Fever-Tree, the world’s #1 premium mixer brand and the leading premium mixer brand in the U.S., announces a trading update for the year ending December 31, 2020, ahead of reporting its Preliminary Results on March 18, 2021.
In the U.S., revenues increased +23%, driven by an accelerated off-premise performance, with Nielsen reporting +57% growth for the full year. The U.S. results played a key role in driving the company’s overall resilient global revenue performance of £252 million ($346 million) in 2020.
Sales of the core Tonics and Ginger Beer both saw excellent growth, supported additionally by the U.S. launch of Fever-Tree Sparkling Pink Grapefruit, the company’s most successful innovation to date.
The Fever-Tree brand continues to drive mixer category growth in the U.S., supported by increased premium spirits consumption, especially in the Tequila, Whiskey and Gin segments with DISCUS, the U.S. spirits industry trade body, confirming that 2020 was the strongest year of spirits growth since 2006, with overall growth of 7.7% versus beer, which grew at 1.4%
The U.S. result was particularly encouraging, given the very strong comparators from the second half of 2019 and is testament to the strength of Fever-Tree’s off-premise and e-commerce performance amid widespread on-premise restrictions during the year.
In the UK, off-premise sales increased by approximately 20% compared to 2019, and Fever-Tree finished the year as the clear market leader with a value share of 40%.
The global pandemic led to a sustained shift to at-home consumption across the world resulting in the growing interest in making long, mixed drinks at home, which alongside the continued investment in marketing spend, attracted more consumers to the brand, driving further trial and adoption opportunities.
“I am very proud of how the Fever-Tree team has responded over the course of 2020 and the results that we have delivered,” said Tim Warrillow, CEO of Fever-Tree. “The last twelve months have highlighted the strength of the Fever-Tree brand amongst our consumers and customers as well as the fantastic team and partners we have in place. We made a conscious decision not to furlough any of the team while continuing to invest in the opportunity ahead and this has positioned us well as we look beyond the current uncertainty.”
“It’s fantastic to see the acceleration of Fever-Tree consumption as U.S. consumers continue to premiumize their drinking experience, in particular during lockdown. Our heartfelt thanks to our distributor and retail partners for all their efforts in supporting our business during these extraordinary times,” said Charles Gibb, CEO North America of Fever-Tree. “The launch of Fever-Tree Sparkling Pink Grapefruit, expertly crafted for the low-cal Paloma, has mirrored the exceptional growth of Tequila, and generated an additional pillar for future growth for the business, while our core Tonic and Ginger Beer portfolios have accelerated their growth to strengthen our position as the leading premium mixer in the U.S.”