Bourbon’s All-American Roar(4)

By Mickey Meece  2011-12-26 19:13:59

“It is the people’s drink,” said Fred Sarkis, a bartender at the Sable Kitchen and Bar in Chicago. “It doesn’t get more American than whiskey.”

Insiders are excited about the new customers they are attracting beyond older white males. Many consumers are relishing the fruit of industry innovation — infused flavors like cherry and honey, and new finishes and charring techniques for the new oak barrels.

“Flavored whiskey is a gateway-type product into the category,” explained Larry Kass, spokesman at Heaven Hill Distilleries, which has honey and cherry flavors of its Evan Williams brand.

According to Nielsen, sales of flavored whiskey have risen 136 percent so far this year over last and now represent 3 percent of the $1.4 billion whiskey category. In April, the industry leader, Jack Daniel’s Tennessee Whiskey, rolled out Tennessee Honey, a 70-proof proprietary honey liqueur blended with Old No. 7 Jack Daniel’s Whiskey.

Though it was late to the flavored party, Jack Daniel’s soon had a hit on its hands. In just a few months, said Vivien N. Azer, an analyst at Citi Investment Research, dollar and volume sales for Tennessee Honey exceeded all of its flavored peers combined: Wild Turkey American Honey, Red Stag and Evan Williams honey and cherry.

Michael J. Keyes, president of the North America region for Brown-Forman, said the company was initially cautious about Tennessee Honey because it didn’t want to cannibalize the Jack Daniel’s brand. But, he said,  he was happy to see that the honey flavor was resonating with  African-Americans, Hispanics and women.

“Everybody loves Jack Daniel’s brand, but Black Label may not be for them,” he said. “This one seems to be accessible to a different demographic.”

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