Shanken’s Impact Newsletter, the leading source for exclusive data on the alcoholic beverage industry in the United States and internationally. Every issue features up-to-the-minute data and analysis on trends in the worldwide drinks market.
WITH THE U.S. WHISK(E)Y BOOM GOING strong, flavored whiskies from across the spectrum are seeing widespread growth, regardless of origin, price point or market position. Last year, the category topped 14 million cases in the U.S. on 12.5% growth, according to Impact Databank, up from 8.2 million cases in 2014. Top players like Fireball and Crown Royal Regal Apple have continued to post eye-catching numbers, but flavored whisk(e)y is also welcoming ambitious newcomers to the fold—perhaps most notably Skrewball Peanut Butter whiskey from Infinium Spirits—promoting further dynamism. “Flavors are a way for consumers to either try something new or enter a category without being intimidated by the spirit-forward sip of straight whisky. Flavors, when done right, can encourage this trial and bring new fans to the brand,” said Julie Cole,…
COVID-19 CONTINUES TO WREAK HAVOC ON GLOBAL ECONOMIES THIS YEAR, WITH Canada’s GDP no exception. The country saw a fiscal rebound over the summer but is now entering a second wave of the pandemic, with lockdowns being reinstated in key markets like Quebec and Ontario. Industries ranging from brick-and-mortar retailers to restaurants to concert and theater venues are set to feel a second squeeze, likely to stall the modest economic recovery in the near term. News of a vaccine on the horizon has recently bolstered the outlook for 2021, though, with GDP now expected to grow 4.3% next year, according to the National Bank of Canada. Despite these challenging conditions, the beverage industry has been resilient, as robust at-home consumption has fueled retail and online sales, partially offsetting the devastating…
WITH ALL THAT’S TRANSPIRED IN 2020, IT’S EASY TO forget how far the spirits business has come over the past few years. Spirits have been siphoning off share from both wine and beer—overtaking the latter in terms of U.S. retail dollar value in 2018—and that trend is expected to continue in the years ahead. A major factor in spirits’ ongoing progress has been the rise of an entirely new category over the past decade: flavored whiskies. Last year, the flavored whisk(e)y segment in the U.S. topped 14 million cases, as it helped to usher new consumers into the spirits market, and this year Impact Databank projects that volume will near 16 million cases, driven by both leading players like Fireball and Crown Royal Regal Apple as well as dynamic newcomers…
AS ONE OF THE MOST RECOGNIZABLE film stars in the world—with movie credits including The Scorpion King, Fast & Furious, and Skyscraper, as well as an Instagram following numbering more than 200 million people—Dwayne “The Rock” Johnson needs no introduction. And if the early returns are any indication, his super-premium Tequila brand Teremana soon won’t need one either. Teremana, created by Johnson along with co-founders Dany Garcia, Ken Austin, and Jenna Fagnan, debuted in March with Blanco and Reposado expressions retailing at around $30 and $33 a bottle respectively. The brand’s moniker is a combination of ‘Tere,’ derived from the Latin ‘terra’ meaning earth, and ‘Mana,’ the Polynesian word meaning spirit. Mast-Jägermeister was tapped as Teremana’s exclusive importer, a move that aligned the brand nationally with top-ranked U.S. distributor Southern…
BACARDI LTD HAS TAKEN FULL CONtrol of London-based premium batched cocktail company Tails, after acquiring a minority stake in 2018. Tails cocktails are made using Bacardi brands and then pre-batched in bottles or on draft. No financials were disclosed. Bacardi says the batched cocktails have ample growth potential looking ahead, as they offer on-premise accounts ranging from bars to concert venues high-quality, pre-made mixed drinks available at scale. “Tails opens up the world of premium cocktails to bars which could never otherwise entertain the idea and at the same time it will open up a new revenue stream when they need it most,” said Bacardi CEO Mahesh Madhavan. The Tails range includes the Classic and Berry Mojito, the Passion Fruit and Espresso Martini cocktails, and the Garden Spritz.. Tails has…
FORMER DIAGEO BOARD MEMBER Debra Crew took over as president of the company’s North America business in July, at one of the most tumultuous times the drinks industry has ever faced. After a strong fiscal first quarter in the three months through September, Crew said the drinks giant is well-positioned to drive further growth in the months ahead, leveraging e-commerce investments and the rapid progress of its North American whiskey and Tequila portfolios. In an analyst call in recent days, Crew noted that premiumization in the spirits category is now “accelerating above pre-Covid levels,” and said she expects that positive trend to continue. The super-premium-plus segment is gaining significant share, bolstering growth for key Diageo labels like Crown Royal, Bulleit, Don Julio, and Casamigos. Crew said tailwinds from the influx…
