PDA

View Full Version : And now for something completely different



MyOldKyDram
05-31-2013, 18:09
An Al Jazeera report on bourbon shortages.

http://www.aljazeera.com/video/americas/2013/05/2013529211148601179.html

squire
05-31-2013, 18:15
Different and worth a few moments of my time.

theglobalguy
05-31-2013, 18:19
Well presented story.

Makes me wonder why they don't pull back from some geographies or at the least delay launching in some new ones while the supply is constrained. I work in Manufacturing, if we lack the product...last thing i want Sales/Marketing doing is telling everyone it's going to be scarce as it almost guarantees a spike in demand (which being short already i can't do anything about).

theglobalguy
05-31-2013, 18:22
Whoah, went back and looked at the comments on the site the video is posted to. Guess we all have out different view of the product. Heck, if Satan is involved i may have to bunker a few more bottles just in case.

squire
05-31-2013, 18:33
Oh those comments are funny. It's interesting to hear a theological view straight from the 12th century.

Old Dusty
06-01-2013, 06:20
An Al Jazeera report on bourbon shortages.

http://www.aljazeera.com/video/americas/2013/05/2013529211148601179.html

thanks for posting.

MyOldKyDram
06-01-2013, 06:26
No problem. Should be noted that I saw this on Bourbon & Banter and stole it from him. Just found it interesting.

darylld911
06-01-2013, 08:54
Man - I was hoping for some Monty Python/Bourbon skit :lol:

I think her saying that Maker's lowing the alcohol content was "an unprecedented move" is a bit disingenuous (since the best selling American whiskey on the planet has gone from 90 to 86 to 80, and I haven't heard Brown Forman crying about the drop in sales). But since she says it with that cute accent, she's forgiven. Although from the comments, if she participated in the tasting after the tour, she's not forgiven and going straight to hell. Wow - if that's the case, hope there's enough room for the rest of us :grin:

theglobalguy
06-01-2013, 08:59
Would say unprecedented in that they vocalized it and social media took over. Imagine a reporter from overseas who'd never heard of Bourbon before knew about that debacle.

393foureyedfox
06-01-2013, 09:04
the quotes at the bottom make me think of the bumper sticker.........."the gene pool needs some chlorine"

there are a lot of dicks in the world today....

darylld911
06-01-2013, 09:20
Would say unprecedented in that they vocalized it and social media took over. Imagine a reporter from overseas who'd never heard of Bourbon before knew about that debacle.

I completely agree with characterizing the response as being unprecedented. Had JD tried to move from 90 to 86 in a world with fb, twitter, etc - it would have been ugly. And JD is only one example of many where labels have dropped a few proof points. To me, unprecedented means never done before (although you have a point - for folks who don't know about whiskey, to them it never has been done).

Meruck
06-01-2013, 09:42
Did you see the size of that M46 pour????? Where is that bar????

theglobalguy
06-01-2013, 10:32
Did you see the size of that M46 pour????? Where is that bar????

I assume Frankfort, KY. But that being said, 72 ice cubes in a glass will make any pour seem large!

brettckeen
06-01-2013, 10:57
When they closed they said something about bottling for netherlands? Why not pull out of foreign markets in order to full fill demand domestically? Not to be super nationalistic, but if weller 12 is running short and on allocation how about taking England's supply?

darylld911
06-01-2013, 11:05
When they closed they said something about bottling for netherlands? Why not pull out of foreign markets in order to full fill demand domestically? Not to be super nationalistic, but if weller 12 is running short and on allocation how about taking England's supply?

They my actually make more money in some of those foreign markets. No idea how much the increase in the bottle is due to transport and additional taxes, but my guess is if the business could make more money on the same products here - they would.

qman22
06-02-2013, 07:16
When they closed they said something about bottling for netherlands? Why not pull out of foreign markets in order to full fill demand domestically? Not to be super nationalistic, but if weller 12 is running short and on allocation how about taking England's supply?

