Diageo's premium segment is seeing notable strength, including double-digit growth in single malts while $50 bottles of tequila are growing at a 35% rate, the CEO said. The growth rates for spirits are growing faster than beer and wine, especially among 21-year-olds who are showing a preference for whiskey and other spirits.
Germany is one of the countries best known for drinking beer but total consumption has shown a decline in 2019. Menezes said this is likely due to the "cocktail revolution" which was dominant in the U.S. over the past 10 years but now making its way to Europe.
"In the early evening occasion across Europe, a beautifully served gin and tonic is a far more attractive option than a glass of boring white wine or a glass of beer," he said. "And those trends are helping us."