices

The brainchild of Anand Virmani and Aparajita Ninan, Nao Spirits has been instrumental in fostering a sophisticated drinking culture in India. High-quality cocktail bars and restaurants now place equal emphasis on drinks and service. To scale, the company has strategically expanded its distribution network across India to the point that its premium and super premium gin brands are possibly the most widely available.

The eight-year-old company, which started bottle by bottle with its on-trade partners, is now being an irreplaceable part of the bar. This is due to the cocktail programmes or unique activations it deploys to connect with its consumers. “Our urban centres have witnessed an explosion of high-quality cocktail bars and restaurants, shifting their focus beyond just food to elevating their drink programmes and delivering world-class service.”

At the off-trade level, it has carved out its own shelf space because of an ever-growing loyal consumer base. “We have heard so many stories of consumers moving to the next store if a retailer is out of Greater Than London Dry Gin or Hapusa Himalayan Dry Gin stock,” Abhishek shares.

Consumer Outreach

The company has implemented path-breaking marketing and brand-building initiatives, and gradually built them to scale. The idea was never to piggyback on a genre or lifestyle vertical or create a completely unrelated brand extension, but to build its own properties, and engage consumers where they are most comfortable.

Nao Spirits’ journey is a testament to those willing to defy the odds with a well-crafted strategy at every stage. Despite limited resources for large-scale expansion, the company maximised every possible avenue to engage consumers and create remarkable experiences. As Abhishek shared, “Word of mouth among gin consumers has seen Hapusa become the fastestgrowing craft gin in the UK, the largest premium gin-consuming market in the world!”

Its unique activations, such as ‘Greater Than Bar Wars’—a nationwide bar and service competition with live consumer voting—has further solidified its place in the industry. “We have sold more than a million bottles this fiscal again, garnering more than 30 percent of the current premium and above gin industry share – and we are just getting started,” he adds.

Beyond India

In a market dominated by global giants, Nao Spirits has carved a niche by emphasising authenticity, quality and storytelling. “World over, consumers are emphasising on getting more value for their money, and for us that means great tasting liquid, thoughtful and creative packaging, and authenticity that permeates through every communication tool that we use,” Abhishek says.

Nao Spirits has expanded its footprint to over 20 countries, including the UK, USA, Italy, Germany, Singapore, Thailand, Canada, and the UAE. Unlike many brands that enter international markets merely for visibility, Nao Spirits ensures strong demand before committing to a new market. “If we sell somewhere, we make sure we sell out and sell more!” Abhishek emphasises.

While the company initially targeted mature gin markets, it is now expanding into emerging regions like the UAE, Thailand, Sri Lanka and Malaysia, with Africa— specifically South and East Africa— on its radar. “The gin category being relevant and thriving in the market was one of the key criteria when we started our international journey, but now we have expanded to up and coming markets in the recent past because we see a strong growth potential for the future,” he adds.

Nao Spirits also aims to strengthen its presence in global travel retail and key Western markets such as the USA, Italy and the UK—leveraging their scale and global visibility to drive further growth.

Nao x Diageo

Collaborating with Diageo India brings substantial structural and operational advantages, opening doors that smaller producers like Nao Spirits would otherwise find challenging to navigate financially. However, the essence of this partnership lies in the freedom to think and create independently.

“We highly value the fact that we are encouraged to continue to think and create independently — a true partnership between innovative thinkers and producers and a globally respected corporate giant,” is how Abhishek puts it.

Regulatory Triggers

As the industry moves forward, regulators need to urgently define a set of rules that support homegrown brands without putting them at a disadvantage due to their lack of scale, vis-a-vis the traditional ‘IMFL’ companies who have deeper pockets to handle the massive operational and regulatory costs in India.

“There needs to be a larger focus to bring India to the world through its high-quality craft spirit options, something Nao Spirits has pioneered for the gin category, despite the limitations of our size,” Abhishek points out.

Crafting Future

With a strong foothold in the gin category, the company remains confident in the category’s continued growth, despite speculation to the contrary. “The category itself has strong bones now and will grow even further. Favourable policy changes such as D2C, e-commerce, more MOTs, removal of needless licence restrictions, etc. should accelerate that inevitable growth,” he says.

Nao Spirits is proudly led by Greater Than London Dry Gin and Hapusa Himalayan Gin. “We have led the way when it comes to experimenting with special or limited releases, using our immensely popular Greater Than London Dry Gin as the blank canvas on which we showcase our creativity,” Abhishek states. Its first limited edition, Juniper Bomb, was crafted for drinkers who appreciate an extra dose of juniper. It received such a terrific response that it was brought back as a part of the portfolio this year.

Subsequent limited editions include No Sleep, a coffeeinfused gin paying homage to India’s rich but underappreciated coffee culture; Broken Bat, aged in Kashmir willow instead of traditional oak, a tribute to cricket enthusiasts; and Punk Gin, a strawberry-macerated gin crafted without artificial additives that embodies an anti-establishment ethos.

Beyond gin, Nao Spirits has ventured into rum with Pipa Rum de Goa, a product that captures Goa’s unique terroir. Currently available in Goa, the UK and Italy, the rum is set to expand into new markets soon.

Each of these innovations reflects Nao Spirits’ dedication to pushing boundaries and redefining the craft spirits landscape in India and beyond.