StateWays is the only magazine exclusively covering the control state system within the beverage alcohol industry, with annual updates from liquor control commissions and alcohol control boards and yearly fiscal reporting from control jurisdictions
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"For O'Mara's Irish Cream, we've seen some really great growth," com- mented Josh Hafer, corporate com- munications manager at Heaven Hill Distilleries. The O'Mara's brand is the fifth largest seller in the Irish cream category, says Hafer, at a bit below 125,000 cases. "Over the last five years or so, O'Mara's has seen exceptional growth, we've grown high single digits to almost double digits and this year we grew at a 20% clip." Hafer attributes much of that growth to customers trading down during this difficult economy. "The brand is at a good price point," he said. O'Mara's has also found great success with the chain store market, especially during the holiday season. Hafer also thinks the Irish cream category is getting a little lift from the meteoric success of Irish whiskey. "I think there is a synergy there; the Irish-ness of both cat- egories." O'Mara's touts its Emerald Isle heritage on the bottle. The company is changing some of its POS mate- rials to stress the cream's quality and true dairy character. "The growth in Irish whiskey is pointing up the qual- ity of Irish brands to the forefront," agreed MacDonald. "And that popularity will undoubtedly help Irish brands across the board." Of course, another well-known Irish liqueur is Irish Mist, the classic cordial steeped in tradi- tion, which can be con- sumed as an after-dinner drink or as an ingredient in a cocktail. Made with aged Irish whiskey and hints of honey, as well as a variety of other ingredi- ents, the venerable liqueur is hoping to move beyond its core constituency of older consumers to a new generation of drinkers. The Future V irtually every- one is bullish on the potential of Irish spirits. "Both the category and Jameson are in their infancy with much poten- The ever-popular Baileys Original Irish Cream and its flavor extensions contin- ued to grow its business in the most recent fiscal year, the company said. tial upside," posits Hartunian. He notes that Irish whiskey seems to be resilient to economic swings, performing well even during tough recession years. "From a category standpoint, I am extremely optimistic; for Jameson specifically, it is the fastest- growing premium spirit brand for the past few years and I expect it to continue." At Cooley, Cashman believes that premiumiza- tion is going to come back, especially for Irish whiskey, where there is a lot of room for consumers to trade up. The company is prepared with whiskeys ranging in price from an affordable $20 all the way up to a superpremi- um $180. "People have a little more money now and they are willing to spend it on brands that they can stand over," asserted Cashman. The category has a good reputation and lots of potential to grow, affirmed Hoyne at Tullamore Dew. "In a spirits industry which hasn't been defined by its dynamism over the past few years, I think people are genuinely looking to see what Irish does over the next decade." SW Leading Brands of Irish Whiskey In The Control States (9-Liter Cases) Brand Supplier Jameson Bushmills Diageo Tullamore Dew John Power 2010* Pernod Ricard USA Skyy Spirits USA Pernod Ricard USA Kilbeggan Irish Whiskey Sazerac Black Bush Diageo Redbreast Irish Whiskey Pernod Ricard USA Michael Collins Feckin Sidney Frank Clontarf Irishman Phillips Distilling Co. Castle Brands Total Leading Brands in the Control States Others Total Irish Whisky in the Control States 184,357 229,148 38,000 20,888 9,028 2,537 3,330 2,332 1,492 1,387 760 The Other Wine and Spirits Co. 177 264,288 315,273 3,659 * 12-month rolling data to September of prior year. Source: The Beverage Information Group Database from NABCA data. StateWays s www.stateways.com s January/February 2012 27 40,337 21,554 10,174 2,777 3,642 3,119 1,995 1,404 941 182 4,571 267,947 319,844 2011* % Chg 24.3% 6.2% 3.2% 12.7% 9.5% 9.4% 33.7% 33.7% 1.2% 23.8% 2.8% 19.3% 24.9% 19.4%