Pernod Ricard launches new gin division

Pernod Ricard has created a new specialist gin division to capitalise on the booming popularity of the spirit. 

The Gin Hub will focus on Pernod’s largest gin brands - Beefeater, Plymouth and Seagram - with Sophie Gallois, previously global marketing director for Chivas Brothers, as its managing director.

The group’s gin brands previously sat under the Chivas Brothers umbrella, the brand company for its Scotch whiskies.

The decision to spin off the gin brands was promoted by the incredible growth the category has experienced in recent years, particularly in the UK, which exported £474 million worth of gin last year, according to the Wine and Spirits Trade Association. WSTA estimates that exports will hit the £500m mark before the end of 2017.

Last week, in fiscal full-year results, Beefeater Gin posted a 5% lift in sales on a 4% volumes rise, which it said had been driven by emerging markets including Germany, Greece, Italy, Mexico, South Africa and France.

“Gin is the fastest growing spirits category, and premium gins are growing faster than bourbon and tequila,” said Gallois (above) at an event to launch the concept in London.

“We really think this growth is going to continue for the next few years and that gin has a lot of room room to develop. To grab this opportunity, we thought Pernod Ricard needed to work differently. The Gin Hub will bring all of our strategic gin brands under one roof. This really is a great move that’s going to give more focus to gin with three key objectives; the co-ordination of brands, to work differently, and to win market share. We are going to be working in a more agile, entrepreneurial way.”

New gin on the way for Pernod

Gallois explained that the hub would be focused on innovation to target millennials and Generation Z.

She also revealed The Gin Hub will launch a new gin product next month.

“It’s an incredibly exciting time in the industry; the category is booming and we are eager to build on the strong, pioneering heritage of our renowned gins,” added Gallois.

Earlier this week, Daniel I’Anson, brand engagement and advocacy manager at Pernod Ricard, noted that gin was "a very noisy category at the moment" due to the many brands - particularly craft - being launched.  

"I think you need to be clear about what your message is to cut through the noise," he said.