What do you think of when you hear the word ‘vodka’. Not much, right?
Nick Gillett has written a piece for Harpers on vodka, the biggest spirits category in the world by volume and, he argues, the one doing the least with what it has. Global value is estimated at $40.25 billion by 2030, on a CAGR of 5.6%. His complaint is that a category this large should be bolder.
He traces part of the problem to the definition. Until 2020 the US federal definition described vodka as being without distinctive character, aroma, taste or colour. A successful consultation changed that, though he still finds the word neutral unhelpful.
Vodka can be made quickly, at low cost, from almost any raw ingredient. That same neutrality lets it carry the subtlest flavours. That combination is why he wants more creativity in the category than he sees. FAIR and East London Liquor Company get his nod for the liquids they’re making.
On where it goes next, he points to RTDs, forecast to grow at a volume CAGR of 6% to 2027, with vodka-based products holding the majority of that growth in markets including the US. Sustainability and provenance of ingredients are the other two drivers he expects.
