Allied Blenders plans three luxury brands for larger market share

The company also announced its acquisition of a 51 per cent stake in Good Barrel distillery, which produced Rock Paper rum, thus foraying into a new category

Allied Blenders and Distillers, the makers of Officer’s Choice whiskey, is eyeing a larger segment of the prestige and above segment of the alcobev market, with plans to launch at least three new luxury brands this year. 

 

The maker of Zoya gin and Arthaus whiskey has strengthened its luxury portfolio in the last few months with several acquisitions. After partnering with Russian Standard vodka in October last year, the company announced the expansion of Woodburns Indian malt into the super premium whiskey segment in the December quarter. 

 

The company announced its acquisition of a 51 per cent stake in Good Barrel distillery, which produced Rock Paper rum, thus foraying into a new category. “We are working to realign our portfolio to be in line with the consumption trend. We have a strong presence in mass and premium and in the prestige and affluent whiskey segment. Our challenge has always been on the premium and luxury, so that is what we want to focus on. It contributes roughly 3 per cent of total cases and more than 20 per cent of industry profit,” Alok Gupta, managing director, Allied Blenders and Distillers, said.

 

“We are now looking at another three brands to be rolled out over the next few quarters, which will help us have an entire portfolio of eight brands within this calendar year,” he added. 

 

The prestige and above segment contributed 42 per cent to the company’s total volumes in the December quarter, up from 37.9 per cent in the year-ago period. 

 

The segment saw a growth of 13.3 per cent in the third quarter, while the mass segment grew by 3 per cent. 

 

Talking about the ongoing quarter, Gupta said the company expects to see the same trend continue with a double-digit growth in volumes.

 

The company is also looking to venture into the Indian single malt category with a new brand by 2030, while also expanding its international business. 

 

“We are aiming to grow to 30 countries in the upcoming financial year, up from 22 currently,” Gupta added. 

 

In its third quarter results announced last week, the company reported a net profit of Rs 57.46 crore, up from a loss of Rs 4 crore in the year-ago period. Meanwhile, its revenue grew 12.9 per cent to Rs 2,342.38 crore in the Q3FY25.