Diageo to target the mass market?

In perhaps the least surprising move of all, Diageo’s former Tesco chief Dave Lewis has set his sights on the mass market.

After years of championing premiumisation, the drinks giant is now signalling a shift towards more accessible price points, with leadership acknowledging it is underrepresented at the lower end of the market.

For a CEO shaped by high-volume retail, the logic is clear. Market share is won through scale, distribution and price architecture as much as brand cachet.
But the bigger question is what this means for the premiumisation narrative that has defined the spirits sector for over a decade.

Premium is not disappearing; drinking less but better is still the movement. However, softer demand in key markets and more cautious consumer spending are exposing the risk of relying too heavily on trading up consumers. In tougher cycles, value tiers often do the heavy lifting.

If Diageo recalibrates towards the mass market in a meaningful way, competitors will feel pressure to reassess their own portfolio balance. This could mark a shift from premium-led growth to margin-managed growth across price segments.

Are we about to see the beginning of a post-premium era for global spirits?