Rum Global Market Report 2024

Rum is an alcoholic liquor crafted from fermented sugarcane juice, sugarcane syrup, sugarcane molasses, and other by-products of sugarcane. The manufacturing process is designed to ensure that the distillate possesses the flavor, fragrance, and characteristics commonly associated with rum, often comprising a blend primarily of such distillates.

The main categories of rum include white rum, gold rum, dark rum, spiced rum, and others. White rum, also known as clear or light rum, lacks color, and any hue is typically filtered out after aging for one or more years. The nature of rum can be categorized into organic rum and conventional rum, with these varieties being sold through business channels such as offline trading and online trading.

The rum market research report is one of a series of new reports from The Business Research Company that provides rum market statistics, including rum industry global market size, regional shares, competitors with rum market share, detailed rum market segments, market trends, and opportunities, and any further data you may need to thrive in the rum industry. This rum market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The rum market size has grown strongly in recent years. It will grow from $13.94 billion in 2023 to $14.74 billion in 2024 at a compound annual growth rate (CAGR) of 5.7%. The expansion observed during the historical period can be attributed to robust economic growth in emerging markets, the increasing disposable income of consumers, the growth of e-commerce, the expansion of the tourism industry, and advancements in brewing technology.

The rum market size is expected to see strong growth in the next few years. It will grow to $18.05 billion in 2028 at a compound annual growth rate (CAGR) of 5.2%. The anticipated growth in the forecast period can be attributed to the increasing popularity of flavored rums, the rising demand for cocktails, the growing population, increased consumption of alcoholic drinks, and the heightened demand for gluten-free beverages. Key trends expected during the forecast period include a focus on product innovation, an emphasis on premiumization and craft offerings, attention to heritage and origin, innovation in rum cocktails and mixology, the use of innovative marketing campaigns, and a focus on strategic partnerships within the rum industry.

The anticipated growth of consumer disposable income is poised to drive the rum market in the forthcoming years. Consumer disposable income, defined as the remaining cash available after deducting income taxes, significantly influences alcohol consumption, particularly in the rum sector. An upswing in disposable income correlates with increased rum consumption, as evident in the USA, where disposable personal income rose by 2.0% in January 2023 compared to December 2022. The surge in consumer disposable earnings is identified as a key driver propelling the growth of the rum market.

The escalating demand for e-commerce is projected to fuel the expansion of the machine vision market in the foreseeable future. E-commerce, a digital platform for buying and selling goods and services, offers enhanced convenience, accessibility, and growth opportunities for the rum industry. The United Kingdom, for instance, witnessed a significant increase in consumer eCommerce, accounting for 30% of the overall retail industry and generating over $120 billion in yearly sales in September 2022. With 82% of the UK population making online purchases in 2021, the surge in e-commerce is recognized as a driving force behind the growth of the machine vision market.

Product innovation stands out as a prominent trend gaining traction in the rum market, with major companies concentrating on creating innovative products to fortify their market position. Bacardi Limited, a leading spirits firm, exemplifies this trend by launching Bacardi Caribbean Spiced rum in March 2023. This premium spiced aged product features a unique blend of heavily aged rum foundation, coconut blossom sugar, pineapple, and coconut water, infused with cinnamon and vanilla. Such innovative offerings contribute to the evolving landscape of the rum market.

Major players in the rum industry are placing a strong emphasis on strategic partnerships. For instance, in May 2023, Pa'lante Rum, a premium Mexican rum crafted in the Cuban tradition, secured the prestigious title of the Official Rum Partner for Orlando City SC and the Orlando Pride, esteemed American professional soccer clubs based in Orlando, Florida. This innovative partnership aims to immerse fans in authentic Latin experiences, allowing Pride and Lions enthusiasts to savor Pa'lante's White Rum and 8-year Dark Rum in various beverages, including the Lion's Pride Mojito, a delightful berry-infused mojito available on tap at select concession stands within Exploria Stadium. Additionally, Pa'lante rum will be showcased at the Mane Street Plaza, presented by Publix, providing fans with opportunities to sample its superior quality during several events throughout the season. The collaboration extends to CITYiD Patch of the Match offerings, integration with local artists in the Central Florida area, and the role of Associate Sponsor for the Club's pub partner program throughout Greater Orlando, enhancing the fan experience during watch parties.

In January 2023, Brown Forman Corporation, a prominent US-based manufacturer of alcoholic beverages and spirits, completed the acquisition of Diplomatico Rum for a substantial $0.725 billion. This strategic acquisition significantly bolsters Brown Forman's super-premium product line, catering to the discerning tastes of global spirits consumers. The deal not only expands Brown Forman's portfolio but also welcomes over 100 new employees into its fold. Diplomatico Rum, a distinguished manufacturer of super-premium and ultra-premium rums based in Venezuela, adds its world-renowned offerings to Brown Forman's impressive lineup, marking a significant move in the ever-evolving spirits market.

Major companies operating in the rum market report are Bacardi and Company Ltd., Diageo PLC, Pernod Ricard, Radico Khaitan, LT Group Inc., Suntory Holdings Ltd., Davide Campari-Milano N.V., Edrington, La Martiniquaise, Remy Cointreau Group, Shanghai Rum Lift Co. Ltd., Shandong Yuncheng Ruisheng Glass Co. Ltd., Kweichow Moutai Co. Ltd., Rum Co. of Fiji, Beenleigh Artisan Distillery, Plantation Rum, Pusser's Rum, The Kraken Rum, Neptune Rm, Duppy Share, Beluga Group, JSC Ussuriyskiy Balsam, Podlaska Wytwornia Wodek, Polmos S.A., Polmos Lancut, Bayadera Group, Obolon, Deadhead Rum, Ten-to-One, Wilderness Trail Distillery, Richland Rum, Siesta Key Rum, Ron Santa Teresa, Cachaca Leblonare, Destilerias Unidas S.A., Diplomatico Rum, Accolade Wines, Halewood International Limited

Asia-Pacific was the largest region in the rum market in 2023. Europe was the second-largest region in the rum market in 2023. The regions covered in the rum market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the rum market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The rum market consists of sales of standard, agricole, naval strength, overproof, black, and premium aged rums. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Rum Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses on rum market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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• Measure the impact of high global inflation on market growth.
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Where is the largest and fastest growing market for rum? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The rum market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include:

The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.

The impact of higher inflation in many countries and the resulting spike in interest rates.

The continued but declining impact of covid 19 on supply chains and consumption patterns.

• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.

Scope

Markets Covered:

• 1) By Rum Type: White Rum; Gold Rum; Dark Rum; Spiced Rum; Other Rums
• 2) By Nature: Organic Rum; Conventional Rum
• 3) By Distribution Channel: Offline Trading; Online Trading
• Companies Mentioned: Bacardi and Company Ltd.; Diageo PLC; Pernod Ricard; Radico Khaitan; LT Group Inc.
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
• Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
• Delivery Format: PDF, Word and Excel Data Dashboard.