Welcome Pack

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A trading division of System Three Communications (LDN) Limited. Registration No. (England) 1665101.

Registered Office:Peter Hunt & Co.,58 Lyford Road,London SW18 3JJ

the IWSR & the IWSR Magazine, 39 Moreland Street, London EC1V 8BB

t: +44 (0)20 7689 6841 f: +44 (0)20 7689 6827 e: info@theiwsr.com www.theiwsr.com

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Welcome

Dear Client,

Thank you for subscribing to our services.

This welcome pack is designed to help you understand better who the IWSR is, how we

operate and what services we provide.

While this welcome pack is intended to cover many of the questions frequently asked, it cannot

cover every eventuality so please call us with any questions that arise on +44 (0)20 7689

6841. If you have a question relating to a specific country there is a list of contacts.

At the IWSR we value our ability to interact closely with our clients and work with you to get

the best out of our data.

Yours sincerely,

Alastair Smith

Company Director

Contents

The IWSR subscription 5Terms and conditions 5

The IWSR 6What we do 6Company background 6

Methodology 7Retail Value 7Forecast 7Why we visit 7

The IWSR’s definitions 8Consumption 8Units 8Historical data 8Pricing data 9Ownership 9Grey market definitions 9Brand quality classifications 10Revised value analysis for still light wine 11On/Off-premise methodology and notes 12

Notes 13Still light wine data 13Beer and cider information 13

TheIWSR.com 14How to register 14Features of the new IWSROnline 15Trends 15Data delivery format 15Getting help 15

The IWSR’s reports and services 16The IWSR Domestic Volume Database 16The IWSR 5 year Forecast Report 2014-2019 16The IWSR Duty Free/Travel Retail Database 16The IWSR Duty Free/Travel Retail Summary Report 16The IWSR Retail Value Database 16The IWSR Global Trends Report 16The IWSR Sub-Saharan Africa Report 17Special projects and consultancy 17The IWSR E-News 18The IWSR Magazine 18

The IWSR’s category coverage 19The IWSR’s country coverage 20The IWSR’s contact details 21Product definitions 23

Still light wine 23Sparkling wine 23Fortified wine 23Light aperitifs 24Other wines 24Whisk(e)y 25Gin/genever 25Vodka 25Tequila 26National white spirits 26Rum 26Cane 26Brandy 27Flavoured spirits 27Liqueurs 27Bitters/spirit aperitifs 28Aniseed 28Fruit eaux-de-vie 28Other spirits 28Mixed drinks 27

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Terms and conditionsAny subscription is a company-wide, regional or site/country access subscription. This allows any member of a 100% owned office/subsidiary to have full access to the data as per the access license agreement. ‘The IWSR’ should be shown as the source of any information used, unless an alternative source is quoted in the IWSR’s PDF reports.

No part of any subscription to the IWSR’s database may be disseminated to any third party or partially owned company in any form without the express written permission of an IWSR company director.

Special subscription rates apply to partially owned companies – please ask for further details.

What’s included The IWSR’s Domestic Database and Country Reports include:

y PDF and Excel copy: One updated copy of each of the categories for each country ordered if renewing a previous subscription, otherwise it will be as agreed at point of order. These are accessible via www.theiwsr.com.

y Data: Full access to www.theiwsr.com, subject to terms and conditions of use and subject to the size of the subscription.

The IWSR’s Duty Free/Travel Retail database: is invoiced separately to domestic data, and requires a separate subscription (see page 15).

The IWSR subscription

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The IWSRWhat we doThe IWSR supplies volume and value data on global alcohol consumption. In most countries our volume market data goes back to 1985 and brand sales data to 1995.

In all countries we measure actual consumption. This means that all figures, official or otherwise, are adjusted where known stock, parallel, contraband or re-export issues occur. Our figures will vary from official figures in most markets, as they try to reflect real consumption. Our research covers both on- and off-premise consumption. In addition to measuring consumption, we also provide data on retail value by checking retail prices in major local stores.

Company backgroundThe IWSR was founded in 1971 as a subsidiary of the market research company System Three Communications (LDN) Limited.

Initially created as a service for just one client and covering 11 countries, the IWSR has grown to encompass 155 countries and territories in detail at brand level. The company remains family owned and continues to attach high importance to client service. Our focus is exclusively on the global alcoholic beverage market.

Our clients include the leading international drinks groups, such as Bacardi, Beam Suntory, Brown-Forman, Campari, Diageo, The Edrington Group, LVMH, Pernod Ricard and Rémy Cointreau. We also work closely with many medium-sized and smaller independent drinks companies, as well some of the leading investment analysts, management consultants and packaging companies.

MethodologyThe IWSR is the industry standard for tracking brand, market and category performance globally. All of the international drinks companies use the IWSR database to follow market trends, for competitive analysis as well as strategy and planning. The IWSR has the widest industry buy-in of any research company, with more companies both using and sharing their data. This means that our clients can be confident that they are looking at the same figures as their peers.

We are the only research company to visit the key players (importers, producers, distributors, retailers, duty-free operators) in 118 countries globally each year. This allows us to gain a far better understanding of the dynamics of a market, which helps us to explain why certain trends occur and adjust official statistics to match reality and allows us to cross-check other companies’ claims, as local experts have a much better grasp of what is actually being sold in each country, rather than shipped. It allows us to talk to people in certain markets who would not commit anything to paper, but who, nevertheless, have a significant impact on the market, such as grey market operators.

