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Beer and pink gin help fuel rise in Diageo GB Sales

Published:  26 July, 2018

Diageo has seen its annual GB sales rise by 8% helped by its core gin and beer offering and ‘innovative’ NPD including pink gin.

The global drinks giant’s preliminary results for the year ending 30 June 2018, revealed its Gordon’s, Guinness and Tanqueray brands had performed well throughout the year.

“In gin, Tanqueray’s popularity continues to grow, gaining share in the category and delivering strong double digit net sales growth,” Charles Ireland, general manager, Diageo Great Britain, Ireland and France, said.

“We have continued to successfully innovate during the year, with Gordon’s Pink Gin attracting new consumers to the Gordon’s brand and Tanqueray Flor de Sevilla tapping into the consumer interest in flavoured gin.

“Since January we’ve showcased a host of new campaigns and innovative marketing to reach more consumers. In May Gordon’s launched the first ever TV campaign for Gordon’s Pink Gin and in March Guinness hosted its first Open Gate Bar at London Beer Week.”

Elsewhere, Guinness net sales increased 8% and gained 30bps of share in the beer category, driven by a strong performance in Guinness Draught and Hop House 13 Lager, the company said.

Scotch net sales were up 6% mainly driven by scotch malts and Johnnie Walker.

“I was particularly delighted to see the launch of the Johnnie Walker ‘My Edition’ online pilot, a whisky personalisation experience that enables consumers to discover the wide range of flavours found in Johnnie Walker whiskies,” Ireland added.

However, Smirnoff vodka sales declined 2%.

Fiona Cincotta, a senior market analyst at City Index said the release of the new pink variant of Gordons had helped the juniper berry liquor stay “in vogue in the UK”.

“Management has made excellent progress in recent years getting costs under control,” she added.

“Crucially, though, they haven't stopped investing in the powerful brands by which Diageo will live or die.”



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