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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"Vodka continues to be the king; it's a behemoth," said Jason Daniel, brand director for Skyy Vodka and Campari, for S.F.-based Campari America. "Vodka is the number-one liquor category at our store, it accounts for about 30% of our business," Absolut Cherrykran, which features rich cherry flavor combined with notes of white cranberry and sweet plum, has just debuted in the market. reported Bob Pearson, manager of the downtown store of Crown Liquors, a 20-store chain based in Indianapolis, IN. He added, "It seems like there's a new vodka com- ing out every week." Naturally, his observations are echoed by retailers across the country. Star Labels mances from established labels. Among the stellar per- formers: Swedish import Svedka boosted sales in 2011 by nearly 400,000 cases to just under 3.7 million cases nationally, an 11.8% increase (up 18.4% in the control states). Value-priced Burnett's sales jumped 10.2% to over 1.67 million cases in 2011 nationally (up 7.5% in the control states), that growth fueled by 26 flavors, including a new Blue Raspberry, and two more just- released flavors: Burnett's Pear Vodka and Burnett's Sugar Cookie Vodka. Breaking the million-case mark for the first time nationally (1.1 million cases) is French import Ciroc; the superpremium grape-based vodka increased sales by 38.4% last year, thanks in part to flavors Red Berry, Coconut and Peach. Value-priced Sobieski sold 950,000 L cases nationally in 2011, up 24.2%. "The brand is doing extremely well, awareness is climbing and consumers seem to like our messaging," noted Timo Sutinen, vice president of mar- keting and business development for parent Imperial Brands. Actor Bruce Willis continues as spokesperson and new executions are slated for Sobieski's Truth in Vodka campaign, including a return to outdoor billboards. Other brands showing solid growth include Tito's Handmade, which was up 59.9% to 582,000 cases nationally last year. With a new look and strong retail 36 ighting up the vodka firma- ment are a number of rising stars as well as solid perfor- merchandising support, Platinum 7X Vodka grew 16.1% nationally in 2011, to 548,000 cases. E&J Gallo's entry New Amsterdam Vodka garnered sales of 300,000 cases nationally. The most significant growth came from Pinnacle Vodka, which grew an impressive 92.9% to 2.7 million cases nationally (up 69.0% in the control states). Key to Pinnacle's success is its inventive flavors; 34 at last count, including Cotton Candy, Atomic Hots, Gummy and Cookie Dough. Whipped Cream was a breakthrough flavor; Pinnacle sold 850,000 cases last year, and extend- ed that sweet subcategory to Cherry, Orange, Chocolate and the new Key Lime Whipped. The fast-growing Svedka line of vodkas is launching Svedka Colada beginning in June. "Whipped Cream is not something consumers have to acquire a taste for. We create flavor profiles that are more palatable to the novice drinker," points out Pinnacle CEO Paul Coulombe. "And flavors are very mixable." The company's website contains over 100 recipes just for the Whipped flavors alone. Pinnacle has moved from print to TV advertising on cable channels like Bravo and Oxygen, targeting women between ages of 21 to 35. "It seems like we are introducing new fla- vors every other month," quipped Burnett's Vodka, with sales of more than 1.67 million 9-liter cases, just added Burnett's Pear and Burnett's Sugar Cookie Vodkas to its extensive lineup. Coulombe. Peach and Blackberry were launched this spring; Atomic Hots is one of the newest flavors, a riff on the spicy cinnamon candy. Under consideration are lim- ited-time seasonal flavors such as Pumpkin Pie in the fall. "There's plenty of room for more flavors, as long as they appeal to the American palate," declared Pinnacle's CEO. Of course, category leader Smirnoff, at sales of almost 9.7 million cases nationally, also boasts a successful lineup of flavors (though not quite as flamboy- ant), as does Absolut, the second best- selling vodka in the U.S. Indeed, Absolut has recently released several new flavors to its lineup, the latest being Absolut Cherrykran, which features rich cherry flavor followed by notes of white cran- berry and sweet plum, the company says. Flavor in the Driver's Seat T he flurry of flavor introductions is a chief driver of category growth. Virtually all of the major brands StateWays s www.stateways.com s May/June 2012