Matthew Gloag was a grocer and wine merchant at 22 Atholl Street, Perth, Scotland. Gloag purchased whiskies from distilleries around Scotland, and when Queen Victoria visited Perth in 1842, he was invited to supply the wines for the royal banquet.
In 1860, his son, William Gloag, took over the company. Following the Great French Wine Blight the company began to look at creating its own blended whiskies around 1875.[citation needed] In 1896, William's nephew, Matthew Gloag (1850-1912), took over the family business. He created a new blended brand called The Grouse in 1896. at this time the company was still operating from the grandfather's premises but had expanded to occupy adjacent shops, jointly covering 20 to 26 Atholl Street. In 1905 the limited company of Matthew Gloag & son was formed and the Grouse was renamed The Famous Grouse in the same year. Matthew Gloag's daughter Phillippa first designed the label's grouse icon. Only at this point did the company move to new purpose-built premises on Kinnoull Street.
In 1970, Matthew Gloag & Son, owned by the Gloag family, was sold to Highland Distillers, after the death of the chairman, Matthew Frederick Gloag. The marketing and distributive power of the company saw Famous Grouse become the highest selling Scotch in Scotland by 1980 and the second highest selling in the United Kingdom. From the 1980s the brand began to be exported overseas, where it now sells over 2 million cases annually. In 1984 The Famous Grouse was awarded the Royal Warrant.