The 5th DAY of CHRISTMAS

The 5th DAY of CHRISTMAS

On the fifth day of Christmas, we shift into third gear and start sipping some high octane.

SPIRITS

Bourbon interest, particularly at the high end, is booming. Price is seldom a consideration at the very high end, people just want it! There is great curiosity about how bourbon and US whiskey is made. Consumers also want to know the difference between rye and grain whiskey. Be sure to educate store personnel as well. Don’t underestimate this valuable selling asset as many wholesalers and suppliers do. Spend more time educating store personnel vs. requesting displays – and you’ll see share gains in 2022.

Your grandfather’s favorite cocktails are enjoying a resurgence including the Old Fashioned and the Manhattan. Canned bourbon cocktails are not nearly as popular as the white spirit pre mixed options.

Brown spirit distillers should refer to my winery recommendation regarding primary demand education. Teach them and they will come.

SCOTCH WHISKY

There is significant educational interest in single malts, about the four regions in Scotland where whisky is distilled, how peat effects flavor, barrel selection and taste impact, aging, and blending. The Scotch Whisky Association should heed this request and work towards educating the US consumer. Suppliers could follow this lead by bringing the lesson to store level – including 50 ml samples (where legal) for supermarket Liquor Managers and his/her team.

Competition from Japan is keen as they continue to steal share from Scotland. The typical Japanese “whisky buyer” is male, aged 25-40. Scotland needs to be aware of this threat and can gain back encroaching Japanese market share via advertising, education and training.

IPA infused single malts move rather slowly and are purchased by 25-35 year old males. Mixed, canned whisky cocktails are not recommended until more education is invested in the US marketplace. Sampling should be executed at store and experiential event levels in 2022.

Glass is the expected vessel for medium to higher end scotch. PET is restricted to well brands and those priced under $10US.

VODKA

This category is most purchased at the 1.75 liter level. Pricing plays an important component in purchase decision as consumers dance between 2-3 preferred brands, opting for the best per unit price. Vodka shoppers also tend to use their supermarket apps to gain the best price between one of three acceptable brands. Consumers also don’t bat an eye at buying two, 1.75 liter bottles if the price per unit suits them. As a result, the vodka category (within spirits) is the highest in sales volume.

Vodka brands at the medium to higher end should remain in glass as PET brands are seen as down market and the “thieves preferred package.”

Branded mixed cocktails such as the Moscow Mule and Grey Hound will continue their popularity into 2022. Watch for more late entrants here.

TEQUILA

This rock star segment continues to grow in popularity. Consumers would benefit from an education on the definitions of mezcal, reposado, anejo, super anejo and ultra anejo. There is clear growth and excitement at the higher end of the market via aged tequilas. Look for mezcal to grab more space within this segment in 2022. I predict growth and opportunity for super premium mixers such as sweet and sour. Consumers want to match their mixer quality with their tequila purchase. There is clearly an unfilled niche.

The 12 days will resume on Wed Dec 8th. Please feel free to comment, ask a question or argue my points made in prior days. Happy Holidays.

ABOUT THE AUTHOR

Mark Colburn has over 25 years of marketing, experiential event, sales, distribution and merchandising experience in the beverage industry, is the pod cast host and creator of, “The Shinerunner Show,” the author of, “Craft Beer Marketing & Distribution – Brace for SKUmeggedon,” was the United Kingdom’s lead post on the US food and beverage industry and has a Master’s degree in Marketing.

https://www.dhirubhai.net/in/mark-colburn-8332625/

https://www.thebrewingnetwork.com/shows/shine-runner/

https://www.amazon.com/CRAFT-BEER-MARKETING-DISTRIBUTION-SKUMEGGEDON/dp/0692503919/ref=tmm_pap_swatch_0?_encoding=UTF8&qid=1638310525&sr=8-3

https://www.shinerunnercraftmarketing.com/

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