Monika Alcobev’s Strategic Push for Growth & Reach

The Indian alcoholic beverages market has undergone a dramatic shift, especially post Covid-19 pandemic, with consumers increasingly opting for premium brands. This trend has been reinforced by international travel experiences. Monika Alcobev, a leading importer and distributor of premium alcohol brands in South Asia, is well-aligned with this trend, catering exclusively to the high-end segment. And now, Managing Director and CEO, Kunal Patel shares with Shalini Kumar that the company is set to expand its footprints geographically and demographically.

The alcoholic beverage preferences of Indian consumers have evolved significantly over the years. Kunal believes that the pandemic served as a turning point, making people more aware of life’s uncertainties and prompting them to prioritise experiences over savings. This shift in mindset fuelled trends like revenge travel and increased discretionary spending, particularly in the immediate aftermath of the pandemic.

“Additionally, as more Indians travel abroad, they are exposed to Western culture, where consumption habits are far more mature across various categories. Indian consumers, in particular, draw significant inspiration from the US,” he observes.

Monika Alcobev’s head opines the Indian mindset differs significantly from the traditional Asian outlook, with Indian consumers being more open to change, new experiences, and innovation. This evolving preference is fuelling the demand for high-quality spirits. Monika Alcobev is well-positioned to capitalise on this trend, catering exclusively to the high-end segment with a portfolio that ranges from ₹2,000 to ultra-premium offerings priced between ₹4 lakh and ₹5 lakh.

Tequila, Whisky: The Leaders

Since its inception in 2014, Monika Alcobev has witnessed a remarkable growth, evolving from importing just two labels in 2016 to managing more than 100 premium brands today. With a strong focus on tequila and whisky, the company has significantly expanded its portfolio and market presence over the years and has set its sights on further market penetration.

Tequila remains a cornerstone of Monika Alcobev’s portfolio. While Jose Cuervo serves as an entry-level brand, the company has made significant strides in promoting high-end, 100 percent agave tequilas like 1800, Maestro Dobel, and Gran Centenario. Kunal explains that the focus on this category aligns with India’s evolving drinking culture, where premiumisation is driving consumer choices. The company aims to solidify its presence among the top three tequila suppliers in India.

“We would want to retain our number one position, and we would want to be the top three players in India for the tequila supplies,” says Kunal. Apart from tequila, Monika Alcobev is doubling down on the whisky segment with Bushmills Irish Whiskey. The latter, a unique blend of bourbon and scotch, offers an innovative proposition in the market.

The Indian Market

The Indian Market India’s steady economic growth and political stability over the past two decades have created an environment conducive to business. Another advantage is India’s demographic. Nearly 47 percent of the population is under the legal drinking age. This guarantees long-term growth potential for the alcobev industry.

Within India, Monika Alcobev has established itself in 22 states, including Mumbai, Delhi, Haryana, Bengaluru, Hyderabad, Goa and Jharkhand. Maharashtra remains a crucial market, with Mumbai serving as a trendsetting hub for premium spirits. Haryana, known for its high-volume alcohol sales, is another key market. The strategic presence in these key cities allows Monika Alcobev to cater to the growing demand for premium alcoholic beverages across India. “Our focus is especially on Hyderabad and Haryana because of Bushmills as we see the trend of Irish whiskey is growing very fast,” says Kunal.

Mindful Drinking

As India continues to grow and educate itself, there is a deeper understanding of responsible consumption—not just in alcohol but across all aspects of life. Multinational companies are reinforcing this message as well, promoting the idea of drink less, but drink better”. This evolution in thought is shaping a more mindful and responsible consumer culture.

Spreading Wings

Monika Alcobev’s distribution network extends beyond India, with operations in the Maldives, Bangladesh, Nepal and Sri Lanka. While these markets offer significant potential, they also come with challenges led by the economic and political fluctuations in Sri Lanka and Bangladesh, which have impacted its growth.

On the other hand, Nepal and Maldives remain promising markets for Monika Alcobev due to their strong tourism industries.

“Tourism has given a major boost to Maldives postCovid. While it used to be a seasonal market, it has now evolved into a year-round business,” notes Kunal, adding that Sri Lanka, after experiencing economic instability, is also showing signs of recovery.

Brand Expansions

The company remains committed to deepening its market presence and expanding its portfolio in India with strategic additions. The company, Kunal says, evaluates a product based on three factors—liquid quality, packaging, and pricing. However, the most important is always the liquid. Pricing comes into play only after the product’s quality is ensured.

One of its latest introductions, Onegin Vodka, is recognised for its exceptional liquid quality. Positioned in the premium vodka segment, priced at ₹4,000 in Haryana and ₹5,500 in Mumbai, Onegin is expected to make a strong impact in India’s luxury vodka market. “While Russia’s geopolitical situation is a separate matter, there’s no denying that Russian vodka remains among the best in terms of quality,” Kunal notes.

Additionally, the company has re-launched Belenkaya Vodka, a brand owned by Beluga, which had faced supply disruptions due to geopolitical factors. “Belenkaya was among the first five brands we launched in our portfolio back in 2017–18. However, due to the war, we faced supply issues for over a year. But now, things are stabilising, and we expect it to be back in the market soon,” hopes Kunal.

While spirits remain the dominant category in India, wine has struggled to gain a comparable foothold. Despite early efforts by brands like Sula and Fratelli, the Indian wine market is still evolving. However, Monika Alcobev remains optimistic about the future of wine in India and looks forward to growing in it significantly.

Hurdles into High Spirits

Logistical challenges and the complexities of operating in multiple markets, both domestically and internationally, pose hurdles. However, Monika Alcobev is leveraging its diverse brand portfolio and strong distributor relationships to navigate these challenges successfully.

The Road Ahead

Over the next five years, the company aims to strengthen its position as a dominant player in the premium alcohol segment, focusing on deeper penetration in key markets and capitalising on the ongoing premiumisation trend. “As a founder, promoter, and businessman, I would love to have one of my own brands—maybe even a few in the future,” believes Kunal.