Our reports include distributor lists that show the major importers/distributors and their respective portfolios. We can also recommend distributors and, if known, supply the contact details of the key personnel within those companies. Please contact us if you want to know more.

Client enquiries relating to the market will normally be answered immediately, or, if researchers are travelling, within 24-48 hours.

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MethodologyRetail ValueOur historical pricing data is taken from our store-checks across all our reporting markets. Our quality segments are based on a brand’s retail price relative to other brands.

These price checks are the basis of our retail value data.

This year we have also released a net of tax value database. Using data on taxes and duties on alcoholic beverages for each country, we have deducted this from the retail value data.

This database shows the real value of brand lines across all markets and allows effective comparison across markets.

ForecastThe US Census Bureau and the IMF’s forecasts of population and GDP growth respectively underpin the forecasts in each country. Additional market information is gained by the IWSR analysts who visit 118 markets each year to meet with local producers, distributors and industry experts. This methodology has been used for over 20 years and has resulted in long-established dialogues with key experts across the globe.

This first-hand knowledge of the local markets allows our analysts to produce nuanced and realistic forecasts for each country. Each individual country report plus the global summary report therefore include in-depth category comments which outline the background and reasons behind the developments expected for the future.

In order to get a global total of the wine and spirits market, volumes for those countries which are not analysed in detail have been estimated based on straight-line forecasts. These have then been revised by the IWSR analyst responsible for the market.

Why we visit y It is essential in most countries to supplement and improve existing official figures, PR claims, and refine central company shipment figures when given.

y In every country we use any official/quasi-official statistical sources if available, although these need redefining to provide the detail required.

y Import statistics, as well as exporting country statistics, such as the SWA or CIVC, invariably do not match actual local consumption due to onward shipments, inclusion of duty free, redirected goods in transit, or parallels/contraband coming into the market.

Copies of country reports are sent to the companies we interview. This has led to many using the report locally and as a result providing feedback to improve each country report. This has helped to correct errors, as well as ensure continued co-operation in compiling the reports.

Methodology

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The IWSR’s definitionsConsumptionThe IWSR tries to measure actual consumption in all countries, not shipments, imports or production.

In most cases this means sales into the trade. All figures, official or otherwise, are adjusted where known stock, parallel, contraband or re-export issues occur.

As an example, the figures in our report on Paraguay are considerably lower than widely available import figures suggest. While we use these figures, we use them only as a building block to arrive at Paraguayan consumption after having taken into account the volumes at both brand and category level that are re-exported to Brazil and elsewhere. In turn, the Brazilian consumption figures use not only locally available figures, but also figures ex-Paraguay, among other sources (Uruguay, duty-free arrivals, etc.). Please contact us where individual problems occur in reconciling your market data with ours.

UnitsAll volume data for wines and spirits is given in thousands of nine-litre cases (‘000s 9-litre cases) in the reports, and by default in the www.theiwsr.com website. These can easily be converted to other units of measurement.

Note: In the actual reports (PDF files), units of beer and cider are displayed in ‘000s hectolitres (HL) due to the enormous size of some of the markets. However, in the IWSR’s database system the figures for beer and cider are displayed in ‘000s 9-litre cases.

Historical dataThe data available on our online platform starts in 1985 for most large countries; alternatively, as countries came into existence or opened up to imports. Pre-1985 data is available for around 40 of the largest countries. If you require older information, please be aware that much of this data is not directly comparable with current data due to changes of methodology.

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The IWSR’s definitionsPricing dataThe pricing data in the reports is based on store-checks conducted in each of the countries visited by our researchers. They are usually taken from the largest supermarkets. In a large consumer country they are conducted across three to five stores, usually super- or hypermarkets, and, if need be, a specialist store. In smaller consumer countries they are likely to be taken from around one to three stores.

We try to visit the same stores each year at roughly the same time to give some degree of consistency. The prices given in the report reflect the lowest price found for a brand, but promotional pricing is excluded. No pricing information is available for any on-premise sector – due to the very wide range of prices, as well as the problems of measuring this.

Prices in the reports are given in local currency. Via www.theiwsr.com, these can be converted into dollars or euros. The bottle sizes to which they refer are shown alongside the price and are shown in centilitres (cl).

Exchange rates are based on the annual average rate for each year, taken from www.OANDA.com. It is also possible to use the 2014 exchange for all years by selecting ‘use fixed exchange rates’ in the settings section of the online database.

Be aware that the store-checks are part of the research process, so that we we can check what is on sale and determine how the market might segment.

These price checks allow us to calculate the retail value. Estimations are made for the price of ‘others’.

OwnershipOwners refer to the ultimate parent company. Changes should be made to the database as soon as regulatory approval has been received for a merger/acquisition/disposal. Ownership is based on majority ownership.

Grey market definitionsParallel Importing: This is where large margins between official supplier and distributor/retailer are undercut by a third party. Parallels pay local taxes in the country where they are bought and sold.

Contraband/Smuggling: This covers goods which pay no tax or duty on entering a country.

Carryback: There are two types of carryback. The first is essentially arrivals duty free where goods are bought in duty-free/travel-retail outlets to be consumed or sold in domestic markets. This can be organised, as well as done simply by individuals. The second is cross-border shopping, such as the cross-Channel business and purchasing across borders in Scandinavia/Germany.

Leaks from duty free: These cover supply direct from a duty-free supplier back onto the

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Brand quality classificationsAll spirits and Champagne brands are assigned one of seven qualities: prestige, ultra-premium, super-premium, premium, standard, value or low-price.

