Pernod Ricard set to increase its sales on the continent as it launches Glenlivet in the Kenyan liquor market
Parisian alcoholic beverage enterprise, Pernod Ricard, the maker of Glenlivet, a premium single malt scotch, has decided to launch the scotch into the Kenyan alcoholic market. Glenlivet has enjoyed favorable patronage from the United States of America, Taiwan, United Kingdom, Canada, India, Australia, France, Japan, Germany and South Africa. As of 2014/2015, Pernod Ricard had consolidated sales for up to € 8,558 million.
The emergence of Glenlivet in Kenya is actually good business for the scotch maker, Pernod Ricard, as Kenya has been recorded in the past as one of the highest consumers of liquor on the African continent. Business Daily Africa suggests that data from the Scotch Whisky Association (SWA) shows that Kenyans consumed scotch worth Sh480 million in 2014, which makes them a favorite in the area of scotch consumption. In the past, Kenya has been tipped to be one of the top beer consuming countries in Africa, after Nigeria and Uganda, consuming as much as 9.72 liters per year.
A statement by the Scotch Whiskey Association’s Director of International Affairs, Campbell Evans, to Business Daily Africa, indicates that as economic growth improves in Kenya, scotch consumption will be on the increase as well. “The market is developing and consumers are learning more about Scotch whisky. In addition, better enforcement of the tax system helps to ensure legitimate traders are able to invest in brands and retail sales”, he said.
Also, Douglas Duncanson of the East African Breweries Limited, brand ambassador, believes the consumption of scotch in Kenya is a class thing. “Nairobi, itself, is experiencing a surge of whisky consumption where Scotch is an aspirational drink”, he said. The love Kenyans have for spirits has even led EABL to inaugurate a Love Whisky Kenya festival, a 3 month long celebration of whisky brands in the country.
The Kenyan market promises to be a valuable asset for Pernod Ricard due to the fact that existing distilleries in Kenya like Diageo are recording an increase in scotch sales, especially as middle class incomes improve. According to Euromonitor International data, Kenya’s social class is projected to grow to 28 per cent from 2011 to 2020, which is one of the highest forecasts in the world. This means that more people will seek luxury brands and if scotch is on high demand, Kenyans will purchase one of the best scotch brands available. Glenlivet sells for as much as $85 (Sh8,682).
Pernod Ricard is about to experience huge sales on the continent with its Glenlivet scotch as whisky in Kenya appeals to both the affluent and the middle class in the country due to its elegance and prestige. In another SWA report specifically focused on scotch consumption, Kenya was said to have experienced scotch exports that stood at £3.37 million (Sh479 million) in 2013.