The uncommon whisky market within the UK is anticipated to rise by practically 30% in worth this 12 months, surpassing all earlier data, in response to Uncommon Whisky 101.
New figures launched by whisky analyst and dealer Uncommon Whisky 101 (RW101) discovered that the primary six months of 2021 noticed practically 85,000 bottles of single malt Scotch bought on the secondary market, with a price of greater than £36 million (US$49.6m).
As such, the analyst expects the market to succeed in 172,500 bottles this 12 months, an increase of 19.88% on 2019’s report. By worth, it’s predicted to be price £75m (US$104m), up by 29.97% on 2019’s report of £57,707,707 (US$79.5m).
The market was impacted by a number of Covid-19 lockdowns in 2020, RW101 stated, leading to a slight lower within the variety of recorded bottles of single malt bought at public sale within the UK final 12 months – down by 3.37% to 139,044 (2019: 143,895). Worth dropped by 7.47% to £53,395,201 (US$73.6m) compared with 2019 (£57.7m).
RW101 stated the market witnessed a V-shaped restoration after the primary lockdown was lifted within the UK. November and December 2020 set new data when it comes to quantity with greater than 16,000 bottles of single malt bought at public sale within the UK for the primary time in every month. Might 2021 additionally recorded 16,858 bottles bought.
The common worth of a bottle dipped by 2.55% from £401.04 (US$553) in 2019 to £390.81 (US$539) in 2020. Nevertheless, this determine rebounded to realize a brand new report by the tip of June 2021 – £426.58 (US$588).
Andy Simpson, co-founder of RW101, stated: “After an inevitable dip in quantity provide following the double impression of Covid-19 and Brexit, the secondary marketplace for uncommon whisky is, as soon as once more, set to smash all data.
“In our view, the pandemic has proven us that bodily belongings, akin to whisky, have turn into ever extra standard. When mixed with a rising world shopper thirst for single malt which exhibits no indicators of slowing, we see no motive why costs is not going to proceed to rise for the fitting bottles.”
Nevertheless, he warned traders and collectors that there stays many high-value refills and counterfeit merchandise available on the market.
He continued: “We’re additionally seeing stress within the high-value (>£5,000) section of the market and have seen bottles promoting lately for round 50% of their 2018/2019 excessive factors.”
Springbank retained its primary place because the Scotch most in demand for traders, adopted by Rosebank and The Dalmore. Nevertheless, The Macallan tumbled 17 locations to the twenty eighth spot.
The Macallan slips in worth
Simpson added: “For traders, we’ve seen loads of motion up and down the rankings. The Macallan is an fascinating working example. The model has additional prolonged market share over the previous 12 months, however funding values have slipped.
“Partially, we imagine that the sheer quantity of non-age-stated releases might have confused the market, probably main collectors and traders to hunt out different manufacturers. Nevertheless, it’s price noting that the current Macallan Red collection is a superb instance of the place the model works very nicely, leveraging the worth of its aged shares.”
RW101 additionally famous that uncommon whisky had regained the highest spot within the Apex 1000 Index – which tracks the most effective performing 1,000 bottles of uncommon whisky – taking up from gold by 0.03%. During the last six-and-a-half years, Scotch has grown by 225% in comparison with gold’s 50% rise over the identical interval.
Simpson additionally famous an increase in reputation for whiskies within the sub-£1,000 (US$1,378) section.
Nevertheless, he added: “This worth level isn’t notably nicely served by model homeowners who’ve been centered on releasing the ‘most costly’ or ‘oldest’ to draw high-net-worth patrons. We sense a real uplift within the variety of collectors who’re ready to pay premium costs however not £20,000-plus [US$27,567] for a 50-year-old.”