In an in-depth conversation with BW Retail World, Monika Alcobev MD Kunal Patel discusses India’s premiumisation wave, tequila’s rise, evolving whisky tastes, portfolio strategy, distribution priorities and why Indian consumers still “buy with their eyes”
Monika Alcobev has built a strong presence in India’s premium alcobev space. How would you define the brand’s evolution and key inflection points over the years?
When we started around 2015–16, the focus was very clear — to introduce globally renowned, high-quality independent brands to India. While travelling to international trade shows, we realised there were outstanding brands with great packaging, innovation and liquid quality that Indian consumers had never seen. At that time, there were very few players willing to represent such independent brands that lacked the scale to set up offices in India.
Over the years, trust has been our biggest inflection point — trust from global suppliers and trust from the Indian trade. In 2017–18, launching a product meant extensive footwork: tastings, convincing outlets, and long listing cycles. Today, in many key markets, if Monika brings a brand, the first level of trust is already established. Covid was another major turning point. I often say there was a pre-2020 Monika and a post-2020 Monika. Premiumisation existed earlier, but post-Covid it accelerated dramatically.
The alcobev and hospitality sectors seem to have benefited post-Covid. Do you agree that the consumer mindset has fundamentally shifted?
Absolutely. People realised the value of experiences. There’s a stronger “you live only once” mindset now. Consumers prefer spending on better products, better food and better drinks rather than cutting corners. That shift has clearly benefited premium alcobev.
Could you share insights on your current performance and category-wise contribution?
We’ve seen healthy, consistent growth across major markets. In H1 alone, we recorded around 40 per cent growth year-on-year, which we’re very pleased with. Our portfolio sits firmly in the premium and super-luxury segments — starting around Rs 1,500–2,000 and going up to Rs 4 lakh per bottle in markets like Maharashtra.
Category-wise, tequila, whisky and premium rum are our biggest contributors, followed by liqueurs. Premium categories are expanding rapidly and lifting overall performance. Importantly, premiumisation is still at a very early stage in India, so the runway ahead remains long.
What major consumption trends are shaping India’s alcobev industry today?
Premiumisation is the base trend driving everything. Beyond pricing, consumers now expect quality, authenticity and storytelling. Post-Covid travel has also played a big role — Indians travelling abroad are exposed to wines, liqueurs and diverse drinking cultures, which they bring back home.
Tequila is the standout growth category. We are among the leading tequila importers in India, and I genuinely believe tequila is here to stay. Unlike gin, which became cluttered, tequila is very palate-friendly and sessionable. You can enjoy it repeatedly without fatigue.
Cocktail culture is another strong trend. India’s acceptance of cocktails is growing faster than many global markets. Bartenders are better trained, cocktail bars are replacing purely high-energy formats, and consumers are more confident thanks to home experimentation during Covid.
What does your expansion roadmap for FY26–27 look like?
Our strategy rests on two pillars. First, adding meaningful brands aligned with evolving trends. Second, expanding and deepening distribution across India. Scale comes from distribution, but relevance comes from the right portfolio.
Going forward, brand additions will be more selective. We avoid internal competition by not carrying multiple brands at the same price point within a category. The focus will be deeper penetration for existing brands, alongside carefully curated new launches.
With rising competition and regulatory complexity, what will drive the next phase of growth?
On-trade will continue to be critical for brand building. However, retail is also evolving — walk-in formats are replacing closed counter shops, allowing consumers to explore brands visually.
Strategically, our focus will be on sharper consumer activations, stronger storytelling and recall-driven marketing rather than only trade-led activity. Social media, tastings and immersive experiences will play a bigger role. Brand building is a long-term investment.
How do you decide which global brands are right for India, given the uniqueness of the Indian consumer?
There are two paths — scale-driven brands and niche, trend-led brands. We work with both. Some brands may never cross large volumes but still become iconic.
For scalable brands, the first thing we look at is packaging. Indian consumers buy with their eyes. The second is pricing — India is a heavily taxed market, and many global brands simply become unviable post-duties. Only after packaging and pricing make sense do we focus on the liquid.
The customer may buy the first bottle because it looks good, but repeat purchase happens only if the liquid delivers. Building that balance takes time, investment and consistent storytelling.
You once said Indians “buy with their eyes”. Does that still hold true?
Very much so. Around 70 per cent of buying decisions are visual. Brand familiarity, Instagrammability and social signalling matter enormously. That’s where companies like ours step in — through marketing, tastings and education, we make brands relevant and aspirational. Social media has accelerated this shift, but it has also educated consumers and helped the industry grow overall.
