Last year was just the second year in more than 25 that Irish whiskey consumption was down in the U.S., according to Impact Databank. The first year was 2020, when practically every business suffered due to the Covid-19 pandemic. Irish whiskey case depletion volume slipped 8% in 2023—but it certainly wasn’t alone in this, as every spirits category aside from Tequila and spirits-based RTDs posted volume loss last year. And there’s still a lot of action happening in Irish whiskey, earning the category plenty of consumer attention.
Chad Montrose, manager at the Crystal Lake, Illinois location of Garfield’s Beverage Warehouse, likens the growth of Irish whiskey to Tequila, noting that both categories see new entries on the market each year. “Ireland is experiencing a resurgence in interest due to new distilleries producing new distillate after having been nearly decimated some time ago,” he says. “The number of offerings in this category seems to be changing rapidly—perhaps right under some people’s noses.”
Nick Pascale, manager at Pascale’s Liquors in Liverpool, New York, a suburb of Syracuse, notes a significant increase in Irish whiskey sales in his store over the past few years. “People are experimenting with brands outside of the Jameson line, which has been a big change in recent years,” he says. “Prior to Covid it was really just Jameson that drove the category and our selection for other brands was very slim. But as people have shown interest in small boutique brands we’ve widened our offering to almost double what it used to be. As the more desirable Bourbons have become impossible to get and Scotch prices have drastically increased, people seem more likely to experiment with Irish whiskey.”
Paul Basford, U.S. president of William Grant & Sons, owner of Tullamore D.E.W., notes that Irish whiskey has been the fastest-growing whiskey category in the U.S. for the last decade. “As a result, the number of Irish whiskey distilleries and brands has exploded, from just four working distilleries in Ireland in 2011 to 50 today,” he says. “The influx of options has helped people learn about Irish whiskey, try it, and continue to buy it.”
Expanding The Category
At Hazel’s Beverage World in Boulder, Colorado, liquor department manager Max Girardin notes that Jameson is still king. “Of the entire Irish category, the Pernod Ricard-owned Midleton brands account for 64% of sales, with Jameson SKUs alone accounting for 44%,” he says. “The next highest brand family in revenue is Bushmills at just 9% of the category.” In addition to Jameson ($25 a 750-ml.), Redbreast 12-year-old ($70), and Bushmills ($30 a 1.75-liter), Slane ($20 a 750-ml.), Tullamore D.E.W. ($22) and Teeling ($30) round out the top-selling Irish whiskey labels at the store.
“Midleton, being the only producer for some period of time, has made its brands well known,” notes Montrose at Garfield’s Beverage Warehouse. “Labels like Jameson and Redbreast seem to be dominating the market along with Tullamore D.E.W., but we also do very well with many smaller Irish distilleries like Glendalough and Knappouge Castle, just to name a few.”
At Pascale’s, Jameson unsurprisingly leads the pack, notes assistant manager Damien Buehner. “But what is surprising is the fact that the second most popular Irish whiskey in our store is a private label called Brogans,” he says. “While Jameson has steadied its price in a rising economy and leveled itself off at $32 for a 750-ml, with Brogans you get the same size bottle for only $20 at a very comparable level of quality or even more depending on your own personal tastes.”
As far as innovation from producers goes, Girardin notes that Jameson Orange has been selling really well in recent months. “It’s definitely the most innovative thing I’ve seen from Irish whiskey in the last decade,” he adds. Jameson Orange has certainly made an impression on the category, earning Impact “Hot Brand” honors for its 2022 performance after reaching 215,000 cases in its debut year, and other brands have also released their own flavor extensions. Proximo’s Proper No. Twelve introduced its Irish Apple variant ($25 a 750-ml.) last year and Lander Otegui, senior vice president of marketing for Proximo Spirits, says it was “the largest Irish whiskey released in 2023” and a huge factor in the overall success of the brand. Proper No. Twelve was indeed the only label in the top ten bestselling Irish whiskeys to post growth last year, jumping 12% to 309,000 cases, according to Impact Databank.
