Salcombe Gin seeks new funding to further accelerate growth

Which? and IndyBest critically acclaimed Salcombe Gin, which has recently launched a new partnership with Fortnum & Mason, has announced it has launched a crowdfunding raise on Republic Europe to raise £250,000, offering investors the exciting opportunity to own equity in the business and help in its mission to become the world's number one independent luxury coastal gin brand.

The public phase of the campaign launched on 30th September and achieved 98% of their funding target within 48 hours of launching. The campaign will run until 30th October 2024 allowing for overfunding.

Owned by Salcombe Distilling Co., Salcombe Gin was established in 2014 by Angus Lugsdin and Howard Davies, who believe their commitment to quality, innovation and luxury, coupled with its exceptional 156% growth in the retail travel and duty free sector in their last financial year, will continue to drive market share. Its flagship product, Salcombe Gin ‘Start Point’, is widely considered the benchmark for London Dry Gin and has been instrumental in opening new markets and solidifying the company’s position as one of the most respected and leading brands in the ultra-premium UK gin category.

Subject to securing sufficient additional investment, Salcombe Gin will capitalise on significant growth opportunities in global markets. Its exceptional brand and products position it to target the ultra-premium segment in key global markets that have seen positive growth in the last 12-months. With its reputation as the British luxury coastal gin, it is looking to secure prestigious on and off-trade listings and accelerate international expansion through growth in travel retail, building on their success to date.

Angus Lugsdin, commented: “Despite a decline of the UK gin market in 2023, the future for gin remains bright. Around 5.5 million cases of gin are consumed annually in the UK and consumption is still 60% above the pre-boom trend in 2013, with the opportunity for sustained growth in specific segments. UK sales are 24% higher than pre-pandemic levels and the category showed global growth of 4% in 2023 (The Spirit Business June 24, citing IWSR Drinks Market Analysis).

“We believe that we are perfectly positioned to take advantage of the growth we have seen in global travel retail in the last 12 months and the strong growth in export markets with export consumer increased demand for ultra premium British gins.”

A cornerstone of the spirits industry with a strong and loyal consumer base, gin’s enduring popularity, particularly in the UK, is undeniable with it being the most popular spirit with British consumers (YouGov Poll’24). Added to this, the frequency of gin consumption at home further emphasises the category's resilience and potential for growth. 

With a less crowded market and higher profit margins, Salcombe Gin’s focus on the high-end segment is yielding results at 66% for FY24 with an ambition of achieving 70%, significantly outperforming competitors. Furthermore, gin is also forecast to overtake vodka in pound revenue in the UK to become the largest spirits category in value by 2028.

Sales of Salcombe Gin are booming in the travel retail and duty free sector too, with a phenomenal 156% growth in the last financial year. Targeted expansion into key airports, cruise ships and ferries has been a catalyst for the company’s growth and increase in brand awareness, with new retail travel partners planned for 2025. The company has been crucially innovative in this area by creating the world's first two distilleries at sea onboard P&O Cruises’ ships, allowing passengers to experience tastings and live distillations.

The brand has also recently announced an exciting new collaboration with Fortnum & Mason, consolidating its position as a prestige brand. Salcombe Gin x Fortnum & Mason Moscatel Cask Aged Gin 2024 Release is a pioneering special edition new single cask aged gin. The botanical profile of this unique gin was developed to compliment the hand selected American oak cask supplied by Niepoort in Portugal that previously held their Moscatel wine. Selected by Fortnum & Mason to showcase Salcombe Gin's unique approach to the cask ageing process, it is available from all Fortnum & Mason stores and online at fortnumandmason.com or salcombegin.com.

As more people seek brands with strong provenance and sustainability, Salcombe Gin ‘Start Point’, which is traditionally crafted using high quality botanicals at its waterside distillery in one of the UK’s most affluent coastal regions, is perfectly positioned to appeal to this growing consumer demand. 50% of Salcombe Gin's sales are outside the South West, a testament to the brand's ability to evoke the coastal lifestyle for consumers across the globe. The company is also committed to meaningful sustainability, balancing the distillation of exceptional liquids and financial growth with environmental responsibility and social impact. By partnering with organisations including the Marine Conservation Society and the RNLI, it contributes a portion of its sales to protect oceans and coastal communities.

The company’s in-house flavour expertise has also enabled it to create a diverse portfolio of award-winning spirits alongside Salcombe Gin ‘Start Point’ that push the boundaries of taste and innovation. Its New London Light range is a testament to this, leading the non-alcoholic category as the bestselling premium brand for two major wholesalers in the South West and the exclusive non-alcoholic partner for P&O Cruises. It is also one of the few British distilleries producing rum from scratch with its Salcombe Rum ‘Lantern Rock’ single estate rum and Salcombe Rum ‘Island Street’ spiced rum both challenging conventional perceptions of the category.

Angus added: “We are very excited for this next phase of growth as we look to leverage our successes to date and use the investment raised, to invest further in advertising and promotion to support growing sales in key markets including travel retail and duty free”.

For further information about Salcombe Gin, visit salcombegin.com and to pre-register, go to europe.republic.com.