Page 8 - Chase Distillery Teaching Note Flip 2022

INDUSTRY ANALYSIS

Industry analysis is an integral element of the case method

as it is the matrix within which the business operates.

The IWSR’s drinks market analyst commented that: “The pace

at which gin has reinvented itself as a fashionable spirit is one
of the most dramatic changes to have occurred in recent times.”

Moreover, it saw the as a longstanding barometer of gin

trends, where its performance is particularly telling; total gin

consumption was over 6m nine-litre cases in 2018. That

figure is expected to rise to over 10m cases by 2023,

according to the IWSR’s data

“At the beginning of 2018, there were 315 distilleries in the

UK, more than double the number operating five years

previous with the prospect of total global gin consumption

rising rise 4.4% during the period 2018-2023.”

“As consumers’ demand for unique and craft-focused

drinks grows it has, and will continue to transform the

industry. For IESR “small distillers have been crucial to the

gin market’s growth – the emergence of the craft gin

movement, emphasising its provenance credentials, was a

marketing masterstroke, perfectly timed to coincide with
the global rise of social media and consumers’ growing

interest in authentic brand stories”. (Ref 1 IWSR 2022)

In just 10 years in both the US and UK, the spirits sector has

diversified beyond a handful of large distillers to a market

now represented by producers of all shapes and sizes.