A blend of Irish whiskey and 100% natural Bohemian honey, Tullamore D.E.W. Honey ($24 a 750-ml.) initially launched in 2021 in the Czech Republic, Slovakia, Germany, and Bulgaria, and debuted in the U.S. market earlier this year. The brand may have slipped 5% this year to 317,000 cases, according to Impact Databank, but this new release is already bolstering the business in 2024. “We’ve seen strong results since the launch and expect Tullamore D.E.W. Honey to account for approximately 10% of our business by the end of the year,” Basford says. “Irish whiskey has embraced flavored varieties in recent years, keeping pace with flavored whiskies from American and Canadian brands, and we feel, and the numbers show that it’s uplifting the entire Irish whiskey category.” Basford adds that unlike older generations, today’s drinkers are looking for more diverse options. “So, we do see innovation continuing to be a major part of Irish whiskey,” he says. “While the classic triple blend will always be the favorite, certain consumers want a twist, or an existing Irish whiskey fan might want a slight alternative. This approach has led to the immediate success of Tullamore D.E.W. Honey, as well as other innovations such as our unique cask finishes, including Tullamore D.E.W. Rum Cask Finish and Tullamore D.E.W. Cider Cask Finish.”
Girardin notes that special cask finishes are ramping up in Irish whiskey as brands look to differentiate themselves. “I wouldn’t be surprised if the next couple of Midleton releases try for more exotic woods and oaks,” he says. “Method and Madness has been making some super interesting expressions, and I’m sure when they have any success with an esoteric expression they’re taking notes and passing that on to the others.”
At Garfield’s, Montrose sees cask strength and specialty finishes becoming more popular with Irish whiskey drinkers, spurred by the Bourbon and rye craze. “We had great success with a hand selected experimental cask of Glendalough finished in Burgundy barrels—it was spectacular and sadly is gone now,” he adds. It’s a similar story at Pascale’s. “As with the Bourbon market there’s been a considerable increase in the focus on the differences in what flavor is extracted from different types of woods,” Buehner says. “One recent example of this new enthusiasm taking over in Irish whiskey is the Teeling Wonders of Wood series, where the first rendition they released was their pot still Irish whiskey aged in virgin chinkapin oak.”
Teeling recently launched its third release in the Wonders of Wood series, which is matured in virgin Swedish oak ($99 a 750-ml.) and a 40-year-old single malt will be unveiled later this year. “Answering the demand for innovative Irish whiskey in the U.S. is a challenge that excites us,” co-founder Jack Teeling says. “Each release we put out in the U.S. is our way of showing people new ways of what Irish whiskey can be.”
Irish rye whiskey is a new style to hit the market with the launch of Powers Irish rye ($32 a 750-ml.) in early 2023, aiming to broaden the category. “While there are some high-rye Irish whiskeys on the market, Powers was the first to launch a 100% Irish rye whiskey,” says Dylan Beyer, marketing director of Lafayette Imports, which handles Powers. “Not only does this release offer Irish whiskey consumers something completely novel for the category, but it also provides an avenue to introduce American whiskey and Canadian whisky fans to the Irish space.”
Recruitment Efforts
Competition in the Irish whiskey category has never been fiercer given the amount of brands available today. “One challenge for Irish whiskey is recruiting consumers from other categories or those who are loyal to their current whisk(e)y preferences,” Beyer says. “This is an exciting challenge, as it creates an atmosphere where brands must bring their best to win consumers’ hearts.”
Girardin of Hazel’s believes that Irish whiskey is struggling to figure out its identity. “I do feel that many people forget the first Single Malt ($30), and Blend ($25). This year the brand launched its Small Batch collection, starting with The Busker Small Batch Single Pot Still ($50). “We believe that consumers are still getting to know Irish whiskey, and we see The Busker as an ambassador for the entire category,” says Edgardo Carias, vice president of marketing for brand owner Disaronno International USA. “Our goal is to increase consumer familiarity with the brand and highlight its connection to Irish heritage and culture. To achieve this, we’re ramping up trade and consumer advertising, email marketing, and influencer partnerships. The Irish whiskey category in the U.S. is not as well-defined as Scotch, with name recognition dominated by one or two brands—our challenge is to introduce The Busker to a broader audience of whisk(e)y drinkers and increase our visibility.”
Proximo’s Otegui notes that standing out in Irish whiskey requires a big push for consumer education and exposure, especially as the category continues to be dominated by Jameson, now accounting for a whopping 77% of the category, according to Impact Databank. “It’s been a priority for us to continue to educate trade and consumers on the innovation and high-quality single malts that are produced at Bushmills,” he says, adding that there’s a lot of opportunity for single malt Irish whiskeys right now. “Given the growth of craft and independent brands, consumers are having the opportunity to discover single malt Irish whiskeys in a whole new way. Brands like Bushmills are having a moment and being awarded for their superior quality. For example, Bushmills 21-year-old received a spectacular 96 points from Whisky Advocate, while the Rare Cask 01 received a 95 and the 25-year-old a 94.” Last year Bushmills opened a brand new distillery, The Causeway Distillery, which is dedicated purely to single malt production and expected to more than double the brand’s single malt production over the next couple of years.
