The flavored whisk(e)y segment, which has been a hot spot for whisk(e)y for years, cooled slightly for the first time in a decade last year. The category, which has seen steady year-over-year growth since 2013, fell 1.5% to 17.63 million 9-liter cases in 2023, according to Impact Databank. While some flavored offerings are still growing, retailers are noticing slightly less demand these days. “Flavored whiskies are certainly doing fine at Hazel’s, but they’re nowhere near as integral a part of the set as they were in years past,” says Max Girardin, liquor manager at Hazel’s Beverage World in Boulder, Colorado. “Overall, they represent 5% of the revenue generated by the whisk(e)y category as a whole, but they do tend to dominate in the smaller formats. Novelty packaging like the Fireball Buckets are leading the charge for this segment.” 

Fireball, which leads the category by a large margin, was the only brand out of the top ten flavored whiskies to see growth last year at 7.2 million cases, but it was up just 1%. While it continues to dominate the category, its growth has slowed significantly from its five-year average of 7%. This comes after Fireball’s parent company Sazerac broke off from distributor Republic National Distributing Co. in 2023, choosing instead to spread distribution across multiple companies including Southern Glazer’s, Breakthru, Martignetti, Johnson Brothers, and Reyes. Fireball ($15 a 750-ml.), which launched in 2001, surpassed the 7 million case mark in 2022 and has accounted for over 40% of the category in terms of volume for the last decade. And while volume was down in 2023, the franchise was buoyed by its malt-based offshoot sold in c-stores across the nation in 1.7- and 12-ounce formats ($2 a 1.7-ounce; $10 a 12-ounce). 

Beyond Fireball

Second in the U.S. market to Fireball is Diageo-owned Crown Royal Regal Apple. The apple-flavored whisky failed to push past the 2-million case mark last year, falling 5.5% to 1.7 million cases. This is the second year in a row that Regal Apple has declined, after years of persistent growth. The brand, which sells its original Regal Apple expression for $27 a 750-ml., has high hopes for the recently added release of Crown Royal Golden Apple, a luxury 23-year-old flavored whisky that retails for $250 a 750-ml., marking the brand’s first foray into the prestige flavored category. “We foresee an increased curiosity and demand for luxury flavored whisky among consumers,” says Crown Royal vice president Tatiana Conti. 

In addition to its apple flavored expressions, Crown Royal also offers Vanilla, Peach, and Salted Caramel whiskies (each $27 a 750-ml.) as part of the brand’s flavored portfolio. Crown Royal Peach declined 2.5% to 780,000 cases last year, falling back under the 800,000-case mark that it had just surpassed the previous year. Crown Royal Vanilla also declined in 2023, dropping 7.2% to 450,000 cases. While not as popular as its portfoliomates, Crown Royal Salted Caramel was the only flavored offering in the brand’s stable to see growth last year, leaping 27% to 235,000 cases. The expression is a seasonal flavor, available only in the cold months, that has been growing steadily since its release. Its continued success earned it Impact “Hot Brand” status this year. 

Rounding out the top three flavored whisk(e)y brands is Ole Smoky, which offers 20 different flavors of whiskey, blowing the competition away in terms of variety. Ole Smoky dipped just slightly in 2023, declining 0.3% to 1.2 million cases, but compared to last year’s double-digit growth of 42.5%, the brand’s change in pace is noticeable. Ole Smoky Distillery, which also produces moonshine in various flavors, changed hands in 2022 when investor Apax Funds acquired a controlling stake in the company. At the time of that deal, Apax said it hoped to further accelerate the already rapid growth of the company, a hope that did not come to fruition in the 2023 fiscal year. What Ole Smoky lacked in volume last year, however, it made up for in innovation. The brand released several new flavors including Banana, Mint Chocolate Chip Cream, and Cookie Dough (each $25 a 750-ml.). Ole Smoky CEO Robert Hall says that the company is “constantly innovating and looking for new flavors to excite our consumers.” 

Other flavored whiskey brands among the top ten include Jack Daniel’s, Southern Comfort, and Wild Turkey, all three of which saw declines in 2023. Jack Daniel’s Honey ($24 a 750-ml.) fell 5.1% to 707,000 cases and Jack Daniel’s Fire ($24) declined 3.7% to 356,000 cases, while Southern Comfort ($24 a 750-ml.) did just marginally better, dipping 5.3% to 900,000 cases. Wild Turkey American Honey ($25), which has been slowly declining since 2021, fell another 0.6%, depleting 482,000 cases in 2023. “As with many brands, the pandemic created supply chain issues, and out of stocks, and the closure of the on-premise channel proved to be challenging with lingering effects,” says Keenan Harris, brand director of Jack Daniel’s flavors in the U.S. and Canada. “Overcoming that slowdown and gaining a clear understanding of the new normal was a long process and signaled a need for a renewed focus on core business elements to drive us forward.” Despite the softening of the category, Harris notes that Jack Daniel’s sees potential for a more successful 2024. “We are very optimistic that 2024 will be a year of growth with the plans we have in place,” he says. 

Experimentation Abounds 

Beam Suntory’s flavored whisk(e)y portfolio has the most individual brands among leading flavored whiskies in the U.S. Jim Beam Bourbon offers several different flavors (each $19 a 750-ml.) including Jim Beam Apple, which declined 7% to 320,000 cases last year, according to Impact Databank. The second most popular flavor, Jim Beam Honey, had a slightly better year in 2023, increasing 2% to 325,000 cases. Both offerings have been declining overall since their peak in 2020. The largest of the Jim Beam lineup is Red Stag, a black cherry flavored whiskey that reached 345,000 cases last year, up 4.5% from 2022. Unlike its portfoliomates, Red Stag has seen consistent growth nearly every year since its launch in 2011. 