Each year the IWSR does store-checks in 118 countries during the annual research trips. To determine the brand qualities, these local prices are used to determine the relative price position of the brand in its category. This segmentation is then benchmarked off the most clearly defined of all international categories — Scotch — and adjusted as appropriate. The categorisation is only judged on this basis and not on consumer perception or on-premise pricing — neither of which can be tracked by the IWSR.

This means that a brand that sells at a premium in the context of a category, i.e. a brand selling at $2-3$ more than the leading standard brand, is most likely to have been treated as a standard, because when compared to premium Scotch, the brand sells at a vastly lower price.

Each brand is treated individually in the context of each country. This means that brands can have different qualities in different countries. A table showing the price bands of each quality in each country is shown at the front of the IWSR’s country reports.

This table reflects the price position in 2008. A brand’s quality will be revised only if its price changes for a period of time. Benchmarking the segmentation against Scotch also means that in some markets clear premium categories are treated as standard. The most obvious example of this is the US where many premium brands are the equivalent of standard brands in other markets.

Taxation makes cross-border comparisons difficult in terms of what the different price qualities equate to, but as a very rough guide with examples of brands include:

Quality Approx. US$ equivalent Brand examples

Prestige Over US$100 JW Blue George V, Hennessy Richard, Rémy Martin Extra

Ultra-premium US$50 to 99.99 JW Blue, Royal Salute

Super-premium US$30 to 49.99 JW Gold, Chivas 18yr, XO & VSOP Cognacs, Grey Goose, Patrón

Premium US$20 to 29.99 JW Black, Chivas Regal, VS Cognacs

Standard US$10 to 19.99 JW Red, Ballantine’s Finest, Smirnoff, Bacardi

Value Under US$9.99 Lower-priced brands

Low-price Under US$2.50 Very low-priced local produce (mainly India, Brazil, Russia, etc.)*

*Low-price does not necessarily reflect quality.

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Revised value analysis for still light wineThe IWSR has deepened its analysis of the value of the global wine market, accounting for thefragmented nature of the market to a greater extent.

The updated methodology breaks brands down into different quality brand lines and tracks much more accurately factors such as inflation and taxation at a local level. Retail prices have been assigned to around 29,000 wine brand lines, using IWSR storechecks. The value data does not currently account for discounts.

While based on retail prices, value figures actually reflect sales in both the on- and off-premise. For consistency, exchange rates are updated every year and carried back historically to counteract the effects of sharp currency deflation/appreciation. As such, figures quoted in US dollars will reflect value based on the most recent yearly exchange rate.

To add some structure the IWSR broke out the global wine market into equivalent US dollar price brackets. These bands and qualities are designed to place wine in the context of the wider drinks market, and therefore make it comparable to spirits. Given issues such as varying price positioning between markets and disparities in taxation, these dollar price bands acted more as a guide than as a fixed model.

Quality Approx. US$ equivalent

Super-premium and above Over US$20

Premium US$10 to 19.99

Standard US$5 to 9.99

Value US$3 to 4.99

Low-price Under US$2.99

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On/Off-premise methodology and notesThe split between on- and off-premise was added for the first time in the 2010 country reports.

The aim was two-fold:

y To give companies a more accurate reading of the trade channel splits by quality and sub-category.

y To check the splits claimed by other research companies as it is clear that in some markets the overall result is different to what had been generally perceived.

It was decided to make the calculation at brand line level to give the most accurate overall category split (given the wide variations by brand and by quality) and, in the longer-term, to provoke companies to correct figures. To get the information, IWSR researchers ask about the splits at brand level during annual country visits. This means the core source of information is local companies.

Notes: y Often this sort of information was not readily available in the interviews and even less often at brand line level. In these cases the generally perceived on/off split of the category was applied by the IWSR.

y Often those interviewed quoted percentages from other sources or provided very vague numbers based on generally perceived category splits.

y In very large markets, it was simply impossible to get the split for every single brand line In these cases, the generally perceived on/off division was applied to all missing brand lines. This has obvious flaws.

y In the largest market of all, the US, very few companies think in terms of on/off at a country level or if they do, this will be only in the vaguest way.

y There are some grey areas of definition. Very loosely, the IWSR’s numbers were based on point of purchase, not point of consumption. Different outlet types were classified as follows:

» Off: hyper- and supermarkets, specialist stores, cash & carries (see below) and discounters.

» On: bars/pubs, nightclubs, hotels, clubs, restaurants. » Duty-free/travel-retail purchasing for domestic consumption treated as off-premise. » Buying in off-trade outlets for on-premise consumption (at cash & carries, discount stores, etc.): generally treated as off-premise as it was impossible to treat in any other way. However, we cannot be sure that all providers of information did so.

The caveats should diminish over time, but for now companies using the information should do so with caution and understand there could be some substantial amendments in future.

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Notes

Still light wine dataAll wine sections apart from still light wine are as comprehensive as the spirits sections, and can be used in exactly the same way. Still light wine is somewhat different given the size and diversity of the market. Total market data exists in the IWSR’s database and normally goes back at least to 1990. Country of origin tables, showing total French wine sold, total Australian wine sold, etc., also go back to 1990 in most cases. Brand data will go back as far as possible.

Some problem areas:There are some countries where the wine data will be limited, such as Germany, Belgium, Denmark or the Netherlands, where the retailers not only act as direct importers, but also dominate in terms of their own brands. To date, most have been very reluctant to talk to third parties. The IWSR continues to improve information in these countries.

