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.

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62 Beverage Dynamics • March/April 2015 www.beveragedynamics.com A lthough dwarfed by the relative size of the Bourbon and Canadian whisky markets, Scotch remains one of the standard bearers of the urban consumerism. Its cachet of uncompromised quality, breadth of expression and dynamic range of fl avor keeps Scotch a global heavyweight. A closer look at the numbers reveals some interesting trends. According to the Beverage Information Group, the Scotch market increased 3.17% to 8.85 million cases in 2013, roughly half the depletion of Bourbon and Canadian for the same period. While the overall Scotch category experienced modest growth, sales of single malts grew a robust 11.3% in 2013. After enduring several years of fl at or declining sales, Scotch producers are looking for ways to build on the current uptick in case depletions. With increasing frequency they are relying on consumer education to sustain the momentum. "It's been my experience that training retail staffs actually yields benefi ts in measurable numbers. I've found there's as much as a 20% increase in sales volume for particular brands following a category seminar that includes some key brand information. The strategy works in all types of retail outlets that carry higher marques," notes Steven Beal, senior master of whisky, Diageo North America. "Whisky lovers always seem to have a story about their favorite brand, who introduced them to it, and when they drank or tasted it fi rst. It starts a word-of-mouth viral recommendation for the brand. All of this begins with quality education." AN ARMY OF EXPERTS There is broad consensus among suppliers about the value of sending brand ambassadors into retail accounts to conduct staff training. The House of Walker, the spiritual home of Johnnie Walker, travels across the U.S. to key markets throughout the year. The objective is to engage and educate infl uencers, retailers and consumers about the world's bestselling whisky through curated experiences, according to Director of Scotch Whisky for Diageo North America, Brian Cox. BY ROBERT PLOTKIN How to educate curious consumers about Scotch. A "The extensive Johnnie Walker port- folio offers a distinct fl avor profi le in each of its six labels; therefore, it's im- portant to educate retailers so they can advise consumers on the blend that suits their particular tastes," Cox says. "As part of our retailer educational pro- gram, Johnnie Walker's team of whisky experts provides mentorship in the on- and off-premise, highlighting the brand's heritage and liquid credentials. In the off-premise, Johnnie Walker drives con- sumer awareness and education through an in-store tasting experience that fea- tures the newest additions to the portfo- lio – Double Black, Gold Label Reserve and Platinum Label." When Rémy Cointreau USA re- launched the Bruichladdich range of malts in 2014, it sent a team of brand rep- resentatives on the road to train and taste its network of retailers on the full line so they'd feel confi dent when hand-selling the malts. The company supported their marketing efforts with a program called "Terroir Matters." Notes Judd Zusel, vice president of marketing & innovation for Rémy Coin- treau USA, "The objective of the initiative was to demonstrate the impact terroir has on the character of a whisky. We fre- quently hold consumer-focused 'Terroir Matters' education events where, for at least one hour, we discuss our philosophy and taste consumers on the full product line. These events have been extremely well-received." Erin Robertie is the liquor depart- ment manager at Hazel's Beverage World in Boulder, CO. She knows fi rst- hand the wide range of benefi ts derived from in-store tastings conducted by brand representatives. "It gives consumers and staff the oppor- tunity to sample high-end whisky expres- sions that we otherwise would not have experienced due to their high cost or small allocation," she says. "It's certainly true the more we know, the more we can sell. Customers look for advice and validation when buying Scotch more than any other category of spirits. This kind of education gives us the ability to talk more confi dently about the brands we've experienced per- sonally, as opposed to those brands we have not tasted before." <<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<< TRAINING AN EXPERT SALES TEAM

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