Skrewball, one of the segment’s most sensational players, took a significant hit last year. The peanut butter whiskey brand dropped 16.2% to 489,000 cases, dipping back under the 500,000 case mark for the first time since 2020, when the brand originally skyrocketed. Skrewball ($25 a 750-ml.) brought its peanut butter whiskey to market in 2018 and soared above the half a million case mark within two years. Craig Johnson, head of American whiskey at Pernod Ricard USA, which acquired Skrewball in 2023, says the whiskey’s peanut butter flavor appeals to American consumers. “I think 90% of households buy peanut butter, so it is nostalgic,” he explains. 

The holiday season is one of the most vital times for flavored whiskies, with many brands releasing festive flavors. In 2022 Skrewball released its first line extension, the limited-edition Skrewball Peanut Butter Flavored Eggnog ($20 a 750-ml.), in an attempt to tap into the seasonality of flavored whiskey. The variant “very much fits in that Skrewball mentality of taking that delicious flavor and introducing it into another category,” Johnson says. The brand brought back the offering for the 2023 holiday season in light of consumer response to the product. 

Evan Williams, which offers flavors such as Fire, Peach, Cherry, Apple, and Honey ($11-$16 a 750-ml.) year-round, also releases seasonal expressions in the winter months. “We see a pickup in sales typically during the holiday season and we expect to see more of the same this year as consumers look for reasons to celebrate,” says senior brand manager Molly Vincent. “It’s a big time for our flavors. For Evan Williams in particular, we have seasonal offerings to leverage those trends. Specifically, we have Eggnog, which is the No.-1 Bourbon-based eggnog, and our Spiced Apple variety.” The entire Evan Williams flavored portfolio softened by 5.2% to 312,000 cases in 2023, marking the stable’s first decline since its launch. 

For Hazel’s Beverage World, which is located in close proximity to the University of Colorado Boulder, the most integral time of year for flavored whisk(e)y sales is when school is in session. “Seasonally, the biggest factor that drives sales for the flavored whisk(e)y category is undeniably the college schedule,” Girardin says. “When school is in session we see a large boost to the category, and it dips dramatically during summer break. Our all-time high is the first full month of the school year, September.” Indeed, the main demographic of flavored whisk(e)y drinkers falls within the age range of 21-29 and skews slightly toward male consumers. 

While the top ten flavored whisk(e)y brands largely dominate the category, there are smaller players bringing new and exciting flavors to the table, stiffening the competition. At Hazel’s, smaller and more local brands see a fair amount of traction. “After the big and famous brands, I’d say the most sought after flavored whiskies in our store are the local craft darling Leopold Brothers’ offerings. In order of popularity: Cherry, Blackberry, Peach, then Apple,” notes Girardin. “We also do a fair amount of business on the Knob Creek Smoked Maple and the Misunderstood Ginger whiskey, which are both favorites of the staff to recommend.” Hazel’s sells all flavors of Leopold Brothers whiskey for $37 a 750-ml., and Knob Creek Smoked Maple and the Misunderstood Ginger Whiskey retail for $35 and $33, respectively. 

One of the more innovative recent releases is Kurvball whiskey, a smaller company that exclusively markets barbecue flavored whiskey. Kurvball ($25 a 750-ml.) launched in 2021 and is available in 45 markets across the U.S. Often described as tasting of ribs or barbecue chips, the whiskey can be taken as a shot or enjoyed in classic cocktails like Bloody Marys, Margaritas, and Old Fashioneds. “As a team, we identified barbecue as a revolutionary flavor concept for the industry, to compete in the rapidly growing flavored whisk(e)y space,” says Kurvball’s chief commerical and marketing officer Donald C. Freytag. “Flavored whisk(e)y is growing at roughly twice the rate of total whisk(e)y as more consumers opt in to easy-drinking flavors that make whisk(e)y more approachable to a wider segment of consumers.” The experimental barbecue whiskey is piquing consumer interest and growing rapidly, Freytag says, adding that Kurvball, “more than quintupled sales in 2023, and we expect to double sales again in 2024.” 

While the category is certainly softening, there’s no reason to fear for the future of flavored whisk(e)y . Every day, new consumers are entering the category, which is often seen as less intimidating than non-flavored whisk(e)y offerings. And as long as consumers keep experimenting with flavors, brands will continue to innovate and add new and exciting offerings to the mix. “Flavors are an opportunity to welcome new consumers into the American whiskey category,” says Julie Cole, senior brand manager for Evan Williams at Heaven Hill Brands. “We’re seeing consumers enter from flavored vodka, Tequila, and rums; however, there’s also occasion-based opportunities for all levels of American whiskey fans.” Freytag concurs, noting that whisk(e)y is a strong base to build flavors upon. “Almost every flavor note under the sun is found in whisk(e)y, from nuttiness to citrus to vanilla, especially in Kentucky Bourbon, which serves as the base for Kurvball,” he says. “There is much romance and growing consumer interest in American whiskey. Adding easy-drinking flavor notes to a previously unapproachable category for many significantly broadens the size of the market.”