Why is Tequila Trending?
Woman pouring tequila cocktail
While the alcohol industry may have been rocked by the pandemic early on, one spirit stood out amongst the rest: tequila. With an MFactor of 69, why is tequila trending?
Tequila Popularity By the Numbers
In the last half of 2020, the alcohol industry saw growth as liquor giants shifted marketing strategies, encouraging sales in liquor stores and online instead of just in bars and restaurants. No spirit did better than tequila. While net spirits sales in the U.S. grew 15% in the last two quarters of 2020, tequila jumped 80%, which is also reflected in a 15% increase in Momentum for tequila over the last quarter.
MFactor shows tequila trending. MFactor is a proprietary tool that measures cultural momentum through topic modeling and sentiment analysis.
The tequila trend isn’t just a product of the pandemic, though—it’s the most recent segment of a growth curve that began in the early two-thousands. According to the Distilled Spirits Council of America, tequila volumes have grown 209% since 2002, at an average rate of 6.5% per year. When we zoom in further we see that tequila has seen even more growth in the past five years, which is reflected in an increase in Google searches, up from 25 in March 2016 to 75 this month. Tequila now accounts for 7% of global liquor sales, up from 1% in 2015.
Google Search Trend for “Tequila”
Why Is Tequila Trending?
Why is tequila trending right now? Celebrities. A major part of the hype that drove tequila sales over the past twenty years was star-struck sipping. George Clooney led the way with Casamigos, which sold for $1 billion in 2017. Two provocative new players are now following in Clooney’s footsteps: the Jenners and Elon Musk.
Kendall Jenner Tequila
Kendall Jenner recently announced her latest venture, 818 Tequila, a brand she has been secretly refining for the past four years. Jenner has built hype and intrigue by anonymously submitting small batches of 818 to several spirit competitions. At the 2020 World Tequila Awards, 818 won World’s Best Reposado.
Elon Musk's Tesla Tequila
In November, Elon Musk and Tesla launched Tesla Tequila, making good on Musk’s promise that the company would begin selling its own brand of liquor, adding fuel to the tequila trending fire. The tequila retailed for $250 on Tesla's website, and was “an exclusive, small-batch premium 100% de agave tequila añejo made from sustainably sourced highland and lowland agaves” according to Fast Company. Upon release, it sold out instantly, with bottles now reselling for upwards of $1,000.
***
With key influencers entering the industry and consumers thirsty for more to drink, tequila’s momentum looks strong for 2021.