Gen Z drives India premium spirits surge as boomers cut back, IWSR survey finds
IWSR survey of 2,545 adults across 11 cities shows Gen Z drinker participation climbing to 80% (Mar 2026) from 70% a year earlier and 60% in 2023. Urban affluent participation rose to 77% from 67%. Premiumisation lifts Indian whisky share to 57% and blended Scotch to 43%, benefiting United Spirits, Allied Blenders and Tilaknagar.
What happened
IWSR survey shows Indian Gen Z alcohol consumption rising sharply while boomers pull back, driven by premiumisation across Tier II/III cities. United Spirits,
Key facts
- Gen Z drinkers 80% Mar 2026 vs 70% yr earlier vs 60% 2023
- urban affluent participation 77% from 67%
- 60% last drank at bar/club/restaurant, 32% at home
- 70% drink after 7pm
- Indian whisky 57% from 53%
- blended Scotch 43% from 38%
- 2,545 adults across 11 cities
Why this matters
Rising premium demand and generational share shifts make premium-tier Indian spirits brands and Gen Z-skewed portfolios attractive acquisition or partnership targets to capture the accelerating urban affluent segment.
What to watch
- Quarterly P&A (prestige-and-above) volume mix disclosures from USL and Allied Blenders
- State excise policy changes in Maharashtra, Karnataka, Telangana
- Input cost trends (ENA, glass, packaging) affecting premium margins
- Competitor NPD cadence in RTD/flavored/craft segments
- Follow-on IWSR/Nielsen participation data confirming the Gen Z trend
- Incumbents accelerate premium/luxury launches and single-malt line extensions targeting urban Gen Z
- Increased digital/experiential marketing and on-premise partnerships in tier-1 cities
- MNCs (Diageo, Pernod) push imported Scotch and BII portfolio localisation to capture trade-up
- Distribution expansion into modern trade and e-commerce/quick-commerce alcohol pilots where permitted