Europe Brandy Market Outlook, 2028

Brandy has a long history in Europe, with its origins dating back to the 12th century. The word "brandy" is derived from the Dutch word "brandewijn," which means "burnt wine." It was initially created as a way to preserve wine during long sea voyages. In Europe, the brands produced have a strong cultural heritage and are deeply rooted in local traditions. The appreciation for traditional production methods, regional authenticity, and the historical significance of brandy contribute to its popularity and demand in the European market. Furthermore, Europe attracts a significant number of tourists, many of whom are interested in exploring local food and beverage specialties. Brandy-producing regions, such as Cognac and Armagnac in France or Jerez in Spain, benefit from tourism, as visitors often seek out authentic brandy experiences, including distillery visits, tastings, and purchasing bottles as souvenirs. Moreover, the increasing focus on health and wellness has influenced consumer preferences in the alcoholic beverage industry, including brandy. Consumers are seeking lower-alcohol options, lighter styles, and products with natural ingredients. This has led to the development of lighter brandy expressions, such as low-proof or fruit-infused brandies, to cater to health-conscious consumers. In addition, brandy producers in Europe are experimenting with innovative ageing and blending techniques to create unique expressions. This includes exploring alternative ageing vessels, such as different types of oak barrels or even non-traditional materials, to impart distinctive flavours and aromas. Blending techniques are also evolving to create complex and balanced brands that cater to diverse consumer preferences.

According to the research report, “Europe Brandy Market Outlook, 2028” published by Bonafide Research, the market is anticipated to add around USD 2.47 Billion from 2023 to 2028. European brandy producers are increasingly emphasizing the regional characteristics and terroir of their products. They highlight specific grape varietals, soil types, climates, and local traditions that contribute to the unique flavour profiles of their brandies. This trend appeals to consumers who appreciate the connection between a brandy and its specific place of origin. Furthermore, while traditional grape varieties like Ugni Blanc and Folle Blanche remain popular, European brandy producers are increasingly experimenting with alternative grape varieties. This includes using grapes that are typically associated with winemaking or lesser-known local varieties, resulting in brandies with different flavour profiles and characteristics. Moreover, some European regions are known for their unique brandy production methods and styles. These regional brandies, such as Bas-Armagnac, Jerez Brandy, or Greek Metaxa, have a dedicated following among enthusiasts. Producers in these regions are focusing on preserving and promoting their traditional production methods, attracting consumers who appreciate the distinctiveness of these regional offerings. In addition, fruit brandies, known as eaux-de-vie, are popular in several European countries. They are made by distilling fermented fruit, such as plums, cherries, apples, or pears. Fruit brandies have distinct flavours and aromas, capturing the essence of the specific fruits used. Furthermore, Brandy has a strong historical association with the British. The British Navy, for instance, used to provide sailors with daily rations of brandy to boost morale. Brandy has also been a popular spirit in classic British cocktails like the Brandy Alexander and the Sidecar.

While grape brandies are the most common, European brandy producers also experiment with other base ingredients. For instance, Calvados from Normandy, France, is made from apples, while Williams Pear Brandy is a popular fruit brandy made from Williams pears. These non-grape brandies showcase the diversity and versatility of the brandy category. Furthermore, some European grape brandy producers are blurring the boundaries between brandy and wine by incorporating winemaking techniques into the production process. This includes fermenting the grapes on their skins, using wild yeasts for fermentation, or implementing carbonic maceration. These techniques add complexity and unique flavours to the brandies, creating a bridge between the worlds of brandy and wine. In addition, European fruit brandy producers are expanding their range of fruit varieties used in production. While traditional fruits like plums, cherries, and apples remain popular, there is a growing interest in utilizing a wider array of fruits. Producers are experimenting with unique and lesser-known fruits such as quince, apricot, pear, raspberry, and blackcurrant, offering consumers a diverse selection of fruit brandies. Furthermore, different regions in Europe have their own unique fruit brandy specialties. For instance, slivovitz, made from plums, is popular in Eastern European countries such as Serbia, Croatia, and Bulgaria. Each region showcases its local fruit varieties and traditional production methods, offering distinct flavour profiles and cultural significance.
Value

