Global sales of Bailey's Irish Cream, Ireland's largest single export product, surged 7 per cent to a new record level of 4,100,000 cases in the 12 months to September 30th in a "superb" year of growth in all markets. Estimates indicate that Bailey's now accounts for just on 1.5 per cent of all exports by value from the Republic. New data on Bailey's sales performance accompanied annual figures from the Grand Metropolitan combine due to merge with Guinness to form the Diageo group commanding a stock market value of £24 billion sterling. Grand Met's annual pre-exceptional profits rose 2 per cent to £981 million with growth restrained by the strength of sterling, which cost £58 million. The International Distillers and Vintners spirits division, taking in Bailey's Irish Cream, reported a 2 per cent decline in operating profit to £460 million after £38 million costs. In local currencies, sales and profits were up 2 per cent and 6 per cent respectively with strong Bailey's contributions.
Bailey's itself is now a major brand in the global spirits trade and the success in selling more than four million cases for the first time has encouraged Bailey's management in Dublin to adopt a new "five in five" sales target - five million cases in five years time.
Sales in Ireland rose over 10 per cent to 100,000 cases. Per capita consumption at the rate of one-fifth of a litre per head in Ireland is the highest in the world. Strong volume growth of 11 per cent to 600,000 cases was also achieved in the British market. Overall, European sales were 7 per cent higher and sales in the key USA market rose 4 per cent to four million cases. Continued expansion of Bailey's sales benefited from £60 million investment support by way of advertising and promotions.
New markets to be developed in coming years are Eastern Europe, China and India. Growth in Asian sales is expected to be stimulated by the imminent merger between Grand Metropolitan and Guinness. Sales of Sheridans, the layered coffee liqueur launched by the Bailey's team three years ago, increased by 42 per cent to 200,000 cases. So far, sales have been limited to the drinks markets in Ireland, Britain and Italy. Plans are being hatched to market it in other countries.
