Tequila Market Size was valued at USD 10.1 Billion in 2022. The Tequila market industry is projected to grow from USD 10.7 Billion in 2023 to USD 18.4 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 6.90% during the forecast period (2023 - 2032). One of the primary market drivers driving the worldwide tequila market development is a huge increase in the popularity of cocktail culture, both in and out of the home.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Tequila Market Trends
Tequila sales are significantly influenced by celebrity endorsements and marketing, which uses their appeal and influence to advance companies and goods. Celebrity endorsements of tequila brands foster a potent synergy that has a big impact on consumer perceptions, preferences, and buying choices. Beyond the initial endorsement, celebrity marketing has a lasting effect on the tequila industry. Celebrities frequently work with tequila brands to create limited-edition or trademark items. As a result of the excitement and exclusivity these limited-edition releases create, collectors and fans of the company and the celebrity are more likely to purchase them. Additionally, the introduction of special editions may make customers feel pressure to buy because they worry about passing up an once-in-a-lifetime opportunity. Sales are frequently increased both during and after the promotional time due to this method.
Popular celebrities that publicly support a certain tequila brand receive a lot of media attention, including social media mentions, interviews, and tabloid features. The tequila company is able to reach a wider audience thanks to the celebrity's enhanced media exposure, including admirers who might not otherwise be aware of the liquor. The brand becomes more well-known as a result, arousing consumer interest and curiosity. Celebrity endorsements give the tequila industry a touch of glitz and desire. The public perception of many celebrities is one of elegance, luxury, and success. By partnering with a tequila brand, they effectively give the liquor these characteristics, making it more appealing to customers who want to live like their favorite celebrities. Celebrity endorsements help build a fascinating narrative around the tequila, raising its appeal above that of a simple alcoholic beverage. Consumers are frequently drawn to products that mirror their aspirational selves.
Consumer views of the quality and reputation of tequila are also influenced by celebrity sponsorships. When a well-known celebrity supports a tequila brand, buyers are more likely to identify it with favorable qualities like refinement, taste, and prestige. Even if consumers are unfamiliar with the brand, they may regard the tequila as a high-end and attractive product as a result of this favorable association. As a result, customers might be more inclined to pay more for the tequila that has been recommended, increasing its sales and profitability.
The following and interaction of celebrities on social media platforms considerably aid marketing initiatives. On social media, many celebrities have millions of followers, and when they promote a tequila brand, their postings and tales can instantly reach a huge audience. This online word-of-mouth advertising spreads excitement and discussion about the tequila, starting dialogues among customers and encouraging them to sample the drink. Social media also enables face-to-face communication between famous people and their followers, fostering brand loyalty by fostering an atmosphere of intimacy and authenticity. Thus, driving the Tequila market revenue.
Tequila Market Segment Insights
Tequila Type Insights
The global Tequila market segmentation, based on type, includes blanco, reposado, anejo and others. The blanco segment dominated the market in 2022. Tequila blanco is coveted for its unadulterated agave flavor. The taste of the agave plant is preserved since it is either unaged or only briefly aged. Tequila connoisseurs looking for an unadulterated and original portrayal of the spirit are drawn to this real and strong agave flavor.
Tequila Grade Insights
The global Tequila market segmentation, based on grade, includes value, premium, high-end premium and super premium. The value segment dominated the market in 2022. Value products appeal to a wide range of consumers, including those on a tight budget, college students, and tequila novices. These customers might not have the extra cash available to buy more expensive tequilas, but they nevertheless want to periodically indulge in the drink.
Tequila Distribution channel Insights
The global Tequila market segmentation, based on distribution channel, includes on-trade and off-trade. The off-trade category generated the most income in 2022. Retailers frequently offer promotions and create eye-catching displays to draw customers to the tequila area. These promotional initiatives, which include discounts, package offers, and themed displays, can significantly increase tequila sales.
Figure 1: Global Tequila Market, by Distribution channel, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Tequila Regional Insights
By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Tequila Market dominated this market in 2022 (45.80%). Geographically, the tequila-producing nation of Mexico is close to North America, particularly the United States. This proximity has enabled easy access to a broad variety of tequila brands and types, and as a result, the region has acquired a tremendous taste for the liquor. Further, the U.S. Tequila market held the largest market share, and the Canada Tequila market was the fastest growing market in the North America region.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: GLOBAL TEQUILA MARKET SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Tequila market accounts for the second-largest market share. Europe has experienced a growth in the cocktail culture as a result of customers looking up and experimenting with different cocktail recipes. Tequila's popularity in cocktails, especially classic concoctions like margaritas and tequila sunrises, has contributed to its expansion in the European market. Further, the German Tequila market held the largest market share, and the UK Tequila market was the fastest growing market in the European region.
