Cognac Market Size, Share, and Growth Analysis

Cognac Market By Grade (V.S., V.S.O.P.), By Distribution Channel (On-Trade, Off-Trade), By Price Range (Premium Cognac, Super Premium Cognac), By Region -Industry Forecast 2025-2032


Report ID: SQMIG30E2047 | Region: Global | Published Date: January, 2025
Pages: 184 |Tables: 88 |Figures: 71

Format - word format excel data power point presentation

Cognac Market Insights

Global Cognac Market size was valued at USD 4.45 Billion in 2023 and is poised to grow from USD 4.61 Billion in 2024 to USD 6.07 Billion by 2032, growing at a CAGR of 3.5% in the forecast period (2025-2032).

The rise is, however, attributed to growing disposable incomes in emerging nations since it increases the customers' spending abilities on high-end alcoholic beverages. The phenomenon of "experiential drinking" and rising popularity of artisan goods amongst millennials is also supportive to the global cognac market growth. Furthermore, innovative marketing strategies and wide varieties of products by known firms strongly attract new customers and that is pushing the expansion of this market. Furthermore, exceptional quality of cognac plays a significant role in the growing demand for cognac. The exact distillation procedure, strict laws, and skill of master blenders makes cognac a premium option for connoisseurs. It is thus positioned as a premium product by these attributes and its exclusivity and legacy, fueling demand in both existing and new countries. Moreover, the market is expanding due to the increasing income levels of the general population and raising demand for luxury spirits across the globe. Furthermore, the increasing demand for cognac as a collectible makes it more attractive to buyers who value rarity and uniqueness, which further pushes the market growth. As manufacturers experiment with novel aging techniques, blends, and tastes to appeal to a broader spectrum of customers, product creation is becoming more inventive, which propels market expansion.

Market snapshot - (2025-2032)

Global Market Size

USD 4.45 Billion

Largest Segment

Off-Trade

Fastest Growth

On-Trade

Growth Rate

3.5% CAGR

Global Cognac Market ($ Bn)
Country Share for North America (%)

To get more reports on the above market click here to Buy The Report

Cognac Market Segments Analysis

The global cognac market is segmented into grade, distribution channel, price range, and others. By grade, the market is classified into V.S, V.S.O.P., and others. Depending on distribution channel, it is bifurcated into on-trade and off-trade. According to price range, the market is divided into premium cognac, super-premium cognac, and value cognac. Regionally, the market is studied across North America, Europe, Asia-Pacific, Middle East and Africa, and Latin America.

Analysis by Grade

Based on the 2024 global cognac market analysis, the V.S.O.P. (Very Superior Old Pale) grade accounted for the maximum revenue share of 43.7%, thus leading in cognac sales. Compared with the younger V.S. (Very Special) level, the V.S.O.P. level cognacs spend at least four years inside the oak barrels, that is, longer than enough to make them richer and richer to develop. This aging process allows the existence of further complexity, which makes this very convenient both for casual and connoisseur buyers. The more their customers know about the ageing processes and specific taste profiles used, the greater their respect for premium cognac. So, the demand for this market sector, the V.S.O.P. sector, increases with growing demands and awareness about premium products.

However, the simplicity and versatility of the product make the V.S. (Very Special) category is expected to grow at a compound annual growth rate (CAGR) of 2.2% during the projection period. They have been in business for at least two years and attract a wide variety of customers, from first-time buyers to loyal consumers. Furthermore, the V.S. Grade is highly appreciated in mixology for the cocktail because its taste profile really fits for combining with other ingredients and supporting market growth. In addition, the growing premiumization in the spirits business that is on the spur of consumers, who demand premium commodities at affordable costs, pushes market growth.

Analysis By Distribution Channel

As per the 2024 global cognac market forecast, the off-trade category led the market position with the highest revenue share of 50.1%, owing to its high availability and capacity to offer a variety of products. Convenience, affordable prices, and the possibility for customers to assess several brands and types of cognac at the same location are the key reasons why this segment is highly appealing. Off-trade businesses, such as supermarkets and liquor stores, benefit from having much shelf space since this affords them more options. Regulated consumer traffic to these places is an excellent means of presenting new brands and products to a broad base of consumers. As such, the off-trade sector remains the leader in the market.

Over the forecast period, the on-trade category is expected to lead at the fastest CAGR. The expansion is thus attributed to the rising appeal of online shopping among tech enthusiasts who love shopping from home. It offers wide varieties of cognac including rare and special brands that at times are inaccessible in local stores on on-trade platforms. In addition, it serves as a key direct-to-consumer DTC sales channel for the brands of cognac enabling producers to speak directly to their consumers. These platforms enhance the customer experience by offering comprehensive product data, reviews, and virtual sampling sessions, thereby increasing demand and market growth.

