I wanted to share some broad takeaways from a few of the industry leader panels from the James B. Beam Institute for Kentucky Spirits Industry Conference 2025! ??
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?? Consumer Trends & Premiumization
Lawson E. Whiting, CEO of Brown-Forman, highlighted that premiumization is still the strongest long-term trend in whiskey. While high-end bottles ($100+) may be struggling due to the economic state at large, consumers are still prioritizing quality over quantity. Kate Latts, Co-President of Heaven Hill Brands, echoed?this, noting that today’s drinkers want the “really good stuff” when they indulge.
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?? Market Challenges & Industry Shifts
Greg Hughes, President of Suntory Global Spirits, addressed the supply and demand cycle, explaining that like many other industries, alc bev supply has shifted from shortages to excess inventory over the past few years. "You always have too little, or too much," Kate added, followed by commentary that most of the excess post-covid finished goods inventory has been depleted. “Two years ago, we would have been having this same conversation, but saying we were coming up short. It’s a self-correction.” Lawson shared.
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?? Craft Brands & Path to Market
Kate Latts also acknowledged the difficult path to market for smaller, entrepreneur-led brands, facing challenges in wholesale and retail distribution. The market continues to fragment, making it harder for new players to break through.
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?? Responsible Drinking & Policy
Chris Swonger, President of Distilled Spirits Council of the United States, shared that the spirits industry has invested $350M+ since 1990 to combat underage drinking and drunk driving. Mark Kent CMG, CEO of the Scotch Whisky Association, reinforced the need for brands to engage with policymakers and promote responsible consumption.
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?? Future of Whiskey: Globalization & Innovation
Looking ahead, there was a mutual consensus that global expansion is a major growth opportunity, alongside the continued premiumization of the whiskey category. Emphasis was placed on the necessity of innovation in both product and consumer experience as well.
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For those who attended, would love to hear some of your takeaways from the sessions in the comments below!