Earlier this year, Mumbai Duty Free became India’s only duty-free operator to house 200 single malts. That May milestone could be superseded within a few months as the retailer has set its sights on 300 variants, driven by consumer demand for expensive and unusual Scotch varieties.
By the summer, Mumbai Duty Free had already pushed up the count of single malts to 250, the largest selection in the country, making it a go-to destination for both whisky connoisseurs and enthusiasts. Among the offerings—sold in arrivals and the Luxe Boutique in departures—the most expensive bottle on display is a Bowmore 1965 52-year-old retailing for $50,000.
However, the range extension continues. Amit Butani, vice president of marketing and strategic partnerships, at the retailer told Forbes.com: “After Covid, aged single malts have become like a trading commodity. There is so much demand for them that imports have increased by 30%.”
Aged whiskies are ‘having a moment’ in India that could last a good few years. According to the Scotch Whisky Association, the country is the second largest export market by volume, with the equivalent of more than 219 million bottles exported there in 2022. While volumes to the subcontinent have grown by more than 200% in the past decade, in the first half of this year they fell by 31%—and by 28% in value terms—making the moves by Mumbai Duty Free all the more remarkable.
A fifth of all duty-free sales
The airport retailer is addressing the top end of the market rather than the volume business with its singe malts ambitions. In this niche, post-Covid travelers are happy to part with their money for the right bottle, be it a Macallan M series, a Glengoyne 25-year-old, or an Aberlour 31-year-old 1988.
Pre-Covid, single malts used to account for a quarter of the liquor business at Mumbai Duty Free but that share has widened significantly to 37%, according to Butani. Liquor contributes about 60% of all Mumbai Duty Free’s sales which means that single malts now drive around 20% of the entire business.
“This shows just how important single malt are,” said Butani. “Seeing this much growth, we decided to offer the most single malts in the world. From an initial 200 we now we have 250, but we want to rech 300 variants and create a library of single malts. It’s not just about price saving, but exclusiveness and the experience that we’re building. People are looking for these things in duty-free.”
Pre-Covid, the retailer only had about 90 single malts but a review of the liquor category indicated that single malts—as well as prestige wine, tequila, and gin— were the emerging categories to target “so we started working on them” explained Butani.
The strategy is not as simple as just buying more Scotch. For every age, whether it is a 25-year-old, 21-year-old, or 18-year-old for example, multiple labels are sourced. “Typically in each age statement we have around seven or eight variants,” said Butani. “This ensures a choice of price points and taste variations from sherry casks to oak, or double wood.”
While widening the options for travelers this also gives them confidence in the retailer as an expert in the field of single malts. “The new generation have so many options in duty-free, not just the blends, and they are buying single malts,” said Butani. “Common liquids are available in the domestic market and there is not much price advantage for them in duty-free so why waste your allowance. Whereas you can save a lot on a Macallan 18-year-old.”
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