Global Cognac Market By Distribution Channel

To get detailed analysis on other segments, Request For Free Sample Report

Cognac Market Regional Insights

North America accounted for the highest market revenue share with more than 38.8% of the revenue in the year 2024. It endorses a high-consumption culture and makes fine alcoholic beverages a must-have for purchase by consumers. It is mainly popular in the entertainment industry. These luxury and premium spirits have shown strong potential for traction in other market segments. There is also a large distribution network throughout the continent, including liquor stores, supermarkets, and e-commerce sites, through which cognac reaches its market. Robust infrastructure and cultural preferences for quality beverages drive the growth of the market in North America.

Whereas the Asia-Pacific cognac market will grow at a compound annual growth rate (CAGR) of 3.6% during the forecast period. The growth is supported by the area's rising middle class with their rising disposable incomes. Among them, there is clearly witnessed an upward trend in premium and luxury spirits, especially cognac. Along with this is also growing demand for premium segments, specifically XO (Extra Old), of cognac due to their increasing popularity. What is more, cognac continues gaining status as a prestigious commodity both in social and professional life. This trend has resulted in an increase in market share for the region and also the demand for high-end products.

Global Cognac Market By Geography
  • Largest
  • Fastest

To know more about the market opportunities by region and country, click here to
Buy The Complete Report

Cognac Market Dynamics

Drivers

Growing Interest in High-End Spirits

  • Premium and luxury alcoholic beverages, such as cognac, are gaining more and more consumers. As disposable incomes are rising, especially in North America and Asia-Pacific, consumers are willing to pay more for higher-quality products. This trend is growing the market and, as a result, boosting demand for older cognac categories such as XO and VSOP.

Cultural Impact and Entertainment Popularity

  • Through their use in cinema, pop music, and even by celebrities, this has strengthened the reputation of Cognac as symbolizing class and sophistication. Indeed, growing fame in popular culture, which cuts across mostly young consumer sectors, increases more sales on Cognac. The expansion of its scope of social applications and cocktails augments usage thereby reaching beyond classical consumers for higher market demand.

Restraints

Strong Competition from Other Spirits

  • Other premium spirits, including whiskey, rum, and vodka, which have similar qualities and attract a wide customer base, are a serious threat to the cognac market. The demand for cognac will be under pressure because of such substitutes, especially in emerging economies, which would minimize its share in the global cognac market.

Economic Instability

  • Consumers may cut their luxury spending during economic crunches and hard times, that may negatively impact the cognac industry. Luxury spirits, such as cognac, are sometimes considered a luxury that no one needs during uncertain times, and this leads to a cut in consumption. This constraint is especially noticeable, especially in price-sensitive economies where even slight changes in disposable income can affect consumer's purchasing behavior.

Request Free Customization of this report to help us to meet your business objectives.

Cognac Market Competitive Landscape

Some of the companies that lead in the global competitive cognac industry are Hennessy, Rémy Martin, Courvoisier, and Martell. The brands, massive distribution networks, and interest in luxury products give them a considerable market share. Competition can also be attributed to demand for premium and limited editions, where emerging companies try to gain a market share in the industry. Innovation about taste characteristics, packaging, and marketing adds to the forces of competition in the global cognac market.

Top Players in Cognac Market

  • Courvoisier S.A.S.
  • Zino Davidoff
  • E. Rémy Martin & Co.
  • HENNESSY
  • Kelt Cognac
  • Louis Royer
  • MAISON FERRAND
  • Cognac Meukow
  • Pernod Ricard
  • Thomas HINE & Co.
  • Frapin
  • Otard
  • Hardy Cognac
  • Pierre Farrand
  • Camus

Recent Developments

  • The Australian Wine Holdco Limited Acquisition of Pernod Ricard's global wine brand is expected to happen in July 2024. Companies decided to divest to put the wine brands on their own growth trajectories under new leadership without having to worry about Pernod Ricard being too preoccupied with its core alcohol beverages business. The deal would be closed in the first half of 2025; it is developing as Pernod Ricard's strategic play on how it adjusts to consumer preferences and market dynamics for alcoholic beverages.
  • After three years of renovation, the acclaimed house Rémy Martin reopened its historic store in the center of Cognac in April 2024. The project was conceived and developed so that it conserved the heritage of the house while incorporating its contemporary and creative spirit and involved many different renowned artists and local craftspeople. Further, the site immerses users in their rich past and future experiences with the brand through different contexts.
  • The second edition of Mizunara cask-finished expression was announced in Mizunara Courvoisier Blend 2023, that was released by Courvoisier S.A.S. in partnership with the House of Suntory in August 2023.

