Retailers See Bourbon, Tequila, Premium Wines Driving 2024 Demand

Beverage alcohol retailers plan to continue intensifying efforts to sharpen focus on the super-premium wines, whiskies, and Tequilas driving customer demand this year. While U.S. wine market volume decreased 2% last year, according to Impact Databank, the premium segment grew. “The sweet spot in overall sales is in the $12-to-$25 range,” says Ted Farrell, president of the Haskell’s chain in Minneapolis. “That’s where the volume is and where the money can be made. We have a lot of Côtes du Rhône and California Cabernet Sauvignons in that range.”

Popular wine brands at Haskell’s include Louis Martini Sonoma Cabernet Sauvignon ($15 a 750-ml.), Second Growth Columbia Valley Cabernet ($18), La Crema Pinot Gris ($14.61), Gearbox Chardonnay ($16), and Angels Landing Napa Cabernet ($17).

Two other significant trends retailers face are RTD saturation and continued strength for Tequilas and whiskies. “We are getting to the point of supersaturation where everyone is making a pre-mixed cocktail,” Farrell says. “We need to select by decent margin or brand name recognition that moves, such as Jack Daniel’s & Coca-Cola ($10 a six-pack of 12-ounce cans).”

High Noon ($12 a four-pack of 12-ounce cans at Haskell’s), Tito’s ($18 a 750-ml.), and Fireball ($12), have been propelling spirits sales. “Tito’s is still a dominant force,” Farrell says. “It’s our No. 1 selling vodka. In pure profit numbers, Tito’s is No. 1. Fireball is No. 1 in bottle sales because 50-mls. ($2) are so popular.”

Top-selling Tequilas at Haskell’s include Patrón ($46 a 750-ml. of Silver), Casamigos ($47 a 750-ml. of Blanco), Clase Azul Plata ($147 a 750-ml.), and Vizón Blanco ($17 a 750-ml.). In whiskey, retailers are becoming more selective of single barrel Bourbons. “One trend you are seeing is the scarcity of some of the brands is loosening up quite a bit,” Farrell says.

In Wappingers Falls, New York, Viscount Wines & Liquors plans to continue its focus on sourcing unique super-premium wines primarily from California and France, with the $15 wine segment remaining solid. Tequilas continue to rise as well. “However, with many Tequilas taking unnecessary price increases repeatedly, that category could be forcing people to downgrade to lower-priced brands,” says store manager Matthew Landolt. In brown spirits, “Bourbon continues to do well, but flavored whiskies are decreasing in sales,” he adds.

Bob Kreston, owner of Wilmington, Delaware-based Kreston Wine & Spirits, believes demand for Bourbon, Tequila, and RTDs will continue to grow along with consumer interest for alcohol-free spirits and beer, low-calorie wines, and natural and organic products. “We have a clientele always looking for new and exciting brands, including our barrel picks that continue growing,” he says.

Tagged : Fireball, Gearbox, High Noon, La Crema, Louis Martini, Second Growth, Tito's

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