Jump to content
Sign in to follow this  
NormaDesmondwas50

Great Recession and the industry

Recommended Posts

How is the Great Recession affecting US distillers? Does absinthe have such a distinct market niche that demand hasn't suffered greatly? Do you anticipate much higher sales when the economy rebounds? I was afraid that the economy might dry up the producers of the American brands I recently discovered.

Share this post


Link to post
Share on other sites

When times are good, people want their booze.

When times are bad, people really want their booze!

 

Jokes aside, I have no idea how to answer your question. We have been distilling such a short time. As a matter of fact, we entered into this bidness because our various savings accounts were getting slammed by the market. After viewing a particularly painful quarterly report (a little over 4 years ago), I remember telling Jules, "We can lose our money as well as they can and at least have something to show for our efforts." We cashed in, took a penalty hit and never looked back.

 

Would I recommend what we did to anyone else? Nope. Are we having fun? Oh hell yes! Are we making money? I don't think so but we aren't in debt and our accountant is awfully cheerful. :g:

Share this post


Link to post
Share on other sites

Build a better mouse trap and the world will beat a path to your door.

 

Or in your case, make better hooch, and the FedEx will beat a path to my door. :)

Share this post


Link to post
Share on other sites

I have my first real job since college, so I feel like a millionaire compared to my ramen noodle days...and I was still scraping pennies together to buy absinthe then. Now I at least have quarters to scrape together. :laugh:

Share this post


Link to post
Share on other sites

I will be watching Julie's shelves like a hawk. Actually, I might just pre-order them. She is very good about keeping us informed.

As much as I like the verte, it is the blanche that I miss. It has a sharp aroma and flavor that I have only sensed in WWB and Sauvage, but your blanche does that particular flavor better. Beats me what it is, but it is definitely there.

Share this post


Link to post
Share on other sites

9/10 great choices. Well I haven't tried BdJ but the reviews are nice. While I agree that the parrot is well crafted, and my wife loved it, my looney taste buds detected grapefruit.

Share this post


Link to post
Share on other sites

I want to try 1901 again when it lands here. I think I only gigged the neat appearance which for a bit was a QC issue, that seems to have been rectified. The changes to Lucid looks like QC issue had a talking to, or given walking papers, because the neat appearance of it changed a lot.

Share this post


Link to post
Share on other sites

I will keep supporting Joe and his brethren (and sisteren).

 

Currently employed, might not be tomorrow...who cares? I'm educated, I'm smart, and if I really have to I can bust my ass.

 

:cheers:

Share this post


Link to post
Share on other sites

I agree.

 

Your outlook is similar to mine. Well, I'm not educated or smart but I can bust my tired old ass if necessary.;)

Share this post


Link to post
Share on other sites
When times are good, people want their booze.

When times are bad, people really want their booze!

 

He pretty much nailed it, and studies have been done on this since way further back than I think you imagine. 'Vice' (not my definition) is generally the safest industry in hard times. It varies on individual basis, of course, but generally booze does well when times are bad.

 

The problem, for absinthe in particular, is that while folks buy booze... they tend to down-shelf in tough times, for the obvious reason that if you just lost your job yesterday, that bottle of Macallen 15 doesn't look quite as appealing as it did last week... and the bottle of Glenlivet just looked about $55 dollars more attractive.

 

The one buffer to that, though, is that high-end booze (like absinthe, and the above-mentioned high-end scotch) are viewed (especially in the past 20 or so years) as 'affordable luxury'. It's the "I may never have the $150,000 Bentley, but for 20 minutes, I can drink like the guy who owns one" thinking.

 

So again, booze does well, :) .

Share this post


Link to post
Share on other sites

Recent analyst presentations issued by both Pernod-Ricard and Diageo confirm the very positive movement towards the more expensive end of their product portfolio in North America (and even more so globally). Of course for them, "more expensive" starts at $30/bottle and heads up to $1,000 and beyond.

Share this post


Link to post
Share on other sites

I don't think the recession will have a substantial impact. As I recall, brands were running out of product back in 2008 when things were worse. When / if things recover, they'll be in a great position to expand.

Share this post


Link to post
Share on other sites

Thanks fellows... I brought a bottle of Clandestine and MOL to a garden party last summer. I mentioned to a few college-aged fellows that I'm at a point in my life where I can spend a few $ on affordable luxury. They were very happy for me and themselves at that moment.

Share this post


Link to post
Share on other sites

Please sign in to comment

You will be able to leave a comment after signing in



Sign In Now
Sign in to follow this  

×