Fever-Tree tonic sales surge during COVID-19

September 10, 2020
By Alana House

Fever-Tree tonic sales have seen huge growth in Australia through retail channels such as Coles and Woolworths in HY20.

In Coles, Fever-Tree saw retail value sales up 92% year-on-year at the end of the half, accounting for half of all tonic retail value growth.

In Woolworths, the sales of Fever-Tree tonic increased by 144%, contributing to more than a quarter of total tonic sales.

The sales boom reflects the increase in at-home consumption seen during COVID-19, with Fever-Tree’s interim results showing local growth driven by strong performance in retail and off-trade during the first half of the year.

Premium tonic has for the first time passed mainstream tonic to be the largest segment by value of the multi-pack tonic category. Fever-Tree now accounts for 60% of all premium tonic retail sales value over this period.

In line with the continued growth of the gin category ahead of other spirits, consumption of gin and tonics continues to grow with more than 160 million serves expected to be consumed per year by 2022, representing a 55% increase from 2018.

Locally, mixers remain the fastest growing category within soft drinks and the first half of the year has seen Fever-Tree drive the majority of this growth, with tonic sales leading the way with 43% across scan grocery and distribution growth into Harris Farm as well as extended distribution across BWS and Coles Liquor Group.

“The COVID-19 pandemic has provided many challenges in the first six months, but I am delighted with how Fever-Tree has performed,” said Andy Gaunt, General Manager, Fever-Tree Australia and New Zealand.

“Australia is experiencing a real boom in gin & tonic demand, and more and more people are mixing theirs with Fever-Tree. We are seeing strong premiumisation trends in both mixers and spirits, enabling us to drive strong sales growth, particularly with the leading retailers in the country.

“Fever-Tree is the second largest tonic brand in Australia and we continue to see great growth potential.

“With consumers’ appetite for mixing long drinks at home proven through lockdown and with the on-trade beginning to re-open, we expect even more Australians to discover their appetite for mixed drinks in the upcoming summer months and we look forward to being their mixer of choice as they reach for premium products, made from the best ingredients.”

Fever-Tree bolsters its local team

Carl Willuweit has joined the Fever-Tree team in Australia as National Commercial & Business Development Manager to lead the commercial development of the brand alongside SouthTrade International in liquor channels and DKSH in grocery.

Willuweit brings great experience from across alcohol and mixers, having previously worked for Lion, Schweppes and recently Young Henrys.

Fever-Tree brand ambassador Trish Brew

He will join the local team alongside Marketing Manager, Caroline Wood, Brand Ambassador Trish Brew (above) and General Manager Andy Gaunt.

“2020 will be the biggest year yet for Fever-Tree Australia with an intense summer of activity,” Gaunt said.

The spirits leading growth in the ‘COVID quarter’

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