There are some producer countries, such as France, Italy and Spain, where, given the sheer size of the market, fully complete data is virtually impossible to deliver, although data in both France and Spain has been much improved by including the largest companies.

Implications of the above:

y Analysis of total still light wine consumption can be done with confidence back to 1990. y Analysis of supplier countries can be done with reasonable confidence back to 1990. Note that in some cases, especially for smaller supplier countries, such as Greece and New Zealand, imported volumes are not always recorded in every country, due to very small sales.

y Analysis of brand volumes should be done with some caution. Generally ‘New World’ producers’ sales will be reasonably complete given their much more branded approach to markets. ‘Old World’ wine producers’ sales will be less detailed and large sales can be easily missed. There are also some markets where we can only record company names rather than actual brands, and the IWSR would advise that in most cases you look at the broadest possible level first, i.e. the company, then the brand names, then individual brand lines. Rankings of the largest brands on a global level should be avoided without noting these caveats.

y The same problem also exists with company analysis and rankings. Some very large ‘Old World’ wine companies, in particular, can be missed as most of their production is sold as own-label brands or unbranded.

Beer and cider informationFrom June 2002, beer and cider information has been included within the IWSR database. This has been mostly at market level. Analysis by brand and company should be avoided at a global or regional level as this data needs more detail.

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TheIWSR.comThe IWSROnline website provides tools to easily analyse the data, whether you need just one category in one country or all categories in all countries.

Subscription is based on a global, regional and country access license system. A subscription can be shared throughout your company (based on the access agreement), provided that each person has a subscriber company’s e-mail address. Where the same company has different e-mail addresses, just contact us to authorise access. We generally cannot, however, allow access to users with web-based e-mail accounts (e.g. Hotmail).

How to registerTo access the data you will need to register your e-mail address in order to get a password. To do this please go to www.theiwsr.com, click the ‘Client Login’ and then select ‘Register’ button. Once you have entered your details a password will be automatically e-mailed to you.

Please note that each user must use their own e-mail address/password. Any user with a subscriber company’s e-mail address will be able to register.

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TheIWSR.comFeatures of the IWSROnlineThe IWSROnline allows subscribers to answer ad hoc queries about the IWSR’s brand, consumption and pricing data. This tool allows a lot more flexibility to select exactly the information you need. The system is easy to use and requires no previous knowledge of databases.

y Calculation functions: Compound annual growth rates (CAGRs), market shares, volume changes and percentage changes.

y Results which can be downloaded directly into an Excel spreadsheet. y Queries can be saved for re-use at a later date. y Retail pricing data viewed in local currency, US dollars or euros. y Create charts: line, pie, scatter plots and/or bubble charts. y Competitive sets defined by the user.

TrendsTo enable you to get to the most out of the research we have created the ‘Trends’ tool which gives you a snapshot of various categories and highlights main facts about the specific markets or regions allowing you to explore instant trend analysis at the click of a button.

‘Trends’ is a great tool to give you a quick overview of a selected brand, brand line, owner or distributor, as well as quality and origin.

Data delivery formatAll country reports are offered in PDF and Excel formats and both are downloadable from our website. In addition, we can provide data in other formats to suit your needs (e.g. MS Access).

Each country report covers: y A general summary which outlines key market characteristics and lets you understand what the key trends are.

y Overall market volumes for all wine and spirits categories. y Brand sales for each wine and spirits category. y Retail pricing for key brands. y Distributor information. y On/off-trade split on brand level.

Getting help y An online help system is available, which includes step-by-step instructions and video tutorials to assist you.

y Step-by-step tutorials with examples will guide you through the few steps needed to get the data you require.

y Alternatively, call us for help on +44 (0)20 7689 6841.

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The IWSR’s Reports and Services

The IWSR Domestic Volume DatabaseGlobal coverage of alcohol consumption by country, product category, price/quality segment and brand. y This package allows access to all volume data on companies, categories and brands. y Includes all country reports. y All electronic delivery included. y Reports can also be bought individually and/or by category and/or region.

The IWSR 5 year Forecast Report 2015-2020 y Five-year forecasts for 61 key countries by category and by quality. y Written assessments by category and by country, stating the reasons underpinning the forecasts.

y Intelligently modified straight-line forecasts made for the remaining countries. y Available both in Adobe Acrobat PDF and in an Excel pivot table.

The IWSR Duty Free/Travel Retail Database Volume and retail value data on wine and spirits sales in duty free/travel retail. y Covers 55 countries. y Classifies each brand into:

y One of 15 wine and spirit categories. y One of seven qualities: low-price, value, standard, premium, super-premium, ultra-

premium, prestige.

The IWSR Duty Free/Travel Retail Summary Report y Summarises the trends in the annual IWSR Duty Free/Travel Retail Database. y Analysis of the overall trends by category, region, company and brand, highlighting the largest and fastest-growing sectors in each.

y Commentary on the key trends and explaining the trends behind the numbers. y Report only available in Adobe Acrobat PDF format. y Available free to subscribers of the IWSR Duty Free/Travel Retail Database.

The IWSR Retail Value DatabaseTracking the global alcohol market’s retail value by country, product category, price/quality segment and brand, with average price per case. y Quantifies the global market by retail value. y The level of detail in the data mirrors the IWSR Domestic Volume Database.

