11/27/2018

Craft Spirits and Small Batch Distilling

Women sharing a glass of whiskeyCentury-old distilling families and well-established brands are no longer immune to the changing craft beverage landscape. Drinkers are looking for variety and innovation, fueling growth of the hyper-local craft distilling segment as well as huge flavor innovation projects and brand extensions from the largest producers in the U.S. And while the size of the 21-35-year-old segment is significant, competition for trial and purchase is unprecedented and brand loyalty within that segment is virtually impossible. Despite those odds, the U.S. spirits market is expected to reach revenues of more than $20 billion by 2023, growing at a CAGR of 32% during 2018-2023.

Premium and artisanal products (and their associated price point) will continue to be in demand as drinkers seek more occasions for both on- and off-premise consumption. Tasting rooms continue to be a popular outlet to satisfy the need for social, where the experience is just as important as the product in many cases. Distillers, as well as brewers and winemakers, will feel increasing pressure to provide sharable moments in order to remain top-of-mind with volatile and vocal consumers.

This highly-fragmented market will benefit now more than ever from company authenticity and transparency in order to connect with new consumers at an emotional level. Getting the owned media right (including a brand’s website, tasting room experience, social media channels, etc.) should be a primary focus to drive discovery of the brand, followed by a strategic content calendar and marketing strategy.

Market Your Craft barrel for postWhile the “craft” label may be new, the entrepreneurial spirit and passion of craft distillers has been around for centuries. As small-to-mid-sized producers in this space look for marketing and advertising to amplify their brand messaging, it’s critical to have the right partners who complement your internal resources. Members of Market Your Craft have worked inside advertising and creative agencies, both big and small, to help design sustainable brands built to scale. Our experience with in-house legal and industry watchdogs ensures communications are fully-compliant with privacy policy and CAN-SPAM requirements. Add to that a deep bench of loyalty and customer service experience and the result is a best-in-class engagement strategy that will propel your business forward.
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