Bagpiper changes the tune in whisky market

Overtakes Mae Kong  and Johnnie Walker to become the world’s best-selling brand.

MUMBAI: A big ticket billion dollar foreign acquisition may still be a long way off for UB Spirits, but its flagship whiskey brand, Bagpiper, has displaced global mega brands like Mae Kong, a Thai whisky brand, and is pushing premium whisky Johnnie Walker to the third place.

Unveiling the latest landmark achieved by Bagpiper, the company said the largest selling brand of United Spirits Limited (USL) has become the world’s largest selling whisky. Bagpiper clocked volume sales of over 10 million cases in 2005, a record feat achieved by the brand which is celebrating its 30th anniversary.

While Bagpiper outsold its illustrious peers, it is still far behind leading foreign brands in terms of revenues generated by sales of the multi-millionaire spirit brand.

Bagpiper’s volumes jumped 44% Y-O-Y from 7.34 million cases in 2004 to 10.54 million cases in 2005, as compared to Mae Kong, which has recorded a negative growth and Johnnie Walker, which has grown by just above 4%.

In India, the brand commands over 30% market share in the regular whisky segment, more than twice its closest competitor.

Meanwhile, the UB group’s Rs 3,600-crore spirits arm has indicated that its plan to acquire a leading UK spirits brand may take a while to reach a logical conclusion.

Confirming this, A Capoor, COO, USL, said, "The UK acquisition plan has failed for now and we have opted out. Instead, we are looking into other options as the company has decided to acquire a overseas company this fiscal itself."

The Vijay Mallya-controlled USL is planning to merge all its companies that include McDowell and Shaw Wallace under USL, by the end of June. "We will merge the spirit business under a single entity. It will result in unlocking value and exploiting the potential of the group," Capoor said.

S D Lalla, joint president, USL, said, "This achievement would not be possible without the loyalty of millions of consumers that has been the cornerstone of the brand’s success over the years."

USL is the world’s third largest alcoholic-beverage manufacturing and marketing company. It has more than 100 brands spanning across flavours (whisky, rum, brandy, gin, vodka, wines) and includes some of the fastest growing spirits brands in the world like Celebration Rum, Bagpiper, McDowell’s No.1 whisky, Green Label whisky, Director’s Special whisky, Royal Challenge and Signature whisky.