Looked like Blanton's Gold, something I would buy if available here. I don't blame these companies for selling overseas, but it annoys me to no end that there are great bourbons not available for the American public to buy when it is made right here. Europe gets the age stated WT 8's & 12's, when we get the inferior product. It just seems like a dick move to me...

squire
06-02-2013, 07:53
I believe the Makers sold overseas is in a smaller (700mil) bottle and 80 proof, at least that's how they sell it in Australia and it stands to reason they do so in other markets as well.

theglobalguy
06-02-2013, 14:50
They my actually make more money in some of those foreign markets. No idea how much the increase in the bottle is due to transport and additional taxes, but my guess is if the business could make more money on the same products here - they would.

Based on what i've seen some mid-shelf products for overseas, YES!

But you add to that the fact no one wants to admit leaving a given market where there's demand for the fear that something or someone else will take their customers. You may like Blantons as an example, live in a certain market, but only hardcore customers will go out of their way to ship/find, the rest will find another product and develop allegiance to that brand. By the time the original product comes back you've moved on.

darylld911
06-02-2013, 15:02
Based on what i've seen some mid-shelf products for overseas, YES!

But you add to that the fact no one wants to admit leaving a given market where there's demand for the fear that something or someone else will take their customers. You may like Blantons as an example, live in a certain market, but only hardcore customers will go out of their way to ship/find, the rest will find another product and develop allegiance to that brand. By the time the original product comes back you've moved on.

Excellent points - even if they could make a few more dollars here, abandoning a market makes it much more difficult (ie - costly) to get back into later as customers have found substitutes. I sort of wish the various distilleries wouldn't put out the PR about their shortages, for fear it will drive folks to hoard (only worsening the problem). But, I understand their wanting to set the stage for upcoming shortages or price increases.

jburlowski
06-02-2013, 15:34
The Blanton's brand is owned by Age Intl and not by BT / Sazerac. They (Age) determine what is sold, and where.

squire
06-02-2013, 16:27
Gary I suspect the real reason for the PRs is to keep the brand in the public eye because a press release is cheaper than advertizing and more likely to be repeated.

theglobalguy
06-02-2013, 16:30
Gary I suspect the real reason for the PRs is to keep the brand in the public eye because a press release is cheaper than advertizing and more likely to be repeated.

Curious to see what Sazerac reports sales at in the coming months, and if they get a Maker's like spike in demand with the general public rushing out to buy "just in case"

darylld911
06-02-2013, 17:42
Gary I suspect the real reason for the PRs is to keep the brand in the public eye because a press release is cheaper than advertizing and more likely to be repeated.

Very true, although if there are shortages already, the free advertising only pours gas on the fire (so maybe they don't have the type of shortages they're hyping - just yet). From a business standpoint, I suspect in the short run (ie - next few years) that they'll either have to kill some brands to meet the demands for some, kill age statements so they can use newer stock earlier than anticipated, reduce proof on some brands, accept "stock out" situations (where they just don't have any product on the shelves to meet demand), or raise prices. Based on the Makers backlash, I would be surprised to see them lower the proof. Killing (or short-changing) some brands may be an option. But the easiest is to implement slow price increases until the supply/demand is more balanced. In a perfect world - you'd just make more, but the timeline for doing so requires some short-term action. Again, they could do nothing and accept stock-outs, but that doesn't make sound business sense.

WhiskyRI
06-02-2013, 18:13
Scarcity can actually drive demand and if they manage it properly giving priority to restaurants and bars over retailers while also increasing prices they can move a brand up market without spending huge marketing dollars solving multiple problems at once - managing scarce supply, creating buzz and driving demand. The empty shelves then become validation on how popular the brand is - especially if they can get liquor store customers to ask for it by name.
I think the bigger issue right now is lack of warehouse space for all the added production being planned. Last year was the first year in something like 40 years where Kentucky filled 1,000,000 barrels. Building warehouses isn’t cheap and I have to believe ramping up production with readily available warehouses is a much easier decision than deciding to ramp production and build new warehouses.
Hopefully we’ll survive all of this streamlining to witness the next bourbon glut. Not betting on it happening any time soon but hoping that history will repeat itself.

jburlowski
06-04-2013, 15:03
Curious to see what Sazerac reports sales at in the coming months, and if they get a Maker's like spike in demand with the general public rushing out to buy "just in case"

Sazerac is privately owned and won't be releasing any sales figures.