Irish Whiskey Resets As The Spirits Market Normalizes
March 7, 2024For more than a quarter of a century, Irish whiskey consumption has seen uninterrupted annual growth in the U.S., except for two years: the pandemic-stricken 2020 and last year, according to Impact Databank. Owing to inflation, a still-challenging on-premise environment, and inventory adjustments, Irish whiskey case depletion volume fell an estimated 8% in 2023. Certainly, Irish whiskey was not alone, as Tequila and spirits-based RTDs were the only sectors to post volume growth last year.
Irish whiskey marketers are hoping for a bounce-back in 2024, especially since the category carries lucrative profit margins. Nearly 90% of Irish whiskey brands in the U.S. are priced at least $25 a 750-ml. bottle at retail, and the sector’s average price tag is exceeded by only three other spirits overall—Cognac, Scotch whisky, and Tequila—according to Impact Databank.
The late winter and early spring lead-up to St. Patrick’s Day always brings heightened interest to the Irish whiskey category via various innovations and holiday promotions. Category leader Jameson debuted a new global push in November, and this month it’s bringing its “Must be a Jameson” campaign to Times Square, complete with its own version of the Ball Drop on the eve of the holiday.
With those moves, brand owner Pernod Ricard is looking to boost momentum for Jameson, which saw U.S. depletions fall last year for the first time since 1995. Pernod Ricard’s second-largest Irish whiskey, meanwhile, is single pot still brand Redbreast, which last autumn launched its latest limited release variant—Tawny Port Cask Edition, at $100 a bottle.
The lone large-selling Irish whiskey brand to post an increase in the U.S. last year was Proximo’s Proper No. Twelve, from mixed martial arts (MMA) fighter Conor McGregor, with most of the rise coming on the launch of its Irish Apple offshoot. Second-ranked Tullamore Dew from William Grant & Sons registered a volume decline in 2023, but the brand enjoyed double-digit growth worldwide, according to Impact Databank, with particularly impressive gains in Eastern Europe.—Juan Banaag
| U.S.—Top Five Irish Whiskey Brands1 (thousands of 9-liter case depletions) |
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| Rank | Brand | Company | 2022 | 2023 | Percent Change2 |
|---|---|---|---|---|---|
| 1 | Jameson | Pernod Ricard USA | 4,360 | 3,941 | -9.6% |
| 2 | Tullamore Dew | William Grant & Sons USA | 333 | 317 | -5.0% |
| 3 | Proper No. Twelve | Proximo Spirits | 276 | 309 | 12.0% |
| 4 | Bushmills | Proximo Spirits | 195 | 185 | -5.0% |
| 5 | Redbreast | Pernod Ricard USA | 63 | 56 | -12.1% |
| Total Top Five3 | 5,228 | 4,807 | -8.0% | ||
| 1 Includes flavors, excludes RTDs. 2 Based on unrounded data. 3 Addition of columns may not agree due to rounding. Source: IMPACT DATABANK © 2024 |
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Tagged : Bushmills, Jameson, Pernod Ricard, Proper No. Twelve, Proximo, Redbreast, Tullamore DEW, William Grant & Sons