In Europe, the value-price segment is leading the market. Economic conditions have a significant impact on consumer purchasing behavior. Europe has faced periods of economic uncertainty, and consumers have become more price-conscious. The value price segment provides affordable options that offer good quality and represent better value for money compared to higher-priced alternatives. For instance, some brands that are known for offering affordable options include Stock Prestige, Metaxa 3 Stars, Torres 5, Vecchia Romagna, Asbach, and many more. In addition, the super-premium brandy segment is expected to grow at the highest CAGR during the forecast period. Europe has seen an overall increase in disposable income, particularly among the affluent consumer segment. As a result, consumers are willing to invest in luxury products, including super premium brandies, to indulge in exclusive and prestigious experiences. For instance, super premium brandies in Europe include Rémy Martin Louis XIII, Hennessy Paradis, Courvoisier L'Essence, and Martell Cordon Bleu. These brands are known for their exceptional quality, unique production processes, and high price points.

The European brandy market can be divided into two primary distribution channels: off-trade and on-trade. The off-trade distribution channel refers to the sale of brandy through retail outlets for consumption at home. It includes supermarkets, hypermarkets, liquor stores, specialty shops, online retailers, and other retail establishments. Furthermore, large retail chains like Tesco, Carrefour, and Auchan play a significant role in the off-trade distribution of brandy. They offer a wide selection of brandy brands and variants, catering to diverse consumer preferences. Moreover, dedicated liquor stores, such as Vinmonopolet in Norway or Systembolaget in Sweden, specialize in selling alcoholic beverages, including brandy. These stores often have knowledgeable staff who can provide guidance and recommendations to customers. E-commerce platforms like Amazon, Master of Malt, and The Whisky Exchange provide convenient access to a wide range of brandy brands and variants. Online retailers offer extensive product descriptions, customer reviews, and competitive pricing. In addition, on-trade distribution channel refers to the sale of brandy in establishments where it is consumed on-site, such as bars, restaurants, hotels, clubs, and cafes. Bars and pubs are popular establishments where consumers can enjoy brandy as part of their drink offerings. These establishments often have a selection of well-known brandy brands as well as premium and super premium options. Furthermore, bars and pubs are popular establishments where consumers can enjoy brandy as part of their drink offerings. These establishments often have a selection of well-known brandy brands as well as premium and super premium options.



Start-ups:

• Empirical Spirits, based in Denmark, is a start-up that focuses on producing innovative spirits, including brandies. They experiment with unconventional ingredients and production techniques to create unique flavor profiles in their brandy offerings.

• Copper Rivet Distillery, located in Kent, England, is a start-up that produces a range of spirits, including brandy. They have their own vineyard and distillery, allowing them to oversee the entire production process from grape to bottle.

• Laird & Company is a British start-up that specializes in producing craft brandies. They have a focus on sustainability and sourcing locally-grown fruits to create their brandy products.

• Åre Destilleri, based in Sweden, is a start-up distillery that produces a variety of spirits, including brandy. They incorporate local ingredients and traditional production methods to create unique and high-quality brandies.

• De Stoop Distilleries is a Belgian start-up that produces artisanal spirits, including brandy. They have a strong emphasis on craftsmanship and use traditional distillation techniques to create their range of brandy products.

Major Companies present in the market:
Pernod Ricard SA, LVMH Moët Hennessy Louis Vuitton, Davide Campari-Milano N.V., Lucas Bols N.V., Suntory, Holdings Limited, Halewood Artisanal Spirits, Bacardi Limited, Rémy Cointreau, Sazerac Company, Inc., Bodegas Torres (Miguel Torres SA), Thomas Hine & Co.

Considered in this report

• Geography: Europe
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Countries covered in the report:

• Germany
• United Kingdom
• France
• Italy
• Spain
• Russia

Aspects covered in this report

• Europe Brandy market with its value and forecast along with its segments
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Product Type

• Grape Brandy
• Calvados
• Cognac
• Armagnac
• Fruit Brandy
• Others(Dried Fruit Brandy, Peach Brandy, Pomace brandy)

By Price

• Value
• Premium
• High End Premium
• Super Premium

By Distribution channel

• Off Trade
• On Trade
The approach of the report:

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to ready to Brandy industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.