Global Cognac Market Growth 2025-2031

Global Cognac Market Growth 2025-2031

The global Cognac market size is predicted to grow from US$ 4500 million in 2025 to US$ 5574 million in 2031; it is expected to grow at a CAGR of 3.6% from 2025 to 2031.

Cognac is a variety of brandy that comes from the Cognac region in France, and it is produced under strict guidelines to maintain its high quality. The spirit is made primarily from Ugni Blanc grapes and undergoes a double distillation process in copper pot stills. After distillation, it is aged in oak barrels, which imparts distinctive flavors such as vanilla, caramel, and oak. Cognac is often categorized based on its age, with classifications such as VS (Very Special), VSOP (Very Superior Old Pale), and XO (Extra Old) indicating the aging process.

The market for cognac is a global one, with demand rising in several international markets, especially in regions such as the United States, China, and Europe. Historically, cognac has been seen as a luxury product, but the market has evolved over the years to cater to a broader audience, with younger generations also beginning to embrace the spirit, particularly in the context of premium and ultra-premium offerings.

The cognac market has experienced significant growth in recent years, particularly in emerging markets like China and the United States. Premiumization is a key trend, with consumers willing to pay more for high-quality, aged cognac. In addition, there is a noticeable shift towards younger, more diverse consumers, especially millennials, who view cognac not just as a traditional drink for older generations but as a trendy, luxurious product for their social occasions.

Innovation is also a critical driver in the cognac industry. Producers are experimenting with new aging techniques, unique blends, and limited-edition releases to appeal to discerning customers who value craftsmanship and exclusivity. Additionally, the trend of sustainability is influencing the industry, with some producers focusing on eco-friendly practices in grape farming, distillation, and packaging.

Growth Drivers:

The growth of the cognac market is driven by several factors, including the increasing global demand for luxury spirits, the rise of premium and super-premium categories, and the growing interest from younger, more adventurous consumers. The expanding middle class in China has been a particularly important factor, with more individuals now able to afford luxury products like cognac. In addition, the development of new markets, particularly in Asia and Africa, is contributing to the global growth of the industry.

The emphasis on premiumization, coupled with the storytelling aspect of cognac, has made it appealing to consumers who value authenticity and heritage. The use of social media and influencer marketing has also helped to attract younger demographics to cognac, making it a part of the broader lifestyle culture.

Challenges:

Despite its growth, the cognac market faces several challenges. One of the primary challenges is the increasing competition from other premium spirits like Scotch whisky and rum, which are gaining traction in key markets. Additionally, climate change poses a threat to the grape-growing regions, which could impact the supply and quality of raw materials. Trade restrictions and tariffs also pose risks for international sales, especially in key markets like the U.S. and China.

LP Information, Inc. (LPI) ' newest research report, the “Cognac Industry Forecast” looks at past sales and reviews total world Cognac sales in 2024, providing a comprehensive analysis by region and market sector of projected Cognac sales for 2025 through 2031. With Cognac sales broken down by region, market sector and sub-sector, this report provides a detailed analysis in US$ millions of the world Cognac industry.

This Insight Report provides a comprehensive analysis of the global Cognac landscape and highlights key trends related to product segmentation, company formation, revenue, and market share, latest development, and M&A activity. This report also analyzes the strategies of leading global companies with a focus on Cognac portfolios and capabilities, market entry strategies, market positions, and geographic footprints, to better understand these firms’ unique position in an accelerating global Cognac market.

This Insight Report evaluates the key market trends, drivers, and affecting factors shaping the global outlook for Cognac and breaks down the forecast by Type, by Application, geography, and market size to highlight emerging pockets of opportunity. With a transparent methodology based on hundreds of bottom-up qualitative and quantitative market inputs, this study forecast offers a highly nuanced view of the current state and future trajectory in the global Cognac.

This report presents a comprehensive overview, market shares, and growth opportunities of Cognac market by product type, application, key manufacturers and key regions and countries.

Segmentation by Type:
VS
VSOP
XO

Segmentation by Application:
Online
Offline

This report also splits the market by region:
Americas
United States
Canada
Mexico
Brazil
APAC
China
Japan
Korea
Southeast Asia
India
Australia
Europe
Germany
France
UK
Italy
Russia
Middle East & Africa
Egypt
South Africa
Israel
Turkey
GCC Countries

The below companies that are profiled have been selected based on inputs gathered from primary experts and analysing the company's coverage, product portfolio, its market penetration.
Hennessy
Martell
Remy Martin
Hine/EDV SAS
Camus
Louis ROYER
Baron Otard
Bisquit
Courvoisier
A.E. Dor
Bache-Gabrielsen
Ferrand Cognac
Frapin

Key Questions Addressed in this Report

What is the 10-year outlook for the global Cognac market?

What factors are driving Cognac market growth, globally and by region?

Which technologies are poised for the fastest growth by market and region?

How do Cognac market opportunities vary by end market size?

How does Cognac break out by Type, by Application?

Please note: The report will take approximately 2 business days to prepare and deliver.