Cognac Key Market Trends

Cognac Market SkyQuest Analysis

SkyQuest's ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Correlates, and Analyses the Data collected using Primary Exploratory Research backed by robust Secondary Desk research.

As per SkyQuest analysis, rising demand for high-end and luxury spirits, particularly in developed countries such as North America and developing regions such as Asia Pacific, is fueling the growth of the global cognac market. A surging appreciation for quality and workmanship is pushing consumers towards mature types such as VSOP and XO. A strong competitive landscape benefits large corporations such as Hennessy and Rémy Martin, leading the market. Growth may be limited, however, by factors such as high production costs, intense competition from other spirits, and legal constraints. Emerging growth opportunities arise from the e-commerce and sustainability trends. After all considerations, the cognac industry is on the trajectory for long-term growth by both shifting consumer preferences and the emergence of new products.

Report Metric Details
Market size value in 2023 USD 4.45 Billion
Market size value in 2032 USD 6.07 Billion
Growth Rate 3.5%
Base year 2024
Forecast period (2025-2032)
Forecast Unit (Value) USD Billion
Segments covered
  • Grade
    • V.S., V.S.O.P, and Others
  • Distribution Channel
    • On-Trade and Off-Trade
  • Price Range
    • Premium Cognac, Super Premium Cognac, and Value Cognac
Regions covered North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA)
Companies covered
  • Courvoisier S.A.S.
  • Zino Davidoff
  • E. Rémy Martin & Co.
  • HENNESSY
  • Kelt Cognac
  • Louis Royer
  • MAISON FERRAND
  • Cognac Meukow
  • Pernod Ricard
  • Thomas HINE & Co.
  • Frapin
  • Otard
  • Hardy Cognac
  • Pierre Farrand
  • Camus
Customization scope

Free report customization with purchase. Customization includes:-

  • Segments by type, application, etc
  • Company profile
  • Market dynamics & outlook
  • Region

To get a free trial access to our platform which is a one stop solution for all your data requirements for quicker decision making. This platform allows you to compare markets, competitors who are prominent in the market, and mega trends that are influencing the dynamics in the market. Also, get access to detailed SkyQuest exclusive matrix.

Buy The Complete Report to read the analyzed strategies adopted by the top vendors either to retain or gain market share

Table Of Content

Executive Summary

Market overview

  • Exhibit: Executive Summary – Chart on Market Overview
  • Exhibit: Executive Summary – Data Table on Market Overview
  • Exhibit: Executive Summary – Chart on Cognac Market Characteristics
  • Exhibit: Executive Summary – Chart on Market by Geography
  • Exhibit: Executive Summary – Chart on Market Segmentation
  • Exhibit: Executive Summary – Chart on Incremental Growth
  • Exhibit: Executive Summary – Data Table on Incremental Growth
  • Exhibit: Executive Summary – Chart on Vendor Market Positioning

Parent Market Analysis

Market overview

Market size

  • Market Dynamics
    • Exhibit: Impact analysis of DROC, 2021
      • Drivers
      • Opportunities
      • Restraints
      • Challenges
  • SWOT Analysis

KEY MARKET INSIGHTS

  • Technology Analysis
    • (Exhibit: Data Table: Name of technology and details)
  • Pricing Analysis
    • (Exhibit: Data Table: Name of technology and pricing details)
  • Supply Chain Analysis
    • (Exhibit: Detailed Supply Chain Presentation)
  • Value Chain Analysis
    • (Exhibit: Detailed Value Chain Presentation)
  • Ecosystem Of the Market
    • Exhibit: Parent Market Ecosystem Market Analysis
    • Exhibit: Market Characteristics of Parent Market
  • IP Analysis
    • (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
  • Trade Analysis
    • (Exhibit: Data Table: Import and Export data details)
  • Startup Analysis
    • (Exhibit: Data Table: Emerging startups details)
  • Raw Material Analysis
    • (Exhibit: Data Table: Mapping of key raw materials)
  • Innovation Matrix
    • (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
  • Pipeline product Analysis
    • (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
  • Macroeconomic Indicators

COVID IMPACT

  • Introduction
  • Impact On Economy—scenario Assessment
    • Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
  • Revised Market Size
    • Exhibit: Data Table on Cognac Market size and forecast 2021-2027 ($ million)
  • Impact Of COVID On Key Segments
    • Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
  • COVID Strategies By Company
    • Exhibit: Analysis on key strategies adopted by companies

