St. Patrick’s Day and the Evolution of Irish Whiskey:
The tradition of savoring an Irish whiskey on St. Patrick’s Day may now offer a unique experience for many, as the once purist realm of whiskey production embraces new trends. Irish distilleries, known for their dedication to preserving the authentic taste of whiskey, are now experimenting with flavored variants.
A New Trend in Whiskey:
While flavored whiskeys from American and Canadian companies have long been popular, their appeal is now reaching the Irish distilleries. This shift has surprised many whiskey connoisseurs, who previously held the belief that the taste of high-quality whiskey itself should be the primary focus. Lander Otegui, the Chief Marketing Officer for Proximo, which owns Irish stalwarts Bushmills and Proper No. Twelve, shared his insights on this topic.
“Whiskey purists have long criticized flavored whiskey as a challenge to the category, viewing it negatively because they feel it undermines the purpose of creating high-quality liquor and aging it in barrels,” Otegui stated.
Embracing Change:
Despite this skepticism, Irish distilleries have begun to adapt. Jameson, for instance, introduced two flavored whiskeys – Cold Brew in 2020 and orange in 2022 – that have attracted a substantial number of new customers to the brand.
According to Southern Glazer’s distributors, flavored whiskey is a $1.5 billion category and accounts for 20% of all US whiskey sales. In the past few years, flavored whiskey sales have surpassed unflavored whiskey sales. The number of flavored whiskeys on shelves increased by 37% since 2019, surpassing 1,000 options.
Joining the Trend:
Recently, Conor McGregor’s Irish whiskey brand, Proper No. Twelve, debuted an apple-flavored version, which has seen significant success since its launch a year ago.
“At first, we weren’t convinced about launching a flavored whiskey,” Otegui admitted. “However, younger drinkers are gravitating towards punchier flavors. Irish brands must be much more flexible than their historical beliefs have been to cater to this trend,” he stated.
Entering the Market:
Another Irish distillery, Tullamore D.E.W., released a honey-flavored whiskey in the US last month, marking the first time in its 200-year history that it introduced a flavored variant.
“Honey was an easy choice for us,” said Paul Basford, US President for Tullamore D.E.W.’s parent company, William Grant and Sons. “There’s a preference for flavor in the US market, and flavored American whiskey has been performing exceptionally well. Honey was a natural extension for Tullamore D.E.W. brand,” Basford shared.
A Success Story:
Initial sales have been promising, with Basford predicting that honey will account for 20% of Tullamore D.E.W.’s total sales in the next year and potentially increasing to 35% over time.
“Honey and apple are among the top sellers in the whole flavored whiskey category,” Basford added. “Other popular flavors include cinnamon, peach, and peanut butter.”
Tapping into the Consumer’s Appetite:
“The US consumer has a significant appetite for flavor in general, and the spirits business is no exception to that,” said Jon Berg, Vice President of Beverage Alcohol Thought Leadership at NIQ. “However, flavors tend to have a sales fall-off time frame based on the trial and repeat rates shoppers are willing to give a product,” he cautioned.
Navigating the Changing Landscape:
Both Proximo and Tullamore D.E.W. face similar challenges – attracting drinkers in their mid-twenties who prefer different flavors compared to older generations, a trend that gained momentum following the pandemic.
“After Covid-19, the whole consumer base became more promiscuous, wanting to be experimental and less about what they had before,” Basford noted. “Younger drinkers aren’t often whiskey aficionados, but a flavored whiskey acts as an entry point for someone who wants to drink whiskey but might be intimidated by the spirit’s taste.”
A Gateway to the Category:
“Younger consumers are open to exploring new flavors within the spirits category,” Otegui concluded. “A flavored whiskey serves as an entry point for someone who wants to drink Irish whiskey but might be hesitant due to the spirit’s taste. Flavors are a good way to get them into the brand and into the Irish whiskey category,” he added.
In Conclusion:
Irish distilleries are embracing the changing whiskey landscape and experimenting with flavored variants to attract new drinkers and cater to evolving preferences. The trend is expected to continue, providing an interesting twist for St. Patrick’s Day celebrations and beyond.