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Dear Friends in the Craft Spirits Community:
As we step into fall, there’s no better time to reflect on the joy and craftsmanship that goes into every bottle of spirits. Whether it’s a smooth whiskey, a botanical gin, a spicy rum, or a carefully crafted cocktail, the ritual of enjoying an alcoholic beverage remains a cornerstone of many social and family experiences. These moments of connection serve as a reminder of the role this industry plays in enhancing times to gather, celebrate, and have fun. Might you expand your portfolio to include the fast-growing amaro category? Get inspiration in the latest issue of CRAFT SPIRITS Magazine.
Having recently attended events such as, Bourbon Women SIPosium, Kentucky Bourbon Hall of Fame Awards and the Food and Wine Classic, I was joined by hundreds of consumers and industry enthusiasts. (A big shout out to Bourbon Women, KDA, and High Wire Distilling for making participation possible.) It was heartwarming to visit with so many member distillers. While I may not have seen you inside the ballrooms or tasting tents, there’s still room to join ACSA during our very own Craft Spirits Festival at Binny’s Beverage Depot in Chicago in November. Register now.
Even with the enjoyment of a craft cocktail during those quintessential events, I was reminded of the economic landscape which has posed challenges for the craft spirits sector. The Craft Spirits Data Project (CSDP ©), released this month, shows that both the value and volume of craft spirits have experienced declines, indicating a shift in market dynamics. Consumer spending patterns have adjusted due to inflationary pressures, and while the demand for premium experiences remains, many are becoming more selective with their purchases and just cannot access them. These economic headwinds highlight the importance of understanding evolving consumer preferences, but even more importantly, of adapting market access strategies to meet consumer expectations and demand. For a clearer understanding of the current economic marketplace, keep reading to find the CSDP 2024.
Despite these challenges, this is a pivotal moment for producers to double down on what makes craft spirits special—authenticity, innovation, and quality. Even in tighter economic times, people continue to seek out beverages that deliver a memorable experience. Brands that can creatively market their unique stories and offer originality while maintaining their premium image, will likely come out stronger. But this is only true IF we open the market so producers can put products in front of consumers. ACSA will continue to work with guilds at the state level to enable a stronger route to market through DtC, expanded tasting room privileges, and fairs and markets among other things.
As we face this shifting economic environment, it’s essential to keep our voices heard in Congress and in state capitals. Lawmakers continue to need education about the impediments to allowing our small business manufacturing sector to not only survive but flourish. About 50 members attended ACSA’s Legislative Fly-In this month to knock on doors and deliver our message: Our industry needs help! See what concerns we raised during our meetings. (A shout out to Cotton & Reed Distillery for a fantastic welcome reception!)
Let’s raise a glass to a future where innovation and tradition in the craft spirits industry continue to thrive, even in the face of market fluctuations.
Here’s to a successful OND ahead! Cheers!
Margie |