MARKET DYNAMICS & OUTLOOK

  • Market Dynamics
    • Exhibit: Impact analysis of DROC, 2021
      • Drivers
      • Opportunities
      • Restraints
      • Challenges
  • Regulatory Landscape
    • Exhibit: Data Table on regulation from different region
  • SWOT Analysis
  • Porters Analysis
    • Competitive rivalry
      • Exhibit: Competitive rivalry Impact of key factors, 2021
    • Threat of substitute products
      • Exhibit: Threat of Substitute Products Impact of key factors, 2021
    • Bargaining power of buyers
      • Exhibit: buyers bargaining power Impact of key factors, 2021
    • Threat of new entrants
      • Exhibit: Threat of new entrants Impact of key factors, 2021
    • Bargaining power of suppliers
      • Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
  • Skyquest special insights on future disruptions
    • Political Impact
    • Economic impact
    • Social Impact
    • Technical Impact
    • Environmental Impact
    • Legal Impact

Market Size by Region

  • Chart on Market share by geography 2021-2027 (%)
  • Data Table on Market share by geography 2021-2027(%)
  • North America
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • USA
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Canada
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
  • Europe
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • Germany
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Spain
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • France
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • UK
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Rest of Europe
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
  • Asia Pacific
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • China
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • India
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Japan
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • South Korea
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Rest of Asia Pacific
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
  • Latin America
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • Brazil
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Rest of South America
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
  • Middle East & Africa (MEA)
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • GCC Countries
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • South Africa
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Rest of MEA
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)

KEY COMPANY PROFILES

  • Competitive Landscape
    • Total number of companies covered
      • Exhibit: companies covered in the report, 2021
    • Top companies market positioning
      • Exhibit: company positioning matrix, 2021
    • Top companies market Share
      • Exhibit: Pie chart analysis on company market share, 2021(%)

Methodology

For the Cognac Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:

1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.

2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Cognac Market.

3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.

4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.

Analyst Support

Customization Options

With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Cognac Market:

Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.

Regional Analysis: Further analysis of the Cognac Market for additional countries.

Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.

Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.

Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.

Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.

Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.

Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.

$5,300
BUY NOW

REQUEST FOR SAMPLE

Want to customize this report? REQUEST FREE CUSTOMIZATION

FAQs

Global Cognac Market size was valued at USD 4.45 Billion in 2023 and is poised to grow from USD 4.61 Billion in 2024 to USD 6.07 Billion by 2032, growing at a CAGR of 3.5% in the forecast period (2025-2032).

Some of the companies that lead in the global competitive cognac industry are Hennessy, Rémy Martin, Courvoisier, and Martell. The brands, massive distribution networks, and interest in luxury products give them a considerable market share. Competition can also be attributed to demand for premium and limited editions, where emerging companies try to gain a market share in the industry. Innovation about taste characteristics, packaging, and marketing adds to the forces of competition in the global cognac market. 'Courvoisier S.A.S.', 'Zino Davidoff', 'E. Rémy Martin & Co.', 'HENNESSY', 'Kelt Cognac', 'Louis Royer', 'MAISON FERRAND', 'Cognac Meukow', 'Pernod Ricard', 'Thomas HINE & Co.', 'Frapin', 'Otard', 'Hardy Cognac', 'Pierre Farrand', 'Camus'

Premium and luxury alcoholic beverages, such as cognac, are gaining more and more consumers. As disposable incomes are rising, especially in North America and Asia-Pacific, consumers are willing to pay more for higher-quality products. This trend is growing the market and, as a result, boosting demand for older cognac categories such as XO and VSOP.

Growth in Online Sales and E-Commerce: The evolution of e-commerce platforms is changing how people buy cognac. Online sales mean limited-edition or exclusive cognacs become available, and product details are provided in greater depth and with more ease. The popularity of cognac brands is added to the mix, specifically in the younger, tech-friendly consumer base that would have been predicted to want to buy from home.

North America accounted for the highest market revenue share with more than 38.8% of the revenue in the year 2024. It endorses a high-consumption culture and makes fine alcoholic beverages a must-have for purchase by consumers. It is mainly popular in the entertainment industry. These luxury and premium spirits have shown strong potential for traction in other market segments. There is also a large distribution network throughout the continent, including liquor stores, supermarkets, and e-commerce sites, through which cognac reaches its market. Robust infrastructure and cultural preferences for quality beverages drive the growth of the market in North America.

Want to customize this report? This report can be personalized according to your needs. Our analysts and industry experts will work directly with you to understand your requirements and provide you with customized data in a short amount of time. We offer $1000 worth of FREE customization at the time of purchase.

logo-images

Feedback From Our Clients

Cognac Market

Report ID: SQMIG30E2047

[email protected]
USA +1 351-333-4748

BUY NOW GET FREE SAMPLE