Otegui adds that cocktails are also an important factor in wooing consumers to the Irish whiskey category. “Cocktail culture has led to recognition and discovery from bartenders and consumers alike of the versatility of Irish whiskey,” he says. “While most people think of blends as the better choice for a cocktail, Bushmills is leaning into the complexity that single malts can bring to the mix. Joel’s Juicy Lie, the brand’s signature PGA drink made in partnership with PGA golf professional Joel Dahmen, features a refreshing combination of Bushmills 10-year-old single malt, grapefruit soda, pineapple juice, and lime. And for Proper No. Twelve, we’ve tapped into the increasing popularity of the Green Tea Shot and shot culture, creating an Apple Green Tea shot using Proper No. Twelve Irish Apple.”
Powers Irish rye’s launch included the “The Irish Built Manhattan” campaign, which both drew attention to the large role Irish immigrants played in building Manhattan and included an eponymous cocktail recipe for a Powers-based Manhattan cocktail. “The resurgence of classic cocktails in the U.S. has significantly influenced our marketing strategy for Powers, capitalizing on the growing interest in traditional serves like the Manhattan,” Beyer says. “Cocktail menus play a large role in how people experience new spirits categories and brands for the first time. As people explore new options in the on-premise setting, staying top of mind with bartenders is crucial for a category’s and brand’s success.”
For Slane whiskey, fostering close relationships with bartenders is an important part of the brand’s marketing strategy. “Irish whiskey has a high on-premise share, second only to Tequila among major spirits; however, the category doesn’t have strong placement on cocktail menus compared to other spirits,” notes Slane senior brand manager Brittany Gilbert. “We’re lucky to have incredible leaders representing Slane—we recently named our first-ever Slane U.S. national brand ambassador, Jessi Lorraine, who will support our investment in the trade, partnerships, and presence among the bartender community.”
Pricing Pressure
Retailers are optimistic about Irish whiskey’s future, but they have concerns about recent price hikes. “Irish Whiskey as a category is going through a fair bit of shrink in our store, but with Pernod Ricard taking huge price increases in our market it follows that and translates to less bottles out the door for the category as a whole,” notes Girardin of Hazel’s. “Bang for your buck is trending for sure—Slane’s growth in our store is meteoric over the last couple of years at a very attractive $20 a 750-ml.” But he adds that Redbreast 12-year-old remains a top-seller at the store, accounting for 10% of Irish whiskey sales, even at an all-time high price of $70. “We’re seeing a lot of people opt out of the middle-tier pricings to either buy into premium or pick a cheaper bottle,” he says.
At Garfield’s, Montrose notes a similarly fragmented category in terms of consumers’ buying habits. “There are many newer options in the under $40 range that are highly rewarding to sip—offerings from Glendalough, Slane, and Northcross are ‘big’ whiskey experiences at a more than reasonable price point,” he says. “On the other side of that coin, higher-end offerings like Jameson 18-year-old, Midleton Very Rare, and Irish American 10-year-old don’t seem to hang around our shelves for very long.”
At Pascale’s Liquors, Buehner points out that while Irish whiskeys have increased in price across the board, certain brands are pushing it more than others. “With most products being a $1-$3 difference this rise has been most notable in the higher end spectrum of this market with brands like Redbreast and the Spot line rising to prices that accumulate a near 33% increase on some of these items,” he says. Assistant manager Adam Korzeniewski calls attention to these two brands as well, noting that these new prices may have a negative impact into the future. “I know we’ve heard from a number of customers that they unfortunately won’t be purchasing bottles like Blue Spot and Redbreast 27-year-old moving forward due to the substantial price increases just within the last year,” he explains.
That said, Korzeniewski adds that Irish whiskey has the potential to continue to trend in a positive way. “I just hope the recent price changes don’t affect the category—Redbreast 27-year-old is in my top three favorite whiskeys of all time, especially when it was priced at $550, but now for $900 in New York it’s a different conversation,” he says. “I think the sales of special bottles of Irish whiskeys like this will be more selective, while the under-$50 price point will continue to thrive.”