The IWSR Global Trends Report y Distils the latest trends observed in 118 countries following the IWSR’s 1,500-plus annual interviews.

y Pinpoints the fastest-growing brands, flavours or new styles of consumption and factors influencing market trends.

If you are interested in any of the subscriptions or reports, please contact Graziella on graziella@theiwsr.com or on +44 (0)20 7689 6841 for more information.

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The IWSR’s Reports and ServicesThe IWSR Sub-Saharan Africa Report Covers 21 countries grouped into three regions: East Africa, West Africa and Middle Africa. y Each country provides estimates of the size and trends of the individual categories and leading brands.

The IWSR Company ProfilesThis series of report analyses the leading companies in the alcohol industry.

The IWSR Yearbook - A catergory reviewThis report condenses a full year in the alcoholic drinks industry into an easily-digested summary outlining the most important global trends and developments category by category.

The IWSR/Vinexport ReportThe IWSR/Vinexpo Report details the trends and structure of key wine markets, how they have developed over the last five years and the outlook up to 2018.

ConsultancyWhether for a major multinational company, a medium-sized player looking to expand, or a producer of niche products: the IWSR is a trusted consultancy partner that can help you with your internal projects.

As the global leader of market insight into the alcoholic drinks industry, our knowledge is always world-class and our approach to consultancy is personal and professional.

Tap into our 40 years of knowledge to support key decisions on: y Prioritisation of opportunities by country or product category. y Assessment of competitors’ strengths and weaknesses. y Key trends. y Competitive price positioning. y Mergers and acquisitions.

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The IWSR E-News

The E-News is our free monthly newsletter to advise clients of the latest report releases. This will automatically be sent to you as part of your subscription.

To request this service for others, sign up via www.theiwsr.com

The IWSR Magazine

y Market insights from across the globe, written by our specialist international analysts. y Essential trends powered by the IWSR’s databases. y Detailed regional, company, category and product reports. y In-depth company interviews with chief executives and key industry leaders. y Product launches and industry trends.

Various subscription options are available, allowing access in paper format and online via www.iwsrmagazine.com.

Contact stefano@theiwsr.com for more information.

Radius – Product Innovation Tracker

Radius is an interactive database covering the latest trends and innovations within the drinks industry. The Radius product innovation tracker complements the IWSR’s current data packages, adding more qualitative information to the IWSR’s vast range of data and reports.

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The IWSR’s category coverageWinesStill light wine

Sparkling wine y Champagne y Other sparkling

Other wines y Rice-based wines y Other wine

Fortified wine y Sherry/sherry-style y Port/port-style y Other fortified

Light aperitifs y Vermouth y Wine aperitifs y Fruit-based aperitifs

All brands apart from still light wine, sparkling wine, beer and cider are classified into one of seven price qualities: Prestige, ultra-premium, super premium, premium, standard, value, low-price.

Whisk(e)y y Scotch whisky – blended/malt y US whiskey – bourbon/other US y Canadian whisky y Irish whiskey – blended/malt y Other whisky

Gin/genever y Gin - traditional/flavoured y Genever - jonge/oude/other y Juniper-flavoured

Vodka y Vodka - traditional/flavoured

Tequila y Tequila traditional - white/gold y Mezcal

National spirits y Aquavit y Baijiu y Korn/schnapps y Shochu/soju y Other white spirits

Rum y White/black/gold rum y Flavoured rum - spiced/other flavoured y Other rum verschnitt

Cane y Aguardiente/cachaça/other cane

Brandy y Cognac/Armagnac y Grape brandy/grape EDV/non-grape

Flavoured spirits y Liqueurs

» Advocaat/egg liqueurs » Amaretti » Cassis » Cocktail/punch liqueurs » Coffee liqueurs » Cream liqueurs » Licorette » Liqueur ranges » Low-strength flavoured spirits » Maraschino » New-style lemon liqueurs » Ponche/cremas/rompope » Traditional high-strength liqueurs » Other liqueurs

y Bitters/spirit aperitifs y Aniseed - dry/sweet y Fruit eaux-de-vie

» Calvados/other fruit eaux-de-vie

Other spirits

Mixed drinks Beer/Cider

Pre-mix cocktails/long drinks/FABs

Spirits

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The IWSR’s country coverage155 markets (both brand and market volumes) now including 21 additional Sub-Saharan Africa countries.

Americas Europe Middle East Africa Argentina Albania Afghanistan* Angola Bolivia Austria Bahrain Benin Brazil Belgium and Egypt Cameroon Canada Bosnia and Herzegovina Iran Congo Chile Bulgaria Iraq Djibouti Colombia Canary Islands Israel DR Congo Ecuador Croatia Jordan Equatorial Guinea French Guiana Cyprus Kuwait* Ethiopia Guyana* Czech Republic Lebanon Gabon Paraguay Denmark Oman Ghana Peru Estonia Pakistan* Ivory Coast Suriname Finland Qatar Kenya United States France Saudi Arabia Mauritius Uruguay Germany Syria Morocco Venezuela Greece United Arab Emirates Mozambique

Hungary NamibiaCaribbean Iceland Asia NigeriaAntigua Ireland Burma ReunionAruba Italy Cambodia SenegalBahamas Kosovo China SeychellesBarbados Latvia Hong Kong South AfricaBermuda Lithuania India TanzaniaBritish Virgin Islands Macedonia Indonesia TogoCayman Islands Malta Japan TunisiaCuba Montenegro Laos* UgandaCuracao Netherlands MalaysiaDominican Republic Norway Philippines Rest of WorldGrenada Poland Singapore AustraliaGuadeloupe Portugal South Korea New ZealandHaiti* Romania Sri LankaJamaica Serbia TaiwanMartinique Slovakia ThailandPuerto Rico Slovenia VietnamSt. Kitts and Nevis SpainSt. Lucia Sweden CISSt. Maarten Switzerland ArmeniaSt. Vincent Turkey AzerbaijanTrinidad and Tobago United Kingdom BelarusUS Virgin Islands Georgia

KazakhstanCentral America KyrgyzstanBelize MoldovaCosta Rica RussiaEl Salvador Tajikistan*Guatemala Turkmenistan*Honduras UkraineMexico UzbekistanNicaraguaPanama

*Summary and selected spirits category data only.

