Europe Tonic Water Market is expected to reach US$ 1.76 Billion by 2031

Growing Popularity of Gin to Benefit Europe Tonic Water Market

According to our new research study on “Europe Tonic Water Market Forecast to 2031 – by Type, Category, and End User,” the Europe tonic water market size was valued at US$ 1.13 billion in 2024 and is projected to reach US$ 1.76 billion by 2031; it is expected to register a CAGR of 6.5% during 2025–2031. The market report highlights key factors propelling the market growth and prominent players along with their developments in the market.

Gin is among the most popular spirits in Europe with a rich history, and it is often paired harmoniously with tonic water. Germany, the UK, Spain, France, and Belgium are among the most gin-consuming countries in the region. Thus, the demand for tonic water can be attributed to the increasing consumption of gin, and surging preference for premium and artisanal products. Gin and tonic mixture is regarded as the most versatile and trendy cocktail choice in Europe. The expansion of the hospitality industry and the emergence of new dining and drinking establishments have further fueled the demand for tonic water in the region.

Europe Tonic Water Market

Changing consumer preferences and tastes further drive the demand for gin across Europe. With people exploring and indulging in the diverse flavors of gin, the requirement for complementary mixers to enhance their drinking experience also surges. Tonic water, with its bitter yet refreshing taste, serves as a perfect companion to gin. Further, craft gin is gaining significant popularity across the region. As gin enthusiasts become more discerning of the flavor profiles of their spirits, they seek high-quality mixers to elevate their cocktails. Artisanal and small-batch brands have started focusing on catering to the demand for premium tonic water, offering a wide range of botanical-infused and flavored tonic water that complements the nuanced characteristics of craft gin. Moreover, consumers are willing to pay premium prices for superior products that enhance their drinking experience.

The rising popularity of gin-based cocktails in bars and restaurants indicates the spurred demand for tonic water in the hospitality sector. Mixologists and bartenders are continually innovating and experimenting with new gin and tonic combinations with different flavors, driving the need for various tonic water options to accommodate diverse tastes and preferences. As a result, tonic water manufacturers are expanding their product offerings to include different flavors, formulations, and packaging sizes to meet the demand of both retail consumers and the hospitality industry. Thus, owing to the rising popularity of the gin and tonic combination, the increasing demand for gin boosts the Europe tonic water market growth.

Europe Tonic Water Market Trends

With the increasing number of health-conscious consumers seeking to reduce their sugar intake, the demand for low-sugar or zero-sugar beverages has surged. Low-sugar tonic water offers consumers a lighter and healthier option without compromising flavor or quality. Moreover, the rise of wellness-focused lifestyle and dietary trends, such as keto, paleo, and low-carb diets, propels the demand for low-sugar tonic water. Key players in the Europe tonic water market engage in adopting strategic initiatives such as product launches and developments to cater to the soaring demand for low-sugar and low-calorie tonic water. For instance, in June 2022, Fever-Tree announced the launch of low-calorie tonic water made with Spanish clementines. Low-sugar tonic water provides a guilt-free option for consumers looking to enjoy their favorite cocktails without the excess calories and sugar content typically found in traditional tonic water. Thus, the surging demand for low-sugar tonic water is expected to become a key trend in the Europe tonic water market in the coming years. This trend is particularly pronounced among millennials and the Gen Z population, who prioritize health and wellness in their purchasing decisions and seek transparency in product ingredients.

Europe Tonic Water Market

The UK was one of the significant markets for tonic water in Europe in 2024. The tonic water market growth in the country is attributed to the increasing gin consumption, surging preference for premium tonic water varieties, and rising popularity of unique flavors and ingredients in tonic water. In recent years, the popularity of gin, particularly artisans and craft gins, has soared, driving the demand for tonic water as a key mixer. In addition, key players in the tonic water market in the country are involved in strategic initiatives such as product launches, mergers, acquisitions, and collaborations to strengthen their positions. For instance, in July 2023, Double Dutch—a UK-based premium tonic water and mixer brand—announced the launch of its new elderflower tonic water. The launch was aimed to cater to the growing consumer demand for unique flavors and premium products.

The Europe tonic water market analysis is performed by considering the following segments: type, category, and end user. By type, the market is segmented into plain and flavored. The flavored segment held a larger Europe tonic water market share in 2024. Flavored tonic water consists of carbonated water; sugar/sweetener; quinine; and different flavoring and aromatic ingredients, such as extracts of elderflower, citrus peels, herbs, berries, lemongrass, and hibiscus. Consumers prefer premium flavored tonic water in their drinks. They are also willing to pay higher prices for such products to experiment with newer varieties of gins and cocktails. Therefore, manufacturers develop new flavored tonic water varieties that meet the changing taste preferences of consumers.

Based on category, the market is bifurcated into low/no sugar and regular. The regular segment accounted for a larger Europe tonic water market share in 2024. The preference for low-calorie and no-added-sugar drinks is increasing with rising concerns such as obesity, diabetes, and heart problems. With a stagnant lifestyle and insufficient physical activities, people are experiencing obesity issues, which hampers their overall health. Therefore, consumers are substituting high-calorie, sugar-dense products with low-sugar or sugar-free alternatives available in the market. Tonic water manufacturers are developing low/no sugar products to meet the rising customer demand for low-calorie drinks. They use low-calorie sweeteners such as saccharine, fruit sugars, and honey in their tonic waters to develop these alternatives.

Based on end user, the Europe tonic water market report is bifurcated into on-trade and off-trade. The off-trade segment held a larger market share in 2024, accounting for 58.9%, and it is expected to account for 58% share by 2031. Off-trade refers to selling drinks and beverages through retail channels such as supermarkets and hypermarkets, wine stores, liquor stores, and online liquor shops. The off-trade demand for tonic water surges significantly with the rise in DIY (i.e., do-it-yourself) cocktail culture. Also, the increasing trend of house parties drives off-trade tonic water sales. The booming e-commerce industry further propels the demand for tonic water through online stores such as Tesco, Amazon.com, Sainsbury, and quick-commerce platforms. Tonic water manufacturers are also focusing on developing direct-to-consumer (D2C) platforms that ensure product authenticity and help them save additional costs incurred across the value chain.

Double Dutch Ltd, Fevertree Drinks Plc, Fentimans Ltd, Nestle SA, The Coca-Cola Co, Thomas Henry GmbH, Britvic Plc, East Imperial Beverage Corp, Three Cents Co, and MBG International Premium Brands GmbH are among the leading companies profiled in the Europe tonic water market report.

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