The Asia-Pacific Tequila Market is expected to grow at the fastest CAGR from 2023 to 2032. Tequila has become a popular and trendy spirit in bars and clubs due to the apparent impact of Western drinking culture in urban centers and cosmopolitan regions. Moreover, China’s Tequila market held the largest market share, and the Indian Tequila market was the fastest growing market in the Asia-Pacific region.
Tequila Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Tequila market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Tequila industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Tequila industry to benefit clients and increase the market sector. In recent years, the Tequila industry has offered some of the most significant advantages to medicine. Major players in the Tequila market, including Pernod Ricard S.A. (France), Diageo Plc (U.K.), Bacardi Limited (Bermuda), Suntory Holdings Limited (Japan), Heaven Hill Distilleries, Inc. (U.S.), Campari Group (Italy), Sazerac Company Inc. (U.S.), Brown-Forman Corporation (U.S.), Casa Aceves (Mexico), Constellation Brands, Inc. (U.S.) and others, are attempting to increase market demand by investing in research and development operations.
Pernod Ricard SA (Pernod Ricard) manufactures and distributes wines and alcoholic beverages. Among the products offered by the corporation are brandy, champagne, cognac, distilled spirits, gin, liqueurs, rum, scotch, whiskey, tequila, and vodka. Absolut Vodka, Chivas Regal, Ballantine's, Beefeater, Jameson, Kahlua, Malibu, Ricard, Suze, Wiser's, Wyborowa, Seagram's Gin, Monkey, Olmeca, Pastis, Passport, Ricard, Royal Salute, Stoneleigh, 100 Pipers, Imperial Blue, Rabbit Hole, Plymouth Gin, and Lillet are among the brands under which the company sells its products. In addition to the Americas, Asia-Pacific, Europe, the Middle East, and Africa (EMEA), it also operates there. Pernod Ricard's headquarters are in Paris, Ile-de-France, France.
Suntory Holdings Ltd. (Suntory), a division of Kotobuki Realty Co Ltd., produces and sells food, wellness products, alcoholic and non-alcoholic beverages, and all of these things. Its product portfolio includes ready-to-eat meals, healthy foods, mineral water, coffee, tea, juices, beer, whisky, spirits, ice creams, and wine. The company offers these products under a variety of brand names, including Jim Beam, Suntory Tennensui, Premium Malt's, Kakubin, Hibiki, Yamazaki, Hakushu, and BOSS. Additionally, it provides its customers with nutritional supplements, lotions, and cosmetics. In addition to offering flower and hospitality services, Suntory also runs restaurants, bars, and pubs. It operates throughout the Americas, Europe, Asia, and Oceania, among other regions. Suntory's corporate headquarters are located in Osaka City, Osaka, Japan.
Key Companies in the Tequila market include
Tequila Industry Developments
February 2022: Tres Generaciones, a brand of tequila owned by Suntory Holdings Limited, debuted aejo Cristalino, a new ultra-premium product. The Tres Generaciones master distillers at the La Presencia distillery in Jalisco produced the transparent liquor.
February 2022: Under its reserva line-up, Avion, a Pernod Ricard company, debuted Avian Reserva Cristalino Tequila. A 12-month-old Aejo and a small amount of a 3-year-old Extra Anejo Reserva were combined to create a recently released tequila.
Tequila Market Segmentation
Tequila Type Outlook
Tequila Grade Outlook
Tequila Distribution Channel Outlook
Tequila Regional Outlook
Tequila Market Highlights:
Frequently Asked Questions (FAQ) :
The global Tequila market size was valued at USD 10.1 Billion in 2022.
The global market is projected to grow at a CAGR of 6.90% during the forecast period, 2023-2032.
North America had the largest share in the global market
The key players in the market are Pernod Ricard S.A. (France), Diageo Plc (U.K.), Bacardi Limited (Bermuda), Suntory Holdings Limited (Japan), Heaven Hill Distilleries, Inc. (U.S.), Campari Group (Italy), Sazerac Company Inc. (U.S.), Brown-Forman Corporation (U.S.), Casa Aceves (Mexico), Constellation Brands, Inc. (U.S.).
The blanco category dominated the market in 2022.
The off trade had the largest share in the global market.
Research Analyst Level II I have a degree in engineering (civil), with masters in business administration (marketing). with more than 4 years of experience in market research and consulting, i am involved in end-to-end process of market research, proposals, project kickoffs and delivery. i have research knowledge and expertise in consumer goods/packaging domain. also i have worked for various other domains like construction & equipment. effectively managed and delivered more than 60 report studies for regional as well as global clientele.
Get in Touch
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