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The IWSR’s country coverage The IWSR’s contact detailsIf you would like more information about our services or have questions on a specific country, please contact us as indicated below.

Val Smith Moldova, Netherlands, Romania (most areas of the world, consultancy enquiries).

val@theiwsr.com

Alastair Smith Cyprus, Estonia, India, Latvia, Lithuania, Middle East, Sri Lanka (and consultancy enquiries).

alastair@theiwsr.com

Adam Zdan-Michajlowicz Antingua, Barbados, BVI, Cayman Islands, Grenada, Jamaica, St. Kitts, St. Lucia, St. Maarten, St. Vincent, USVI.

adam@theiwsr.com

Agata Andrzejczak Albania, Belarus, Bosnia and Herzegovina, Croatia, Kosovo, Macedonia, Montenegro, Poland, Serbia, Slovenia.

agata@theiwsr.com

Daniel Mettyear Brazil, Canary Islands, Israel, Namibia, Paraguay, South Africa, Spain, Uruguay and other Sub-Saharan African countries.

daniel@theiwsr.com

Giles Gough Australia, Austria, Egypt, Germany, Hungary, Morocco, New Zealand, Switzerland, Tunisia.

giles@theiwsr.com

Guy Shingles Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, Portugal.

guy@theiwsr.com

Humphrey Serjeantson Haiti, Italy, Malta. humphrey@theiwsr.com

Jose Luis Hermoso Belgium and Luxembourg, Burma, Cambodia, France, French Guiana, Guadeloupe, Indonesia, Laos, Malaysia, Martinique, Mexico, Philippines, Singapore, Thailand, Vietnam.

joseluis@theiwsr.com

Konstanze Kugler Armenia, Azerbaijan, Czech Republic, Denmark, Finland, Georgia, Ireland, Kazakhstan, Kyrgyzstan, Norway, Slovakia, Sweden, Tajikistan, Turkmenistan, Uzbekistan.

konstanze@theiwsr.com

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Still light wineStill light wine includes wine that is made by the fermentation of grapes up to a strength of 15%. This section also includes perle/frizzante wines (slightly carbonated wine), such as lambrusco. However, Austrian frizzante wine is included in sparkling wine as it more accurately refers to normal sparkling wine. Total markets volumes are broken down by country of origin, but not by grape type. The markets are split by colour, and each country of origin by price point.

Sparkling wine Sparkling wine covers Champagne and other sparkling wine.

y Champagne is a generic term referring only to sparkling wines from the Champagne region of France.

y Other Sparkling covers all wines not classed under Champagne, and would cover wines usually produced by one of the following methods:

» Traditional method (Méthode Champenoise): where fermentation has taken place in the bottle.

» Transfer method (Cuvée Close/Charmat): bulk fermentation which is then subsequently bottled.

» Carbonated: where wine has had gas added to make it sparkle. (Inevitably in some markets, such as Italy, where no clear statistics exist, some carbonated wine is included under still light wine).

y Other sparkling is split between flavoured sparkling wines and traditional sparkling wines. All markets are broken down by country of origin, but not colour/grape type.

Fortified wineThese wines are still light wines which have had alcohol/spirits added to fortify them, i.e. increasing their strength to between 16% and 22% abv.

y Sherry refers to fortified wine made in, and only in, the Jerez region of Spain. y Sherry-style refers to wine made in a similar way as sherry, but which is not from Jerez. The key countries producing this sort of wine are the US, Australia, Cyprus, South Africa and New Zealand.

y Port refers to the fortified wine made in the Upper Douro region of Portugal, shipped from the port of Oporto, and fortified by the addition of Portuguese grape brandy.

y Port-style wine refers to wine made in a similar way as port, but which is not from the Douro region. The key countries producing this sort of wine are the US, Australia, Cyprus, South Africa and New Zealand.

y Madeira refers to wine produced on the island of Madeira, perceived as a similar, but distinct product.

y Other fortified wines refers to all other fortified wines often defined by their region of origin. Some of the major types are listed below:

Product definitions

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Type Country of OriginHanepoot South AfricaKommandaria Greece, CyprusMarsala ItalyMalaga SpainMalmsey South AfricaMavrodaphne GreeceMontilla SpainMuscat Samos from Greece, Setubal from PortugalPineau and Flocs FranceVin de Liqueurs FranceVin Doux Naturel France

Light aperitifs Covers a range of drinks that are drunk as aperitifs, but which are not spirits-based. There are three groups:

y Vermouth, which refers to wines that have been flavoured with herbs, such as juniper, coriander, cloves, wormwood, etc. This would include brands such as Cinzano, Martini, Noilly Prat and Riccadonna, among others.

yWine aperitifs covers products similar to vermouth, but which are made by a different process of flavouring. Brands such as St Raphael, Dubonnet, Byrrh, Ambassadeur and Rosso Antico would be covered by this category.

y Fruit-based aperitifs are similar to the above, but are fruit-, not grape-, based. Key markets include Scandinavia, Canada and France.

