Beverage Dynamics is the largest national business magazine devoted exclusively to the needs of off-premise beverage alcohol retailers, from single liquor stores to big box chains, through coverage of the latest trends in wine, beer and spirits.
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ince the launch of Absolut Peppar in 1986, followed by Citron in 1988, the growth of the vodka category has been aided and abetted by a veritable distiller's vat of flavored line extensions, whose current exemplars include cupcake, bacon and other counterintuitive savors. Will tequila go down the same path? With the recent rollouts of Herradura's Lime Margarita, Sauza's Sparkling Margarita line of Lime, Wild Berry and Mango-Peach entries, and Hornitos Lime Shots, flavor is fast expanding the world of Tequila. And don't forget Patron's XO Cafe introduced way back in 1992 to 1800 Coconut launched in early 2012. And with Avion's new Espresso made with Avion Avion tequila recently extended its brand with the addition of Avion Espresso. Herradura's Coleccion de la Casa, an ultra-premium, limited-edition tequila, offers unique merchandising programs to retailers. Pontoni, specialty spirits buyer at Binny's, the 29-store group based in the Chicago area, notes, "The 100% agave segment is continually and rapidly growing." Innovation Works A t Brown-Forman, marketer of the line of Herradura Tequilas, brand manager Valdemar Cantu says, "In the past 10 years, we've seen more sophistication among the trade and consumers." To tap into this thirst for unique, unusual tequilas, for the second consecutive year, Cantu say Herradura is offering merchants two interesting programs. The first involves Herradura's Coleccion de la Casa, one of whose tequilas is an ultra-premium, limited-edition tequila reposado, which has been aged a minimum of 11 months, plus an additional 2 months in port casks. This port cask-finished tequila retails for a suggested $90 for a 750 ml. Herradura's second program involves participating merchants more directly, where the merchant is intimately involved in tasting and then selecting specific barrels for purchase and bottling. Again with the Herradura Coleccion de la Casa brand, Brown-Forman Silver and Italian espresso coffee beans, which is scheduled for release this May, tequila marketers are definitely adding some punch to the barrel. And then there's Peligroso Cinnamon, a new 84 proof cinnamon-flavored tequila infused with 100% pure cinnamon and a blend of secret ingredients, the brand says. While many merchants welcome all the new products and appear ready to give them a chance, BevMo's Bowden doesn't believe these flavored iterations will ever reach the volume that flavored vodkas have achieved. "Tequila flavors have not gained a lot of traction at BevMo." Only time will tell if tequila proPeligroso just ducers can expand by employing flavor released a much as vodka and whiskey marketers cinnamonflavored tequila. have done. arranges participating merchants to partner with Herradura's Master Blenders in creating unique doublebarrel aged, limited-edition reposado tequilas. Working together, the merchant buyer enters a direct dialogue with Herradura Master Blender, via tequila samples sent back and forth between them, with the aim of selecting two or three barrels of tequila for special aging. Once aged, these tequilas are then bottled in Mexico, and ultimately sent to the merchant. BevMo's Brian Bowden cites one of the key advantages of this special Herradura bottling program: it's a product exclusive to BevMo and it results in a "higher ring." That's music to Bowden's ears, as it retails for $54.99, where it's described as: "Beyond the ultimate, the exotic Herradura Double Barrel brings up the pure essence of the Agave plant; accented with a shading of oak; sniff, savor and sip; take this one neat." Bowden says out of each special barrel ordered, BevMo get about 35 cases for sale across the entire group of stores. Back at Beam, Amanda Lamb, senior brand manager for Hornitos says merE&J Gallo's Familia Camarena is the fastest-growing tequila on the market, increasing sales last year by 90% to 475,000 cases nationally. The brand's successful proposition is that it is a line of 100% blue agave tequilas selling at very consumer-friendly prices. 40 • Beverage Dynamics • www.beveragedynamics.com • May/June 2013