8 American Whiskey Trends
“ I ’ d like to see more bourbons valuing themselves at what I think bourbon is worth ” — Caroline Paulus ,
Justins ' House of Bourbon
the leading retailers of whiskey picks in the country . “ And usually these picks are reasonably priced , and something different to drink .”
“ Every single time , these are bourbons you ’ ve never had before ,” she adds . “ And that ’ s what many consumers want these days .”
2 ) ‘ Sourced Whiskey ’ is Sought After
Not long ago , words like “ sourced ” and “ MGP ” were vulgar terms and looked down upon in whiskey culture . Not anymore . In a 180-degree turn , consumers now hunt down brands that source good whiskey . People now know that “ MGP ” and other sourcing houses mean “ quality ,” which in turn has fueled a rise in new brands .
“ Sourced whiskey is a necessity for young brands ,” says Mike Montgomery , CEO / cofounder of Blue Run Spirits , which launched in 2020 with several sourced offerings . “ It fills a void while the distillate we ’ re distilling becomes mature .”
Handled properly with transparency and creativity , sourced whiskey has proven a popular product .
“ There are creative approaches that companies like Blue Run can take on sourced whiskey that the distilleries themselves might not ,” Montgomery says . “ For instance , we launched a 13-year sourced bourbon at 113 proof . You ’ d be hard-pressed to find a distiller proofing those bottles anywhere above 95 proof .”
A big part of the backlash against sourced brands years ago was a distaste for any dishonesty about where the product was distilled . Modern brands now know better .
“ We ’ ll be as transparent as we can legally be ,” says Montgomery . “ We can ’ t disclose the exact distillery it came from , or sometimes even the mash bill .” But on its most recent release , Blue Run could disclose the mash bill . “ That was a first for us .”
Penelope Bourbon , based in Roselle , NJ , is another fast-emerging sourced brand , one with transparency at the heart of its operations .
“ We only work with MGP , and they ’ re great partners and mentors ,” says Penelope CEO / cofounder Michael Paladini . “ We ’ ve got nothing to hide . These people make great whiskey . We look at this as an advantage , not a negative .”
Like Blue Run , Penelope is creative with products they source . “ We always wanted to be viewed as blenders ,” Paladini explains . “ We ’ ve tried to put our own spin on what we ’ re doing with the MGP juice . When you can take good juice and give it a unique profile , that ’ s how you build a strong brand .”
3 ) Barrel Finishes Pick Up
With so much demand for American whiskey , brands have expanded their lines through barrel finishing . These different takes on a distillery ’ s core products provide what consumers crave most : variety .
But many distillers and blenders urge caution about over-innovation through finishing . You can risk turning away customers with too many different options , as happened in craft beer some years ago .
“ They ’ re a lot of fun , barrel finishes , but you can fall down a rabbit hole with that stuff ,” says Paladini of Penelope Bourbon . The company ’ s recent cask finishes include grenache and rosé wine .
“ As a company , you ’ ve got to be different , but there are different scales of that ,” Paladini notes . “ I think finishes work better as limited releases . If that goes well , then you introduce them as a core expression .”
Echoing his concerns is David DeFazio , cofounder of Wyoming Whiskey .
“ What concerns me is the distillery that has not mastered their base product and then use barrel finishing to mask imperfections ,” he says . “ That does the industry a disservice . A ‘ sherry bomb ’ finished whiskey that masks mistakes — that ’ s a Band-Aid . Consumers who pick up that bottle , it ’ ll make them turn away from the category .”
For distilleries that have already fine-tuned their base spirits , however , DeFazio sees finishes as a natural extension .
“ Now they ’ re looking for a barrel that can enhance their product ,” he says . “ They want to show off a level of sophistication that the distillery has , and a point of differentiation .”
People today seek something different , DeFazio notes . “ These distilleries are saying , ‘ If you already like our base whiskey , pick up this double barrel release to see what Oloroso does to our whiskey ’.”
4 ) Premiumization and Innovation
Barrel finishing and innovation are part of a bigger trend that has fueled the modern whiskey boom from the beginning : premiumization . Consumers are willing to pay up for
34 • Fall 2022 www . cheersonline . com