Other winesRefers to all other wine products that have been fermented, not distilled.

Such products include: y Rice wine: Usually made in various Asian countries, but most notably sake in Japan and similar products in South Korea and China.

y Fruit wine: made from berries (usually) or cherries, and would include wine flavoured with fruits/spices such as sangria and glühwein.

This category is also a ‘catch-all’ category which includes products that are not easily categorised in any of the above definitions.

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Whisk(e)y y Scotch whisky refers to whisky made only in Scotland. Malt Scotch refers to whisky made with the malt content from a single distillery, but only of malted barley, whereas blended Scotch refers to whisky made from more than one distillery or, more normally, blended with grain whisky.

y US whiskey refers to whiskey made in the US. Bourbon is whiskey made in Bourbon county, Kentucky. Other US whiskey covers Tennessee whiskey and all other US-made whiskies, including corn and rye whiskey.

y Canadian whisky refers to rye whisky made in Canada. Other Canadian whisky refers to all other Canadian-made whisky.

y Irish whiskey refers to whiskey made in Ireland (south and north). Malt Irish whiskey refers to whiskey normally made by a single distillery; blended Irish whiskey to whiskey malt and grain whiskey blended together.

y Other whisky refers to any locally made whisk(e)y not mentioned above. This would include Japanese, Indian, Spanish, French, German and Brazilian whisky, among others. To differentiate Other Whisky, either look in the brand tables in the Adobe Acrobat PDF reports, or select the ‘Origin’ field in ProfilerPlus or the IWSR’s Query System alongside type and/or category level.

Gin/geneverRefers principally to juniper-flavoured spirits. The distinction between gin and genever reflects different manufacturing processes. Gin, or London Dry, is made from rectified (pure) spirits, whereas genever/geneva, bypasses this initial process, and therefore retains some of the taste of barley, malt and grain.

y Gin is split between flavoured high-strength gin and traditional gin, which draws a distinction between a high-strength gin, which has some extra flavouring (such as Gordon’s and Seagram Twist, which have a mild flavour of lemon) and those gins that do not.

y Genever (if Dutch or Belgian) is categorised as either jonge or oude. This classification does not reflect an ageing process, but simply describes two slightly different processes, one of which is the ‘older process’ and one which is the newer or ‘jonge’ process. Other genever refers to genever which is not described as either jonge or oude, the bulk of which will be Argentinian or Canadian-made genever.

y Other juniper-flavoured includes similar drinks to gin and genever. Steinhager and wacholder are made in Germany and are juniper-flavoured. Borowicka is Slovakian. Other Other juniper-flavoured will be all other juniper-flavoured drinks.

Vodka y Vodka is a clear neutral spirit normally made from grain or potatoes. Vodka is divided into traditional vodka and flavoured high-strength vodka. Both refer to brands with an abv of 37% and over.

y Flavoured high-strength vodka normally refers to flavoured varietals of well-known brands, such as Smirnoff Twist, Absolut Citron, etc. It also includes brands, such as Zubrowka (a Polish vodka flavoured with bison grass) or Jarzebiak (flavoured with rowanberries). The flavoured vodkas do not include low-strength brands, such as Ursus Roter, Eristoff Roter, Keglevich and Artic, etc. These are included as a sub-section of liqueurs due to their alcoholic strength of normally under 24%.

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Tequila y Tequila is divided between traditional tequila and mezcal. Traditional tequila is divided between gold (which covers reposado, añejo, etc.) and white (which covers silver tequila).

National white spiritsThis category covers white spirits not mentioned elsewhere. These tend to be largely national spirits. Principal among these are:

y Shochu/soju which are distilled rice products made in Japan/South Korea respectively. y Baijiu is a spirit from China, usually made from distilled sorghum, but can be made from glutinous rice or other grains.

y Aquavit/akvavit/akevitt is usually made and consumed in Scandinavia, made in a similar way to vodka. The spirit is then flavoured with herbs, spices, caraway seeds, cardamon, cumin, fennel, lemon and orange peel.

y Korn/schnapps is a neutral spirit made, as the name suggests, from fermented corn, and is usually found in Germany. This category includes korn made from corn at 32% abv, doppelkorn at 38% abv, and klarer schnapps made similarly but from other cereals. This category is almost entirely drunk in northern Germany – usually drunk straight and chilled.

RumRum and cane are essentially distilled fermented sugar cane (molasses). y Rum is classified by white, dark/gold, spiced, other flavoured and rum verschnitt. The white/dark/gold classification refers to the colour of the rum; in young rums this is determined by the amount of caramel added to the distillate. Spiced rum refers to brands such as Captain Morgan Spiced and Bacardi Oakheart, other flavoured includes brands such as Bacardi Limon, but not Malibu, which is a much lower-strength product and is therfore included in liqueurs. Rum verschnitt is rum stretched by adding different spirits and/or rum essence.

Cane y Cane is divided between cachaça, the Brazilian-made cane spirit, and cane spirits made elsewhere in the world.

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BrandyCognac/Armagnac: Cognac refers only to brandy made in the delimited areas of (the Charente and Charente-Maritime) provinces of western France, and which meets certain criteria as to grape types and ageing. Armagnac comes from the Armagnac region in south-west France.

