Following today’s news (27 January) that Diageo has posted a 16% rise in first-half sales;

Carmen Bryan, Consumer Analyst at GlobalData, a leading data and analytics company, offers her view:

“The pandemic-born trend of at-home drinking isn’t likely to die down any time soon, with many people substituting nights on the town for home-made cocktails and cosy nights on the couch. GlobalData’s Q4 2021 consumer survey* reveals that just shy of a third (29%) of people globally prefer to drink spirits when relaxing at home. Spending on spirits was also highest among people aged 25-44 years, with almost two in five (38%)** reporting that they were spending medium-to-high amounts on spirits.

“Although bars and restaurants are re-opening, providing an added sales channel for alcohol manufacturers such as Diageo, many people have invested time and money over the last few years to transform their homes into private havens away from the ongoing political, social and economic troubles. And with ongoing financial pressures remaining a concern for more than 60%*** of people globally, many will likely opt to stay in with a glass of Gordons and save dining out for celebratory occasions.

“Either way, the future is looking brighter for alcohol manufacturers such as Diageo. As health and at-home trends retain their relevancy, companies should emphasize premium ‘insperiences’ and NoLo launches that will help them reach their audiences both at home and in the bar.”

* GlobalData’s 2021 Q4 Consumer Survey, December 2021, with a 21,000 global sample size

** Combined responses: “High – I buy high-end/premium versions of these products”, “High – I buy large portions/buy more frequently” and “Medium”

*** Combined responses: “Extremely concerned” and “Quite concerned”