Maxxium UK is launching a comprehensive category vision to accelerate spirits sales growth over the next five years.
Backed by findings from its largest ever category research project, Maxxium has developed ’A Winning Mixx’ to unlock the full potential of spirits. It has identified an incremental £942 million sales growth opportunity achievable by 2020, an increase of 10% to the category which is currently worth £9.3 billion (Nielsen 52 w/e 30.01.16 and CGA 26.12.15).
This framework for growth applies across the trade with a £282 million opportunity in grocery multiples, a £75 million opportunity in symbols and independent retail and a £585 million opportunity in the on-trade.
Over the past year, the company has invested over £1 million in consumer and shopper research and analysis. More than 7,000 adults, including spirits and non-spirits alcohol drinkers were surveyed. The research identified barriers to purchase, such as taste, strength, poor knowledge on making drinks and issues with trial, all of which Maxxium aims to remove, to substantially increase sales.
The key growth drivers identified were:
Discovery: recruiting non-spirits drinkers to the category
Adventure: encouraging confident drinkers to trade up and all spirits drinkers to broaden their repertoire.
Refreshment: rightsizing spirits’ share of occasions where refreshment is the motivation.
Sharing: rightsizing spirits’ share of occasions where socialising is the motivation
Perfect experience: ensuring every serve in-home or at-bar is perfect
Positive spirits: educating and building the understanding of spirits.
Maxxium is currently developing its range of ’growth enablers’ which will be announced in the coming months.
Maxxium UK’s managing director, Mark Riley, said: “As a major UK spirits distributor, we have the responsibility to invest in and evolve this exciting category. A Winning Mixx presents a sustainable sales growth opportunity across the spirits industry, born out of a compilation of unrivalled insight, collaboration and passion. Interest in premium spirits is at an all-time high and we look forward to turning our category vision into reality as we embark on a journey with customers to unlock future spirits growth.”