Other brandy is divided between:

y Grape brandy, which covers brandy made outside Cognac or Armagnac, i.e. (other) French, Spanish, Italian brandy, etc. To segment this category use ‘Country of Origin’ in ProfilerPlus on www.theiwsr.com, or look in the individual sections of the country reports.

y Grape EDV covers eaux-de-vie made from the remnants of the grape once it has been pressed and the juice extracted (i.e. the grape skins). Sub-categories in this category include orujo (Spanish EDV), grappa (Italian EDV), fine (Belgium EDV), marc/lie (French EDV), pisco (Chilean, Peruvian EDV), singani (Bolivian EDV).

y Other other brandy refers to a category of drinks that does not strictly fit into the above, but nonetheless competes directly with brandy. These drinks usually have brandy as a base or flavour and are stretched by the addition of alcohol, i.e. vieux (Dutch), vinjak (Yugoslavian) and rakia (Bulgarian).

y Other base brandy refers to drinks made from a base spirit to which brandy essence has been added, as opposed to brandy verschnitt, which is brandy stretched by the addition of alcohol and grape flavouring.

Flavoured spiritsLiqueurs y Traditional high-strength liqueurs groups liqueurs with an alcoholic strength of around 40%. They can be made from fruit, herbs or roots with the base spirit varying by brand. Brands such as Chartreuse, Bénédictine, Southern Comfort, Drambuie, Glayva, Grand Marnier, Cointreau, etc., are included in this sub-section.

y Amaretti liqueurs are of Italian origin and refer to drinks made or flavoured with almonds. y Ranges are ranges of products marketed under the same manufacturer’s name and styling, i.e. Bols, Marie Brizard, De Kuyper and Cusenier. They encompass a wide range of different products including Triple Sec/Curacao, as well as cherry and apricot brandies and Crème de Menthe (mint-flavoured), among many others.

y Coffee liqueurs represents coffee-flavoured liqueurs, i.e. Tia Maria and Kahlúa. y Cocktail/punches includes pre-mixed imitations of well-known bar cocktails, while punches are rum-based cocktails.

y Cream liqueurs are cream and spirit liqueurs which would include brands like Baileys and Carolans.

y Cassis are blackcurrant alcoholic cordials, normally used for mixing with wine or sparkling wine. The category would also include variants made from raspberries, blackberries and myrtle.

y Advocaat/egg liqueurs are thick egg-based liqueurs, normally of an abv at or under 18%. These are normally made with brandy and egg yolk.

y Ponche/cremas includes Spanish ponche, which is a fruit-flavoured, brandy-based liqueur, and ponche cremas, which are emulsified fruit-flavoured drinks.

y Maraschino liqueurs are based on maraschino cherries. y Rompope is a liqueur which is emulsified to give it a cream-like appearance. y Licorette are very low-strength Dutch liqueurs (normally around 14% abv) created to by-pass tax regulations.

y Low-strength flavoured genever, korn, lemon brandy are low-strength (mostly around 16% to 18% abv) variations of their full-strength counterparts. Low-strength flavoured

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vodka perhaps causes the most confusion. Brands such as Absolut Citron, Stolichnaya Pepper, Smirnoff Twist and Finlandia Cranberry are full-strength vodkas (at 38% to 43% abv), which are mildly flavoured by lemon, lime, pepper, etc. Low-strength vodkas are brands in their own right, with an alcoholic strength of between 16% to 22% abv.

y New-style lemon brandy is a unique Dutch spirit. y New-style lemon liqueurs – Limonetti is a unique traditional Italian speciality only recently branded on a significant scale.

y Other liqueurs refers to all other liqueurs not mentioned above, such as Malibu, Frangelico, Passoa and Archers, etc.

Bitters/spirit aperitifs A category of spirits flavoured with bark, roots and herbs, which can be of widely varying alcoholic strength. The unifying factor is their bitter taste. Further categorisation is made based on the respective roles that different brands fulfill, with some drunk before a meal as an aperitif and others afterwards as a digestif. The most widely known digestifs are Underberg, Fernet-Branca, Gammel Dansk, Becherovka and Jägermeister.

Well-known aperitifs would include Campari, Vargtass, Picon, Cinzano Bitter and Martini Bitter. The category also includes spirit aperitifs such as Pimm’s.

Aniseed Aniseed-flavoured refers to the underlying flavour of aniseed. This set of drinks is categorised between dry and sweet. y Dry aniseed includes pastis/anis of French origin, ouzo of Greek/Cypriot origin, raki (which is Turkish), absinthe, arak/arrack. They taste very similar and are usually drunk with water. Absinthe is also included in this sub-section.

y Sweet aniseed drinks are much more liqueur-type drinks. Sambuca is of Italian origin, but can be made elsewhere. Anis/dulce is essentially anisette. Pacharan is a Spanish product, which is aniseed- and sloe-flavoured.

Fruit eaux-de-vieDrinks which are distilled directly from fruit.

y Calvados is the French distillate from apple made in the Normandy region. y Other fruit eaux-de-vie would include all other distilled fruit products. In some countries the category also includes some products that are neutral spirits flavoured with the fruit essence.

Other spiritsIs the final ‘catch-all’ where all other spirits, not classified elsewhere, are included.

Mixed drinks y Pre-mix cocktails y Long drinks y FABs y All of these categories are then split into brand line extensions and non-brand line extensions.