Beverage Dynamics

Beverage Dynamics - March 2015

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.

Issue link: https://read.dmtmag.com/i/485350

Contents of this Issue

Navigation

Page 55 of 83

56 Beverage Dynamics • March/April 2015 www.beveragedynamics.com Cordials & Liqueurs Shake-Up" campaign that included digital and interactive experiences with themed frozen and iced cocktails, as well as ideas for summer entertaining. Other brands are looking to one- offs to bolster sales. Disaronno, which dropped 13 percent in 2013, recently teamed up with fashion house Versace for the Disaronno wears Versace Lim- ited Edition Bottle. The Versace fashion house showcases the treasures of the Sea God Neptune — complete with shells, pearls and golden statues. A portion of the proceeds from the bottles' sales will go towards the charitable organization Fashion 4 Development. But the challengers in flavored whiskey keep arriving, with fl avors that make them sound more like liqueurs: Diageo's Piehole is a blend of Canadian whisky with fl avors of apple pie, cherry pie and pecan pie. Says Dan Levine, senior brand manager, Diageo North American Whiskey, "We've seen success in the fl avored whiskey category as it gives new whiskey drinkers — both men and women — an entry point." FLAVORS ON FIRE While the large lines of cordials have struggled to maintain share, some particular fl avors are doing well. At DeKuyper, Peachtree continues to be popular due to its mix- ability, so much so that owner Beam Suntory introduced a higher end iteration, Peche, to its John DeKuyper and Sons line. Blue curaçao as well as the standard orange curaçao have started to pick up, says Brendan Lynch, senior director of rum and cordials for Beam Sun- tory. "A fi fty percent increase in one year catches your eye," he says, noting that a recent trend for blue-hued cocktails that started in Los Angeles and then moved to other parts of the country is the likely engine for the growth. That regional expansion is not new to the category. "In the Midwest, liquor stores often offer cordial aisles tens of feet long, but that's not the case in most places," Lynch says. Lines like Pucker do especially well in the Midwest, where the sweet and sour shot occasion is still alive and well. Bols, too, sees a spike in curaçao, blue and plain, with triple sec, melon and apple liqueurs as well, says Lucas Bols USA marketing manager Jaron Berkhemer. He believes the period of slow decline for lines of cordials is about to turn around now that the confection vodka craze has faded and consumers revert to traditional cordials for their mixability. Even specialty cocktail item Pierre Ferrand Dry Curaçao has caught fi re - up 33 percent in the off-premise in 2014, according to company fi gures, and now sold in 37 states. "We expect the pure lines of cordials to start growing, and a lot of that growth we project to be in the premium segment," Berkhemer says. "People are starting to want clean, original fl avors, and rather than looking at fl avored vodkas, they are now going back to apple liqueurs and coffee liqueurs for more authenticity." Going forward, brands will need to increase their attention to cocktail culture, he says, with the consumer following the bartender in trading up. Authenticity is important as well — after purchasing LEADING BRANDS OF CORDIALS & LIQUEURS (Thousands 9-Liter Cases) 12/13 Brand Origin Supplier 2012 2013 % Chg DeKuyper USA Beam Inc. 2,365 2,251 -4.8% Jagermeister Germany Sidney Frank Importing 2,445 2,190 -10.4% Fireball Canada Sazerac 770 1,870 ++% Baileys Ireland Diageo 1,332 1,380 3.6% Southern Comfort USA Brown-Forman Beverages 1,166 1,121 -3.9% Kahlua Mexico Pernod Ricard USA 949 899 -5.3% Hiram Walker Cordials USA Pernod Ricard USA 881 828 -6.0% Jack Daniel's Tennessee Honey USA Brown-Forman Beverages 487 609 25.1% Grand Marnier France Moet Hennessy USA 500 500 0.0% Rum Chata Caribbean Agave Loco Brands 325 460 41.5% Total Leading Brands 10,895 11,648 6.9% Others 10,145 10,532 3.8% Total Cordials & Liqueurs 21,040 22,180 5.4% (++) Greater than 100%. To learn more go to www.bevinfostore.com Piehole Cherry Pie, Apple Pie and Pecan Pie

Articles in this issue

Links on this page

Archives of this issue

view archives of Beverage Dynamics - Beverage Dynamics - March 2015