Page 59 - TFWA World Exhibit 2023 Special Edition

INSIDER

coming months– Mexico City (October 29)
and Sao Paolo (November 5).

U.S. whiskey makes ground north of the
border
Despite possessing its own vibrant
domestic whisky market, Canada continues
to be a fertile market for U.S. whiskey
distillers. According to the Distilled Spirits
Council of the U..S, Canada was the fifth
biggest export market for U.S. whiskey last
year with exports worth $80m, up from
$68m in 2021. This upward trajectory was
also mirrored in the country’s duty free
market which continued to recover from
the effects of COVID.
Brown Forman’s Rodiek says both
Jack Daniel’s and Woodford Reserve have
shown good duty free growth in Canada
this year, especially in the airport channel
where COVID-19 travel restrictions were
removed before the border store sector.
“Toronto [airport] is driving the growth Flavored whiskeys have been a growth area for International Shoppes with Fireball first to market.
there, with Vancouver [airport] further Tastings have been key for the brand as seen above at JFK Terminal 5.
behind as we await the return of travelers
from China. On the borders, where COVID
restrictions were in place until October
2022, there’s been a slower recovery.” Turkey dominate duty free shelf facings. they were.”
At Ontario-based Ambassador Yet now new regional whiskey styles are Halpern says International Shoppes
Duty Free, liquor & tobacco category emerging thanks to the proliferation of craft offers travelers an in-store range of 30-40
manager Mike Maskery reveals overall distilleries in every corner of the country. small-batch specials. “We try to mix and
liquor sales at his border store are up over These craft distillers are match a bit,” he explains. “In that setting,
50% year-on-year despite some COVID experimenting with different grains, mash it works. They are all unique brands you
vaccination requirements remaining in bills, fermentation techniques, aging are not going to get anywhere else in the
place until May. The operator currently has methods, and finishing techniques to create world.”
29 different American whiskey SKUs on unique and flavorful whiskies. Some of Flavored U.S. whiskeys are another
offer compared to 64 Canadian whiskies, the most popular styles include the revival growth area for International Shoppes,
the retailer’s top-selling spirits category. of rye whiskeys, mesquite wood-smoked according to Halpern. “Fireball was
The five top-selling U.S. whiskey SKUs single malts, peated single malts and corn the first to market. It really pushed the
are Buffalo Trace, Woodford Reserve, whiskeys. envelope on flavored North American
Jack Daniel’s 1.5 liter, Jim Beam and Jack Scott Halpern, executive vice whiskey. I don’t drink them personally but
Daniel’s 1 liter. president at International Shoppes, which it is amazing to me how much Fireball and
“In our store, the customers are going runs duty free stores at U.S. airports such Jack [Daniel’s] Fire that we sell…We also
towards the craft labels rather than the as New York JFK, Washington Dulles fought really hard to get Skrewball [Peanut
big-name brands,” Maskery reveals. “Most and George Bush Intercontinental, has Butter] whiskey about a year ago. It’s done
of these are highly allocated worldwide noticed how travelers are becoming more very well. It’s a peanut butter [flavored]
and very hard for us to get in-store. For experimental in their purchasing habits. whiskey. It’s an acquired taste and requires
example, our allocation of Blanton’s “You have your Jack Daniel’s, a different palate but it has shown that it
bourbon for all of 2023 was 54 bottles.” Maker’s Mark and Jim Beam– they always has done very well.
do well for us. But we also see that a “The market is changing,” he
Traveling consumers become more lot of people are exploring and wanting concludes. “Where vodka was 10 years
adventurous something that they cannot get back home. ago with every flavor under the sun came
Maskery’s observation that more “That’s been the story for us for a up, you are starting to see that and there’s
and more travelers are in exploration long time. They’re looking for a bottle of probably going to be a little push towards
mode when purchasing in duty free is old faithful and a bottle of something new that in the bourbon world.”
a pertinent one. For decades, Kentucky and unique. We have quite a few New York
bourbons and Tennessee whiskeys were bourbons, for instance. People buy those; Rabbit Hole Whiskey jumps into U.S.
the two main U.S. whiskey styles which that’s great. We also have some Texas duty free
traveling consumers recognized and whiskeys that appeal to the Far Eastern A clear sign of the growing
even today, the big brands of Jim Beam, market and those equally do well. People international popularity of U.S. whiskeys is
Jack Daniel’s, Buffalo Trace and Wild buy them as gifts or as a memento of where the increasing number of overseas

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