North American Drinks
A toast to America Seamus May discovers why culture, history and occasion are key to unlocking the sales potential of North American drinks.
Australia is blessed with one of the world’s
Manager, Andy Milne, reveals.
The last two decades in the Australian
finest drinks industries. Beer, wine and
“Australians are definitely upgrading
spirits business have been defined by a
spirits are now all produced in this country
their drinking choices and enjoying a
domestic distilling scene that is stronger than
in higher quality and quantity than perhaps
premium product,” Milne says.
ever. It might be suspected that this would
they have ever been.
“The total market for glass bourbon is in
eat into the market of American spirits, but
Nevertheless, there remains an enduring
decline by -5.0 per cent in 9L moving annual
popularity amongst drinkers for imported
total (IRI Data Mar-22), with value and
“I think it is helping the category rather
beverages from North America in Australia.
mainstream driving this decline, however
than hindering it. With more consumers
For retailers, the North American drinks
super premium is continuing to grow,
exploring the super premium category
sector is one that demands attention –
performing +8.0 per cent in 9L.”
of Australian whisky, we are seeing these
offering a route into a lucrative niche with a dedicated audience.
With this change in habits has come a shift in demographics too. In particular, Milne sees a market for
Milne believes the opposite is true.
same consumers learning and discovering more about the same American whiskey category as they look to expand their drinks
Bourbon – a perennial firm favourite
bourbon amongst the over-25 year old age cohort, noting: “In the 25-45 year old sector,
“Having so many great Australian whiskies
Uniquely American spirits, such as bourbon,
consumers are upgrading their bourbon
available to consumers, they are able to learn
continue to resonate with Australians. An
choices from the value or mainstream
and engage more with these products. That
IRI report released in late 2021 revealed that
choices of their youth and seeking a higher
provides them the confidence to make new
bourbon remains the number three ranked
quality option that doesn’t break the bank.”
discoveries when purchasing in-store.”
glass spirits category in Australia, a position it
Here, Milne believes there is a clear
has maintained for the preceding three years.
opportunity for some of SouthTrade’s
Nevertheless, there does appear to be
imported American spirits.
knowledge,” he said.
RTDs and liqueurs tap a younger adult market
a shift in the bourbon drinking habits of
“This is where we have significant growth
Milne also describes a growing trend
Australians that will pique the attention of
for Buffalo Trace and Eagle Rare 10 year
among younger drinkers for flavoured
retailers, as SouthTrade International Brand
old,” he said.
whiskey liqueurs.
38 | National Liquor News
